Title: Opportunities & threats for the modern refrigerated display cabinet refurbishment company. Philip Proudman Sales & Marketing Director

Transcription

1 Title: Opportunities & threats for the modern refrigerated display cabinet refurbishment company. Philip Proudman Sales & Marketing Director 1

2 Contents Page 1. About The Bond Group 2. Opportunities for a Refurbishment company. 3. Threats to a Refurbishment company. 4. Conclusion: the way forward. 2 Overview

3 1. About Established in 1976 Privately owned by the management team UK based with 200 employees A turnover of circa 15 million Refurbishment company of refrigerated display cabinets. Full project & supply chain management team 4 regional centres serving the UK. Long proven history of providing solutions to leading blue chip companies. Overview The Bond Group Supporting Customers Energy & Carbon Environmental technology Innovation Working Together 3

4 The Bond Group offers the following products & services: Refurbishment and enhanced design. Design, build & procurement for refrigeration display. Multi-drop delivery & installation. Engineering service. Parts design and pattern manufacture. Full parts drawing facility, using 3D Radan software. Asset & inventory management. Temporary Cabinet Hire. New Cabinet supply. Overview The Bond Group Supporting Customers Energy & Carbon Environmental technology Innovation Working Together 4

5 Full UK Coverage The Bond Group operates from three Branches and one main refurbishment and manufacturing plant at Sheerness in Kent. This provides full UK and Ireland coverage. Falkirk, Stoke and Swindon incorporates the following disciplines : Secure storage areas. Asset Management control. Multi-drop transport and installation services. Project Management personnel and multi-drop administration support staff. Service engineers. Electrical engineers. 5

6 Investment in Branch Network Due to increasing customer demand, in 2008 Bond has opened a new larger branch facility in the Stoke On Trent area. This new Branch and Multi-drop, refurbishment centre will be 60,000 sqft. This represents an increase in size on the previous RDC of 4 times. In Jan 2009, the Bond Group s first refurbished cabinet was produced in the Stoke branch, marking a new chapter in the development of this hub operation. Overview The Bond Group Supporting Customers Energy & Carbon Environmental technology Innovation Working Together 6

7 our clients The Bond Group is proud to be associated with and supply goods and services to these clients any many other companies. Overview The Bond Group Supporting Customers Energy & Carbon Environmental technology Innovation Working Together 7

8 2. Opportunities for a Refurbishment Company 1. Asset Management & Web Access Providing the full solution from cradle to grave. Either from new or from the first refurbishment tracking that asset, building up its history. This process of Full Asset Management services assists the client in it s legal obligations for the following: Proof of use and then safe legal disposal. F-Gas regulations how much gas is present in the clients systems and what type of gas. In addition to legal obligations Asset management also provides information for clients pay back periods on specific cabinets thus assisting depreciation methods. Check first don t just buy NEW! 8

9 2. Opportunities for a Refurbishment company A ) Asset Management & Web Access (continued) A key element to the client is control, therefore a real opportunity for growth and supplier partnerships with refurbishment is provide access to the clients asset list through the internet. This can be achieved through various means, for example : Start with weekly or monthly reports/up dates, ed to the key personnel. Then provide tools for the clients to access their asset list at leisure, via a secure internet access. Other add on benefits of web access include; developing spare parts business, take clients reliance off the OEM. Changing the start point of buying new to consider refurbishment as the first option. 9

10 2. Opportunities for a Refurbishment company B) Refurbishment A key element which really provides an opportunity for new clients considering refurbishment is the shorter lead time in comparison to buying new usually from abroad, EU or Non EU. Refurbishment lead time average 4 weeks. New cabinets lead times average 8-12 weeks. A real opportunity for all refurbishment companies especially in market places such as the high street where an outlets lost sales time is key, then refurbishment companies must offer on-site refurbishment options. On-site refurbishment completed outside of trading hours can appease the client on two levels:- Reduced cost, no up lift and install fee s. Minimal interruption with store trading, resulting in small impact on sales revenue. 10

11 2. Opportunities for a Refurbishment company B) Refurbishment (Continued) Its important in realising our opportunities that refurbishment companies must compare like for like with new. The following are examples of this requirement. Matching new warranty periods months parts and labour. Quality Assurance meeting the customers expectations & specification. Matching and sometimes exceeding energy enhancements on new cabinets. For example: Energy efficient coils. Energy efficient Evaporator Fans and Condensor Fans. LED lighting options. Within the last months the energy cost debate seems to be taken more seriously and therefore refurbishment companies must follow suit. 11

12 2. Opportunities for a Refurbishment company C) Innovation A large part of the clients perception of refurbishment is that Its second hand, its not new new must be better! as we have already seen overcoming this perception is undertaken by various means, an integral part of this is Innovation. Provide solutions within refurbishment to specific client problems, for example client is losing business based on energy costs using open fronted cabinets, engineer a method of making them closed door cabinets comparable with new. An activity that can be carried out on site, again saving cost and improving the length of the products life cycle. Open Fronted with Doors provides a 52% energy saving. 12

13 2. Opportunities for a Refurbishment company 3. Innovation (continued) Innovation does not always have to mean pure engineering, overcoming site issues can be as much to the clients needs as reducing cost. For example : Introducing new processes of problem free delivery thus reducing abort rates which inherently the client would have paid. 13

14 3. Threats to Refurbishment The Manufacturing Process Being an OEM with a purpose built production site provides real cost benefits such as : a) Quicker production times. b) Less Research and Development costs. c) Reduced training costs. d) Increased automation on the production line. e) Less space requirements, meaning smaller premises. Refurbishment starts the process with a product. 14

15 3. Threats to Refurbishment Refurbishment Production A refurbishment company needs to adapt to cost effective bespoke production methods. Gear towards smaller/medium sized quantities. Smaller set up times on all equipment, quick paint colour changes. Built in flexibility. Be prepared to overcome inherent issues from the OEM s, for example using Zintec steel instead of Stainless steel, which would have meant no rust! (It saved the clients buyer a Fiver off the new price! ) 15

16 4. Conclusion: the way forward. Producing a set of quality products and services which are equal to new. A key element is achieving client buy in to the benefits of reusing their equipment not just cost reduction! Creating products with the latest new enhancements, could be Energy efficiency or additional features. Its re-assuring to the client that refurbishment is not a constraint in comparison to new. Gearing production towards small to medium sized quantities with smaller lead times than new. Monitor costs at all times and value engineer where applicable. Test your products with a Research and Development department, this provides piece of mind to the client and confirms quality. Lastly, if you remove a working asset from a clients site then protect that asset because more damage means more COST! 16