Just a quick blog segment on the total costs of a truck repair where I dive into the final cost of a failed turbo on an international DT466.
So you were just promoted to the fleet manager, everything is going good for a Monday and you get a call from one of your drivers saying the truck broke down and they can’t get it started right away if it starts it is really low on power. This is of course after the truck was just loaded at the warehouse and is running 10 minutes behind schedule.
The first thing you do is rent another truck to do a load transfer to the rental at the tune of $166.95 a day while paying your workers their labor rates to transfer the load. Now the load is not only late but the receiving customer isn’t happy. You end up towing the truck to the local shop for a diagnostic in which the tow bill was $465.00 and a standard diagnostic is $105.00. You’re in this repair already for $736.95, not including labor costs and a single wrench hasn’t been turned.
So the shop calls back an hour later with an unfortunate diagnostic that the turbo was blown and needs to be replaced, costing about $2500. The worse news is that the turbo is back-ordered for 1 week which pushes the rental to $1168.65. You authorize the repair and one week later the truck is fixed.
For this repair alone, the direct costs were $2,605 while the indirect costs were $1,633.95. In this situation, the indirect costs are 62% equivalent to the direct cost which is also at the dealership rate. Total cost for a turbo replacement? $4,238.95
Motorly will convey this information in the form of direct (repair cost) and indirect (towing, rental, payroll, etc) and work on not only the direct costs but trying to minimize if not eliminate the indirect costs by traveling to the truck instead.