Whether it's a regional fleet of five or a national fleet of one hundred and five, companies that rely on trailers to transport their products understand the many advantages and benefits of leasing. In today's challenging economic climate it can serve a vital operational and financial tool, facilitating efficient and timely delivery of goods, and contributing to a more prosperous bottom line.
The good news about trailer leasing is that with the maze of choices and plans available a program can be tailored to fit just about any situation. On the other hand, it also means that determining what's right for you requires very thoughtful analysis of the many options. Working with an experienced provider who can effectively assess your situation and offer the best trailer leasing solutions is critical in this regard.
With the right partner and plan you can:
Preserve company capital and realize significant tax advantages
Simplify company operations and increase workforce productivity
Free up company personnel to attend to their main areas of expertise
Ensure that operations and equipment are within regulatory compliance
Get a better night's sleep
Here are five important steps to help you make the right choices.
1. Assess Your Business Needs and Priorities
First, evaluate your company's financial situation to determine if purchasing, renting, or leasing makes the most sense. When compared to purchasing and financing, leasing preserves capital, and the payments are tax deductible. On the other hand, tax depreciation on a purchased unit may result in a greater amount of tax loss than can be written off. There might also be a "recapture" of the depreciation taken upon sale of the equipment that could result in additional tax liabilities.
Here are some other important questions to consider:
How can the funds that are freed up by leasing trailers be used to further improve our company?
How much of our internal resources do we have to commit to managing our trailer operations?
Does it really make sense to assign company personnel to oversee trailer operations or is it smarter to take a turnkey approach with a trailer leasing partner?
Although it may appear to be very early in the process, working with a trailer leasing expert to help find answers to these questions can save time and ultimately, money.
2. Establish Partner Qualifications and Do the Research
When it comes to selecting the right leasing partner and plan, experience and trust are of primary importance. Bigger is not always an indication that a company is better suited to your company's needs. Working with people who have a proven track record of implementing plans across a wide range of industries locally, regionally and nationally is a good indication of their capabilities, expertise and resources.
Today, leasing companies must be able to respond by providing well-maintained equipment, timely maintenance services to reduce trailer downtime, provide creative leasing options, and above all, be concerned about meeting the needs of the customer. So make sure yours has good "ears." Are they someone who listens closely to all your issues, concerns and objectives? Do they understand your real needs? If so, the overall flexibility and customization of the plans they offer you will be a good match to those needs.
3. Look at the Numbers... and Beyond
The lease rate on equipment is an extremely important consideration, but it is by no means the only one. While the leasing plan's price may initially look attractive, on paper, there are a myriad of other important factors that impact the true cost.
And, when comparing the advantages of leasing trailers to other options like renting and financing, the cost of ownership is not only cash and debt service but can also include:
Compliance costs
Maintenance costs
Administrative costs
Repair costs
Equipment disposal costs
By freeing up capital through a comprehensive leasing plan consider what other things your company can achieve with the money that would otherwise be taken by the financial responsibilities of equipment ownership. A well qualified leasing company can advise you of the options and plans that make this possible and also help you to determine the true cost of ownership versus leasing.
4. Think Short Term and Long Term
Selecting a well-suited leasing plan and the right partner will result in immediate benefits. First, your new trailer fleet will be more reliable and experience less downtime enabling delivery of products and goods on schedule. While this is true of purchasing equipment as well, initial, and future equipment issues during the lease term would be addressed and resolved by the lessor.
In the long run, leasing will also eliminate equipment obsolescence. As terms of a lease permit, equipment could be replaced or upgraded. Operationally, the supervisory and administrative activities within your organization will be minimized, freeing up staff to perform their primary responsibilities more efficiently.
If your plan includes maintenance and repairs, these will be addressed and resolved by the lessor in a proactive manner. On an ongoing basis, and according to lease terms, the compliance and regulatory issues would also be monitored and satisfied by the lessor.
5. Match the Plan to the Priorities
When it comes to trailer-leasing plans one size does not fit all. The right one provides financial, operational and logistical benefits when properly matched to your company's operations.
Here are some of the most popular types to consider:
Net Leases: The lessee is responsible for maintaining their equipment
Maintenance Leases: The lessee brings the unit to the lessor for the performance of maintenance work
Full Service Lease: The lessee manages compliance and maintains and repairs trailers regardless of its location
There are also lease/purchases options in which the lessee may buy the equipment at lease end for fair market value or a stipulated purchase option. Another alternative, sale/leaseback, allows the client to sell their fleet to the leasing company and lease it back. The lessee benefits from this plan by receiving proceeds from the sale of equipment that can be reinvested in their core business.
