International Journal of Surface Mining, 1389-5265/03/1703-171$16.

00
Reclamation and Environment # Swets & Zeitlinger
2003, Vol. 17, No. 3, pp. 171–182

Estimation of Dozer Production and Costs

V.J. KECOJEVIC
AND M.J. MRUGALA

ABSTRACT

Effective planning of dozer operations plays a very important role in determining their productivity. Since
these units have a wide application in surface mining and civil engineering operations, there is a need for the
tool for obtaining precise estimates of dozer production and costs. A research project was undertaken at The
Pennsylvania State University to develop a software package to assist a wide range of professionals in quick
and consistent evaluation of either new equipment purchasing options or the production and costs related to
operating the owned equipment. This paper presents an overview of the structure and code capabilities of
the software for dozer production and costs estimation.

Keywords: mining software package, dozer production and costs, mining operations.

1. INTRODUCTION

Calculating dozer production rates and costs associated with dozer operation seems
to represent a relatively simple task. In most cases, it is based on available
literature and manufacturer-published equipment specifications. Evaluations of the
performance of the dozer in use and planning new activities often rely on past
experience, best estimate or other factors whose objectiveness is difficult to assess.
The unique equipment features provided by each manufacturer are usually targeted
to emphasize usefulness and technical performance of their equipment under
particular field conditions. The technical and cost data summarized in the project bids
or other submittals contain generally the aggregate numbers, within which the results
of various calculations are embedded. The verification of background calculations
in such submittals is not always either available or possible. While each sales
representative handles his own company’s equipment data, it is not common to have
sales people providing information comparing the performance of their own
equipment in contrast to other manufacturers. This situation represents a common

Address correspondence to: Vladislav Kecojevic, Department of Energy and Geo-Environmental

Engineering, The Pennsylvania State University, 154 Hosler Building, University Park, PA 16802-5000,
USA. Tel.: þ1-814-865-4288; E-mail: vuk2@psu.edu
The Pennsylvania State University, University Park, PA, USA.
172 V.J. KECOJEVIC AND M.J. MRUGALA

practice and is understandable, as each sale contributes to the equipment manu-

facturing company’s bottom line.
While several civil engineering and mine design software packages are available
and are being used, a smaller program designed to perform specialized tasks does not
exist. One of the reasons is the fact that the potential market for such programs is
relatively small. Left somewhat behind in this setting is the customer, who often has
no other means but collect the data from several sources for comparison and
optimization purposes. It is also likely that these comparisons may be incomplete or
inconsistent as the data provided by each manufacturer vary. In addition, these
comparisons may contain terminology, which is either imprecise or ambiguous.
Within an operational environment there are no conditions for maintaining catalogues
and up-to-date information on equipment at the site. It is clear that under these
circumstances a tool serving the both manufacturer sales representatives and the
users/operators would be useful.
To facilitate addressing these issues, a research project was undertaken to develop a
tool that can be used for a quick and accurate estimation in planning of equipment pur-
chase and evaluations of costs and performance of the equipment currently in opera-
tion. As a result, a Dozer Productivity and Cost (DPC) software package was developed.

2. SOFTWARE CAPABILITIES

The DPC is a Windows-based software package that is used for determining the
productivity and economics of dozer units, using the logic that models simulate real
mine situations. DPC can be applied to analyze and optimize the performance of the
existing dozers or to plan the selection and acquisition of the new equipment. In either
case, the performance of a single unit can be examined, or a comparison be made
between two or more different machines. Using the interaction between the DPC and
other commercial mine design software, the process of scheduling earthmoving
operations can be combined with calculations of the dozer productivity, calculating
operating costs and forecasting budgets.
The DPC program includes the following features:
– Calculation of dozer drawbar pull, haul, return and cycle time.
– Calculation of dozer production.
– Estimation and comparison of dozer’s ownership costs including: residual value at
replacement, value to be recovered through the work, cost per hour through the
work, interest, insurance and taxes costs; and operating costs (fuel, lubricants,
undercarriage, repair reserve, special wear items, labor).
– Compilation of results from calculations to examine the relationship between vari-
ables in the calculation, e.g., dozer type versus costs, operating hours versus costs.
 ESTIMATION OF DOZER PRODUCTION AND COSTS 173

