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Equipment service packages help companies save money

Service packages for equipment from aggregates industry suppliers are now a big part of their business and although they come at a cost, they can provide long-term savings. For example, Metso says: “Your profitability and cash flow depend on smooth-running production with minimal downtime and predictable costs. When equipment fails unexpectedly, production time is lost and there is the added unexpected cost of spare parts and repair work.
January 20, 2016 Read time: 4 mins
Terex Washing Systems screen
New project management services from Terex Washing Systems offer various levels of help setting up plant

Service packages for equipment from aggregates industry suppliers are now a big part of their business and although they come at a cost, they can provide long-term savings.

For example, 448 Metso says: “Your profitability and cash flow depend on smooth-running production with minimal downtime and predictable costs. When equipment fails unexpectedly, production time is lost and there is the added unexpected cost of spare parts and repair work.

“When you purchase new equipment, the likelihood of unexpected failures is low and any corrective work that may be required is covered by a warranty of a limited period. Outside this warranty period, however, equipment may fail, if not properly maintained or when unsuitable parts are used. The result is typically disrupted production and significant unplanned repair costs.”

The company offers the Metso Equipment Protection Plan, which covers up to 75% of the value of crushing equipment when using original spare and wear parts on a Metso branded machine.

The plan includes regular inspections by its certified inspectors who review the equipment condition so as to identify emerging issues before they impact production, along with spare parts and repair so that when a problem is detected or a failure occurs, the costs of OEM spare parts, shipping and repair supervision is covered by the plan.

Other major companies offer similar packages, and Danish group 7451 FLSmidth has introduced a new one-year service agreement concept to support 674 HeidelbergCement, the second largest cement producer in the world.

The one-year service agreement contract to support its cement plant in Kjøpsvik, Norway, is based on a partnership between FLSmidth’s global team of specialists and the Heidelberg Kjøpsvik operators and process engineers. The FLSmidth team will real-time monitor and diagnose the plant and advise the Kjøpsvik process operators and engineers on improvements, thereby increasing availability and reducing operating costs, while at the same time ensuring the plant will maximise its performance.

“Optimising equipment performance is difficult without the access to a wide range of specialists. It is not easy for customers with plants often in remote corners of the world to recruit specialists. We have an experienced global specialist team ready to support the customers at all hours of the day anywhere in the world,” says Skage Hem, vice president, global R&D, FLSmidth customer services.

Service is increasingly important for FLSmidth and in the last quarter it grew 24% compared with the same quarter in 2014.

“Although global growth has slowed down, the equipment of many of our existing customers still needs to be maintained and optimised in order to increase the productivity of the plant. With more than 90% of the life cycle cost of cement plants being OPEX cost, service agreements are an area of continued growth potential for FLSmidth. And the gap between the best and the worst run processes point to the fact that there is a valuable improvement potential for operating the plants better.”

Meanwhile, 3652 Terex Washing Systems (TWS) has introduced a complete project management service, 4 SITE, which provides companies with enhanced levels of support during every step of a project.

TWS says that rapid response, qualified, and effective support is crucial in meeting end-user needs, letting them deliver on their promises as well as developing long-term client relationships.

It is offering three types of project management service packages, 4 Site Silver, Gold and Platinum, with each project management package comprised of four key steps: appraise, plan, support and install.

“These packages are supported by TWS at an international level through our regional partners and from our Northern Ireland headquarters,” says TWS.

In each package, appraisal sees TWS offering full support and expert advice on a specific installation, while planning involves a comprehensive project plan relative to a company’s installation for TWS-supplied equipment.

Site specific support is given before, during and after installation.

“During the installation process TWS provide varying levels of on-site support which are relative to the package chosen,” says the company.

With Silver, TWS supports the installation team relative to the equipment and specific application; the Gold level provides an experienced TWS engineer to assist a team on site with the installation of TWS equipment, while the Platinum package offers a full turnkey installation with a team of experienced TWS engineers to fully install a plant.

For more information on companies in this article

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