Rental August/September 2016

SPECIAL REPORT ENGINES

PRODUCT NEWS INSIGHT ■

■

Ways to make Tier 4 construction equipment repairs easier

SHOW CUSTOMERS THE LIGHT...

AND MORE How varieties of light towers differ and why it matters to you

2016 BUSINESS SURVIVAL GUIDE

THE

TOOLS YOU NEED to Take Your Business to the Next Level Experts offer fixes for 6 problems companies commonly face

August/September 2016

Find the latest news at ForConstructionPros.com/RENTAL

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JCB’s Range of Rental-Tough Equipment.

When it comes to choosing what brand of equipment to put in your rental fleet JCB knows it’s all about rental utilization rates and the ROI it drives to your bottom line. That’s why we offer a full range of equipment purpose-built for rental, all of which boast JCB’s superior No DPF Tier 4 Final engine solution.

No DPF means no regeneration and one less part to replace and maintain over the equipment’s lifecycle. Add to that No DEF in 74hp and under models and you’ve got a complete package that minimizes maintenance to maximize profit.

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8/10/16 7:58 AM

/JCBNA

@JCBNA

JCBNA | jcbna.com

Learn more about how to put your best fleet forward at JCBNA.com.

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VOLUME 38 ISSUE 5

AUGUST/ SEPTEMBER 2016 BUSINESS SURVIVAL GUIDE

THE

TOOLS YOU NEED to Take Your Business to the Next Level 30 UNDERSTANDING

36 3 WAYS TO ACQUIRE

OWNERSHIP COSTS

A QUALIFIED TEAM

Why this one factor trumps all other rental metrics in importance.

The best places to look for candidates might surprise you.

32 IMPROVE YOUR

38 HOW TO STAY

BOTTOM LINE THROUGH BETTER CONDITION REPORTING

COMPETITIVE WITH A NEW APPROACH TO FINANCING

How a digital approach to asset documentation can save you money.

34 THE KEYS TO SUCCESSFUL ONLINE MARKETING From social media to SEO, find out where you should focus your efforts.

Leasing offers a low-risk option with numerous advantages.

2016 50

CONSTRUCTION SUPPORT EQUIPMENT Show Customers the Light... and More Choose the right light towers for your inventory, and your customers.

IN EVERY ISSUE 8 E verybody’s Business A question about footwear sparks thoughts about safety.

10 Manager’s Digest Market information to give you the insight you need to run your business.

18 Market Watch

40 HOW TO DESIGN A WEBSITE THAT DRAWS BUSINESS TO YOUR COMPANY What you need to open the “front door” to your company and invite business in.

Rental companies around the country weigh in on what keeps them up at night.

24 New Products The latest product introductions from leading suppliers.

58 Industry Update

42 SPECIAL REPORT: ENGINES Tier 4 Makes Construction Equipment Repairs a Tough Nut to Crack Evaluate your alternatives for the best way to handle this important issue.

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A roundup of recent news and happenings in the rental market.

72 Eye on Rental Dick Detmer relates his impressions of the UK hire industry after a recent visit across the pond. www.ForConstructionPros.com/RENTAL

8/10/16 7:59 AM

When you need a part, you need it now. And you get it with the Kohler Rental Partner Program. Order online and they’re in stock. With big-time discounts on some.

And a laundry list of perks. Join for free.

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KohlerEngines.com/RentalPartner

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CONTENTS

www.ForConstructionPros.com/RENTAL

ANYTIME. ANYWHERE. ANY DEVICE.

BUYERS GUIDE

New Products and More ForConstructionPros.com/RENTAL features the industry’s most comprehensive guide to construction-related products and equipment. Visit ForConstructionPros.com/RENTAL and click on the Buyers Guide for the most up-to-date list of what today’s leading manufacturers have to offer. www.ForConstructionPros.com/RENTAL

Visit ForConstructionPros.com/RENTAL

Designed With You in Mind It’s easier than ever to find the industry news and information you need to run your equipment rental business. Just point your browser to ForConstructionPros.com/RENTAL, and scroll for the latest reports. Whether you’re using your desktop, laptop, tablet or smartphone, you get the same simpleto-navigate experience, only faster than ever before. Visit ForConstructionPros.com/RENTAL today. www.ForConstructionPros.com/RENTAL

SOCIAL MEDIA

‘Like’ Rental?

Check out our Facebook page and join our online community. Leave a comment, post some news and photos, or just catch up on the latest happenings in the world of equipment rental. www.Facebook.com/RentalMagazine

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INDUSTRY NEWS

Rental and Construction Market Updates ForConstructionPros.com/RENTAL offers all the latest information pertaining to the topics that matter most to your business. Look here daily for the news and information you need most. And don’t miss our weekly eNewsletter, RentalWATCH, for a digest of the week’s reports.

To subscribe, go to ForConstructionPros.com/Register.

WANT MORE PRODUCT INFO? USE THE EIGHT-DIGIT CODE For more information on any of the products in this issue, simply type the unique eight-digit code into the search bar at the top of www.ForConstructionPros.com/RENTAL

www.ForConstructionPros.com/RENTAL

8/10/16 7:59 AM

Tiny titans. Big profits.

Versatile and highly efficient, G-Series Compact Excavators can work almost anywhere, anytime. They’re easily trailered behind a pickup, and reducedtail-swing configurations make them perfect for a variety of jobs, especially close-quarters work. Their simple, durable designs feature proven Yanmar engines. And hinged steel doors, side-by-side coolers and spin-on filters for accessible service checks enable fast make-readies for the next rental.

Visit your local John Deere dealer today and see why adding the G-Series to your fleet will bring in big profits. Again. And Again.

JohnDeere.com/RentalSales Search: 10073483

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8/10/16 7:59 AM

EVERYBODY’S BUSINESS ™

B y J e n ny L e s c o h i e r, e d i t o r

Take Steps to Ensure Customer Safety A call from a reader about footwear sparks thoughts about making safety a priority at your rental business

T

here’s nothing better than getting honest feedback from our readers, so I was all ears when I got a call from a gentleman in Texas who had concerns about the safety of what was shown on our last cover. He was referring to our June/July issue which highlighted our annual Renters’ Review feature. The action in the photo showed two people using a post hole digger.

“What are your concerns,” I asked.

“Well, the woman is wearing flips flops while she’s using a post hole digger, and that’s not safe,” he said, plainly.

I chuckled a bit before replying, “Those are boots, not flip flops.”

“No, those are definitely not boots, they look like athletic-style flip flops,” he said.

“Trust me, they’re my hiking boots.

They aren’t flip flops, I promise,” I said.

Sheepishly, the caller then said, “You mean that’s you on the cover?”

“Yes,” I said. “And I wouldn’t wear flip flops to operate machinery, but I appreciate you expressing your concerns about safety.”

The caller and I had a laugh together and that was the end of that.

I’m sharing this story because safety happens to be top of mind as we bring you our annual Construction Zone Safety and IPAF Elevating Safety supplements. After writing and editing safety material for the past couple of months, it’s encouraging to talk to a rental professional who clearly makes it a priority. Not everyone does. In fact, I told the reader who called that anyone renting from the store I rented the post

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PRODUCT NEWS INSIGHT ■

■

www.ForConstructionPros.com/RENTAL Published by AC Business Media Inc. 201 N. Main Street Fort Atkinson, WI 53538 (800) 538-5544 www.ACBusinessMedia.com

Publication Staff Publisher Eric Servais eservais@ACBusinessMedia.com Editor Jenny Lescohier jlescohier@ACBusinessMedia.com Columnist

Dick Detmer

Senior Production Manager

Cindy Rusch

Art Director

Kayla Brown

Audience Development Director Wendy Chady Audience Development Mgr

Angela Kelty

Advertising Sales (800) 538-5544 Sean Dunphy Jill Draeger Vaughn Rockhold Erica Finger Amy Schwandt Denise Singsime Tom Lutzke

sdunphy@ACBusinessMedia.com jdraeger@ACBusinessMedia.com vrockhold@ACBusinessMedia.com efinger@ACBusinessMedia.com aschwandt@ACBusinessMedia.com dsingsime@ACBusinessMedia.com tlutzke@ACBusinessMedia.com

ForConstructionPros.com

What do you see, boots or athletic sandals?

hole digger from could easily have been wearing flip flops to operate machinery because no one would have told them differently. It seems like a common sense issue, but as providers of powerful equipment, you can’t make assumptions about what your customers know and understand. As it was, no one said a word to me about safety when I rented the post hole digger. They could have instructed me on the right footwear, eye and ear protection, gloves, etc.

- and possibly earned some extra money if they offer personal protective equipment - but they missed that opportunity for a sale, as well as the chance to ensure a customer’s safety.

As you read the safety materials included with this issue, I hope you’ll be inspired to keep safety top of mind like my recent caller does. His willingness to call out what he saw as unsafe should help motivate all of us to take similar action when needed.

Now, as far as how he could have mistaken my boots for flip flops... well, that’s anyone’s guess. ■

Digital Operations Manager Nick Raether nraether@ACBusinessMedia.com Digital Sales Manager Monique Terrazas mterrazas@ACBusinessMedia.com Editor Larry Stewart lstewart@ACBusinessMedia.com Managing Editor Kimberly Hegeman khegeman@ACBusinessMedia.com Change of Address & Subscriptions — PO Box 3605, Northbrook, IL 60065-3605, Phone: (877) 201-3915 Fax: 800-543-5055 • circ.rpnmag@omeda.com List Rental — Elizabeth Jackson, Account Executive, Merit Direct LLC, Phone: (847) 492-1350 ext. 18 Fax: (847) 492-0085 • ejackson@meritdirect.com Reprints — Erica Finger, efinger@ACBusinessMedia.com

AC Business Media Inc. Chairman President and CEO Executive Vice President CFO VP Content VP Marketing

Anil Narang Carl Wistreich Kris Flitcroft JoAnn Breuchel Greg Udelhofen Debbie George

Published and copyrighted 2016 by AC Business Media Inc. All rights reserved. No part of this publication may be reproduced or transmitted in any form or by any means, electronic or mechanical, including photocopy, recording or any information storage or retrieval system, without written permission from the publisher.

SUBSCRIPTION POLICY: Individual subscriptions are available without charge in the U.S. to rental centers, equipment distributors, and other businesses with rental departments. To subscribe please visit www.ForConstructionPros.com. Publisher reserves the right to reject nonqualified subscribers.

One year subscriptions for nonqualified individuals: U.S. $35.00; Canada and Mexico $60.00; and $85.00 all other countries (payable in U.S. funds, drawn on U.S. bank). Single issues available (prepaid only) $10.00 each.

Rental (ISSN 1067-0904, USPS 686-370) is published seven times per year: January/February, March, April/May, June/July, August/September, October/November and December by AC Business Media, 201 N. Main Street, Fort Atkinson, WI 53538. Periodicals postage paid at Fort Atkinson, WI and additional entry offices. POSTMASTER: Please send change of address to Rental, PO Box 3605, Northbrook, IL 60065-3605. Printed in the USA. Canada Post PM40612608. Return Undeliverable Canadian Addresses to: RENTAL, PO Box 25542, London, ON N6C 6B2.

Vol. 38, Issue 5, August/September 2016

www.ForConstructionPros.com/RENTAL

8/9/16 1:42 PM

GET AGGRESSIVE! No matter the size, no matter the application, Barreto has the answers to your stump and branch removal needs. Barreto wood removal products are built to meet the demands of the rental market with heavy-duty construction and low maintenance designs.

3104CMS

CHIPPER MULCHER SHREDDER Save time and money with the all-new Barreto 3104CMS Chipper Mulcher Shredder. The CMS transforms yard debris into valuable mulch. The CMS is powered by a 31hp V-Twin Briggs Vanguard engine with electric start.

The CMS is designed to chip logs and branches up to 4�, while the mulching hopper accommodates smaller leaves and branches. The CMS comes ready to tow with a standard torsion axle and quick release coupling.

The chipping blades are double-sided and the mulching/shredding hammers have four hammering surfaces, and both have quick access ports for easy servicing or repair.

30SG The 30SG has a hydraulically-driven cutter wheel that is raised and lowered into the stump and then moved from side to side to cut down. The 30SG power options include a 31hp Briggs & Stratton Vanguard V-Twin or a 26.5hp Kohler EFI engine. The engine is coupled to two gear pumps: the larger gear pump drives the cutter wheel and the smaller pump works the tilt and swing cylinders. The tracks are driven by independent hydrostatic pumps mounted on the rear of the engine for easy access and simple linkage control.

Counterbalance valves on each track drive prevent the track motors from slipping while the cutter wheel is engaged in the cutting process, even while operating on a slope.

STRENGTH DURABILITY INNOVATION 1-800-525-7348 | 1-541-963-6755 Fax www.barretomfg.com | info@barretomfg.com Search: 10072139

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8/9/16 1:42 PM

MANAGER’S DIGEST

GET ANSWERS TO YOUR QUESTIONS ABOUT NEW WORKER OVERTIME RULES A new Department of Labor (DOL) overtime rule set to begin on Dec. 1, 2016, will impact millions of employees. The rule nearly doubles the amount of money a worker must be paid in order to be exempt from earning overtime pay.

Under the rule, most salaried workers earning up to $47,476 a year must be paid time-and-a-half overtime pay if they work more than 40 hours during a week. Previously employers were exempt from paying overtime pay to workers earning $23,660. The new rule is expected to make 4.2 million additional workers eligible for overtime pay.

The DOL released a list of frequently asked questions about the new overtime rule. Here are some of the questions and answers that might be applicable to your business:

Q.

We are a seasonal property open 8 months - is the $47,476 based on that or 12 months?

A.

The new salary is $913 per week.

During the eight-month period that employees work at your property, you will need to guarantee that at least $913 per week is paid for an exempt employee. Please see FOH 22g10 concerning rules for annual salary earned in a shorter period at https://www.dol.gov/ whd/FOH/FOH_Ch22.pdf.

Q. Can an employer say that an Xmas bonus is part of your salary in effort to meet the new standard?

A. When the Final Rule takes effect on December 1, 2016, employers will newly be allowed to satisfy up to 10 percent of the standard salary level with nondiscretionary bonuses and incentive payments (including commissions).

Nondiscretionary bonuses and incentive payments are forms of compensation promised to employees, for example, to induce them to work more efficiently or to remain with the company. By contrast, discretionary bonuses are those for which the decision to award the bonus and the payment amount is at the employer’s sole discretion and not in accordance with any preannounced standards. An unannounced holiday bonus would qualify as a discretionary bonus, because the bonus is entirely at the discretion of the employer, and therefore could not satisfy any portion of the $913 standard salary level.

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Q. What is the salary requirement

Q. Quarterly bonus: if an employee

for part-time salary workers?

is paid between $822 and $913 per week, can the bonus be paid less frequently than quarterly?

A.

Whether a worker is full-time or parttime, the standard salary level to qualify for exemption will be $913 per week.

Q. How will this new rule affect California? California has always been consistent or more favorable to the employee than FLSA. This new rules suggests FLSA is now more favorable to the employee.

A. The Fair Labor Standards (FLSA) provides minimum wage and hour standards, and does not prevent a State from establishing more protective standards.

If a State establishes a more protective standard than the provisions of the FLSA, the higher standard applies in that State.

To the extent the new minimum salary amount of $913 per week under the Overtime final rule is higher than the State requirement, the employer in that State must comply with the higher standard and pay not less than $913 per week for an exempt white collar employee.

Q. Are employers in compliance if they follow the annualized amounts?

(Or do they have to make sure they are always in compliance each week?)

A.

An employee’s exempt status - and, if nonexempt, the employee’s right to overtime pay - is determined on a weekly basis. Generally, to retain exempt status, an employee must satisfy the duties test and earn at least $913 per week.

A. No. To count toward the standard salary level, nondiscretionary bonuses must be paid quarterly or more frequently.

Q. Can we classify someone as Salary Non-Exempt and pay them less than the required amount but pay them overtime?

A. Yes, an employer is permitted to pay a non-exempt employee on salary basis which is less than the required $913 per week (New Overtime Final Rule) as long as the employee is not paid less than the federal minimum wage rate of for all hours worked and is paid overtime for all hour worked in excess 40 per week.