The DPC program was designed utilizing the current version 6.0 of MS
Visual Basic. As any modern software package, DPC includes a dropdown
hierarchical menu system that permits access to all software features. To
assure program usability under any circumstances, the program can be accessed
using both a mouse and a combination of the designated keys on the keyboard.
A toolbar is provided to pursue specific applications, which are activated by
clicking the specific function button. Program functions are associated with
specific icons that provide a clue regarding the purpose of the given function. It
was also assumed that buttons with a particular image (function buttons) alone
are not sufficient. As an enhancement to the program functionality, each function
button was supplemented by an appropriate tool tips. These tool tips can be used as a
quick learning tool for the new program operator and as a reminder for those using the
program sporadically.

3. STRUCTURE AND PROGRAM FEATURES

3.1. Program Structure

As shown in Figure 1, the DPC software is designed using a four-level structure. Level
I includes the following five input elements: (1) equipment database, (2) equipment
cycle elements, (3) material properties, (4) roster data, and (5) cost-related data. The
execution of program function occurs at Level II. Level III is included to facilitate
technical and economic evaluations. By returning to Level I and selecting new input
parameters the results can be modified. Upon completion of technical and economic
evaluations, Level IV provides a number of options, where the results of analyses can
be displayed.

3.2. Equipment Database

In simple terms, a database is a collection of information. The DPC database was
developed using MS Access and applies the Open Database Connectivity (ODBC)
standard. It is organized using the relational database model, which produces the
database structure with minimum data redundancy, while maintaining relationships
between all data. A relation database stores information in a number of tables related
by a common field known as the primary key. The record is a single entry in a table,
consisting of a number of data fields, where each field is a specific piece of data
contained in a record. These tables and queries consist of data records, each re-
cord containing the same type of information. A typical display of a dozer data-
base, derived from the data published by various manufacturers [1–3], is shown in
Figure 2.
174 V.J. KECOJEVIC AND M.J. MRUGALA

Fig. 1. Structure of the DPC software package.

3.3. Rimpull Diagram

Drawbar pull is the horizontal force that dozer can produce at the track-ground
contact. Dozer performance is characterized by the performance curve of the drawbar
pull versus dozer speed. The display used to calculate the drawbar pull is shown in
Figure 3.
 ESTIMATION OF DOZER PRODUCTION AND COSTS 175

Fig. 2. Typical display of the dozer-related data organization within the DPC software package.

Fig. 3. Typical example of the dozer rimpull template.

3.4. Dozer Cycle Time and Production

The dozer cycle time is defined as the time required for the dozer to complete a full
pass including the required time components. Calculation of the dozer production is
176 V.J. KECOJEVIC AND M.J. MRUGALA

Fig. 4. Typical example of the dozer production calculation template.

performed by selecting a dozer from the existing database and specifying the cycle
elements. As indicated earlier, the dozer production calculations can be combined
with other commercial mine design software, where the process of scheduling
earthmoving operations can be merged with calculations of the dozer productivity,
calculating operating costs and forecasting budgets. In this context, the dozer
productivity can be integrated easily into any design providing a valuable source of
information needed for accurate estimation of time, which is needed to complete
specific earthmoving tasks. A typical display showing the results of dozer cycle time
and production is shown in Figure 4.

3.5. Ownership Costs

A write-off straight line based on the number of years and hours the owner expects to
use the machine gainfully represents an estimate of ownership costs. The ownership
cost per hour is calculated based on input of the following parameters: (1) machine
 ESTIMATION OF DOZER PRODUCTION AND COSTS 177

Fig. 5. Typical example of the dozer ownership costs calculation template.