Selasa, 28 November 2017
Minggu, 12 November 2017
The Perils of Using Auction Houses to Buy and Sell Classic Motorcycles
I have never actually bought or sold a classic motorcycle at a classic motorcycle auction. There are numerous, well known auction houses in the UK and abroad that sell art, classic cars and classic motorcycles. In the heady days before the 2008 crash, it seemed that they could sell anything at ever-increasing prices. It seemed that everyone was tripping over themselves to throw ever increasing bundles of cash at them to buy anything with the word classic in the catalogue description.
However, since the crash, they seemed to have changed their strategy, and it's not just me who has had this experience. Many of my clients have made exactly the same complaint and asked me to market their machines. Auction houses charge to put your machine in the catalogue, they often charge admission to the sale and they typically charge sellers 15% and the buyer 20% all plus VAT. At those rates, they are really quite indifferent to what they achieve as a final sale price.
I had two beautiful classic Hondas, which one such auction house decided to market. They came, they saw the machines, they agreed to the stunning condition and how original both machines were. After much debate we settled on a reserve price of £9,000 for one Honda + their sellers fee and £8500 for the other + their sellers fee. Luckily, I was late entering the machines and they had not cashed my cheque for several hundred pounds to put my machines in their catalogue. Jus a week before the sale the auction house phoned me and said that I had to lower my reserve price to £4,000 and £5,000 for the bikes or remove them from sale.
I asked them why I would want them in the sale, to pay them 15% + Vat, their catalogue fees with such low reserves, when I could put them on eBay without a reserve and achieve at least £8,000 and £5,000 at cost of about £17 per machine. They told me that the bikes would sell and they would have lots of eager investors bidding away and the bikes would probably achieve £11,000 and £13,000.However with such high reserves, they did not think that anyone would even bid. I laughed, removed the machines from sale and sold one by making one phone call the following week for £10,000.
I went to the sale in question and was shocked at how chaotic it was. You could not get close to the machines to look at them. There was no seating and the viewing area was not raked, so you could look down over the people in front of you. They did get strong values on some of the British marques, others sold, but for low prices and the emerging market machines went far too cheaply, because there were only about three bidders interested. I'm so pleased I didn't put my bikes in there, I would have lost a fortune. I also spotted a Laverda they were marketing as a Montjuic, but it was the less valuable 500 Sport. I spoke to a lot of the bidders and collectors there who all said it was the last time they were buying at such auctions, because they didn't like the set up.
A client of mine has a BMW R32, which he has painstakingly restored over many years. There are believed to be three of these machines left in the world. It is a 1923 machine, the first year of motorcycle production from BMW. I have been told that the last one to sell went in 2004 for US$170,000. The market has gone up since then. The reserve price was agreed between my client and the auction house, although it was considerably less than the value of the one that sold in 2004. A few days before the auction, my client was called by the auction house telling him that he had to reduce the reserve by nearly 40%, or remove the bike from sale. Needless to say, the client removed the motorcycle from sale and has now placed it with me for sale.
However, since the crash, they seemed to have changed their strategy, and it's not just me who has had this experience. Many of my clients have made exactly the same complaint and asked me to market their machines. Auction houses charge to put your machine in the catalogue, they often charge admission to the sale and they typically charge sellers 15% and the buyer 20% all plus VAT. At those rates, they are really quite indifferent to what they achieve as a final sale price.
I had two beautiful classic Hondas, which one such auction house decided to market. They came, they saw the machines, they agreed to the stunning condition and how original both machines were. After much debate we settled on a reserve price of £9,000 for one Honda + their sellers fee and £8500 for the other + their sellers fee. Luckily, I was late entering the machines and they had not cashed my cheque for several hundred pounds to put my machines in their catalogue. Jus a week before the sale the auction house phoned me and said that I had to lower my reserve price to £4,000 and £5,000 for the bikes or remove them from sale.
I asked them why I would want them in the sale, to pay them 15% + Vat, their catalogue fees with such low reserves, when I could put them on eBay without a reserve and achieve at least £8,000 and £5,000 at cost of about £17 per machine. They told me that the bikes would sell and they would have lots of eager investors bidding away and the bikes would probably achieve £11,000 and £13,000.However with such high reserves, they did not think that anyone would even bid. I laughed, removed the machines from sale and sold one by making one phone call the following week for £10,000.
