As a global manufacturer of industrial goods, CNH Industrial is invested in the efficient and sustainable lifecycle of a wide range of products from agricultural and construction machinery to commercial vehicles and powertrains. The parts that go into these machines are essential to their performance, and each one tells a story. The latest episode of Behind the Wheel looks at how the Company’s Remanufacturing operations provide an alternative solution to replacing parts which is both ecologically sustainable and cost effective.
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TRANSCRIPT
Rosella Risso, Parts & Service EMEA Parts Lifecycle and Purchasing Director:
“In Parts & Service, we take care of the lifecycle of the vehicles, and we provide our customers with an extensive range and product offering in order to cover all the needs of our 12 brands. As a leading producer of machinery, agricultural machinery, construction machinery, and commercial vehicles, we operate in more than 50 depots. In these depots, we stock parts to serve our customers throughout the vehicle’s lifecycle.”
Bruce Krueger, Remanufacturing General Manager for NAFTA:
“Remanufacturing is an alternative solution to replacing parts for equipment. It involves disassembling the part down to its core component level, thoroughly cleaning it, replacing with new components, – machining is required – reassembling, and testing to its original equipment manufacturer specifications. Our comprehensive process ensures that our Remanufactured parts meet a new part’s performance.”
Rosella Risso, Parts & Service EMEA Parts Lifecycle and Purchasing Director:
“We started the Remanufacturing journey in NAFTA, which was our pioneer in 2009, and then we followed up in EMEA with a strong investment in the Remanufacturing business, starting in 2013. At that time we created a small team which is concentrated on Reman and extending our product not only offering engines and gearboxes, but also offering some of the new product lines, like turbo injection rotating machines, starting with a commercial vehicle where the level of maturity of the business was ready, but as well extended to the other construction products.”
Bruce Krueger, Remanufacturing General Manager for NAFTA
“As a global leader in sustainability, Reman plays a big role in promoting resource productivity and reducing waste. Given the fact that we’re using raw materials which already exist, there’s no mining, there’s no smelting, there’s no casting required for the raw materials that we use in Remanufacturing.
Rosella Risso, Parts & Service EMEA Parts Lifecycle and Purchasing Director:
“Remanufacturing is a very good offer for our customers. A Remanufactured product offers a very high level of quality because the product undergoes all the different tests and is certified and homologated. At the same time, it benefits from an extended warranty, so the same warranty as an original part. And in some cases, we even offer a two year warranty. We offer a very competitive price, which is normally between less than twenty, and even thirty per cent down from the price of the original product.”
Bruce Krueger, Remanufacturing General Manager for NAFTA:
“There are still a lot of questions of what Reman is. Our objective is to promote the lower total cost of ownership over the lifecycle of the equipment, in addition to extending the life of the equipment, given the fact that new parts are no longer available. It’s lessening the impact on the environment by remanufacturing parts. It’s a great value proposition, and we never get tired of telling it, but we need to find the right avenues to get it to the end users.”
Rosella Risso, Parts & Service EMEA Parts Lifecycle and Purchasing Director:
“We have a lot of challenges in front of us. First of all, our aim is to maintain the high level of growth we have been witnessing over the last years – we are growing in double digits, and we have very challenging targets for 2017 until 2020. The first aim is to enlarge our product offering in order to cover all of our different vehicles and the product lines that can be manufactured.”