For additional information, please review Fact Sheet 23: Overtime Pay Requirements of the FLSA. For more information on the overtime rule, visit the Government Affairs section of the American Rental Association’s website at ARArental.org. For additional information, contact Alysia Ryan, ARA director for state government affairs, by email or call 800-334-2177, ext. 271.

www.ForConstructionPros.com/RENTAL

8/9/16 1:43 PM

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MANAGER’S DIGEST

Construction Costs Close to Neutral Mark for First Time Since December 2014

Construction costs almost hit the neutral mark in July, according to IHS Markit and the procurement Executives Group (PEG). The headline current IHS PEG Engineering and Construction Cost Index registered 49.8 this month, up from 48.1 in June. The headline index has been consistently below the neutral mark for past the 19 months. An uplift in materials and equipment prices was not enough to shift the pricing environment higher, due to lower escalation in labor costs.

This month, the current materials/equipment price index rose above the neutral mark for the first time since December 2014. The sub-index registered 50.5 in July, indicating rising prices. Out of the twelve categories, only four showed falling prices: two ocean freight indices as well as exchangers and pumps. The previous two months’ price increases in steel began to show up in carbon steel pipe and alloy steel pipe.

To learn more about the new IHS PEG Engineering and Construction Cost Index or to obtain the latest published insight, visit forconstructionpros.com/news/12236917/.

RISING PROFITS, REDUCED DEBT SUPPORT POSITIVE OUTLOOK FOR U.S. BUILDING MATERIALS The outlook for the US building materials industry remains positive, Moody’s Investors Service says in a new report.

Construction end markets are improving, bolstered by favorable economic indicators and strong underlying demand. As a result, operating income is expected to grow more than 10% over the next 12-18 months.

“Demand for building materials remains strong across the US, with shipment volumes and prices rising,” said Karen Nickerson, vice president - senior credit officer. “Residential construction continues to benefit from employment growth, pent-up demand from low levels of construction activity over the past few years and low mortgage rates, while private non-residential spending will moderate this year after.”

Meanwhile, public construction activity is set to gain from recent federal, state and local transportation initiatives, Nickerson says in “Volume, Price Momentum Endure; Private and Public Spending Lift End Markets.”

For more, visit forconstructionpros.com/news/12231490/.

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AIA: HEALTHY OUTLOOK FOR CONSTRUCTION IN 2016 AND 2017 After a strong 2015, there is a growing sense that the construction industry expansion will be more tempered over the next 18 months. However, continued strong demand for hotels, office space, and amusement and recreation spaces will ensure continued growth in the overall construction spending market over this time period.

The national economy seems to be on a slower growth path so far in 2016, in part due to the growing list of national and international vulnerabilities that continue to appear. This slower growth in the broader economy is beginning to put downward pressure on the construction industry. After a solid performance last year, where most commercial and industrial construction sectors grew by 20% or more, 2016 was viewed as a year where activity was expected to moderate.

The American Institute of Architects’ (AIA) semi-annual Consensus Construction Forecast, a survey of the nation’s leading construction forecasters, is projecting that spending will increase just less than 6% for 2016, with next year’s projection being an additional 5.6% gain. Commercial construction sectors are projected to be the strongest performers this year, with the institutional categories moving back a bit from their pace of last year. Next year, the commercial sectors are expected to see slower yet still healthy levels of growth, while most institutional sectors will see a somewhat accelerated pace of activity.

For more about the American Institute of Architects’ (AIA) semi-annual Consensus Construction Forecast, visit forconstructionpros.com/news/12236957/.

www.ForConstructionPros.com/RENTAL

8/9/16 1:43 PM

Maximize the productivity of your rental fleet Perkins power

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Your global engine partner

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8/9/16 1:43 PM

MANAGER’S DIGEST

June US Housing Starts Beat Expectations on

SINGLEFAMILY STRENGTH

Strengthening single-family housing starts lifted total June U.S. housing construction above expectations, rising 4.8% to a seasonally adjusted annual rate of 1,189,000 starts. Single-family starts rose 4.4% to an annual rate of 778,000 units, while multifamily starts rose just 1.5% to a 392,000-unit pace.

According to the National Association of Home Builders’ analysis of the June housing estimates from the Census Bureau and the Department of Housing and Urban Development (NAHB), “Taken together, these trends are consistent with the NAHB forecast, which sees gathering strength for single-family construction and a leveling off of multifamily production as the market finds a balance between housing demand and supply.”

The average monthly estimate of single-family starts since the first of the year is 12.9% greater than that of the first six months of 2015. And the average estimate of multifamily starts year-to-date is 4.4% below the first six months of 2015.

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CATERPILLAR Q2 2016 SALES AND REVENUES DECLINE 16% TO $10.3 BILLION Caterpillar Inc. announced profit per share of $0.93 for the second quarter of 2016, a decrease from $1.31 per share in the second quarter of 2015. Excluding restructuring costs, profit per share was $1.09, down from $1.40 per share in the second quarter of 2015. Second-quarter 2016 sales and revenues were $10.3 billion, down from $12.3 billion, or 16 percent, in the second quarter of 2015.

“I’m pleased with our financial performance and focus on our long-term strategy given the difficult economic and industry environment we’re facing. Our goal when sales decrease is to lower costs so the decline in operating profit is no more than 25% to 30% of the decline in sales and revenues. For the quarter, our decremental operating profit pull through was better than our target range. Together with our dealers, we’re having success managing through the downturn in industries like mining and oil and gas, and in sluggish economic conditions in much of the developing world. In what is likely to be our fourth down year for sales and revenues, we’re proud of what we’re accomplishing – our machine market position has increased, including in China, product quality continues to be at high levels, and the safety in our facilities is world class,” said Doug Oberhelman, Caterpillar Chairman and Chief Executive Officer.

2016 OUTLOOK World economic growth remains subdued and is not sufficient to drive improvement in most of the industries and markets Caterpillar serves. Commodity prices appear to have stabilized, but at low levels. Global uncertainty continues, and the recent Brexit outcome and the turmoil in Turkey add to risks, especially in Europe.

The outlook for 2016 provided with the first-quarter financial results in April expected sales and revenues in a range of $40 billion to $42 billion. At the midpoint of that range, profit was expected to be $3.00 per share, or $3.70 per share excluding restructuring costs. Over the past quarter, economic risks have persisted and, as a result, Caterpillar’s current expectations for 2016 sales and revenues are closer to the bottom end of that outlook range.

Restructuring costs in 2016, which were expected to be about $550 million, are now forecast to be about $700 million, or about $0.80 per share. Additional workforce reductions expected in the second half of 2016 are the primary reason for the increase in restructuring costs. Sales and revenues for 2016 are expected to be in a range of $40.0 billion to $40.5 billion, and the profit outlook at the midpoint of the sales and revenues range is about $2.75 per share, or about $3.55 per share excluding restructuring costs. The revised outlook for both sales and revenues and profit per share excluding restructuring costs is in line with the Thomson First Call analyst consensus.

“Despite a solid second quarter, we’re cautious as we enter the second half of the year... We’re continuing significant restructuring plans, which are designed to bring our cost structure more in line with demand while maintaining our capability to quickly serve our customers when our business recovers.”

For more about Caterpillar’s outlook, visit forconstructionpros.com/news/12236457/.

www.ForConstructionPros.com/RENTAL

8/9/16 1:43 PM

When NO!...is a good thing.

Skyjack has consistently approached the issue of emission compliance with the knowledge that rental rates don’t just go up with emissions standards cost increases. The all new Skyjack TH range is engineered to require NO diesel particulate filter (DPF), NO diesel exhaust fluid (DEF), NO additional engine and exhaust sensors, NO complicated engine programming and computer logic, NO selective catalytic reduction (SCR) and NO other active exhaust after treatment on standard engines for Tier IV Final.

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8/9/16 1:44 PM

MANAGER’S DIGEST

NEW CONSTRUCTION STARTS IN JUNE DROP 7%

on Weakness in Public Works and Utilities New construction starts in June decreased 7% from the previous month to a seasonally adjusted annual rate of $595.1 billion, according to Dodge Data & Analytics. The nonbuilding construction sector (public works and electric utilities) fell sharply after being lifted in May by the start of a $3.8-billion oil pipeline in the upper Midwest and seven large power plant projects totaling $4.3 billion. Residential building in June edged down with reduced activity reported for both single family and multifamily housing.

At the same time, nonresidential building registered moderate growth in June after sliding back in April and May. Through the first six months of 2016, total construction starts on an unadjusted basis were $318.1 billion, down 11% from the same period a year ago. The January-June period of 2015 included 13 exceptionally large projects valued each at $1 billion or more, including a $9.0 billion liquefied natural gas export terminal in Texas, an $8.5 billion petrochemical plant in Louisiana, and two massive office towers in New York NY – the $2.5 billion 30 Hudson Yards and the $1.2 billion One Manhattan West. In contrast, the January-June period of 2016 included only four projects valued at $1 billion or more. If these exceptionally large projects are excluded, total construction starts during the first half of 2016 would be down a slight 2% from last year.

June’s data lowered the Dodge Index to 126 (2000=100), compared to 135 in May. After strengthening in this year’s first quarter, the Dodge Index fluctuated in the second quarter, rebounding in

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May after April’s decline, followed by another decline in June. “The construction start statistics on a monthly basis continue to show an up-and-down pattern,” stated Robert A. Murray, chief economist for Dodge Data & Analytics.

“This has often been due to the presence or absence of very large projects for a given month, which most recently applies to the May and June behavior for public works and electric utilities.”

“Over a broader time frame, the yearto-date comparisons during the first half of 2016 were skewed by a number of exceptionally large projects (defined as projects valued at $1 billion or more) that reached the construction start stage in last year’s first half,” Murray continued. “There were fewer such projects during the second half of 2015, which should help the year-to-date comparisons as 2016 proceeds. In addition, last year’s third quarter witnessed a broader

slowdown for construction starts, as investment grew more cautious due to mounting concerns about the global economy and the continued drop in energy prices at that time. The generally weaker third quarter of 2015 will also help the year-to-date comparisons for construction starts as 2016 proceeds.

While investment remains cautious, some uncertainty has been alleviated with energy prices stabilizing during this year’s first half. In addition, the anxiety created in late June

by Great Britain’s vote to leave the European Union has eased, as shown by the recent rebound in stock prices. There continue to be several supportive factors worth noting for construction activity this year – long term interest rates have moved lower, commercial development is being financed by multiple sources, construction bond measures are providing funding for institutional building and public works projects, and the multiyear federal transportation bill is in place.”

Nonbuilding construction in June plummeted 24% to $145.7 billion (annual rate), reversing the 24% jump that had been reported in May. The public works categories as a group fell 27% in June, pulled down by a 65% plunge for miscellaneous public works which includes oil and natural gas pipelines. The miscellaneous public works category in May was lifted by the start of the $3.8-billion Dakota Access Pipeline, which will connect the Bakken and Three Forks oil production areas in North Dakota to existing pipelines in Illinois.

For more, visit forconstructionpros.com/news/12234946/.

www.ForConstructionPros.com/RENTAL

8/9/16 1:44 PM

No Boundaries

We’ll Keep Breaking The Boundaries.

Where You Go After That Is Up To You. Whether you own one Aerial Work Platform machine or manage an entire fleet, battery performance matters. And when it comes to deep-cycle batteries, no one goes to the extremes of performance like Trojan. Our full line of deep-cycle flooded, AGM and gel batteries will take you to heights you never dreamed possible.

800-423-6569 | +1-562-236-3000 | www.trojanbattery.com Search: 10075004

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8/9/16 1:44 PM

MARKET WATCH

By Rod Dickens, contributing editor

Overcoming Everyday Obstacles to Success Rental professionals from different regional markets weigh in on their most critical issues and what keeps them up at night

CALIFORNIA: ‘WE’RE LOOKING FOR AFFORDABLE SKILLED HELP’ “The market here in Northern California is booming. We’ve had some much needed rain, which has helped landscapers and other small contractors around the area.

Our party business is going well, too,” said Dale Blackwell, president of Aba Daba Rents in Sacramento.

The uptick doesn’t come without challenges, the biggest of which is finding help. Currently, he’s looking to fill just about every position within the company from mechanics and truck drivers to counter people. “We’re open seven days a week and most people don’t want to work on weekends,” he explained. “Making it even more challenging are California laws like the one that requires paying employees who bring their own tools to work double minimum wage. For us, that means mechanics start at $20/hr. Even then, we can’t find help.”

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In the meantime, Blackwell continues to advertise and work with temporary employment agencies. “We’ve had some success with temp workers,” he added.

“Doing so gives us a chance to see if a person is going to fit and be considered for full-time employment.

I know some people think hiring temporary workers is too expensive, but when you factor in not having to pay workers comp and put them on your health plan, it’s not that costly.”

Blackwell’s father

Gene started the business in 1960 and his son has worked in the business since he can remember. Today, the rental house has two locations in Sacramento and employs 36 people. At least half of them, Blackwell noted, have been with the company at least 15 years.

Equipment rentals account for approximately half the company’s sales and party goods about 35 percent. One location also has two Ready Mix trucks that are busy six days a week. “We’re not in the big equipment business,” added Blackwell. “Instead, we cater to the smaller contractor. As such, our inventory stops where the ‘big boys’ begin.”

“Making it even more challenging are California laws like the one that requires paying employees who bring their own tools to work double minimum wage. For us, that means mechanics start at $20/hr.

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MARKET WATCH

As he pointed out, his other big challenge is the California Air Resources Board (CARB). “We’re constantly upgrading equipment to meet emission standards, but the new equipment is expensive. For example, the last diesel generator we purchased cost $8,000 more than its sister generator did two years earlier. There has been a trend in some equipment such as air compressors to go back to gas, but the tradeoff is the engines are less durable.

We’ve considered adding solar-powered light towers to our fleet as a way to keep some costs in line. All the time, we’re trying to adjust our rental rates while staying competitive and retaining customers.”

Still, the store’s biggest challenge is labor. “We’ve become more efficient, especially with inventory control, to save time and have had some success hiring retirees part-time. There’s been discussion around the industry about kiosk locations to reduce manpower needs, but I just don’t see that being realistic here.”

For this owner, the challenges create real issues but they seem a little less daunting when the market is looking up.

MICHIGAN: TOUGH TO PREDICT THE UNPREDICTABLE Daryl Bush, president of Bush Rental in Sheridan, MI, has been in the rental business 20 years. “I have never seen an election year quite like this,” he remarked. “Business is good, but very hard to predict.

Equipment rentals have always gone in cycles but the cycles this year don’t seem to make any sense.”

“Of course, if I could predict who’s going to buy what when, I wouldn’t be in this business,” he laughed.

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“We’re

diversified with our customer base between homeowners and contractors. When the economy is good, the contractor business is good.

When it goes soft, homeowners pick up some of the slack.”

Rental is one of the company’s three profit centers. The other two include a hardware store and outdoor power equipment business. Rental sales account for approximately 40 percent of the company’s annual revenue.

Bush noted that being diversified is likely the only way to succeed in an unpredictable rental market, one that’s not only impacted by election years but also by weather and the economy.

“We’re diversified with our customer base between homeowners and contractors,” he emphasized. “When the economy is good, the contractor business is good. When it goes soft, homeowners pick up some of the slack.”

He’s also diversified with his equipment lineup, offering a wide array of products, everything from dozers for moving dirt and man lifts for painting houses to virtually anything in between.

As Bush pointed out, if you can’t predict what a customer is going to rent, then you have to be prepared to rent anything.

Bush Hardware had been in business 45 years before renting its first piece of equipment. “I never dreamed we would be the size we are. “We started out renting to homeowners and then customers asked for bigger equipment.

Then, one day we had to purchase a semi to haul around equipment,” said Bush. “Again, we’re having a pretty good year, this despite a very hot summer and the pending election.”

One thing is for certain in this business, he reemphasized. One doesn’t know what next week will bring because it’s very tough to predict the unpredictable.