Fig. 6. Example of the display used for calculation of various components of the overall operating costs.
178 V.J. KECOJEVIC AND M.J. MRUGALA

delivered price, (2) ownership time period, (3) operating hours per year, (4) percent of
value at trade-in time, (5) interest rate, (6) insurance rate, and (7) respective taxes. A
typical template summarizing the result of ownership costs calculations is shown in
Figure 5. This option is supplemented by a series of charts illustrating the distribution
of ownership costs expressed in percent over the period of a designated number of
years. A distinction has been made between the various components of the overall
ownership cost to account for the following: (1) cost per hour through work, (2) cost
of insurance, (3) cost of interest, and (4) applicable taxes.

3.6. Operating Costs

Operating costs include the following seven components: (1) fuel cost, (2) lubricants,
(3) undercarriage, (4) repair reserve, (5) special wear items, and (6) labor. The total
operating cost represents the final aggregate number component (7) summarizing all

Fig. 7. Example of the chart displaying the itemized distribution of operating costs.
 ESTIMATION OF DOZER PRODUCTION AND COSTS 179

other components. This operating cost section is also supplemented by a series of

charts designed to display in a combined fashion all components contributing to the
overall operating cost. Figure 6 shows an example of the display used for calculating
the operating costs, while Figure 7 shows a typical chart displaying the distribution of
ownership costs.

3.7. Help Menu

The help section provides the user several pieces of information. It was designed to
provide the definition of all terms used in the program such that ambiguity in
terminology can be avoided. As would be expected, the help section contains
information needed to understand and operate the program.

4. BENEFITS OF USING DPC SOFTWARE

One of the benefits of computer technology is the availability of large amounts of

information, which can be accessed easily. The planning of any successful technical
activity requires that the algorithm used in calculations is correct and the access to and
the availability of the accurate information are assured. As users of this information,
we would like to be reassured in our decisions often asking others to verify our
findings. The DPC software was designed to fulfill this very need by providing the
theoretically-based procedure, which can be applied consistently and in a correct
manner any time it is employed by a wide range of potential users. Availability of the
database including data on equipment produced by a number of manufacturers allows
the potential customer to perform his own analyses before seeking information from
the specific producer. This ‘‘do-it-yourself’’ aspect was considered important, as
some operators would prefer to perform their own analysis of equipment performance
before entering the negotiation stage. It should also help the user and the salesperson
as both can negotiate more productively, keeping in focus a number of interrelated
factors including not only technical performance data but all the other costs and
equipment productivity as well.
One of the basic tenets of effective communication is the use of proper
terminology. As an example, the term ‘‘cost,’’ which by definition includes a number
of components, can have many applications that make its use ranging from potentially
imprecise to misleading. The DPC software contains the help sections, where in clear
terms each calculated quantity is defined. Its use is envisioned as a facilitator during
discussions, negotiations and as an educational aide.
Mine-operating personnel is often reminded to keep the cost of operation under
tight control. The issue of cost control due to its multi-faceted nature is sometimes
180 V.J. KECOJEVIC AND M.J. MRUGALA