I went to the sale in question and was shocked at how chaotic it was. You could not get close to the machines to look at them. There was no seating and the viewing area was not raked, so you could look down over the people in front of you. They did get strong values on some of the British marques, others sold, but for low prices and the emerging market machines went far too cheaply, because there were only about three bidders interested. I'm so pleased I didn't put my bikes in there, I would have lost a fortune. I also spotted a Laverda they were marketing as a Montjuic, but it was the less valuable 500 Sport. I spoke to a lot of the bidders and collectors there who all said it was the last time they were buying at such auctions, because they didn't like the set up.
A client of mine has a BMW R32, which he has painstakingly restored over many years. There are believed to be three of these machines left in the world. It is a 1923 machine, the first year of motorcycle production from BMW. I have been told that the last one to sell went in 2004 for US$170,000. The market has gone up since then. The reserve price was agreed between my client and the auction house, although it was considerably less than the value of the one that sold in 2004. A few days before the auction, my client was called by the auction house telling him that he had to reduce the reserve by nearly 40%, or remove the bike from sale. Needless to say, the client removed the motorcycle from sale and has now placed it with me for sale.
Selasa, 24 Oktober 2017
What Is My Car Trying to Tell Me? The 5 Most Common Causes of a Check Engine Light
The check engine light is the most frustrating of all the dummy lights on your console. It's passive aggressive, telling you yes, there is a problem, now figure out what. Some may ignore it and wait for other symptoms to surface that will direct them to the problem. That's not good. You could potentially be allowing a small problem manifest into a big one. But you also don't want to spend half a day at the mechanic just to find out the problem is something you could have fixed in your driveway.
The easiest and cheapest solution is to make a quick trip to your local auto parts store. Most are equipped with a diagnostic tool that reads the codes from the check engine light. This is usually a free service they provide in hopes that you will purchase your parts with them. Which you should.
A dirty oxygen sensor is a common culprit for the engine check light annoyance. This part is measuring the amount of unburned oxygen that is left over in the exhaust. If it isn't working right you are losing gas and increasing emissions. Not replacing it could cost you the price of a new catalytic converter, so buy the new O2 sensor and replace it right away. This is an easy job to do if you follow the owner's manual instructions.
Believe it or not, your gas cap could cause the check engine to come on. This is one of those things that you can check before you get to the auto part store. If after tightening it the light goes out then you have effectively found and solved the problem without embarrassing yourself. If you do make it there and the diagnostic tool still points to the gas cap, it could be faulty or cracked. All you need to do to stop gas vapors from escaping and turn off that dumb light is replace it with a new one.
The most expensive and problematic cause of the check engine light is a faulty cataltyic converter. This is a big problem that needs to be addressed immediately by a mechanic. There is no easy fix here. If the cat converter has gone bad you have no other choice but to replace it.
Another sensor that can make the check engine light start crying is the mass airflow sensor. This one is like the O2 sensor, if its busted emissions are increased and gas mileage is decreased. Unlike the oxygen sensor, you can't replace this one yourself. You can however increase its life span if you would just change out the air filter like you are supposed to.
Lastly we have the spark plugs. If one stops working it will trigger the check engine light. Luckily for you the auto parts store will most likely have them in stock and if you know what you are doing you can just go ahead and replace them at home.
The easiest and cheapest solution is to make a quick trip to your local auto parts store. Most are equipped with a diagnostic tool that reads the codes from the check engine light. This is usually a free service they provide in hopes that you will purchase your parts with them. Which you should.
A dirty oxygen sensor is a common culprit for the engine check light annoyance. This part is measuring the amount of unburned oxygen that is left over in the exhaust. If it isn't working right you are losing gas and increasing emissions. Not replacing it could cost you the price of a new catalytic converter, so buy the new O2 sensor and replace it right away. This is an easy job to do if you follow the owner's manual instructions.
Believe it or not, your gas cap could cause the check engine to come on. This is one of those things that you can check before you get to the auto part store. If after tightening it the light goes out then you have effectively found and solved the problem without embarrassing yourself. If you do make it there and the diagnostic tool still points to the gas cap, it could be faulty or cracked. All you need to do to stop gas vapors from escaping and turn off that dumb light is replace it with a new one.