OHIO: ‘WE’RE OFF THE BEATEN PATH’ When asked what his biggest challenge is today, Dave Baker, owner of Hamilton Rental Center in Hamilton, OH, said it’s his store’s location. “We’re half way between Dayton and Cincinnati and probably 10 miles off I 75,” he related. “Becoming more diversified is one way we’ve overcome it. We focus on selling and repairing equipment, primarily for smaller contractors. Customers get to know us and our service so when it’s time for them to rent something, they come to us.”

Since purchasing the store in 2007, Baker has seen rental sales increase every year. In addition to selling, repairing, and renting equipment, Hamilton Rental Center also offers top soil, mulch and straw, and it has a concrete plant on site.

While diversification has brought in customers, Baker said it’s his team of eight employees that keeps them coming back. “Before becoming selfemployed, I worked for a couple of companies where it just wasn’t fun to go to work. I promised myself then that

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MARKET WATCH

if I ever had employees of my own, they would enjoy their job.

“We have fun at work and our team has responded. Everyone understands their role. They work hard and they’re rewarded. We are, too. Over the last five years, I would guess there haven’t been more than six or seven days in total when an employee has called in sick or otherwise said he couldn’t make it in.

“Our customers appreciate the work environment, as well. They not only receive timely service, but they also get friendly service. People remember their bad experiences, not the good ones. Customers could have hundreds of good experiences and then that one time, when things didn’t go so well, overshadows everything else.”

Smaller contractors, such as those who remodel homes and install roofs and landscapes, account for approximately 75 percent of rental sales, with homeowners making up the remainder.

“I know that some rental houses don’t like to do business with homeowners, but we do. They’re a bit easier on equipment and having them as customers is part of being diversified,” said Baker.

As he pointed out, starting a business in 2007 gives one an appreciation for how important it is to have a diversified customer base.

OKLAHOMA: STRANGE WEATHER After being in the rental business 50 years, not many things can surprise David Zorn, owner of Diamond-Zorn Inc. in Oklahoma City. “It’s a little slow

right now, but all in all our year looks good,” he remarked. “Probably the biggest challenge we currently face is the weather. Right now, the temperature is 100 degrees F and the humidity is high.

All one can do is drink a lot of fluids and stay in the shade.”

The temperature impacts more than the people operating his rental equipment. It affects the equipment, as well.

“When it gets really hot like it has been the past few weeks, the ground gets hard and equipment like our skid steer loaders and mini excavators suffer.”

At one time, Zorn operated four rental stores and all but one has been sold. His current store caters to both homeowner and contractor customers and he also rents some party items. “As far as challenges go, I really can’t say that I have any. Like it has been for years, it’s a matter of getting the equipment in the hands of customers and keeping them satisfied. Overall, I’m satisfied.”

KENTUCKY: ‘HOLDING OUR OWN’ D C Rental & Sales in Mayfield, KY, has been in business 17 years. Prior to that, company owner and president Donnie Crouch worked in construction for 27 years.

“We’re holding our own this year, maybe down a little bit,” he remarked.

“The economy, an election year, a plant

closing down, and a new rental store in the area all contribute to the kind of year we’re having.”

The general rental store has a customer mix 50/50 homeowner/commercial and employs six people. “We don’t cater to the large contractors,” added Crouch. “Our largest piece of equipment is a mini excavator. In fact, we don’t rent anything over 10,000 lbs.”

He continued, “Even though we’re what I consider to be a small mom and pop operation one of our biggest challenges is bureaucratic paperwork. For example, we have one delivery truck but have the same amount of paperwork to wade through that a company with 50 trucks has. It doesn’t make any sense.

“Another challenge is the rising cost of health care. Over the years, we have provided health insurance for our employees. Unfortunately, costs have tripled, even quadrupled, making it prohibitive to continue this benefit. Trying to keep employees is difficult enough without them having to pay for their own health insurance. We offer a raise to help them find coverage on their own, but it’s never enough.”

Crouch has experienced being an employee and an employer. As he pointed out, both have their benefits and challenges. Being self-employed, however, and being able to “hold his own,” despite the headaches, still wins out. ■

“When it gets really hot like it has been the past few weeks, the ground gets hard and equipment like our

skid steer loaders and mini excavators suffer.”

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NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS

NEW

PRODUCTS  Bobcat T595 Compact Track Loader

 Barreto TKD Walk-Behind Track Trencher

The all-new TKD walk-behind track trencher from Barreto features a detachable front end, giving the operator the ability to use optional proprietary attachments.

• Quick-attach system allows removal of the front-end attachment without the use of tools • Track design provides 241 sq. in. of footprint on each side of the machine, improving traction and stability in difficult soil conditions • Adjustable Trenching Control (ATC) system uses rod linkage instead of cables.

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 JM-1000 Mini-Jet from General Pipe Cleaners The new compact and lightweight JM-1000 Mini-Jet from General Pipe Cleaners clears grease, sand and ice clogs from drains 1-1/2 to 3 in. with 1,500 psi of cleaning power.

• Uses high-pressure, wall-to-wall water spray to flush away clogs • Pulse helps slide the hose around tight bends and farther down lines • Renters can easily carry the Mini-Jet right to troubles • A t only 23 lbs., the portable package measures 24 by 11 by 11 in.

• P ump and motor assembly are contained in a rugged diamond plate metal case • S ensor automatically stops the motor if water stops flowing though the pump • C omes with Super-Flex high-pressure jet hose in either 30- or 50-ft. lengths • S tandard package includes four-piece nozzle set, water supply hose, shutoff valve, and universal facet adapter • T hree-wire Ground Fault Circuit Interrupter

The 8,055-lb. T595 vertical lift path compact track loader has a 2,200-lb. rated operating capacity (35% of tip load) and a 119-in. lift height to hinge pin.

• 74-hp Tier 4-compliant, transversely mounted, turbo diesel engine does not require a diesel particulate filter or diesel exhaust fluid • Standard machine shutdown protection system • 7.1-mph maximum travel speed, or up to 10.4 mph with optional two-speed travel • Comes with standard controls (hands and feet) or optional Advanced Control System (ACS) and Selectable Joystick Controls (SJC) • Non-hydraulic attachments can be changed from inside the cab via the Power Bob-Tach attachment mounting system Search: 12233344

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NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS

 Tiger Shark Hot-Water Pressure Washer Trailer

With the “Tiger Shark” (Model SMT-354037E), Shark Pressure Washers launches a new hot-water pressure washer trailer that offers mobility combined with high performance, reliability and easy operation.

• Powered by Honda GX390 engine featuring electric start with a manual recoil backup • 3.5 GPM at 4,000 PSI, allowing user to easily remove grease and oil • Compact trailer features highway safety rated 13-in. pneumatic tires that can be used off road • Trailer offers swing away height-adjustable hitch for various vehicle heights as well as multiple hitch configurations • Parking brake prevents the trailer from rolling during use or storage • Machine comes standard with an 8-gal. diesel fuel tank for longer run-times • 50-ft. high-pressure hose for ease of use on larger areas without having to move the entire unit Search: 12234440

 JCB

540-140 Hi Viz Loadall Telehandler The 540-140 Hi Viz features a high-visibility, lowboom-pivot design and offers a nearly 8,500-lb. maximum lift capacity and a maximum lift height of 44.2 ft. on wheels or 45.2 ft. with stabilizers.

• Visibility further enhanced via a 13% reduction in the boom section and a more compact rear chassis section that reduces overhang by 13 in.

• Choice of a 74-hp JCB EcoMAX Tier 4 diesel engine with no diesel particulate filter (DPF) or diesel exhaust fluid or 108- or 125-hp versions with one-can SCR solution and no DPF

 Weber MT Offers

Reversible Plates with Built-In Active Engine Protection Weber MT offers additional, active engine protection (MDM) as a standard feature on its reversible plate compactors of the CR 6 to CR 9 series which complements the newly refined COMPATROL 2.0 compaction control system. The goal is to improve operational safety, efficiency and to prolong service life.

• Weber MT claims to be the only manufacturer to offer vibratory plates with built-in engine protection • Available for the reversible soil compactors CR 6, CR 7, CR 8, and CR 9 (910 to 1600 lbs.)

• Hatz diesel engine shuts off automatically if the MDM discovers the engine oil pressure/oil level is too low, the engine temperature is too high or the air filter is full; operator is notified accordingly by an LED indicator

• Ergonomic single lever control (SLC) option

• System also indicates when engine needs to be serviced

• Compact chassis dimensions with a wide-opening, gas-assisted engine canopy for easy ground-level maintenance

• MDM engine protection is also part of the COMPATROL system version 2.0

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 Vacuworx SS 2 Vacuum Lifting System The SS 2 Vacuum Lifting System allows a skid steer to be used to lift steel plate, saw cut concrete, granite and marble slabs, landscape pavers and more.

• Lightweight (98 lbs. without mounting plate), all-aluminum attachment features a hydraulically driven vacuum pump that enables it to lift up to 2,716 lbs.

• When activated, the system pulls a vacuum between the integrated 24- x 24-in. vacuum pad with Tough Seal pad seal and the object to be lifted, providing a powerful positive seal • Pump uses carrier’s auxiliary hydraulics and requires a minimum 10 gpm and maximum 3,000 psi Search: 12217057

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NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS

 Larson Electronics Portable Solar-Powered Tower

Larson Electronics’ portable solar-powered tower is on a 7-ft. trailer and can be used to power lighting, cameras, sensors or other electrical equipment mounted atop the manual crank mast.

• 30-ft., three-stage steel mast • 7- by 7-ft. single-axle, two-wheel trailer with four outriggers • Two 265-watt solar panels • 400aH capacity battery bank • Delivers 12 volts • 16- by 160- by 8-in. junction box mounted at top of mast • 8- by 8- by 8-in. junction box mounted at top of first stage of mast • External Nycoil tubing around mast to run Ethernet cable to junction boxes • Solar panel frame angled at 45 degrees • Electrical components encapsulated in NEMA 3R job box bolted to trailer • Cooling system circulates air within job box

Easy Lift 50-23AJ from UP Equip The Easy Lift 50-23AJ answers a growing need for an ultra-compact unit in tighter places. The double pantograph lower boom offers greater up and over possibilities with an unrestricted 23 ft. of outreach with full basket capacity (507 lbs.).

• Wired remote control (start/stop + drive + outriggers + self-stabilization) • Short overall length of 12 ft. 6 in. without basket • Hydraulic variable-width carriage can make tracks wider for an increase in stability and enhanced climbing capabilities • Comes standard with all useful features required to give a perfect final positioning on work zone, such as basket rotation, 5-ft. jib and basket manual leveling live at full basket capacity • Standard air/water line from base to basket; AC GFI in basket Search: 12223435

The 1MDS2 and 1MDS4 auger drives provide a maximum theoretical output torque of 2,119 ft.-lbs. and are engineered for use on mini loaders and compact tool carriers.

• Complete with unit-specific mounting plate for easy installation and setup • 1MDS2 is designed for simple applications with single-axis two-way swing capabilities (FWD-REV); 1MDS4 is designed for applications where dual-axis four-way swing capabilities (FWD-REV-LFT-RGT) are required.

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For more information on any of the products in this issue, simply type the unique eight-digit code into the search bar at the top of www.ForConstructionPros.com/Rental.

 Chicago Pneumatic MV 58A Forward Plate Compactor

The 150-lb. MV 58A forward asphalt plate compactor is suited for the compaction of thin asphalt layers, small repairs and road maintenance work.

• Integrated, tubeless water distribution system prevents asphalt from sticking to the plate • Durable frame protects components, including 3-hp Honda engine

1MDS2 and 1MDS4 Auger Drives

• Units are driven by planetary gearbox and work effectively on auxiliary flows of between 6 to 16 gpm

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• Low profile of 78 in. and width of 31.5 in.

 Digga Mini Loader

 CK Power Tier 4 Final Generators

The 350-kW CKT430VM and 550-kW CKT680VM rental/mobile prime power diesel generators are powered by Volvo Penta’s 13L and 16L Tier 4 Final engines.

• Come standard with multiple voltage configuration, sound enclosures and custom configurable power distribution to meet application needs • CKT680VM also available in a Tier 2 model Search: 12222177

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VALUE TESTIMONIAL

CHICAGO PNEUMATIC: PEOPLE. PASSION. PERFORMANCE. The Chicago Pneumatic brand has been around for over a century, established in 1901. Since its origination, the name has represented high-performance tools and equipment designed for an extensive range of applications. CP has a wide product offering with an array of pneumatic, hydraulic and gasoline-driven equipment, portable compressors and generators, light towers, rig-mounted attachments, and concrete and compaction equipment for the construction and demolition industry.

Chicago Pneumatic has a global network of distributors, and provides customers with worldwide sales and service support. Their durable products,

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NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS • NEW PRODCUTS

 CS Unitec ETN 162/3

PSV Diamond Core Drill The ETN 162/3 PSV is suited for wet drilling of holes up to 6 3/8-in. diameter in concrete, reinforced concrete, natural stone and asphalt, and dry drilling up to 8 in. in brick and block.

• Supplied with the BST 162 V stand and vacuum pump and fully adjustable up to 45° • Quick-change mount allows quick, easy switch from stand-mounted to hand-held operation • 19-amp/110-volt GFCIprotected motor provides a load speed of 0-510/01,150/0-2,500 rpm • Electronic torque limitation and speed control guarantee constant rpm even under load Search: 12222797

 General Equipment Company SP8/GH9HP Surface Planer

Providing high speed and accurate surface preparation, General Equipment Company introduces its new SP8/GH9HP surface planer for a wide range of job applications, including milling misaligned sidewalks and joints, removing thermo and cold plastic markings and prepping floors for new coating applications.

• P owered by a 9-hp Honda GX270 fourstroke gasoline engine • B uilt with a unitized, welded steel plate frame, exclusive full-length hexagon driveshaft and extra-capacity ball bearings • M aximum cutting depth of 5/8 in., cutting width of 8 in. and cutting proximity to a vertical wall of 3-1/4 in.

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FAST, EFFICIENT,CLEAN. For 30 years, Valley Industries has manufactured custom LubeMate mobile servicing equipment to reduce down-time in the field and keep your operation running at full speed. Choose from a standard model or custom build your own to best compliment your preventative maintenance plan.

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CRA’s 2017 Rental Rally Tradeshow • South Point Hotel and Casino in Las Vegas, Nevada • Jan. 30 – Feb. 1 CRA’s 2017 Equipment and Party Rental Rally Tradeshow will be held at the South Point Casino Hotel & Convention Center, featuring 80,000 square feet of exhibit space—twice the space CRA had here in 2015. The South Point is a great venue choice with the convenience of having the convention center and hotel on the same property!

Two Days of Equipment/Party/Services Exhibits Vendors will exhibit on Tues., Jan. 31, 10am–5pm and Wed., Feb. 1, 9am– 2pm. See the show website, www.RentalRally.com, for a list of exhibitors.

Special Seminar/Tour Packages* Monday, January 30 — We are excited to once again have MATRA

Register by January 8 for Special Pre-Registration Pricing!

(Mid-Atlantic Tent Renters Association, Inc.) conduct seminars specifically for the rental industry. MATRA has been in existence for more than 25 years and is known for its dedication to the promotion of education, safety and product knowledge in the tent rental industry. The all-inclusive seminar packages begin Monday morning at 8:30 am with two seminars relevant to both the general tool and party rental industry. Buses will depart at 12:15 pm to take participants to their choice of the General Tour or the Party Event. The General Tour bus will head to the all new, state-ofthe-art Snorkel/Xtreme factory in Henderson. Participants will have lunch while hearing an update on high reach regulations from SAIA. Following lunch, they will be given a tour of the Snorkel/Xtreme factory. Party folks will be treated to a gourmet luncheon at Lupo, a Wolfgang Puck restaurant. They will be also be treated to a “hands on” Italian cooking experience with Lupo’s renown Italian cuisine and Wolfgang Puck trained chefs. Buses will return to the South Point by 4:30 pm. CRA is offering these Seminar Packages for $95/person if purchased in advance by Jan. 8, 2017. If purchased after Jan. 8th or on-site, the cost is $149.

Wednesday, February 1 — AWP Operator Training Certification Class. SAIA and Snorkel Xtreme of Las Vegas are cosponsoring an all-day class in which attendees can be certified to operate high-reach equipment. The cost is $300/person, including lunch, if purchased in advance by Jan. 8, 2017. If purchased after Jan. 8th or on-site, the cost is $350.

