Modern contractors require modern solutions when it comes to equipment acquisition. The solutions they seek today extend far beyond the initial purchase and require multiple options for aftermarket offerings such as warranty, service, reconditioning, training, used equipment, and parts. Equipment manufacturers, as a result, must approach the business holistically, providing a lifecycle-based model in order to compete and win in today’s highly competitive market.
Companies like JLG have always had a strong focus on product support, keeping a keen eye on continuous improvement. Over the next few months, JLG will contribute a series of articles explaining how they are adapting to the changing demands of today’s contractors. This month’s highlight will focus on parts and the 3-tiered parts portfolio the company currently offers to be a single source supplier to its customer base, including those with mixed fleets.
WHERE IT ALL BEGINS
As with any customer relationship, an equipment brand experience begins with the initial purchase of a machine, be it new or used. Regardless of the type of acquisition, every machine eventually requires preventive maintenance or an unplanned repair requiring parts. And much like the multitude of options a contractor faces when acquiring the equipment, there are many to consider when determining where and what parts to buy to ensure the equipment runs efficiently and drives a strong return on investment.
When a part fails and needs to be replaced, what type of replacement part offers the best value and quality? Knowing the different types of parts available, and when to select the proper type, can save a contractor hundreds, if not thousands, of dollars.
DIFFERENT TYPES OF PARTS
Replacement parts are categorized by either who made them or how they are sold to you. At JLG, the categories are:
Genuine Parts. Genuine parts are typically factory-approved parts that set the standard for superior performance. They are tested by manufacturing engineers to ensure that specs are comparable to those in the original part that came with the equipment into which it will be installed. For those who own and run their equipment for several years, then sell and replace it, genuine parts are often preferred and it is these parts that are most frequently used when a repair needs to be made while the machine is under warranty. Some genuine parts are made by the manufacturer themselves. Others designed and engineered or tested by the manufacturer, then private labeled under the brand after meeting stringent quality control guidelines.
Why use Genuine replacement parts? Genuine parts tend to maximize the resale value of equipment. They provide buyer confidence through a manufacturer’s warranty—typically about 6 months. They are thoroughly tested by the OEM through which they are purchased and carefully selected for use on the equipment to maximize productivity.
Reman Parts. Remanufactured parts are an economical way to keep machines in working order. Reman parts are reliable, factory-approved parts that come with on average, a one-year warranty. They are ideal for repairing older equipment that has already depreciated significantly from its original acquisition cost.
A remanufactured part is essentially a used component that was completely stripped down and fit with a combination of retooled and new parts. It is then tested to ensure it performs as well as a new part.
When a component fails, sometimes it’s because of a few internal wear parts. The rest of the component may still be perfectly fine, making it less costly just to replace the worn parts within the component. Remanufactured parts are an extremely good value and will oftentimes perform the same and last as long as an original part.
If your equipment is a little older or has higher hours on it, a reman part may be a good option. This is especially true when it comes to replacing larger more expensive components, such as the engine or transmission. It simply doesn’t make financial sense to put a brand new engine or transmission in an older piece of equipment. You will never get the invested value back out of it. A remanufactured engine or transmission would be the better option.
Not all parts are available remanufactured. Some popular items in this parts category include:
- Platform rotators
- Hydraulic swivels
- Electrical systems
- Battery chargers
Competitive Parts. For contractors managing a mixed fleet, juggling parts sources can be a challenge. JLG has recently introduced its new MaxQuip™ competitive parts line to make parts ordering easier for its customers. Through this offering, high-quality, competitive brand parts can be purchased for an entire fleet directly from JLG. This expansive new line carries over 18,000 SKUs across 50+ product categories from 71 manufacturers.
While many of these parts are manufactured by other companies, they are built and fit to perform as well as original parts. They are rigorously tested to ensure they meet JLG quality standards. The companies who manufacture these parts purchase the rights to produce them, then offering them at discounted pricing, making them a very good value.
In some cases an aftermarket part may be better than the original that came in a machine. Advances in technology over time can improve a part. Aftermarket companies analyze why specific OEM parts tend to fail and then improve on the original design or materials over time.
What Type of Part Should I Be Using? As a general rule of thumb, if you have a machine under 5 years old, a genuine OEM part is a good choice. After 5 years, a remanufactured part may be a good alternative option and will certainly be less expensive.
WHY ALL THE OPTIONS FROM JLG?
While many OEMs stop at offering new products and genuine parts, JLG has adopted its 3-tier parts offering to be a single-source resource for its customers.
“Every customer and every customer’s business has different needs,” says Jonathan Dawley, global vice president, aftermarket at JLG Industries. “We chose to move away from a one-size-fits-all approach to keep the customer at the center of our focus. This gives us the ability to provide multiple solutions to them and drives higher brand loyalty, increasing our chance to retain and support their business well into the future.” ■
About the Author:
Jonathan Dawley is global vice president – aftermarket at JLG Industries, Inc. In this role, he is responsible for global leadership of the aftermarket division, which includes parts, service, used equipment, and reconditioning operations, parts distribution, sales, marketing, telematics, company-owned branch facilities, rental operations, call centers, warranty administration, and training. www.jlg.com.
Modern Contractor Solutions, June 2017
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