The most expensive and problematic cause of the check engine light is a faulty cataltyic converter. This is a big problem that needs to be addressed immediately by a mechanic. There is no easy fix here. If the cat converter has gone bad you have no other choice but to replace it.
Another sensor that can make the check engine light start crying is the mass airflow sensor. This one is like the O2 sensor, if its busted emissions are increased and gas mileage is decreased. Unlike the oxygen sensor, you can't replace this one yourself. You can however increase its life span if you would just change out the air filter like you are supposed to.
Lastly we have the spark plugs. If one stops working it will trigger the check engine light. Luckily for you the auto parts store will most likely have them in stock and if you know what you are doing you can just go ahead and replace them at home.
Selasa, 10 Oktober 2017
Motorcycle Custom Painting - Harley Davidson Models
Harley Davidson has been a pioneering brand in American motorcycling since the very beginning. There are many reasons for this besides their inherent quality, a loyal following, innovation and breathtaking designs. Since their inception, they were known as a brand encouraging personalization of these two-wheeled motor vehicles. Motorcycle custom painting is no exception to this fact when it comes to showing your own uniqueness and individualism, it has been that way since the very beginning. Sometimes a motorcycle, as pronounced as it might be, needs to lose that out the factory look in order to gain personality and strength. From flames to be two-tone to murals and more motorcycle custom paintings can add a considerable touch. I will mention Harley Davidson's different models next:
1. Sportster.
These models have been produced since 1957, and they are known for their power and lack of superfluous features. It is an American classic which symbolizes and portrays many values of the Harley Davidson Company. With the smaller tank, detailed murals are probably out. Designs, stripes and simple murals are great.
2. Dyna.
Custom style with raw appeal and big twin performance comprises just some of the appeal of this best-selling motorcycle product line. These classic choppers looking machines are visually attractive and your ability to customize them is high. All types of custom painting are fine.
3. Softail
With more than 25 years in production this model takes the best of the forties to today. With clean looks, it is well suited for touring. Harley Davidson considers it better suited to be an aggressive town beast with capabilities to take a larger route. All types of custom painting are great.
4. V-Rod
This magnificent refined and smooth package is one of the finest cruisers available. It has the great power with very little vibration. With its liquid cooled and large capacity V-Twin engine it is ready to take on the hardest challenges and to turn heads everywhere it goes. Stripes or two-tone are best for this bike.
5. Touring
Harley-Davidson and the highway are two perfect companions. This is shown in this powerful product line. With power to boot and the ability to carry everything you might need while on the road, this classic line is one of the best of its kind worldwide. Anything is fine with this one also.
6. CVO
This head-turning model has lots of chrome and cutting-edge technology inside its classic look. The team is proud about the many details this line of motorcycle has. It is no wonder it has many technological amenities, and it will be a favorite among demanding customers for a very long time. Most custom paintings are fine except for detailed murals for this one.
7. Trike
The open road is the natural home of this beast. This premium model takes the best out of the most legendary motorcycles and enhances them with the best modern technology and power. Luxury is tastefully combined with classic details to provide a unique experience only Harley Davidson can provide. Anything is fine with this one especially.
As you can see, there are many models to choose from. Although each one of these machines can benefit from motorcycle custom painting, sportsters usually gain the predilection of enthusiast and seasoned veterans alike, this is because this line of motorcycles has always been at the forefront of what you may name as cool. Showing your personality and great taste is an important part being the proud owner of a Harley Davidson motor machine. By making one of the finest motorcycles on earth your own is a large part of the promise of freedom and independence.
1. Sportster.
These models have been produced since 1957, and they are known for their power and lack of superfluous features. It is an American classic which symbolizes and portrays many values of the Harley Davidson Company. With the smaller tank, detailed murals are probably out. Designs, stripes and simple murals are great.
2. Dyna.
Custom style with raw appeal and big twin performance comprises just some of the appeal of this best-selling motorcycle product line. These classic choppers looking machines are visually attractive and your ability to customize them is high. All types of custom painting are fine.
3. Softail
With more than 25 years in production this model takes the best of the forties to today. With clean looks, it is well suited for touring. Harley Davidson considers it better suited to be an aggressive town beast with capabilities to take a larger route. All types of custom painting are great.
4. V-Rod
This magnificent refined and smooth package is one of the finest cruisers available. It has the great power with very little vibration. With its liquid cooled and large capacity V-Twin engine it is ready to take on the hardest challenges and to turn heads everywhere it goes. Stripes or two-tone are best for this bike.