CRA’s Opening Cocktail Party* and Annual Dinner/Awards Ceremony* All qualified rental centers that register

by January 8 will get special pre-registration rates: $60/person or $195/company.

After January 8, registration and optional event tickets must be ordered on-site.

On-site registration is $85/person or $295/company.

Register Today! *Optional events such as the Seminar/Tour Packages, Cocktail Party and the CRA Hofbräuhaus Dinner are not included in attendee registration fee.

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Monday, January 30 • 6:30 to 8:30pm — The opening cocktail party will be held on the show floor, allowing plenty of time for previewing exhibitor booths and networking with others in the industry.

If purchased in advance by Jan. 8, tickets are $35/person; on-site cost is $45/person.

Tuesday, January 31 • 7 to 9pm — The annual dinner will once again be held at the Hofbräuhaus. This year, CRA engaged the entire restaurant so there will be plenty of room for CRA folks to enjoy the German cuisine, beer, and German-style entertainment! CRA’s Awards Ceremony also will take place at this event. If purchased in advance by Jan. 8, tickets are $50/person; on-site cost is $65/person.

Special Room Rates at the South Point!

Both exhibitors and attendees can enjoy the convenience of staying on-site at the South Point Casino Hotel. Special room rates (Jan. 29–Feb. 2, 2017) are available from $65 per night with no resort fees. Special group rates are available until Nov. 2, 2016. Reservations must be made through CRA’s show website at www.RentalRally.com.

Visit www.RentalRally.com to learn more about the CRA Rental Rally Tradeshow and the South Point Hotel and Casino accommodations.

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2016

BUSINESS SURVIVAL GUIDE

By Garry Bartecki

Understanding Ownership Costs Equipment cost trumps all other rental metrics in importance as it uniquely impacts the balance sheet, income statement and cash flow

I

consider the rental business a set of variable transactions needing constant management to work, to be profitable and to generate a positive cash flow after debt service. It’s easier said than done, and it’s not unusual for a rental company to show a reasonable bottom line profit and still see their cash balances getting smaller each month. Been there?

Management has to develop ways to present and analyze metrics, that when changed or modified by management directives, will improve the financial well being of the enterprise.

Based on my extensive experience in the dealer, rental and leasing businesses, I find running rental metrics against the original cost of the equipment is the best way to compare rental activity from one reporting period to the next.

I use cost because it is the only number that does not move around. Cost should include vendor cost including taxes and freight. If I use any other metric I will be getting results using two sets of variables which might not make any sense for my personal operation nor give me proper comparisons to industry rental metrics.

The impacts of cost Equipment cost impacts the balance sheet, the income statement and cash flow.

On the balance sheet cost impacts: • Investment you measure returns against • Collateral value • Loan balances • Time and dollar utilization calculations On the income statement cost impacts: • Gross profit margins • Rental rates • Basis for book depreciation charge • Proper dollar utilization calculation • Interest expense

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On the cash flow statement cost impacts: • Annual debt service requirement • Purchase of rental units • Financing of rental units • Cash flow from sales of used equipment Because equipment cost has such a direct impact on cash flow because of debt service, rental companies are paying much more attention. Why? Because if you lowered your equipment cost 20% and were still able to bill rentals at your current rates, your profits, cash flow and equity would all increase without any other changes on your part.

So to get these higher ROI numbers, rental companies are keeping units in the fleet longer, doing minor rebuilds to keep them in the fleet another three to five years, and doing full rebuilds to keep them in fleet another seven-plus years.

At an expense of 50 to 60% of original cost, this is a sound idea, especially for OEM units backed up by a new warranty and financing as if it were a new unit.

What’s the magic number?

So the trick to enhance profits and cash flow going forward is to generate more rental revenue as a percentage of original cost. You should be getting 25% or more (depending on the type of equipment) of rental revenue per year against cost. If you have the ability to maintain the equipment, you could keep it in the fleet eight years or so and collect 200% of cost as rentals and still sell the unit for 50% of original cost.

Under that scenario, you wind up with $2.5 dollars for every $1 invested in the fleet. Taking into account the direct costs to operate the equipment, you still generate higher ROI at least until the residual starts going south on you. Some folks I know shoot for 300% of cost including rents plus residual sale before they turn a unit, and I bet that helps make them a lot of money because the debt on those units has been paid off many years ago. ■

Garry Bartecki is the managing member of GB Financial Services LLP and a consultant to Associated Equipment Distributors (AED). He can be reached at (708) 347-9109 or gbartecki@comcast.net.

www.ForConstructionPros.com/RENTAL

8/9/16 1:52 PM

VALUE TESTIMONIAL

“QUALITY FIRST” SINCE 1882

From a very inauspicious beginning in a small blacksmith shop originally started in 1882 by Edward Brunner and Severin Lay, Brunner & Lay, Inc. and its affiliated companies have become recognized as the quality leaders, as well as the world’s largest manufacturer of paving breaker tools. Today, using the latest state of the art equipment in its facilities throughout the world, Brunner & Lay, Inc.’s entire output is devoted to the manufacture of pneumatic and hydraulic tool accessories for the construction, rental, mining, and demolition industries.

The worldwide operations encompass manufacturing plants and

warehouses on three different continents.

These include seven facilities in the United States, three in Canada, three in Great Britain, one in Germany, and two in Australia.

Brunner & Lay products are divided into three major categories: tools used for the demolition or cutting of concrete and stone, drill steels and carbide tipped bits which are used to drill blast holes in quarries, mines, and construction projects, and small chipping and electric hammer tools which are used by the general construction trade.

It is with great pride that the Brunner & Lay organization can point to the many wonderful highways, dams,

Brunner &Lay

Mining & Construction Tools

(800) 872-6899 | BrunnerLay.com

complete source for

lity ! qua ols 2 of to ars ade 01 ye n m 130 rica - 2

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Your

airfields, mines & quarries, and national monuments it has shaped. These include, but are not limited to Mt. Rushmore, Hoover Dam, the Chunnel connecting England and France, the Eisenhower Tunnel in Colorado, and Olympic venues worldwide.

Brunner & Lay is confident that its products will contribute to worldwide health, growth, and prosperity far into the future.

BREAKING rock.

PAVING BREAKERS

DEMOLITION TOOLS

Whether you need to break a sidewalk or the side of a mountain, we’ve got a durable, dependable solution for you. If you need tools for construction, mining, or demolition—we’re the only name you need to know.

Call (800) 872-6899 or visit BrunnerLay.com

ROCK DRILLING

Brunner &Lay “Quality First” since 1882

Search: 10072274 www.ForConstructionPros.com/RENTAL

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2016

BUSINESS SURVIVAL GUIDE

By Shane Skinner

IMPROVE YOUR BOTTOM LINE Through Better Condition Reporting Using a digital approach to asset documentation can save your company money and improve customer service

A

nyone in the equipment rental business knows that damage is an everyday part of doing business. Yet who’s to blame for that damage? Do you even know if it happened while the equipment was rented out?

If you’re currently following the typical condition documentation process, you likely can’t answer these questions.

You or your team probably perform a walk-around inspection of the equipment, jotting down any noticeable damage on a piece of paper. But those marks can’t fully convey the extent of the damage. Plus, quick walk-arounds make it easy to miss any existing damage in the first place. All this uncertainty makes it next to impossible to pinpoint who is at fault when equipment comes back damaged.

The costs of poor documentation

Going digital cuts disputes Going digital and using software to perform your equipment condition reviews cuts out damage disputes entirely. If you’re ready to make the digital documentation transition, make sure your approach includes the following features: Photos and video - With nearly everyone having a smartphone, tablet or both, it’s easy to take high-quality photos whenever, wherever you want. Unlike the paper forms you’ve been using, photos capture every nuance of existing damage.

They can also prove that the equipment was in excellent condition to begin with. While the standard visual walk-around inspection can make it easy to walk past damage, walking around a piece of equipment while capturing video means you’ll always be able to look back and see exactly what the equipment looked like.

Time-stamp documentation - Making sure your documentation is time stamped removes any uncertainty over when a record took place, making it easy to prove the equipment’s condition before and after it was rented out.

Integrated checklist - Your equipment might come with spare parts or items you’ll want to keep tabs on. Integrating a checklist into your digital documentation makes it easy to remember and check on those items.

Email documentation - Share the information you gather with your customers. Showing them how committed you are to capturing high-quality documentation will show them how much you value the condition of your equipment.

Rental companies following these approaches are recovering 60% of the damage costs they used to absorb. Additionally, well-structured digital documentation has allowed them to preserve strong customer relationships. With clear-cut documentation, customers accept the damage and readily find ways to cover the costs and come back for repeat business. ■

Accepting equipment damage is probably something you have done for years and regard as a cost of doing business.

Additionally, most businesses care about customer service.

Swallowing a damage expense can seem better than fighting it out with a long-term customer.

However, taking this approach is hurting your business.

Our research shows that damage costs per transaction tend to be .007% of the asset’s market value. For a boom lift worth $174,000, that means losing over $12 for each and every rental. If you process 75 equipment rentals or leasing transactions per month, you just lost $900 during that time, or more than $10,000 over the entire year.

Next up is the cost of employees spending time processing damage claims. Employees making $30 per hour in salary and benefits take about 30 minutes on damage issues. If 10% of your transactions have damage issues, that translates to $1.50 worth of personnel time spent on damages for every rental.

And we still have not captured the cost of customer churn due to dissatisfaction. At Record360, our Rental Customer Reports show that nearly 50% of rental customers say they would never do business with a rental company that accused them of causing damage. That means losing half of all the customers you Shane Skinner is co-founder and CEO of Record360, a digital documentation solution for asset rental and leasing companies to decrease damage disputes and argue with over disputes... and anyone costs, and boost customer service. Prior to founding Record360, Shane worked as those customers would have referred to controller and business manager for Enterprise Rent-A-Car where he was responsible for providing leadership and strategic direction for assorted business units including you as well. vehicle rental, commercial truck, retail dealerships and vehicle financing.

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www.ForConstructionPros.com/RENTAL

8/9/16 1:53 PM

POWER

20 HP GAS/DIESEL

DRIVETRAIN

CUT DOWNTIME WITH THE

INDUSTRY’S ONLY DEDICATED RENTAL SUPPORT TEAM.

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Our durable, rental-ready automatic all-wheel drive Carryall® utility vehicles are backed by a corporate rental team you can reach directly by phone. They work exclusively for rental customers. Team members know our vehicles and organization from the inside out and: • Operate regional and on-site classroom and hands-on training for mechanics, working with actual Club Car vehicles.

• Troubleshoot issues with clients remotely and on site.

• Speed parts delivery.

• Serve as a single point of contact for Club Car. • Act as a liaison between rental customers, engineering, product development, aftermarket and other divisions of the company.

This combination of rugged vehicles and fast, efficient service reduces downtime and maintenance costs, improves renter satisfaction and speeds the return on your investment. To learn more, call Club Car’s Dedicated Rental Team at 800-258-2227.

©2016 Club Car, LLC. All rights reserved.

Search/ 10075648

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2016

BUSINESS SURVIVAL GUIDE

By Rick Simmons

The Keys to Successful ONLINE MARKETING Research where you should focus your efforts and then be an active participant to maximize your efforts

H

ow do I get the most out of digital marketing? The question can sound over whelming. “What should I do with all the tools available? Which ones should I be using?

Do I still need SEO? Do I want to use social media?”

Before any of those questions can be answered, your website and social media pages must make sense for your business. If you have not updated your website in more than a year, then it’s already past time to do so. The internet evolves very quickly and users’ expectations change even faster.

So, what steps should you take to ensure your digital marketing efforts are effective? First, assume that when someone comes to your website they’ve already done research on rental providers in your area and are trying to decide whether or not to choose you as a provider when they get to your site.

Answer their question: Why you?

Pick a target and then interact

then begin participating in targeted avenues. Notice I said participating and not selling – social media has become too much like a billboard and without enough participation.

The key is to be an active participant in social media and you will get more rewards. Those potential customers using social media don’t want to be sold to - they want to interact.

SEO matters Not even 10 years ago, you could get your business to show up on the first page of search results in a very short period of time with almost no work. Now, with the sheer volume of businesses and data, it is much more difficult to secure a spot on the first page of a search. Not only does it take more time, it takes more work. Being consistent in your search engine optimization (SEO) strategy is key in keeping your business in a higher search ranking. By finding a firm that knows SEO in and out, or doing the research yourself, you’ll be better placed to succeed at digital marketing overall.

A solid SEO strategy involves two important ingredients: • Consistent content curation and creation – blogs articles, videos, etc.

• Correct use of the right keywords - generally, the more detailed the search, the closer prospects are to a buying decision.

The next step is to grab attention. If it takes more than a few seconds for someone to figure out if they’re at the right page and what it is you do, then you’re already in trouble.

Consider what information customers would need to convince them that they should do business with you. Make clear what your reasons are for doing what you do. What makes Pay attention you tick? Why are you the best choice? Customers are buying Be patient, be persistent, and always continue monitoring you as a brand, as well as what you do or sell. so you can change your strategy as needed. When it comes to Once your foundation is in place the trick is to determine digital marketing success, staying with the times and being which of the many tools at their disposal do your prospects aware of how the industry moves is invaluable. Whether you use when they are doing research on a business. Do they use choose to hire an agency to help you with this or dedicate the search engines or is it a referral? Do they find you on internal resources to the mission, it must be consistently social media first? There’s an old saying that goes, “Be visitracked and re-evaluated to be effective. ■ ble where your prospects are looking.”

Unfortunately, most businesses don’t Rick Simmons serves as the digital marketing advisor at SimmonsOnlineSolutions. do the initial homework of finding out com and has now joined forces with ResultsRepeat. Rick works closely with small and mid-sized companies to identify needs and goals and develop a comprehensive and where they can be most effective and effective way to reach new business online. He has over 20 years of experience in internet reach the most potential customers. marketing, having served as sales director at Educational Directories where he developed Businesses need to research first and internet marketing for colleges and universities. Prior to that, Rick was sales director for Investor Broadcast Network, one of the first companies to distribute information online.

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www.ForConstructionPros.com/RENTAL

8/9/16 1:54 PM

VALUE TESTIMONIAL

VACUUM SYSTEMS ADD VALUE Vacuums Systems add value to rental fleets because it gives rental customers the tools they need for safety and productivity.

Floor Grinding and Surface Preparation work create large amounts of harmful airborne dust that should never be inhaled. The EDCO VAC 200, is designed to eliminate 99% of microscopic dust particles from workspace air, protecting rental customers from respiratory illness. The vacuum drastically reduces jobsite cleaning times, helping rental customers quickly complete applications.

Always remember there is a huge difference between the value EDCO Vacuum Systems and common Shop Vacs. Shop TM vac filters cannot stop microscopic dust or contain the large volume of visible dust produced by floor grinders or other surface preparation equipment. Vacuums can assist any other kind of rental application involving dry dust collection, like collecting wood shavings and general facility cleaning.

STRIP GRIND REMOVE

EDCO invented the modern day Floor Grinder. Magna-Trap™ Grinders are the proven & Rental-Tough designs we’ve manufactured for 50+ years, updated with modern features making them more productive and versatile than ever before.

Visit edcoinc.com to discover our entire line of Concrete Turbo and floor Grinders.

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TMC-7 7” EDGE TURBO GRINDER Ask about EDCO’s Superior Vacuum Systems.

Eliminates 99% of concrete and masonry dust.

Optional HEPA filters available for all systems.

edcoinc.com

Search: 10072848 www.ForConstructionPros.com/RENTAL

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2016

BUSINESS SURVIVAL GUIDE B y S h a r o n A n d e r s o n Yo u n g

3 Ways to Acquire a Qualified Team Consider a wider range of candidates when filling service tech positions

F

inding and keeping qualified technicians remains all for free. CASY a challenge to maintaining a fleet of on- or offoffers free serroad vehicles. The Association of Equipment vices to guide Management Professionals (AEMP) has identified job-posters in how the shortage of skilled labor as a critical issue for to compose their job equipment fleets in every industry since 2008, and this shortdescriptions so military age extends worldwide. candidates with the right While employers struggle with the skills gap, retired training will respond to them.

