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Equipment Utilization

This course was produced in conjunction with the National AGC.

Construction companies that properly utilize equipment will gain a strategic advantage over their competitors. This advantage will result in more efficient production and increased profits.

To realize this advantage, project managers need to carefully consider the variables that they use to select equipment, to analyze equipment cost, and to track the effectiveness of their decisions.

Effective equipment utilization requires the cooperation of upper-level management, estimators, project managers, foremen, operators, and maintenance personnel. By understanding the big picture of equipment utilization, project managers can make more informed decisions about how to choose and use equipment.


  • List four procedures that are essential to small tool management.
  • Outline the differences in costing major equipment, minor equipment, and small tools.
  • Calculate equipment options.
  • Outline the advantages and disadvantages of purchasing, renting, or leasing equipment.
  • Calculate when a piece of equipment should be repaired, replaced, or rebuilt. 
  • Understand the importance of insurance and record keeping. 
  • List at least six factors that should be considered when conducting a needs analysis. 
  • Calculate the cost per unit production.
  • List at least three elements of equipment ownership and operating cost. 
  • Calculate equipment ownership and operating costs. 
  • Calculate equipment rental costs.

This course has been approved for two hours, and requires no prerequisites.

This course includes individual quizzes which must be passed with a 100% to proceed forward to the next lesson. Additionally the final exam must be passed with a 70% to pass the course. The Final exam can be taken three times, if necessary.