How an engineering business saved $50,000 by changing its oil

AWJ Civil, a New South Wales based engineering business specialising in civil and environmental remediation work was looking for a way to reduce its operational costs. It found a solution through a partnership with Viva Energy and its lubricants supplier, Green Goanna.

 

Following a presentation by Viva Energy’s Product Support Engineer, Geoff Buchan, on how the technical innovations of Shell lubricants can deliver improved efficiencies for equipment, AWJ Civil wanted to know how it might be applied to their business.

Geoff worked with the team at Green Goanna to understand AWJ Civil’s business with the aim of identifying value opportunities and making recommendations. 

Crunching the numbers

AWJ Civil operates a fleet of 283 vehicles, ranging from excavators and graders to backhoes and compactors.

Viva Energy and Green Goanna identified that by changing to a higher quality engine oil, AWJ Civil could extend their fleet’s oil drain intervals from 250 hours to 500 hours. 

This would mean a total reduction in the number of oil drains, from over 450 down to just 233 per year, which would save the company $36,000 in labour costs. Their annual lubricant consumption would also drop from 11,560 litres to 5,767 litres, reducing usage by a massive 5,793 litres each year.

The net result was an estimated saving for AWJ Civil of around $50,000 per year – by simply changing their engine oil to Shell Rimula R4 L 15W-40.

Testing the theory

Before doubling the time between oil drains, the recommendation had to be tested on actual field equipment.

AWJ Civil chose two vehicles from their fleet for the Shell Rimula trials –an excavator and a grader – each with different uptime requirements and total hours of operation.

The performance of Shell Rimula R4 L 15W-40 was routinely inspected at intervals of zero, 250 and 500 hours. This was an opportunity to evaluate the oil for wear, contamination and any deterioration in its physical condition.

Rolling out the program

AWJ Civil was delighted with the quality and value Shell Rimula R4 L 15W-40 delivered.

The outcome of the trial, which was managed by Viva Energy’s specialist engineers and lubricant analysts, showed that the oil drain interval could be successfully extended to 500 hours and remain well within safe operating parameters, and without any compromise to the mechanical integrity of the equipment. In addition, the oil properties and engine protection were maintained within optimum parameters. 

“The benefits have proven very positive with our earthmoving equipment so we are moving to expand this service to our light vehicles and small tucks fleet on advice of similar savings”, said Craig Dunn, Business Operations Manager with AWJ Civil.

This really was a perfect case study of how an understanding our customer’s business combined with the use of a high quality product and expert technical advice and supplier support has all come together to have a positive impact for AWJ Civil.