Brigadier General Marianne Watson, formerly the director of We also provide assistance in how to understand military manpower and personnel for the Joint Staff of the Air and Army experience and how to interview military candidates.”

National Guard at the National Guard Bureau, now director of Employers can post job openings for free by visiting the outreach with Center for America, a non-profit organization American Jobs for American Heroes website at www.centercoordinating the American Jobs for American Heroes campaign foramerica.org/register.html to increase veteran hiring, says the veterans currently leaving the Another opportunity for employers is to reach out to youngmilitary along with National Guard personnel who are underer candidates. Al Cervero, vice president of the Construction, employed represent a skilled workforce estimated to be over one Mining, & Utility sector of the Association of Equipment million annually, and over 100,000 of those veterans have the Manufacturers (AEM) points out that reaching out to local skills required to maintain equipment fleets. schools, training centers, clubs and scholarship sponsors makes “The issue is military placement centers on US bases and a long-term difference in your recruiting options. the counselors who man them are not aware of the oppor“Are you connected to local schools (technical, high tunities that exist in the industry,” Watson says, noting that school and universities)? Are you connected to civic clubs veterans transitioning out of military service into the civilian who offer scholarships? Do your interns become your advoworkforce have a focus upon safety and teamwork that are cates when they go back to school? Do your local schools all valuable to the equipment industry. know who you are, and do their counselors know about the “Veterans are concerned about career opportunities, not careers you offer? They are teaching your future personnel.” just a job. They want their military training and experience to Finally, ongoing training for your current employees is be valued and understood,” Watson points out. “Military vetvital. While every organization is going to have different erans also have a maturity and focus that can be leveraged for needs and budgets, systematically identifying your staff ’s success in apprenticeships or on-the-job training programs.” training needs and carefully planning how to meet them can Center for America partners with a non-profit organizalead to better utilizing employees’ time, higher productivity, tion called Corporate America Supports You (CASY) to offer fewer safety incidents, improved customer satisfaction and a free job-posting site where civilian employers can post jobincreased profit margins. The challenge of staffing in the curopenings that will reach military veterans and job-placement rent workforce shortage means your existing staff might be counselors on many military bases. your best resource if they have the right training. ■ “The process of joining is simple,” Watson says. “You log Sharon Anderson Young manages AEMP’s professional certification program for in and register a job opening on equipment fleet managers and suppliers. To learn more about earning your Certified Equipment Manager (CEM) or Certified Equipment Support Professional (CESP) the ‘American Jobs for American designation, contact her at Sharon@aemp.org. For more information about AEMP and the Heroes’ site and access our best EquipmentSHIFT to Lower Costs and Increased Productivity conference in Memphis, TN, business-practice hiring guides Oct. 26-27, 2016, visit the AEMP website at www.aemp.org or call (970) 384-0510.

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www.ForConstructionPros.com/RENTAL

8/9/16 1:56 PM

VALUE TESTIMONIAL

TROJAN DEEP-CYCLE

BATTERY TECHNOLOGIES

FOR RENTAL EQUIPMENT Various issues impact the industry from reduced budgets to increased environmental regulations, which makes battery selection critical to ensuring reliable operation of forklift, AWP and other lift access rental equipment. Trojan Battery offers advanced deep-cycle battery technologies that are engineered to maximize equipment performance, reduce downtime and extend overall battery life.

Trojan works closely with equipment manufacturers to ensure our batteries provide the functionality needed to keep pace with new designs and customer demands. Using advanced testing procedures and state-of-the art manufacturing practices, enable Trojan to deliver quality deep-cycle batteries for demanding applications.

Flooded Trojan’s deep-cycle flooded batteries are the flagship of Trojan’s product

www.ForConstructionPros.com/RENTAL

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portfolio, offering rugged durability and long life. Featuring Trojan’s T2 Technology™, an advanced battery technology that provides maximum sustained performance and increased total energy, Trojan’s deep-cycle flooded batteries are perfectly suited for use in a variety of applications.

HydroLink™ Deep-cycle flooded batteries need regular watering to ensure maximum performance and life. Trojan’s HydroLink™ single-point watering system simplifies this process, and can save time and money by helping avoid premature battery failures, as well as the cost of successive battery replacement due to lack of consistent watering. With Trojan’s HydroLink advanced singlepoint watering system, precise battery watering is made easy when on the job by filling a set of batteries in less than 30 seconds.

AGM & Gel Non-spillable batteries such as AGM and gel designs, are gaining in popularity due to various regulatory requirements. To meet this growing worldwide demand, Trojan offers a broad range of deep-cycle AGM and gel batteries that require minimal maintenance, and can be used in locations where mandates require equipment be powered by batteries that do not spill or gas. Trojan’s non-spillable deep-cycle AGM and gel batteries feature unique design elements for optimum performance and rugged durability.

(800) 423-6569 www.trojanbattery.com

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2016

BUSINESS SURVIVAL GUIDE

By Eric Freeman

HOW RENTAL COMPANIES CAN STAY COMPETITIVE With a New Approach To Financing Leasing offers a low-risk option for rental companies that need to meet demand quickly while supplying the most up-do-date equipment available

O

ngoing economic recovery and stabilization are fueling continued growth in construction, which is paving the way for rental companies to capitalize on burgeoning demand for equipment. But with that demand comes the need for supply.

Rental companies are only as competitive as the equipment they have available to rent, and they’re increasingly seeking solutions to help add in-demand equipment to their fleets. The challenge is that many rental companies believe that owning their equipment outright is the only strategy that will help them build value. A closer look at the intricacies of that approach reveals a much different result.

Downside of ownership While some owners perceive the total equity of owned equipment as a reflection of the total value of their company, the truth is that a rental company’s value is centered around the quality of equipment they are able to provide, and how quickly they can rent it to their customers.

For example, if a construction company needs to rent a bulldozer for a job, an older bulldozer riddled with wear and tear won’t be acceptable. Rather, the construction firm will seek out a rental company that can provide a new bulldozer equipped with the latest upgrades.

Having a refreshed fleet is simply essential for a rental company to stay competitive. But if not ownership, what is the best way for a rental company to stay competitive financially when acquiring equipment for their fleet? The answer is simple: lease-to-own financing.

Upside of lease-to-own Rental companies are increasingly shifting to lease-to-own financing in order to maintain an upgraded fleet of equipment, while also ensuring financial stability and minimizing risk over time.

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When buy ing equipment, rental companies face two major risks: • The economy could change, slowing demand and leaving the company with equipment they don’t need.

• Newer, more technologically advanced equipment could enter the market quickly, making the acquired equipment obsolete.

When rental companies lease-to-own, a finance firm can set up a short three- to five-year term during which the company makes monthly payments without any commitment to purchase the equipment. At the end of the term, the rental company can choose to walk away from the equipment free and clear - giving them the option to ease up on equipment acquisition or to acquire newer, more upgraded equipment or purchase the equipment at a fixed price that is outlined in the initial lease agreement.

This structure gives rental companies years to rent specific equipment, and allows them to defer the decision to buy until they are sure the demand will be sustained.

Financially, this makes sense for rental companies, enabling them to save cash up front and ensuring they don’t over invest in equipment that is not needed for the long term.

Working with a finance partner Equipment rental companies must be able to provide equipment as quickly as possible in order to remain profitable.

The process of searching for a bank and jumping through the required hoops can cost rental companies substantial profits.

Rental companies that work with an equipment finance specialist that can bring money to the table quickly and eliminate the tedious waiting game will benefit from smoother operations and increased profit over time. ■ Eric Freeman is vice president of Summit Funding Group, an Ohio-based company that provides equipment lease and finance solutions to businesses across the U.S. and Canada.

Founded in 1993, Summit Funding Group has originated more than $2.5 billion in equipment lease and finance transactions to date. Contact him at efreeman@4sfg.com. www.ForConstructionPros.com/RENTAL

8/9/16 1:57 PM

VALUE TESTIMONIAL

RENTAL PARTNER PROGRAM

DELIVERS EXCLUSIVE BENEFITS

Kohler Engines offers free training and support, parts discounts, and repowering rebates Minimizing downtown is critical for rental yards looking to maintain a competitive edge. As a result, industry leaders like Kohler Engines are stepping in to assist. The company’s Rental Partner Program is designed to help hard-working rental shops by creating a direct relationship between rental yard owners and Kohler Engines central distributors. Through the program, rental yards can power their equipment with Kohler’s comprehensive range of gas and diesel engines, while receiving exclusive benefits to help extend equipment

uptime, maximize a rental yard’s profitability, and more.

“The primary focus of our Rental Partner Program is simple,” says Kyle Rista, Channel Manager — Rental & Construction for Kohler Engines. “We help rental yards by providing just what they need, exactly when they need it. Whether that’s a new engine, parts, information or expertise, our goal is a seamless partnership so rental yards save money while delivering the best possible rental experience to their customers.”

Specific benefits of the Kohler Engines Rental Partner Program include discounts on maintenance parts and engines; repowering rebates; fast delivery; and online access to service literature, marketing materials and illustrated parts lists. Through the program, rental yards can also service their own fleets, perform warranty repairs, and receive expedited reimbursement on warranty parts and labor. For more information, simply visit KohlerEngines.com/RentalPartner.

Kohler Engines was founded more than 90 years ago and has continually enhanced its product lineup in an effort to make life easier and more profitable for rental professionals and other end users around the globe. The company offers a full array of gaseous, gasoline and diesel engines up to 134 horsepower.

800-544-2444 KohlerEngines.com

www.ForConstructionPros.com/RENTAL

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2016

BUSINESS SURVIVAL GUIDE

By Chad Cochrane

HOW TO DESIGN A WEBSITE THAT DRAWS BUSINESS to Your Rental Company Here’s how you can update and increase the effectiveness of your online presence

R

ecent studies show that 83% of contractors search the web for equipment information, leaving no doubt that keeping a professional and up-to-date website is important to your rental business. In the equipment rental industry we all measure the ROI of equipment, but proving the return on your digital investments can be more challenging. How much time and money to commit and how to measure effectiveness are top concerns. The good news is that no matter the current state of your website, there are actions you can take to improve the visitor experience and drive more customers to your company.

Identify the purpose of your site There are two basic types of websites. First is what you can think of as a digital billboard. Like a traditional billboard, the purpose of this website is to create an impression on the viewer and provide information on what you have to offer and how to contact you. The second type can be referred to as a digital storefront. The storefront site actually allows the customer to place orders, make rental reservations, chat with your employees, or make credit card purchases using e-commerce tools.

These two basic types of sites are not mutually exclusive and can be used in endless combinations, but in the early stage of modernizing your website you should have a good idea which direction you want to lean.

Honestly evaluate the current site Imagine that you are a customer or prospect and go to your website right now. Be honest with yourself. Is it engaging, modern and easy to use? Do you see any equipment listed that you no longer carry? Is there a continuous theme that comes across the same way whether viewing on your computer versus your mobile device? Are you compelled to pick up the phone, submit your contact info, or otherwise go out of your way to engage? Are you

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using Google Analytics to track your traffic, behaviors, clickthrough and bounce rates? If you take the time to use Google Analytics, you’ll learn a tremendous amount about the effectiveness of your site. Do you see more than 30% of your visitors leaving the site within 30 seconds? If so, you are failing to engage your visitors and something needs to change.

Make improvements There are simple and cost-effective improvements you can make that will get those phones ringing. Start with your contact information and location. All modern development platforms have easy to install map widgets that show your contact info and customers can see exactly where you are located. Use them. At a bare minimum, you should consider the following elements to your site if you haven’t already: • Easy to find contact information on every page • Easy to complete contact forms • Regular updates to content, pictures and copy

Looking Forward If you engage your counter people, sales people, your customers, and even your service team to ask them what your website is missing, you might find they already know the answers and have ideas to share. In some ways, your website is your only salesperson that never sleeps and works every weekend and holidays. Maximizing the effectiveness of this tool just makes sense. The best rental companies recognize the significant potential revenue that can be captured by leveraging web investments. Don’t be left behind. ■ Chad Cochrane is the general manager of US Markets Inc., an Illinoisbased wholesale lift equipment company that provides re-rental, reconditioning and used equipment services for the equipment rental industry across the U.S. and Canada. Founded in 1990, US Markets Inc. has repair and reconditioning facilities in TN, TX, and FL. www.ForConstructionPros.com/RENTAL

8/10/16 8:00 AM

VALUE TESTIMONIAL

BUILT WITH THE

DURABILITY & SAFETY ITS CUSTOMERS DEMAND

Allmand, a subsidiary of Briggs & Stratton Corporation, is a manufacturer of portable jobsite equipment focused on providing customers with safe, reliable, and high-quality products. Located in Holdrege, Neb., Allmand manufactures towable light towers, mobile industrial heaters, solar flashing arrow boards, and portable light stands for the global construction, mining, oil & gas, and rental markets. Allmand, with the help of Briggs & Stratton Corporation resources, is working to expand into the global market, allowing our products to provide for more businesses, communities, countries, and customers.

Allmand has expanded its current line of diesel light towers with the introduction of the Night-Lite™ NL5000 60Hz light tower. Designed as an ROI-driven solution and built with the durability and safety its customers demand, the NL5000 features a 45 gallon steel fuel tank providing users with approximately 90 hours of runtime, a vertical manual winch tower deployed from the rear of the unit to keep the operator away from the tower cables, exterior operating controls and fuel fill neck provide for quick operation and refueling of the unit, as well as a stepping pad for easy fixture adjustment and mast rotation from the ground. The compact design of the NL5000 maximizes both freight costs and yard storage by being able to fit 18 and 20 units on a 48’ and 53’ flatbed trailer, respectively.

www.ForConstructionPros.com/RENTAL

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Featuring the Allmand-exclusive 1250-watt metal halide light system, the NL5000 provides its users with a higher light output than competitive units in its class. All major service points, including the Tier 4 final Kubota 1005 (CARBand EPA-certified) liquid-cooled diesel engine, are easily accessible with a lockable clam-shell style door. The unit is also equipped with a Genset Protect™ system designed to protect the engine and generator from starting and stopping with AC power and ensures the lighting system is turned off at startup and shutdown.

(800) 562-1373 | www.allmand.com

AUGUST/SEPTEMBER 2016

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SPECIAL REPORT: ENGINES

By Cur t Bennink, contributing editor

Tier 4 Makes Construction Equipment Repairs a

TOUGH NUT TO CRACK

Evaluate alternatives to determine if your equipment repairs would be best handled by factorytrained technicians

T

he complexity of current diesel engines, driven by ever-tightening emissions regulations, could require adjustments to your approach to maintenance and repair. While in-house technicians can provide an efficient solution for basic maintenance, any type of repair work beyond the most basic might need to be handled by factory-trained dealer technicians who have access to proprietary tools.

Before servicing any equipment, you should have a thorough understanding of that particular unit’s aftertreatment system and its warning or condition indicators. Photo courtesy of Wacker Neuson

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“The previous tier-rated range of engines included technologies that have become more complex with each new generation through the use of electronic engine controls, variable turbos and high-pressure electronic pumps that have mutable sensor inputs to maintain proper emissions output,” says Mark Coberly, East Coast general service manager, JCB North America.

“These new components and complex electronic controls mean that each service technician needs training from the different engine suppliers, as each supplier has used different technologies to reach each tier level.”

Furthermore, each engine manufacturer/supplier uses its own specialized diagnostic tools for troubleshooting.

“To ensure maximum machine uptime, thorough, specific training has become very important to dealers and customers alike,” notes Coberly.

Aftertreatment systems have become a game changer. “Additional training is needed and recommended for Tier 4 Final machines because they have aftertreatment systems that didn’t even exist on Tier 3 machines,” states Craig Timmerman, product marketing manager, John Deere Construction & Forestry.

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“To ensure maximum machine uptime, thorough, specific training has become very important to dealers and customers alike.”

— Mark Coberly, East Coast general service manager, JCB North America

Proprietary service software is now a reality. “Tier 4 Final engine service requires specialized diagnostic tools and software, which can differ from one manufacturer to the next,” says Jake Gaylord, technical training manager – North America, Wacker Neuson. “The proper use of this diagnostic technology is best gained through specialized training, and is essential for successful troubleshooting.