5. Touring
Harley-Davidson and the highway are two perfect companions. This is shown in this powerful product line. With power to boot and the ability to carry everything you might need while on the road, this classic line is one of the best of its kind worldwide. Anything is fine with this one also.
6. CVO
This head-turning model has lots of chrome and cutting-edge technology inside its classic look. The team is proud about the many details this line of motorcycle has. It is no wonder it has many technological amenities, and it will be a favorite among demanding customers for a very long time. Most custom paintings are fine except for detailed murals for this one.
7. Trike
The open road is the natural home of this beast. This premium model takes the best out of the most legendary motorcycles and enhances them with the best modern technology and power. Luxury is tastefully combined with classic details to provide a unique experience only Harley Davidson can provide. Anything is fine with this one especially.
As you can see, there are many models to choose from. Although each one of these machines can benefit from motorcycle custom painting, sportsters usually gain the predilection of enthusiast and seasoned veterans alike, this is because this line of motorcycles has always been at the forefront of what you may name as cool. Showing your personality and great taste is an important part being the proud owner of a Harley Davidson motor machine. By making one of the finest motorcycles on earth your own is a large part of the promise of freedom and independence.
Sabtu, 30 September 2017
Practical Tips To Help You Find The Best Shop for Your Auto Body Repairs
Like death and taxes, as long as you own a vehicle rest assured that you will one day need an auto body repair done. Depending on the scale of the repair, you may need the services of a reliable auto repair center.
Many automobile owners usually console themselves with the fact that, many vehicle brands have their car dealership centers where they can get repairs done.
While this may be practical in the short run, it will not always be the case. The proximity and repair costs, associated with car dealership centers, may be outweighed by local repair shops.
One of the things you need to be watchful for, is the ethical and professional conducts of these repair shops. The last thing you need is a shop where the attendants will lie to you about the nature of repairs required so as to extort more money from you.
Some of them even replace your OEM parts with fake ones. To avoid all this, you have to make your decisions early enough so as to steer clear of desperate last minute measures.
Discussed below are some of the tips that you can put into practice when looking for auto body repair shops.
Start Looking Early Enough
Decisions made in the last minute are usually faulty and misleading. Just the same way you will not want to entrust your vehicle to the hands of a stranger, you need to start searching for the appropriate auto shop early.
Making use of recommendations from friends and colleagues, will help you in identifying reliable shops. Get enough time to sample each of these repair facilities.
Conduct a Wholesome Evaluation
There is a tendency among clients to only consider the cost element when shopping for repair facilities. The danger with this lies in the fact that, the cost alone, cannot give you a comprehensive feel of the services offered.
You need to understand the policies that are in operation, the experience of other customers and many other parameters. Going through customer reviews will help you with this.
Assess the Level of Organization and Activity
A good auto body repair shop needs to be organized with the technicians conducting themselves in a professional manner. A disorganized auto shop can easily mishandle your car, leading to further damages and liabilities.
Also, the level of activity around and about the shop is important. If it looks too busy, you should be worried because they may hold your vehicle longer before it is attended to.
This may inconvenience you especially if you are having other errands to run. The attention given to your vehicle may also be so little that other areas go unrepaired.
The Customer Attitudes
When you visit an auto shop, you should also be observant of the customer attitudes, especially when paying or waiting in the queue for their repairs. The attitudes will tell you the kind of environment that's prevailing.
If they are happy and jovial, this should immediately tell you that the services are good and appreciated. However, if they are angry, this should signal bad service and dissatisfaction.
How Long The Repair Shop Has Been in Operation
This may seem like a minuscule detail, but it is equally important. In business, more so service businesses, brand matters. Repair shops that have been in operation for a long time, depend mostly on their goodwill, brand superiority and repeat purchases.
Such shops will tend to provide quality services so as to preserve their image. On the other hand, repair shops that have been newly established may not be as sensitive to their brand. This means that they can mishandle your vehicle without fear of losing you. After all, other customers will come to experiment with their services.
Test Their Services with Minor Repairs and Procedures
Entrusting a shop with full scale auto body repairs is a risky affair. This is especially the case where you are testing the waters, as far as their services are concerned.
To be on the safe side, engage the technicians with minor assessments and procedures, such as oil and tire change. This will give you a general feel and insight into the nature and quality of their services.
