The right part for the job
April 1st 2008 Clive Green, parts development manager at Briggs Equipment looks some of the
issues companies should consider in choosing a supplier of parts and components
for their equipment
Research by Briggs Equipment shows
that parts availability comes second
only to guaranteed response times as
the most important service factor in the
materials handling industry today. In order to
understand customers' specific needs, Briggs
conducted further research amongst 137 of
its parts customers, who had a combined
fleet of 1300 trucks and total parts spend of
nearly £6 million. The results show that
when it comes to choosing a parts provider
there are five key things to consider that will
make a big difference to the efficiency and
productivity of a business.
Quality of parts products
The quality and reliability of parts is a critical
consideration. Genuine parts, carrying
manufacturers' brands are generally of
higher quality than generic or copy parts.
The warranty is also an important factor in
the buying decision. The standard warranty
is 6 months so this should be a minimum
standard to look for.
Parts such as engines, drive motors and
transmissions can cost in the region of
£20,000 to £40,000 to replace so repair is
often a more cost effective option. Rebuild is
the most thorough and reliable option. Make
sure that these providers are contracted to
the highest standards of workmanship, and
that the units are given a warranty.
Parts logistics is commonly undervalued
as a skill, requiring speed, attention to detail
and excellent communication. Therefore it's
important to look for a parts supplier that
has a culture of learning and investment in
people. Is there a career pathway for
employees and do they tend to remain with
the company for a long period of time? Is
there an apprentice scheme in place for
parts logistics staff?
Briggs Equipment has initiated a parts
apprentice scheme which incorporates NVQ
Level 2 in Warehousing and Distribution,
NVQs Level 2 and 3 in Customer Service and
NVQ Level 3 in Parts Operations. These
customer facing staff not only understand
what the customer wants and are able to
identify the right part quickly, they also have
a broad understanding of the customers'
business. They are as easily able to talk to
technical and engineering people as they
are to buyers and end users.
Responsiveness and speed of
delivery
Speed of delivery is clearly an important
consideration when choosing a parts
provider as this will help to minimise
logistics costs such as storage and transport.
Suppliers with a high percentage next day
delivery can be more quickly expedited
should safety stock levels become depleted
or if a quick response is required to
unpredicted changes in demand.
Consideration should also be given to the
cut off point for the order. This can range
from as early as noon the day before to as
late as 4pm. Obviously the later the cut off,
the more flexible and responsive the service
is. Briggs Equipment, for example, has 98%
next day parts delivery on orders placed up
to 4pm the day before.
Another factor affecting responsiveness is
the amount of available parts in stock.
Through its innovative direct ship service, of
which it was first to market, Briggs has
availability of over £35 million worth of
parts in stock for next day delivery.
Ability to meet parts requirements
A typical business in this sector will have a
wide variety of plant and equipment on site
and the best suppliers will offer components
across all makes and models of machines,
for all the plant and equipment on site.
The ability to meet diverse requirements
is greatly enhanced by the quality and
experience of the staff that handle the parts
order. The most knowledgeable staff can
help problem solving and ensure that the
right part is found first time. Competent
staff are far more able to identify the right
part quickly, whilst the customer is still on
the phone.
Some customers, particularly those
working continual shifts, need to be able to
access online ordering systems 24 hours a
day. Check whether the supplier offers an
extensive online parts ordering system.
Competitive pricing
Price came out as the least important of all
the criteria, reflecting the fact that it is
perhaps more important to consider value
for money when buying parts, rather than
going for the cheapest price.
However Briggs Equipment is already
offering a service that ensures its customers
make up to 30% savings on high standard
Caterpillar and other manufacturers' parts.
The Service Exchange programme takes a
broken or failed component, such as an
engine or starter motor, and rebuilds it
rather than replacing it with a new one. By
rebuilding the part to the highest standards,
and providing the same warranty as a brand
new part, Briggs' guarantees its customers
the same length of life for the rebuilt part as
they would expect from a new part.
When it comes to parts, it makes sense to
look at the overall cost of operation not just
the initial purchase price. Briggs research
shows that quality and range of products,
competent and professional staff, and speed
of delivery help customers to keep their
overall operating costs down, whilst
simultaneously increasing business
efficiency. More articles from Briggs Equipment UK Ltd: | 