“However, no repair ends with troubleshooting, and the use of these tools doesn’t end there either,” he continues.

“When a new electronic component is installed, it might require calibration or programming before the repair is complete. For example, if a fuel injector fails on a Tier 4 Final

engine, the technician must use a computer program to ‘tell’ the electronic control module (ECM) how the injector should work. If the injector is not calibrated properly, the ECM will not be able to control or monitor the injector. In many cases, without the proper tools and training, most repairs cannot be completed successfully.” q Tier 4 Final engine service requires specialized diagnostic tools and software, which can differ from one manufacturer to the next. The proper use of this diagnostic technology is best gained through specialized training.

Photo courtesy of Wacker Neuson

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SPECIAL REPORT: ENGINES Continual training required Technicians who work on diesel engines must keep up with the rapid pace of technology.

“Diesel engine technicians who service Tier 4 Final equipment require additional training, especially if they’ve only worked on older engines in the past,” says Brad Stemper, solutions marketing manager, Case Construction Equipment. The emissions solutions differ depending upon the size of the machine, the application and the particular OEM.

the type of regeneration required and the overall functionality of the system.

“It’s critical that both the operator and the technician understand what those indicator lights mean,” he emphasizes. “For the operator, ignoring the warnings can cause a number of issues that include de-rating and additional downtime if the regeneration isn’t allowed to take place, or if the DEF level is getting too low. For the technician, they need to be able to communicate to the operator and the equipment owner what those indicators

p New components and complex electronic controls mean that each service technician needs training from the different engine suppliers, as each supplier has used different technologies to reach each tier level. t Each system is going to come with a different set of warning lights based on the emissions solution used. In SCR machines these will revolve around diesel exhaust fluid (DEF) levels, DEF quality and the overall operation of the SCR system.

With each solution, it’s important to understand what the machine is communicating to the operator and technician. “Each system is going to come with a different set of warning lights based on the emissions solution used,” says Stemper. “In SCR (selective catalytic reduction) machines, these will revolve around diesel exhaust fluid (DEF) levels, DEF quality and the overall operation of the SCR system. In equipment with diesel particulate filters (DPFs), these lights will revolve around

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mean, because if they don’t, that could lead to customer downtime related to Tier 4 maintenance.”

Before servicing any equipment, technicians should have a thorough understanding of that particular unit’s aftertreatment system and its warning or condition indicators.

“In fact, anyone directly related to the operation and maintenance of the machine should possess this knowledge,” says Gaylord. “Oftentimes, system warnings can be resolved with simple service regeneration. However, if a condition or warning is ignored or

misinterpreted, it can result in costly component failures and machine downtime. This knowledge should be taught at every level of an organization that uses Tier 4 Final engines in its day-today operations.”

“Warning lights and diagnostic trouble codes are key tools for a service technician to fix an issue on a Tier 4 Final machine,” Timmerman agrees.

Given that many John Deere machines have built-in diagnostics that will help identify problems, it may be possible for an internal technician to repair items such as broken wires or damaged components with proper training. “If the problem is more complicated, John Deere dealers are trained and equipped with tools to help fix the problem.”

It takes more than a basic understanding of the system for many repairs.

“Internal mechanics should have a basic understanding of the system. However, the OEMtrained mechanic is more likely to have the correct tooling and parts needed to properly troubleshoot the system,” says Rhys Eastman, director of service, training and warranty, Volvo Construction Equipment.

Compact equipment solutions vary Compact equipment falls at a critical horsepower breakpoint where a wide range of emissions solutions often apply.

“Generally speaking, most engines under 75 hp will use diesel oxidation catalyst/diesel particulate filter (DOC/ DPF) solutions to reach emissions compliance,” says Gaylord.

However, even these solutions vary.

“Each manufacturer has addressed equipment in that operating range differently,” says Stemper. “On the vast majority of machines below 74 hp, Case has elected to use a particulate matter

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“Improper repairs can result in complete system failure, resulting in costly replacement and machine downtime.”

— Jake Gaylord, technical training manager – North America, Wacker Neuson

catalyst, which is a DOC with a highefficiency flow-through filter.”

A DOC proves a simple solution for many compact machines. “Barring any physical damage caused by force, incorrect maintenance practices or some other abnormality, DOCs are maintenance free and designed to last the life of the machine without replacement or any regular service intervals,” says Stemper.

But engine-related problems can affect DOC performance. “Engine failures (bad rings/blown turbo) could cause DOC failures,” Gaylord

acknowledges. “The DOC needs to reach a minimum temperature in order to ‘light off.’ If the engine is only run at low loads for short periods of time or in extremely cold environments, the DOC could never reach the intended temperature and then you would have a need for maintenance.”

JCB uses an advanced combustion system with an exhaust gas recirculation (EGR) valve and cooler to meet Tier 4 with its 74-hp Ecomax engine.

“Maintenance on the 74-hp engine is the same as on the Tier 3 engines, but you want to ensure the machines are

cycled monthly to maintain proper operation on the valve,” says Coberly.

“EGR valves can seize if not cycled.

One other item is to check the crankcase ventilation filter, which should be changed every 1,500 hours or one year of operation on a JCB unit. This can be completed without dealer assistance.”

SCR requires proper training SCR systems are used by the majority of OEMs for engines greater than 75 hp. These systems have many benefits, but are finely tuned and more complex.

“Improper repairs can result in complete system failure, resulting in costly replacement and machine downtime,” says Gaylord.

All SCR-related repairs should be completed by factory trained technicians who can ensure proper repairs, operation and emissions compliance.

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SPECIAL REPORT: ENGINES “These are specialized systems that, if damaged, can void warranties and render the emissions solution inoperable and cause further downtime or de-rated operation,” says Stemper.

SCR systems are particularly sensitive to contamination in the DEF. “If any signs of contamination are found in the tank, you must drain the tank of all fluid and dispose of it properly in accordance with local laws,” advises Coberly.

“Thoroughly clean the tank with distilled water or DEF tank cleaner. Flush the tank thoroughly, drain and refill with new DEF fluid. If the contamination is severe, it will require a complete flushing of the system to ensure proper machine operation. Flushing of the system should be completed by a trained dealer technician.

“DEF fluid quality is extremely important to the performance of the DEF system,” he adds. “DEF is injected into the exhaust stream where it mixes and reacts to NOx and changes it into harmless nitrogen and water. If the DEF quality doesn’t meet industry standards, it can cause serious damage to the system and require servicing.”

It’s crucial to understand and follow proper DEF handling practices.

“DEF handling and storage is extremely important for both the operator and the technician,” says Eastman. “Also, it is vital that the refill area on the machine be cleaned of all possible contaminants prior to refilling the DEF.” “Precautions should always be taken to handle and transport DEF in approved containers,” Stemper adds. “We suggest equipment owners not re-use open containers or mix their own DEF.”

DPF filter service Many emissions solutions include a DPF that will eventually need to be serviced. It should be cleaned or replaced based on OEM recommendations.

“All DPFs need to be cleaned on a regular basis regardless of horsepower range, as debris ranging from ash, engine oil, wear metals and air-induced

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dust will remain in the filter substrate,” says Coberly. “Soot and other organic compounds are removed during operation by oxidation. The cleaning intervals vary depending on the condition of the engine/product and its duty cycle.”

Several factors determine how long a DPF will operate before service. “One is the overall surface area of a DPF,” says Gaylord. “The larger they are, the longer they last (typically).” The condition of the piston rings and the amount of idle time can impact the overall service life.

will be flagged by your machine with a monitor indicator, or as required by diagnostic codes. Field results on John Deere machines equipped with a DPF have shown this service is often not required until the first major engine overhaul. Actual intervals will be a result of your specific machine application and regular maintenance practices, such as the lube oil used.”

Several dealers offer filter exchange programs, since cleaning must often be outsourced.

“DPF cleaning is not something construction equipment dealers often do.

It’s very expensive to buy the machinery and would require doing dozens per month to justify the expense,” says Gaylord. “These systems are costly to install and require specialized training to operate.”

Relying on dealers

p DEF handling and storage is extremely important for both the operator and the technician. Also it is vital that the refill area on the machine be cleaned of all possible contaminants prior to refilling the DEF.

“All DPF systems are designed to run past the minimum government requirement,” says Eastman. “DPF cleaning is largely impacted by application and engine load. For example, an engine with high and constant load will have a longer cleaning interval compared to an engine with low load and high idle time. Service life of the DPF is not based on hours. The system is computer monitored.”

“The hour level at which the DPF will need to be cleaned is condition based, meaning it will vary based on machine usage,” says Timmerman. “The time this service should actually be performed

Forming a partnership with your dealer is critical to successful Tier 4 equipment uptime.

“Partnering with your dealer for preventive maintenance and granting the dealer’s service department visibility into telematics data is important, especially for smaller to mid-sized fleets that may not have professional technicians on staff,” says Stemper. “Telematics, especially viewed by a trained diesel engine technician, can help raise red flags that may tie back to the emissions standards and allow the dealer to address them before they become larger issues.”

Dealers are also best equipped to handle the latest advancements. “With any computer-based system upgrade, the OEM mechanic will be provided with the necessary tools and training to not only correct any potential issues, but reduce any customer downtime,” says Eastman. “Volvo makes sure that its dealers are provided the right tooling and training so their technicians are successful. With every advancement with engine systems — be it Tier 3 or Tier 4 Final — training and tooling is paramount to a successful repair.” ■

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VALUE TESTIMONIAL

ALLIED CONSTRUCTION PRODUCTS, LLC

Industry Leader in Hydraulic Breakers and Vibratory Compactors Since 1942, Allied Construction Products has been the source for the most dependable and productive line of hydraulic breakers and vibratory compactor/ drivers in the industry. All our products have met the challenges of the rental industry, which requires stronger equipment with more reliability and operating efficiency.

Our Rammer® and Allied Hy-Ram® hydraulic hammers as well as our Ho-Pac® and Skid-Pac® compactors are designed to actually verify and improve your rental decisions.

Hy-Ram:

Ho-Pac:

• Heavy-duty sealed housing design enclosed at bottom, suspends the internal working body inside a fullbox enclosure to protect the hammer, reduce noise and minimize vibration and wear on the carrier.

• Gas-assist design using low-pressure nitrogen improves efficiency by reducing demand on the carrier’s hydraulic system • Large piston • Large tool diameter • IBP (Idle Blow Protector) on medium and large models prevents idle strokes, avoiding internal stress.

• Optional Automatic Greasing System can be mounted on the hammer housing, dispenses lubricant throughout the hammer • Easy to use • Excellent power-to-weight ratio • Constant high productivity

• Ideal for trench, slope and excavation compaction • Also great for compacting waste materials and breaking up frozen coal • Able to compact in densities in excess of 95% Proctor • Four Function Valve controls flow, pressure, regenerations and oil flow direction • Oil Splash Lubrication provides maintenance free (no greasing) bearing lubrication • Optional swivel-top mounting bracket permits precise positioning of Ho-Pac without repositioning the carrier

Rammer: • Heavy-duty housing design is reinforced for extended life and severe duty • Standard top-down lubrication and underwater adaptation • Built-in lubrication and air passages for easy installation of remote lubricators and air lines for underwater work • Membrane type accumulator • Slip-fit tool bushings are easy to replace when needed

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Skid-Pac: • Fits all manufacturers’ skid steers in the 4,000 lb to 14,000 lb weight range that use the universal mounting quick-change couplers • Larger eccentric with mass further away from shaft centerline helps to increase impulse and compaction force • Oil splash provides maintenance--free bearing lubrication (no greasing) • Base plate compacts soil in flatwork while skid steer is moving forward or in reverse • Four-function valve controls flow, pressure, regeneration and oil flow direction • Beveled front and back edges of base plate “push” the soil to assist in the leveling of sub-bases

THERE’S NO SUBSTITUTE FOR EXPERIENCE Allied Construction Products, LLC 3900 Kelley Ave. Cleveland, OH 44114 Ph: 216-373-0229 • Fx: 216-431-2602 Sales@AlliedCP.com

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VALUE TESTIMONIAL

SCANIA’S INDUSTRIAL ENGINES ARE

US TIER 4 FINAL AND EU STAGE IV COMPLIANT Emissions Technology Scania uses the same modular engine platform for all emissions requirements throughout its complete engine range. Therefore, there is no need for global OEM’s to redesign their equipment for markets with different emission legislation.

Scania’s solution to meet Tier 4 Final emission requirements utilizes a SCR system in conjunction with a low mixture and cooled exhaust gas recirculation (EGR). This low percentage EGR keeps the cooling package requirements similar to non-EGR engines. Unlike most engine manufacturers, Scania is able to meet the strict emission requirements of Tier 4 Final without adding a Diesel Particulate Filter. Scania also redesigned the combustion chamber to improve engine efficiency and reduce the amount of harmful emissions produced by the engine. The fuel efficiency of the Scania Tier 4 engines was also improved compared to previous Tier engines. Scania uses the same after-treatment strategy for both their industrial, variable-speed engines and their new power generation, singlespeed engines.

Scania Service Network Since 2011, Scania has continued the expansion of the service network in North America and is now comprised of 340 marine and industrial service

points in the USA and Canada.

Scania’s service network includes over 700 technicians trained on the latest emissions standards and technology. Scania has processes in place to safeguard the quality of service received.

Scania Assistance (1-800-2SCANIA) provides customers with a 24 hour reporting line for any service issues they may face. All Scania Assistance cases are monitored until the engine is put back in service in order to ensure the customer gets maximum uptime and minimum downtime from their Scania engine. Scania uses metrics from Scania Assistance to measure everything from how quickly a customer is responded to all the way up to the time it takes to get the equipment back in service.

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POWER FACTS 275–770 hp 5, 6 and 8 cylinders US Tier 4f, EU Stage IV NO DPF

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CONSTRUCTION SUPPORT EQUIPMENT

By Rod Dickens, contributing editor

Showing Customers the LIGHT… and More

Understand the differences between varieties of light towers so you can make the best decision for your inventory and ultimately, your customers

L

ight towers are popular rental items that attract a broad spectrum of home owner and professional customers. When their application calls for illumination, they will first and foremost look for a unit that delivers optimum light.

But their list of wants likely won’t end there. There’s an array of considerations to be addressed, not the least of which is run time, auxiliary power needs, durability, portability, and ease of operation.

Lights first To meet their lighting needs, rental customers have essentially two lamp options, metal halide, and LED. High-pressure sodium (HPS) lights are available, as well, but their orange tint lighting is less attractive to most customers.

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t Sales people need to ask if the light tower is going to be used as a power source, as well as a light source. Some models go up as high as 20kW output and can be rented as dual-purpose machines.

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VALUE TESTIMONIAL

WHY DID RG RENTS

SWITCH TO CARRYALL® UTILITY VEHICLES?

Drive Savings

By Jerod McDowell, 4x4 Utilit y Produc t Manager at Club Car

Many utility vehicles are built for recreational use, yet sold into the rental market. But these vehicles aren’t engineered for down-and-dirty rental applications. Their bodies, suspension systems, rust-prone steel frames and other components just can’t hack the rough conditions. And many are gasoline powered.

RG Rents, an independent rental company in St. Louis, Mo., experienced that firsthand. The company, which services commercial contractors, was

renting utility vehicles made by several manufacturers.

“But most of the vehicles we tried simply were not built to hold up in demanding environments,” says coowner Joe Alonzo. The results: high call volumes and short life spans.

In addition, most manufacturers do not have the infrastructure to meet the needs of rental customers.

RG Rents solved both problems by replacing all of its UTVs with new Carryall all-wheel drive utility vehicles.

“The Carryall utility vehicles are holding up much better than other utility vehicles we’ve tried. We keep them rented all the time, and have very few problems,” Alonzo says. “If we do have an issue, we call a Club Car technician directly from the job site and get excellent support.”

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Carryall utility vehicles are purpose-built for work. They feature strong rust-proof aluminum frames, four-link semi-independent rear suspension systems that maintain their ground clearance even when fully loaded, durable ArmorFlex bodies and powerful diesel engines.

