What is it?
This index captures the total maintenance expense, reported by participating carriers during a given month, expressed on a per mile basis. The expense reported is specific to the maintenance of company-owned trucks, and company fleet allocated trailers. Maintenance expense includes all internal (shop labor, parts, supplies, and tools) and external (outside vendor parts, labor, and supplies) expense. The carriers reporting the data for this index are participants in Truckload Carriers Association’s TPP program.
Formula: (Maintenance Expense) / (Total Miles)
Who is interested?
Anyone that has an interest in freight movement patterns. i.e. Shippers, freight brokers, fleet managers, executives in a transportation company, owner operators.
What does it tell me?
This index is highly dependent on the average tractor age of the reporting carriers, and the dominant operating mode utilized by those carriers. Several additional factors can influence the results for this index. For example, the availability of qualified technicians determines whether or not common tractor and/or trailer repairs can be done with internal resources as opposed to external (outside vendors).