A computer-aided model for construction equipment replacement

One important subject in equipment management is replacement. Contractors should know when to replace their equipment. Replacing an item of equipment too soon or too late might cost the contractor more than necessary: A decision to replace an item of equipment should be based on its economic life rather than its physical or profitable life. The economic life of an item of equipment is calculated by considering those costs that are related to its ownership and operation. This paper presents a computerized model that determines the time at which an item of equipment should be replaced based on its minimum cumulative costs per hour. The program is designed and built in a way that the user does not have to remember steps or formulas. The system is totally menu-driven with a pop-up menu style and a user-friendly interface.