In addition, Club Car operates the industry’s only dedicated rental support team and a national network of warehouses for quick delivery.

“The Carryall utility vehicles were readily available, and they are holding up much better than others we’ve tried,” Alonzo says. “We keep them rented all the time, and have very few problems. If we do have an issue, we call a Club Car technician directly from the job site and get excellent support. And we love the Carryall’s rustproof aluminum frame.

It’s strong yet light, which lets us deliver more vehicles at a time.”

Don’t play around. Call Club Car’s Dedicated Rental Team at

706-955-0252

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“Metal halide (MH) light fixtures are still the most popular,” said Vince Hunt, product marketing manager for Wacker Neuson. “Their capital investment costs are five to six times less than LED and their light intensity (lumens) is significantly greater than LED. This will change, though, as the price of LED comes down. In fact, LED lights are available on all our light towers.”

According to Generac Product Manager for Mobile Products David McAllister, the choice between metal-halide and LED lamps might be academic in the near future. “The market transition to vertical mast is well

of North America (IES) recommendations,” she explained. “They include the size of the area, whether light needs to be constant, and how bright it should be.

Utility work, for example, requires more light than illuminating a parking lot.”

The type and number of light towers a customer needs depends on the application, and even though rental machines tend to be ‘bare bones’ units with less features, said Hunt, that, too, varies with the application. Like McAllister, he underscores the growing popularity of vertical mast models because of their fast set up/tear down and easy operation. “The design,” he

underway and the LED revolution is next,” he remarked. “In addition to dramatically lowering light tower fuel consumption and increasing run times, LED fixtures are durable, virtually eliminating the bulb-out issue. They are instant on and off, no waiting to restrike like metal halide lights, and they last a long time.”

Deree Bivins, product manager, lighting systems, Doosan Portable Power, puts these illumination level requirements in perspective. “A number of factors help determine the amount of light needed for an application based on the Illuminating Engineering Society

Certain models of Generac light towers offer 24-hour run time and are managed through a Power Zone controller with a 7-inch display.

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emphasized, decreases the total length of a light tower, maximizing the number of machines that can fit on a standard shipping truck or that can be stored by the rental house.”

Typical applications David Streiff, Generac’s director of national sales for mobile products, places light tower applications into three basic categories: entertainment or events; general rental lighting for

construction; and oil and gas, mining, and remote locations.

“For short-term applications, such as events, the principal requirement is a unit that’s easy to transport, set up and operate. Unlike many professional applications, they might not have big auxiliary power needs for a generator.

“Our model MLT6 is a good option for these types of applications. It’s very intuitive and easy to operate, so you don’t have to be a professional to get it up and running. The vertical mast unit features a 6 KW generator, 90 hours of run time, and four 1,000-watt metal halide lights. In addition, its innovative design allows for 19 units to be transported on a 53-foot flatbed trailer, resulting in reduced transportation costs for the rental customer.”

“The MLT6SMD, introduced at The Rental Show this spring, offers a few more features,” added McAllister.

“Among them is a dual-speed engine for quieter operation and LED lights. When running at low speed with lights only, the engine operates at 65 dBA, ideal for event rentals. In combination with LED lights that require less energy, lowspeed operation can increase run time from 90 to 215 hours.”

Construction applications vary considerably, but they generally require rugged light towers that offer several auxiliary power options. “Salespeople need to ask if the light tower is going to be used as a power source as well as a light source,” said Hunt. “While most standard light towers have around 6kW of output, models go up as high as 20kW, such as the Wacker Neuson LTW20. Essentially, these higher output units are rented as dual-purpose machines that serve both as a generator and light tower.”

Bivins agrees. “A combination machine like our model L20 offers necessary illumination while providing up to 20kW of energy for powering tools, heaters, or a jobsite trailer. A two-inone machine like this is especially

www.ForConstructionPros.com/RENTAL

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VALUE TESTIMONIAL

BREAK UP SOIL FAST with the Right Augers and Blades Picking the right augers and blades for an earth drill unlocks the door to faster digging and greater profits. Little Beaver offers a wide variety of components to power through challenging soils, from rocky to clay-heavy material.

Little Beaver provides augers in 13 sizes, from 1.5 to 16 inches in diameter and in 36- and 42-inch lengths. Small diameter hex augers also come in 60-inch lengths. If the job calls for holes deeper than 5 feet, Little Beaver makes 18- and 36-inch long snap-on extensions.

In addition to a variety of auger sizes, Little Beaver also offers an assortment of blades. Its standard blades are ideal for drilling in loamy soils and feature cold-rolled steel as well as hard surfacing edges. For projects with hard clay or compact rock, carbide and chisel point blades provide the tip needed to power through while remaining sharp 10 to 20 times longer than traditional steel tips.

Need help picking the right augers or blades for your job? Connect with the experts at www.littlebeaver.com.

About Little Beaver Inc. Little Beaver has been proudly manufacturing quality, safe and productive drilling equipment for three generations.

With a full line of easy-to-operate equipment, along with a complete offering of accessories, including augers, extensions, points and blades, Little Beaver effectively serves the needs of end-users from professional contractors to rental centers.

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CONSTRUCTION SUPPORT EQUIPMENT

beneficial for jobsites with tight quarters — ones that require light but don’t have a reliable power source.”

McAllister reminds readers that the type of lights, LED or MH, will impact available auxiliary power. Just as an example, he noted that LED lights on Generac 6kW generators allow users to export up to 5kW of power compared to 1kW when equipped with metal halide lights.

“LED lamps are finding their way into more construction projects in large part because they are extremely durable and efficient,” said Jim Siffring, product manager, generators at Atlas Copco.

“The LED floodlights we incorporated into our LED highlight V5+ can last longer than 30,000 hours and withstand tough conditions, from vibrations during transport to harsh work environments. For instance, contractors with a fleet of 200 light towers can save as many as 600 bulbs each year when switching from metal-halide light towers to the HiLIghtV5+. Because they are more efficient than metalhalide bulbs, LED bulbs contribute to overall fuel savings, as much as 520 gallons of diesel per 2,000 hours of operation.

“Light tower canopies, not just the lamps, must also withstand difficult construction applications.

Many, today, offer more weather resistance and durability than previous models.”

“We launched two other products at The Rental Show, the MLT4060MVD and the LINK tower,” said McAllister.

“The MLT4060MVD is a wide-body light tower ideal for remote locations.

It has a long 580-hour run time and an automated light controller for photo eye or timed start/stop sequencing.

The light tower also features an Engine

Temperature Management System that keeps the engine at the proper temperature regardless of operational loads or ambient temperature.

“A strobe-like beacon can be timed to alert operators when fuel is running low and telemetry will allow them to monitor operation from virtually anywhere. A 1,000-hour oil change interval is attractive for both the remote user and the rental house.”

Indoor use, where emission issues prohibit the use of gas or dieselpowered units, requires a different type of light tower. The portable LINK tower is Generac’s answer for this. The unit can be connected to a 120V utility power source or generator and features LED lights and a mast that extends to 17 feet. Two towers can be linked together on a 20-amp circuit to provide additional illumination. t LED lamps are finding their way into more construction projects in part because they are so durable and efficient.

Other applications Events and outside construction projects are typical applications for light towers, but they are also used in the oil and gas industry and mining operations, often located off the beaten path in remote locations.

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Other specialized jobsites, such as evening road construction, might require diffused light. “Light balloons are a recent innovation for this type of application,” noted Hunt. “Because they emit a very soft light with less glare and fewer shadows, compared to standard light towers, they have become popular for party events, too. Wacker Neuson offers two light balloons, the LBS 110m that comes with a tripod and the LBA 110m, a simple light balloon that customers can use with their own equipment. The latter can be quickly attached to scaffolding or asphalt pavers.”

u Light towers must withstand difficult construction applications.

Many models offer weather resistance and durability.

Cost and other concerns Fitting cost to the application is part of the rental equation from two perspectives: initial and operations cost.

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Install rubber tracks fast with Hydraulic Tools

Search: 10072121 www.ForConstructionPros.com/RENTAL

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CONSTRUCTION SUPPORT EQUIPMENT

Siffring gives this example: “Light towers with metal-halide bulbs are usually less expensive for contractors to rent.

Conversely, since metal-halide bulbs are less efficient than LED lamps, customers would have to weigh the rental costs against the higher fuel costs associated with using them.

“Then there are transportation costs. Because of their small footprint, compact light towers allow contractors to get more of them on a trailer and reduce costly trips to the jobsite. Even our diesel units are designed to be compact, which contribute to transportation efficiency.”

“Certain applications might require glare-free lights for night work, whereas others might put restrictions on fluid containment or noise level,” added Bivins. “Some jobsites, in both the United States and Canada, have established containment regulations that can include oil, coolant and fuel. Selecting a portable light tower that offers containment as part of the machine frame makes it simple for customers to comply while avoiding the additional costs associated with a separate containment tray or spill pad.”

As the above manufacturers pointed out, when it comes to renting light towers, showing the customer the light requires more than determining their immediate illumination needs. There are numerous applications that require customers to take into account portability, auxiliary power needs, run time, and durability, among other considerations. Just as with any rental customer, matching equipment and features to the application is fundamental to having a satisfied customer and repeat business. ■

Compact light towers allow contractors to get more units on a trailer and reduce costly trips to the jobsite.

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BARRETO MANUFACTURING, INC.,

TREE CARE PRODUCTS What began as a revolutionary idea for a hydraulic tiller back in the 80’s and led to developing the first all-hydraulic walk behind trencher in the 90’s, has become an industry-leading product line of lawn, garden, and now tree care equipment.

The first product in the Barreto tree care line was the Log Splitter introduced in 2006. Built specifically for the demands of the rental market, the Barreto log splitter features a 790 lb. frame, a high carbon wear-alloy wedge, and a 6” x 25 lb. wide flange beam. The innovatively designed torsion axle can be moved to one of three positions to reduce or increase tongue weight to the owner’s preference. Safety is standard with a mandatory two-handed control system, cushion mounted log cradle, and spring loaded cleaning wedge.

In 2013, Barreto brought the 30SG Stump Grinder to the rental market.

Featuring the same track drive platform as the dependable TK track trencher, the 30SG has a hydraulically-driven cutter wheel that is raised and lowered

into the stump and then moved from side to side to cut down. The tracks are driven by independent hydrostatic pumps mounted on the rear of the engine for easy access and simple linkage control. Counterbalance valves on each track drive prevent the motors from slipping while the cutter wheel is engaged, even while operating on a slope. All-hydraulic drive to the cutter wheel eliminates costly belts.

2016’s addition to the Barreto tree care line is the 3104CMS Chipper/ M u l c h e r / S h r e d d e r. T h e C M S

transforms yard debris into valuable mulch and is powered by a 31hp Briggs Vanguard V-Twin engine with electric start. The CMS is designed to chip logs and branches up to 4”, while the mulching hopper accommodates smaller leaves and branches. The CMS comes ready to tow with a standard torsion axle and quick release coupling. To reduce maintenance costs, the chipping blades are double sided and the mulching/shredding hammers have four hammering surfaces. Both have quick access ports for easy servicing or repair.

See how the Barreto tree care line can help your rental business.

Call us today at 1-800-525-7348 or visit www.barretomfg.com.

www.ForConstructionPros.com/RENTAL

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LIGHT TOWERS

 Doosan L20 Light Tower and Generator

The L20 features a hydraulically powered vertical mast light tower that extends to its full 25-ft. 8-in. height in less than 30 seconds.

• Four 1,000-watt metal halide lamps can be adjusted horizontally and vertically and each light fixture can be maneuvered independently • 20-kW generator powered by an Isuzu 4LE2 direct-injected engine with a single-phase Leroy Somer alternator • Able to withstand winds of more than 65 mph

 MMD Lynx Lite Pro 8 Light Tower

The Lynx Lite Pro 8 light tower features a Kubota D-1105 Tier 4 engine and a 36-gal. fuel tank that enables a 72-hour run time.

• Four 1,000watt metal halide lamps • Fully adjustable and multidirectional with 360° rotation • Fully hydraulic cylinder can rise to 28 ft. in just 24 seconds • Eight-event programmable timer with auto start and warm up/cool down • 8-kW generator with 120V GFCI duplex outlet Search: 12094967

• Provides 57 hours of continuous operation at 100% load with a 70-gal. fuel tank • Comes standard with 110% fluid containment and includes a removable panel for radiator fill, a hooded exhaust cover and central drains Search: 10090477

 Allmand NightLite NL5000

The Night-Lite NL5000 60-Hz light tower includes Allmand’s 1,250-watt metal halide light system and vertical manual winch tower deployed from the rear.

• Stepping pad enables easy fixture adjustment and mast rotation from the ground • Genset Protect system protects the engine and generator from starting and stopping with AC power and ensures the lighting system is off at startup and shutdown • Kubota 1005 liquid-cooled, Tier 4 Final/CARB-certified diesel engine • 45-gal. steel fuel tank provides approximately 90 hours of runtime • All major service points easily accessible via a lockable clamshellstyle door

WANT MORE PRODUCT INFO? USE THE EIGHT-DIGIT CODE

For more information on any of the products in this issue, simply type the unique eight-digit code into the search bar at the top of www.ForConstructionPros.com/Rental.

 Wacker Vertical Mast Light Towers

These trailer-mounted, vertical mast light towers feature a hydraulically operated, five-section mast that extends up to 25 ft. in about 10 seconds at the push of a button.

• Telescoping mast retracts down but remains in the vertical position, eliminating the tower overhang off the back of the trailer • LTN series provides a narrow body design and includes 6-kW models with a Kohler, Caterpillar or Kubota engine and a 8-kW model with a Kubota engine • LTW series has a wide-body design with large fuel tanks and comes in 6- and 8-kW models with a Kubota engine, and a single- or three-phase 20-kW model with an Isuzu engine • Four elliptical light fixtures include 1,000-watt metal halide lamps, with an LED lamp option available • Includes full 360° light rotation and a tiltable light bar Search: 12094970

 Atlas Copco HiLight V4 and the LED HiLight V5+ Atlas Copco’s HiLight V5+ minimizes operational costs with its long-lasting LED bulbs and fuel-efficient operation. The HiLight V4 features four metal-halide floodlights to give contractors a dependable light source for a variety of jobsites. Both models are lightweight, compact and feature Atlas Copco’s exclusive HardHat canopy for extreme durability in rugged applications,.

• The LED floodlights are rated for 10,000 hours and are durable to withstand a range of challenges, from vibrations during transport to harsh work environments • Achieve run times as long as 140 hours while minimizing fuel consumption on nighttime projects • Retractable, vertical mast on the HiLight V4 and HiLight V5+ make them easy to transport • The floodlights rotate 360 degrees and generate as much as 440,000 Lumens to easily illuminate any section of a jobsite Search: 12157766

Search: 12146968

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 Generac MLT6S Mobile Light Tower Family The MLT6S mobile light tower family includes the MLT6SM and MLT6SK with four 1,000-watt metal halide lights generating 440,000 total lumens, and the MLT6SMD with four 240-watt LED lights generating 88,000 total lumens.

• MLT6SMD powered by a Mitsubishi variable ECOSpeed engine that adjusts idle speed to 1,350 rpm for lighting only and 1,800 rpm for lighting plus 5-kW clean power export • Includes a corrosion-proof poly shell, 23-ft. masts and 1-minute set up time • Power Zone Autolight Controller provides automatic start and stop selections, dusk-to-dawn photo sensor operation and 7-day scheduled run periods

 Larson Pneumatic Light Tower

Larson’s 20-ft. pneumatic light tower (WAL-PML-4X160LED-3G) is designed to quickly deploy 640 watts of intense lighting to illuminate areas where power is not provided.

• Four 160-watt LED light fixtures mounted to removable bracket

Search: 12182657

• Pneumatic boom with easy fold-over assembly

 Chicago Pneumatic CPLT V5+ HiLight Light Tower

• Light boom extends to 20 ft. and collapses to 8 ft.

The CPLT V5+ HiLight LED light tower features a heavy-duty polyethylene canopy designed to withstand the extreme elements and working conditions.

• Kubota Tier 4 Final engine powers four 350-watt LED lights that offer visibility up to 7 acres • 28-gal. fuel tank allows 150 hours of operation before refueling • Vertical mast can be raised to 25 ft.