Remember, it is not difficult to get a well grounded auto repair shop to service your vehicle. All you need is a good research, done well in advance.
Many automobile owners usually console themselves with the fact that, many vehicle brands have their car dealership centers where they can get repairs done.
While this may be practical in the short run, it will not always be the case. The proximity and repair costs, associated with car dealership centers, may be outweighed by local repair shops.
One of the things you need to be watchful for, is the ethical and professional conducts of these repair shops. The last thing you need is a shop where the attendants will lie to you about the nature of repairs required so as to extort more money from you.
Some of them even replace your OEM parts with fake ones. To avoid all this, you have to make your decisions early enough so as to steer clear of desperate last minute measures.
Discussed below are some of the tips that you can put into practice when looking for auto body repair shops.
Start Looking Early Enough
Decisions made in the last minute are usually faulty and misleading. Just the same way you will not want to entrust your vehicle to the hands of a stranger, you need to start searching for the appropriate auto shop early.
Making use of recommendations from friends and colleagues, will help you in identifying reliable shops. Get enough time to sample each of these repair facilities.
Conduct a Wholesome Evaluation
There is a tendency among clients to only consider the cost element when shopping for repair facilities. The danger with this lies in the fact that, the cost alone, cannot give you a comprehensive feel of the services offered.
You need to understand the policies that are in operation, the experience of other customers and many other parameters. Going through customer reviews will help you with this.
Assess the Level of Organization and Activity
A good auto body repair shop needs to be organized with the technicians conducting themselves in a professional manner. A disorganized auto shop can easily mishandle your car, leading to further damages and liabilities.
Also, the level of activity around and about the shop is important. If it looks too busy, you should be worried because they may hold your vehicle longer before it is attended to.
This may inconvenience you especially if you are having other errands to run. The attention given to your vehicle may also be so little that other areas go unrepaired.
The Customer Attitudes
When you visit an auto shop, you should also be observant of the customer attitudes, especially when paying or waiting in the queue for their repairs. The attitudes will tell you the kind of environment that's prevailing.
If they are happy and jovial, this should immediately tell you that the services are good and appreciated. However, if they are angry, this should signal bad service and dissatisfaction.
How Long The Repair Shop Has Been in Operation
This may seem like a minuscule detail, but it is equally important. In business, more so service businesses, brand matters. Repair shops that have been in operation for a long time, depend mostly on their goodwill, brand superiority and repeat purchases.
Such shops will tend to provide quality services so as to preserve their image. On the other hand, repair shops that have been newly established may not be as sensitive to their brand. This means that they can mishandle your vehicle without fear of losing you. After all, other customers will come to experiment with their services.
Test Their Services with Minor Repairs and Procedures
Entrusting a shop with full scale auto body repairs is a risky affair. This is especially the case where you are testing the waters, as far as their services are concerned.
To be on the safe side, engage the technicians with minor assessments and procedures, such as oil and tire change. This will give you a general feel and insight into the nature and quality of their services.
Remember, it is not difficult to get a well grounded auto repair shop to service your vehicle. All you need is a good research, done well in advance.
Senin, 04 September 2017
Vehicle Engine Management Systems and the Dreaded Check Engine Light
Modern vehicles are a marvel of accomplishment in computer controlled engine system monitoring, management and operation, however, all of that technology comes at a price. Vehicles are more expensive to purchase, maintain and repair due to the inherent complexity with meeting more stringent regulations for fuel economy and emissions in a more compact package with less weight while maintaining performance and improving vehicle longevity. A Powertrain Control Module (PCM) is the brain of your vehicle analyzing individual input variables from sensors then utilizing output controls for the solenoids, valves and actuators of the engine, transmission and body components while monitoring the results. We will focus on the engine control portion of the PCM and discuss cause and effect relationships of the engine management system inputs and the PCM outputs which incorporates On-Board Diagnostics (OBD-II), Diagnostic Trouble Codes (DTC) and the Check Engine Light (CEL). You may also see references to Service Engine Soon (SES) or Malfunction Indicator Light (MIL) which is the same terminology depending on the vehicle design and date of manufacture.
