With budgets squeezed and competition ever tighter, many businesses are forced to asses their equipment needs, specifically when it comes to forklifts. Logistics News ME rounds up the leading advice to find out how firms can reduce their procurement risks
When buying forklift machinery how can a client be sure they are selecting a fit for purpose model?
Asif Sayed Khan: There are many aspects to consider when buying a forklift. Choosing the right machine can have a tremendous impact on everything from operating costs and productivity to employee morale and downtime, but the following are the key criterias while selecting the forklift: maximum weight of load to be handled; maximum lift height required; capacity and full height; type of application (i.e. indoor/outdoor); aisle width and operational hours.
Raphael George: There are many factors in this decision: type of battery, be it diesel or LPG; capacity needed, lift height needed, net capacity at maximum lift height, and so on. We meet our customers to collect information and note key measurements which could help them buy the correct machine to best suit their needs. For example we met a customer who wanted to buy a 2.5 ton diesel forklift to lift a paper roll, but on visiting the customer, collecting information and then confirming with both the forklift supplier and the attachment supplier, the actual minimum capacity forklift needed was 3.5 ton. Hence always consider professional help when buying MHE or attachments.
Are certain models suited to specific business needs?
ASK: Yes the model of forklift will vary according to business needs. For example in the food industry diesel forklifts cannot be used as per regulations. Similarly it is recommended to use IC Engine forklifts for external application. To summarise, the model will be selected according to work environment, throughput and nature of product to be handled.
RG: Yes of course certain models have specific operation and capability, but this is not well understood and customers need to use the correct machine for the correct application. We have seen reach trucks working like forklifts whereby they are being used to offload material from inside the container. This is not the intended use and this has several expensive repercussions and repair costs.
How can a buyer manage their costs and minimise the risk of losing money on such an investment?
ASK: Buyers should keep in mind that renting is generally preferable when using equipment for short periods of time or if the buyer wants to avoid risks associated with equipment breakdowns and maintenance. While looking for a long term investment, it is ideal to go for purchasing the equipment. Buyers can often lower total cost of ownership by paying more upfront for most durable equipment brands like Crown which will in turn pay back for the initial investment.
RG: Opting for renting a machine to ensure that the customer understands the exact need and future requirement before actually purchasing the unit we feel is the key. Many a times we have seen customers who have purchased a reach truck where in the closed height is higher than the door height and hence restricts the reach truck operation to within the warehouse. Also we have seen forklifts with a battery capacity much lower than the requirement which results in the machine having less operating time. In another case a customer had purchased a diesel forklift with a lower capacity to handle paper rolls with a paper roll clamp not calculating the load centre and weight of clamp initially. Hence we suggest rent for a short or a longer period if you are unsure of your exact requirement.
In terms of percentage of the original investment, how much can a forklift owner expect to re-sell their used equipment for?
ASK: It could be up to 40 to 50% of the buying price. However this will be purely depending on various factors like brand, year of manufacturing, number of hours of usage, periodic maintenance and working condition of the machine.
RG: There are various factors that determine this: year, brand, capacity, options and physical appearance we feel are all key factors. Being a service company we can repair a lot of the machines and hence we take into account factors other than technical condition. Technically we can only check these units in our workshop and with the correct technicians, but most of the time we can offer the client a price on the very same day.
What are the main innovations in forklift technology that are driving the market today?
ASK: There are lot of innovations happening in the forklift industry. Last year, Crown launched its Quick Pick Remote. The new award winning lift technology means operators can now raise and lower the trucks forks without having to use its control handle. Consequently operators have both hands free and no longer have to walk as far, bend as often or lift as much all of which help improve productivity by reducing physical strain and operator fatigue. The auto positioning system in the Crown VNA was launched earlier this year and this navigation system allows the operator to complete a task operation with just one control handle movement. This ensures optimal productivity and correct slot locating regardless of operator experience or skill level.
RG: Seeing a shift towards a price driven demand, forklift companies have to see into value added services or features from which the customer can actually benefit. For example, we install speed control devices, proximity sensors, warning lights, camera systems so the forklift itself is not only is safer but overall safety in the workplace is given a priority.
What do clients demand from their forklift equipment and how is your firm meeting this demand?
ASK: Nowadays the demand from most of the clients is for a low cost of ownership. We believe with the quality of Crown and excellent after sales support, we are doing full justice to our customers in terms of reduced total cost of ownership over the lifetime of their forklift equipment.
RG: We see many clients demand safety products. This is our companys initiative to try and incorporate them as standard on all types of MHE. For example if you want to maintain and fix the speed of all MHE in your workplace to make it safe and prevents accidents, now you can. If you want to prevent accidents caused by your forklift from reversing into pedestrians, vehicles of goods, now you can. If you want pedestrians to be warned when a forklift is coming out of the aisle to prevent any mishap, now you can. The cost is minimum but you can set a safety standard now in your own organisation.
When it comes to operator safety, do you offer training as an optional aftercare service?
ASK: For all our customers, it is regular practice to conduct operator trainings at site at the time of commissioning. If the operator is new, we will give repeat trainings until that person gains confidence to operate the machine independently. A certificate will be issued once the operator successfully completes the training process.
RG: We have tied up with professionals and can support our customers on this. Not only is an operator the only person who needs this knowledge everyone from top management to a normal labourer is key and we would like to empower every level to know about the MHE as it helps in workplace safety and also in the MHEs actual lifespan.
How often should operators be trained/ re-trained to maximise the safety of the workplace and equipment?
ASK: It is recommended to conduct training once in every year in order to maximise the safety of the workplace. We are following this for all our fleet customers through our fully equipped training centre.
RG: If owners install safety devices, which is a one-time cost, then the operators need only the basic training. Today safety devices are installed on companys assets which will always be with the company. Operators come and go hence we believe in making your work area safer by installing simple safety products to give the power back to the top management and owners.
Top Tips for Purchase
Raphael George DSA, director, Buss Engineering and Heavy Equipment Repairing LLC
1. If its an electric MHE we stress on correct battery and charger maintenance and to follow correct battery charging procedures and checks.
2. If its diesel we stress on regular oil changes as due to heat and dust the actual lubricant properties in forklift engines diminishes faster and changing the oil regularly can keep your engine healthy, well lubricated and protected.
3. Regular tyre checks is also key as customer fail to see the importance in this. Worn out tyres can cause problems to engines, transmissions, motors, logic cards etc, either directly or indirectly. Regular checks and replacing the tyres in time is key.
Asif Sayed Khan, GM Plant and equipment, Genavco LLC 
1. Operators should do a daily check of the equipment before driving to check things such as faults on brakes, steering, controls, warning devices, mast and tyres.
2. Ensure the forklift is not over-loaded at any time.
3. Always do the service with manufacturer at recommended intervals, through the supplier.