The American Rental Association (ARA) on Sept. 17 announced that Wynne Systems, Irvine, Calif., is the first software company serving the equipment rental industry to achieve ARA Rental Market Metrics™ certification.
ARA Rental Market Metrics™ provides equipment rental companies with a consistent way of calculating, benchmarking and reporting critical performance measures. It defines industry standards for the definition of a day, original equipment cost (OEC) and for the calculation of time or physical utilization of equipment, financial utilization, fleet age and percentage change in period-over-period rental rates.
“We are pleased that Wynne Systems achieved this important industry milestone. Certification of ARA Rental Market Metrics™ marks a new chapter in the equipment rental industry,” says Christine Wehrman, ARA’s executive vice president and CEO.
“The ARA has been working with software companies to license and certify the use of ARA Rental Market Metrics™ to further the growth and professionalism of rental companies within the industry and help analysts and financial institutions better understand the equipment rental industry. We congratulate Wynne on being the first software company to achieve certification,” Wehrman says.
“Wynne Systems has always strived to support organizations like the ARA and initiatives that benefit the industry as a whole,” said John Bureau, general manager, Wynne Systems. “We are very proud of being the first software company to achieve certification and are excited to see how it will improve business and industry performance.”
Other equipment rental industry software providers continue to be licensed for ARA Rental Market Metrics™.
“It is a priority of ARA to make this business management intelligence available to rental businesses of all sizes,” Wehrman says.
ARA Rental Market Metrics™ provides equipment rental companies with a way to measure the performance of their business with a common benchmark that can be used within the company, by industry professionals, investors and analysts to compare a company’s performance over time and in relationship to a competitor.
“Several key performance metrics are unique to our industry. Most of these metrics are associated with fleet efficiency and utilization. The lack of consistency in reporting metrics makes it virtually impossible for industry analysts and investors in equity and/or debt instruments to make meaningful comparisons among rental businesses in the industry,” says John McClelland, Ph.D., ARA’s vice president for government affairs and author of ARA Rental Market Metrics™.
“ARA’s goal was to provide standards that further quantitatively define the equipment rental industry. We hope that more software companies will achieve certification soon, so equipment rental companies at all levels of rental revenue will have the information available to better tell their story in a language banks and financial institutions can understand and reference to better judge risks and investment opportunities,” McClelland says.
More information about ARA Rental Market Metrics™ is available online by visiting ARArental.org and clicking on “ARA Rental Market Metrics” under the “Industry Resources” tab.
The American Rental Association (ARA) continues to sign ARA Rental Market Metrics™ licensing agreements with other software providers serving the equipment rental industry. Once a company signs a licensing agreement, it then determines how to incorporate the standards into its software to qualify for certification by ARA.
Wynne Systems, Irvine, Calif., is the first software company to achieve certification. The following are other licensed companies currently working toward certification:
- Alert Management Systems, Colorado Springs, Colo.
- Armada Dynamics, Murrieta, Calif.
- Automated Rental Management/BCS ProSoft, San Antonio
- Baseplan, Thornleigh, New South Wales, Australia
- e-Emphasys Technologies, Cary, N.C.
- Genisys Software, Minneapolis
- Open Door Technology, Calgary, Alberta, Canada
- PFW Systems Corp., London, Ontario, Canada
- Point-of-Rental™ Systems, Grand Prairie, Texas
- RMI Corp., Avon, Conn.
- Solutions by Computer, Springfield, Mass.
- Sycor Americas, Pittsburgh
- Texada Software, Guelph, Ontario, Canada
- Unique Business Systems, Santa Monica, Calif.
For more information about ARA Rental Market Metrics™, contact Tom Hubbell at 800-334-2177, ext. 248, or firstname.lastname@example.org, or visit ARArental.org and click on “ARA Rental Market Metrics” under the “Industry Resources” tab.