Air, Fuel and Ignition are always the starting points for evaluation and in that order, whether or not a CEL is present, while Combustion and Emission are the result of the Air-Fuel-Ignition process but mechanical engine wear incrementally influences the outputs. Each piece of the puzzle has its own sensors to provide data to the PCM plus individual component controls, however, none of the systems are truly independent as each relies on the other for proper operation. Additional engine specific sensors are also in place to monitor crankshaft position, camshaft timing, engine knock, cylinder misfires and coolant temperature among other things. Up to 65 sensors are incorporated vehicle-wide with thousands of generic Environmental Protection Agency and vehicle specific Original Equipment Manufacturer DTC's. A DTC is stored in the PCM in the Pxxxx format once computer data input analysis and/or output evaluations indicate an abnormal or unexpected condition and consequently trips the CEL. Multiple DTC's may be present upon CEL activation with the PCM recording freeze-frame data for the most severe or most current issue with severity always taking precedence regardless of the sequence or frequency of the abnormality. Most vehicles do not have the capability to store multiple freeze-frame files for review of the conditions present at the time of occurrence.
A CEL means one or more areas of the system are not operating as expected from the vehicle manufacturer but does not necessarily mean the replacement of parts or components is required to solve the problem. Sometimes identifying, locating and cleaning dirty sensors and components will resolve the issue or replacing a relatively inexpensive gasket, o-ring or tube will fix the problem, however, air and vacuum leaks are notoriously difficult and time-consuming to pinpoint. Other situations can be complicated, difficult and expensive to diagnose and repair depending on the system, component or part affected and the engine compartment location especially with multiple DTC's which are not related. Upstream faults must be addressed first as downstream issues might be the consequence of upstream conditions. A new DTC with a CEL immediately following a repair is not uncommon as accurate data and computer analysis of operating parameters now allows the PCM to report a previously undetectable fault which is a separate service evaluation. A CEL indicates consecutive testing cycle failures, multiple abnormalities within a specified time-frame,exhaust emissions exceeding federal specifications, misfires that can cause damage to the catalytic converter or severe knocking which can damage the engine. Potential damage detection events will cause the CEL to continuously flash on/off while in progress. A CEL should always be properly investigated, diagnosed and repaired before additional costs are incurred that could have been avoided not to mention the wasted fuel, poor performance and pollution.
Air, Fuel and Ignition are always the starting points for evaluation and in that order, whether or not a CEL is present, while Combustion and Emission are the result of the Air-Fuel-Ignition process but mechanical engine wear incrementally influences the outputs. Each piece of the puzzle has its own sensors to provide data to the PCM plus individual component controls, however, none of the systems are truly independent as each relies on the other for proper operation. Additional engine specific sensors are also in place to monitor crankshaft position, camshaft timing, engine knock, cylinder misfires and coolant temperature among other things. Up to 65 sensors are incorporated vehicle-wide with thousands of generic Environmental Protection Agency and vehicle specific Original Equipment Manufacturer DTC's. A DTC is stored in the PCM in the Pxxxx format once computer data input analysis and/or output evaluations indicate an abnormal or unexpected condition and consequently trips the CEL. Multiple DTC's may be present upon CEL activation with the PCM recording freeze-frame data for the most severe or most current issue with severity always taking precedence regardless of the sequence or frequency of the abnormality. Most vehicles do not have the capability to store multiple freeze-frame files for review of the conditions present at the time of occurrence.
A CEL means one or more areas of the system are not operating as expected from the vehicle manufacturer but does not necessarily mean the replacement of parts or components is required to solve the problem. Sometimes identifying, locating and cleaning dirty sensors and components will resolve the issue or replacing a relatively inexpensive gasket, o-ring or tube will fix the problem, however, air and vacuum leaks are notoriously difficult and time-consuming to pinpoint. Other situations can be complicated, difficult and expensive to diagnose and repair depending on the system, component or part affected and the engine compartment location especially with multiple DTC's which are not related. Upstream faults must be addressed first as downstream issues might be the consequence of upstream conditions. A new DTC with a CEL immediately following a repair is not uncommon as accurate data and computer analysis of operating parameters now allows the PCM to report a previously undetectable fault which is a separate service evaluation. A CEL indicates consecutive testing cycle failures, multiple abnormalities within a specified time-frame,exhaust emissions exceeding federal specifications, misfires that can cause damage to the catalytic converter or severe knocking which can damage the engine. Potential damage detection events will cause the CEL to continuously flash on/off while in progress. A CEL should always be properly investigated, diagnosed and repaired before additional costs are incurred that could have been avoided not to mention the wasted fuel, poor performance and pollution.
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