misunderstood as to what is it that we are trying to control. The set of graphs included
in the DPC software allows for conveying two important messages. First, the graphs in
a combined fashion allow the operator to see the relative contribution of each cost
element to the overall cost. Secondly, they permit the user to concentrate on
improving performance in these areas that have the largest weight in the overall cost,
thus making their efforts more effective.
The DPC program can be applied to evaluate the predicted versus real equipment
performance more readily. The purchase of equipment is based on manufacturer-
supplied technical parameters and projected performance both in the area of work
accomplished as well as costs associated with operation. While larger operations can
afford sophisticated equipment performance tracking systems, smaller operations
must rely on less precise measurements of such performance. The DPC software
provides the small-scale operators with a tool in precise and standardized form, that
can be used for the short- and long-term evaluations of equipment performance. Such
a tracking effort is perceived to offer benefits not only to the field operators but also to
accounting personnel, who can, with limited training, maintain an accurate history of
equipment performance. The personnel can also alert the field operators to potential
discrepancies encountered between the predicted versus real equipment perfor-
mance. If encountered, potential surprises can be dealt with more effectively.
Software can be used to develop real history of equipment use and point to areas that
need focus.
The DPC software is also designed to fulfill the needs of the equipment
manufacturer sales representatives. At the click of a button an entire line of equipment
produced by their employer can be retrieved from the database helping to address
needs of different potential clients. It should be recognized that each leading
manufacturer makes their recommendations of a particular piece of equipment using
not only numbers calculated according to the standard practice but often applying
procedures or coefficients, which are part of the intellectual property of the given
company. These hidden procedures and/or numbers are often the result of many years
of experimentation with equipment and information, which need to be protected. The
program developers recognize this aspect of software ownership and any software
user can choose to display or to protect portions or types of information that are made
available to others.
The time required to learn software is becoming an important issue as software
packages grow in functionality and sophistication and the need to follow changes
made in subsequent updates becomes a full-time occupation. The expense involved
with hiring personnel designated to learn and operate these complex programs can be
costly. In this process smaller operators are at a disadvantage. Obtaining answers even
to simple questions requires involvement of experts, who are both expensive and
seldom readily available. The DPC software is designed to fulfill such needs by
being applicable in any type of operation, especially those smaller in size. This
 ESTIMATION OF DOZER PRODUCTION AND COSTS 181

self-contained package is designed to address a specific need, and it can be used

quickly and effectively with modest training.

5. CONCLUSIONS

Trends observed in mining and construction industries favor the use of complex
software packages. These multi-faceted programs are capable of fulfilling a wide
range of uses related mainly to mine design and are designed for routine daily use by
trained personnel. Accounting departments perform operational cost analysis of
equipment. These calculations remain a part of the operation accessible to those
responsible for the daily task of keeping the company running financially, however,
somewhat distant for those responsible for the day-to-day operations. As the economy
goes through its cycles, companies emphasize the need for every employee to
contribute to the company’s bottom line. A large portion of the company profit is
related to the proper use of the available equipment. Requirements for the efficient
equipment use can be fulfilled better if the factors contributing to the operating cost
are accessible easily and listed in an orderly fashion and calculations can be
performed instantly. The sales personnel also could take advantage of such a
standardized process whenever comparisons are to be made between various new
machines.
The Dozer Productivity and Cost software was developed by faculty in the
Mining Program at Penn State. At the core of the DPC software development was an
assumption that both dozer operators and manufacturers’ sales personnel will
benefit from the product that addresses a specific type of equipment. This
specialized software could be developed keeping in mind concerns of cost and a
format that can be used easily by a wide range of potential customers. It was design-
ed as a flexible package, of which size and complexity can grow to fit the needs
related to individual applications. Its main characteristics can be summarized as
follows:
– Availability of small, specialized programs can make them available at all levels of
business involved in dozer applications.
– Programs can be used effectively with little training.
– Tangible benefits in terms of cost-based evaluations/decisions provide rational
basis for decision makers at all levels.
– Communication among business managers, operations and equipment sales can be
improved due to standardization of language and terminology used in exchange of
information.
– Improvements in equipment use and maintenance based on real ‘‘Case Histories’’
can be postulated promoting better understanding of business goals and using more
precise method of performance assessment.
 182 V.J. KECOJEVIC AND M.J. MRUGALA

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1. Caterpillar.: Forward Mining, Caterpillar Mining Electronic Library. Caterpillar, 2002.

2. Komatsu Mining.: Equipment Catalogs. Komatsu, 2002.
3. Liebherr.: Equipment Catalogs. Liebherr, 2002.
4. Reselman, B. and Peasley, R.: Practical Visual Basic 6. QUE, Indianapolis, 1999.
5. Stephens, R.: Visual Basic Graphics Programming, Wiley, New York, Toronto, 2000.
6. Kennedy, B.A. (ed.): Surface Mining, 2nd edition. SME, Littleton, 1990.
7. Caterpillar.: Caterpillar Performance Handbook, 31st edition. Caterpillar, 2001.

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