• Environmentally friendly frame design with spill containment • Includes four heavy-duty stabilizers, a 110-volt, 2-kW courtesy outlet to run tools and wide wing doors for easy service access

• Constructed of heavy-gauge steel with powder coat finish • Produces approximately 58,000 lumens • Single, 4,000 KVA generator mounted to tower base; includes standard 120 and 240 volt outlets for accessory attachments Search: 12235605

Search: 12195036

HORSEPOWER MEETS MANPOWER. With two rows of bench seating, the Hauler ® 4X4 Crew takes big-time hauling g bey beyond ond nd the cargo bed. A 22-hp diesel engine and user-selectable 4WD deliver enough po power wer err to move four workers and a full bed of gear and supplies. Meanwhile, power steeri ring ng g and a generous ground clearance give you the confidence to take on the most pun nish ishing ing ng terrain. Visit Cushman.com/Hauler4X4 to see it in action. ©2015 Textron Specialized Vehicles. All rights reserved.

Search: 10711756 www.ForConstructionPros.com/RENTAL

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INDUSTRY UPDATE

HERC RENTALS SEPARATES FROM HERTZ

as Distinct, Publicly Traded Company

Herc Holdings Inc., the equipment rental company formerly named Hertz Global Holdings Inc. and the continuing parent of Herc Rentals Inc., completed its separation from the Hertz car rental business and debuted as an independent, publicly traded corporation.

The company’s common stock now trades on the New York Stock Exchange under the symbol “HRI.” Herc Rentals is a full-line equipment rental firm with approximately 280 company-operated branches, principally located in North America, more than 4,600 employees and 2015 revenues of nearly $1.7 billion.

“We are strategically positioned to generate above-market growth with significant opportunities for operational and financial improvement,” said Larry Silber, president and chief executive officer. “As an independent company, Herc Rentals now has the financial and operational flexibility to pursue strategies that are specific to the equipment rental business.

“We will continue to expand our operations and to invest in all areas of our business, including new product lines such as ProContractor Tools and ProTruck line of commercial vehicles, to complement our large selection of premium general equipment products,” added Silber. “In addition, our new ProSolutions business provides specialty equipment, technical expertise, and full-service, on-site support to solve our customers’ toughest challenges.

“We are also advancing processes and tools designed to drive continuous improvement across our company and to provide a higher level of service for our customers. Most notably, our enterprise-wide ‘Herc Way’ operating model ensures a consistent branch-to-branch approach to managing, servicing and repairing our fleet and rapidly gets equipment ready to rent, which will greatly improve our opportunities to serve more customers.

“I’m also pleased to note that our first day as an independent company coincides with the launch of several major technology platforms, including our new website and mobile app,” Silber said. “The mobile app sets new technology and user-experience standards for the equipment rental industry and will continue to evolve to include tools and features designed to improve our customers’ experience with Herc Rentals.”

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UNITED RENTALS LAUNCHES FULLY AUTOMATED ONLINE ORDERING SYSTEM United Rentals Inc. announced the launch of a new online service that allows renters to browse, price, reserve and schedule equipment through any internetenabled device in one seamless experience. The service fully automates the selection, order, confirmation and payment process, and is available to all commercial and consumer renters. Available immediately, the service is open to any North America-based individual or company that registers on www.unitedrentals.com.

E-commerce extends United Rentals’ digital strategy to deepen customer connectivity and engage new markets.

Using a next-generation interface, the new service automatically checks inventory availability at the branches closest to the jobsite and inputs order details directly into the rental enterprise system. The customer selects the rental dates, delivery and payment options, and if desired, can call or livechat for assistance at any time.

Chris Hummel, chief marketing officer of United Rentals, said, “We are committed to satisfying each customer’s job requirements with the best choice, easiest access and highest availability. Sometimes this means adopting a very consultative approach, but it can also mean delivering a streamlined approach for customers who know exactly what equipment they need. As digital transactions have become the norm in many industries, we’ve created a self-service shopping experience that is information-rich, mobile friendly and simple to use for those renters who want to operate in a more digital manner.”

The United Rentals online rental service includes numerous features that enhance jobsite productivity and the customer experience: • Search function that locates equipment by category, subcategory and location; • Instant quotations, with the ability to optimize budget by tweaking dates, equipment models and rental terms; • Interactive calendars that indicate in real time whether an item is available for the requested dates and location; • Flexible options, including will-call at the branch versus delivery and pickup, and Rental Protection Plan coverage; • Payment choices, including corporate accounts and credit cards; • Optional telephone verification of order details by the supplying branch prior to delivery; • Emailed confirmations, online order tracking and order histories; and • Desktop and mobile access, including an app for smartphones and tablets.

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PERKINS:

GETTING THE JOB DONE FOR RENTAL CUSTOMERS Corey B err y, Rent al Account Manag er at Perkins

Anyone renting equipment has one thing on their mind – to get their job done quickly with reliable and affordable machines. Perkins engines are the trusted choice in the booming global rental market. With decades of experience, we understand these are the things that matter most to rental customers.

When you rent a machine with a Perkins engine inside, you can be confident it will meet your need for ease of operation, low running costs and minimal downtime. It will provide the reliable power you need to get your job done. All our engines deliver those benefits by design.

Perkins has launched a new range of 400 Series electronic engines targeted at the specific requirements of the rental market. The 400F-E comes in a 3 cylinder 1.7 liter turbocharged option, along with two 4 cylinder options, both 2.2 liter, one turbocharged and the other turbocharged and aftercooled.

All engines meet U.S. EPA Tier 4 Final emission standards

Designed for rental A number of design features make the engines particularly suited to rental.

They have a high-pressure fuel system, which gives a cleaner combustion burn.

This means the engine doesn’t require a diesel particulate filter (DPF) or the addition of diesel exhaust fluid (DEF).

Instead the 400F-E uses a simple diesel oxidation catalyst (DOC) aftertreatment system, which is service free, meaning there’s no machine downtime.

It requires no regeneration or additional operator functionality, which means end users can turn the machine on and get the job done.

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It’s not just our engines that make Perkins stand out in the rental arena.

Unrivalled dedication and support come with every engine.

Rental support programme In North America, we offer our rental houses a Rental Support Programme, a unique support facility to get machines up and running – and back out for rent – as quickly as possible.

The programme provides engine training, engine diagnostic capability and customized solutions to minimize downtime. Along with our seamless warranty provisions, our fast and simple ordering procedures, and our speed of response, this all adds up to lower costs and improved profitability across the board.

Find out more at www.perkins.com

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INDUSTRY UPDATE

New Mixed-Fleet Telematics Standard Earns ISO Approval

The mixed-fleet telematics standard from the Association of Equipment Manufacturers (AEM) and Association of Equipment Management Professionals (AEMP) has received approval from ISO, the International Organization for Standardization, to be accepted as a global standard.

The new ISO mixed-fleet telematics standard enables equipment owners to gather more OEM equipment data into their preferred business or fleet management software, providing easier access, improved ability to manage and analyze information across their fleets, and to help save time and money on the jobsite or within their operations.

“No additional voting or potential changes should occur, but the ISO approval process has changed slightly, and ISO expects to post the standard to its website in approximately 60 days,” said John Somers, AEM director of product management – construction, mining, utility.

While ISO is preparing the standard for final posting to its website, AEM and AEMP suggest three steps equipment users can take now to prepare for final publication of the ISO mixed-fleets standard: 1. Check with your fleet manufacturer(s) to determine when/if they plan to comply with the standard and offer data through the standard’s API (Application Programming Interface) format.

2. Also check with the supplier of their preferred business or fleet management software for its plan to support integration of the new API to enable retrieval of their machine data. A helpful reference source is the AEMP Telematics for Fleet Managers primer.

3. Bookmark the expected landing page for the standard on the ISO website (www.iso.org) and check back periodically to see when it is posted.

The ISO mixed-fleet telematics standard will be part of IS0 15143 (Earthmoving machinery and mobile road construction machinery – Worksite Data Exchange) as a new section – “Part 3: Machine Data.”

While the standard focuses on earthmoving equipment, data can apply to other types of machinery. (Data points include location, operating hours, fuel usage, distance traveled, caution codes, idle time, engine operating data and a variety of diagnostic codes.) Future plans include expanding the standard’s coverage beyond earthmoving.

The ISO mixed-fleet telematics standard is based on the Draft API standard developed by the two industry trade groups. It was submitted for acceptance to ISO to provide manufacturers, equipment users, fleet managers and all industry stakeholders with a standard they can use confidently across all market areas globally.

John Meese, CEM, senior director of heavy equipment at Waste Management Inc. and AEMP’s Chairman of the Board, said the release represents another milestone in the evolution of telematics use in fleet intensive companies. “Today’s equipment management professional understands telematics data is having a huge impact on operational efficiencies, maintenance, safety and more. This ISO standard is a critical tool for a fleet team to embrace in order to more effectively and efficiently manage their fleet.”

Domenic Ruccolo, senior vice president, sales & marketing, Worldwide Construction & Forestry Division, Deere & Company and a director on AEM’s CE Sector Board, said, “Manufacturers are continually working to help machinery users achieve the greatest benefits from their equipment. The telematics standard is a significant step to enable OEMs to provide more value. The standard’s common format allows end users to access telematics data from any machine in their fleet and aggregate it in one place. Seeing their fleet and data in one spot makes them more productive and allows them to generate insights and improve decision-making.”

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GENERAL PIPE CLEANERS

KEEPS DRAIN CLEANING RENTALS PROFITABLE “When you’re renting drain cleaning equipment nearly every day, you need tough, reliable machines.”

So says Von Hunn, owner of Garden True Value Hardware, Garden City, KS – serving residential and commercial rental customers in southwest Kansas.

And drain cleaning forms a “significant” slice of his business.

“Easy” Choice That’s why Hunn chose General Pipe Cleaners’ range of drain cleaning equipment – with Easy Rooter™ for his flagship machines.

Easy to transport, use and maintain, rugged Easy Rooter brings heavy-duty performance, superior reliability and excellent safety features to a wide range of rental requirements.

Built tough for maximum turns and minimal down time, the Easy Rooter features powder coated steel frame with “roll bars” protects the motor, 10” heavy-duty wheels roll easily to the job, and a folding handle for easy loading into cars. So rental facilities enjoy maximum performance, longer life and greater efficiency – even under demanding rental conditions.

Hunn calls Easy Rooter “easy to demonstrate and safe to use.”

Bottom Line Most importantly, Hunn says, Easy Rooter – like all his G enera l equipment – works.

“I can’t remember ever having a problem with it – and it’s used for all sorts of drain cleaning jobs!”

Hunn calls it “excellent” for unclogging severe stoppages from 3” through 10” lines. The large steel cage carries 100 ft. of 3/4” or 5/8” Flexicore®* cable.

“Flexicore® is another reason why General is so crucial to the success of our drain cleaning rental business,” Hunn says.

Heavy-duty wire tightly coiled around 49-strand aircraft-type wire rope, Flexicore® offers superior strength, kinking resistance, and flexibility. Flexicore® cables carry a one-year warranty against defect or breakage – the industry’s best.

“We prefer General to other brands,” Hunn concludes. “Our customers are satisfied, and so are we!”

General Pipe Cleaners, a division of General Wire Spring Co., is a leading manufacturer of high quality American-made drain cleaning equipment. In business since 1930, the third generation family-owned company is celebrating 85 years. The Toughest Tools Down The Line. *“Easy Rooter” and “Flexicore” are trademarks of General Pipe Cleaners, a division of General Wire Spring Co.

TO LEARN MORE about General’s complete line of drain cleaning machines for the rental industry, visit www.drainbrain.com/ rental, or call the Drain Brains® at 800-245-6200 or 412-771-6300.

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Saves Time Safely E-750 Electric Wheelbarrow • Loads up to 750 pounds • Push-button, powerassisted dumping • Goes where heavy equipment cannot • Use indoor or outdoor

JLG Doubles Length of Service Intervals for JLG and SkyTrak Telehandlers JLG Industries Inc., an Oshkosh Corporation company and a leading global designer, manufacturer and marketer of access equipment, has doubled the length of its engine service intervals from 500 to 1,000 hours. The extended intervals apply to JLG and SkyTrak telehandlers in North America that are equipped with Cummins QSF3.8 diesel engines.

(800) 800-9274

See Video at:

electricdumper.com

“Extending service intervals for these telehandlers underscores our commitment to delivering products that offer a lower total cost of ownership for our customers,” said Brian Boeckman, JLG Industries global product director for telehandlers. “By increasing the period between oil changes, we are cutting in half the time customers spend changing oil, oil filters, and fuel filters while doubling the time machines are rental-ready. The result is customers who are more productive and profitable.”

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Search: 10076444

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Boeckman went on to attribute the extended service intervals to the use of synthetic oil and newly released oil and fuel filters.

For additional information about JLG’s new extended service intervals, please visit www.jlg.com/en/extended-service-intervals.

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of German Compact Construction Equipment Business to Yanmar Holdings Co. Ltd. Terex Corp. announced it has agreed to sell its German compact construction business to Yanmar Holdings Co. Ltd. for cash proceeds of approximately $60 million. The German compact construction business manufactures and sells midi/mini excavators, wheeled excavators and compact wheel loaders.

Included in the transaction is the manufacturing facility located in Crailsheim, Germany and the parts distribution center located in Rothenburg, Germany. The sale is targeted to close in the second half of 2016.

“We are pleased to enter into this agreement with Yanmar, as they represent a strong strategic buyer for this business who values our quality designs, global team members and distribution partners,” commented John L. Garrison, Terex president and CEO. “For Terex, the sale of the German compact construction business is another step in our strategy to focus our portfolio on those product categories where Terex has a significant presence in the market and that can provide the greatest returns for our shareholders.”

Search: 11191641

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Ditch Witch® SK752 Mini Skid Steer

ENHANCES JOBSITE PRODUCTIVITY & COMFORT To help landscapers and renters stay comfortable and productive on any jobsite, the Ditch Witch® SK752 mini skid steer features an improved operator station with customer-driven control placement and exceptional ground clearance for better visibility.

The machine’s rugged design leverages construction-grade components, delivering long-lasting performance on the toughest job sites.

The SK752 features an efficient, low-maintenance Kubota® diesel engine, providing exceptional power

to the attachment for a wide range of utility, landscaping, plumbing and other underground construction tasks.

For simple, secure connections, the machine is equipped with an advanced attachment latching system.

For more productive loading, the SK752 features 860-pound (390-kg) rated operating capacity and an 83-inch (211-cm) hinge-pin height. An innovative high-drive track system has bolt-on sprockets and wide track rollers for longer track life, easier maintenance and greater stability.

See Video: www.youtube.com/ watch?v=wrwbc-78vVY

For more information, visit: www.ditchwitch.com/mini-skid-steer/mini-skid-steer/sk752-mini-skid-steer

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INDUSTRY UPDATE

GENIE LAUNCHES SERVICE TECHNICIAN TRAINING INITIATIVE According to upcoming changes to the American National Standards Institute (ANSI) and Canadian Standards Association (CSA), only a qualified person should inspect and maintain mobile elevating work platforms (MEWPs) in accordance with the manufacturer’s recommendations. To help meet demand for the next generation of aerial service technicians in the rental industry, Terex Aerial Work Platforms (AWP) is offering free enrollment to the Genie Tech Pro Online Service Training program to community colleges and 500 aspiring aerial lift technicians in North America.

Genie Tech Pro classes address the service, maintenance, repairs, diagnostics and troubleshooting of boom lifts, scissor lifts and telehandlers. This initiative is part of Genie’s 50th anniversary activities aimed at “Building the Future” by increasing skilled service technicians in the rental service profession.

Search: 10074668

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“The need for properly trained service technicians to work on, repair and maintain aerial rental equipment continues to increase as the market demand for this type of equipment grows,” says Bob Bartley, Genie senior director of product support and reconditioning, Terex AWP. “A trained technician not only knows how to read the equipment schematics and how to do the repair correctly but also knows how to get the repair done in the least amount of time, with a minimal amount of parts expense. This results in less downtime for the machine and a higher return on investment for the company. Service technicians trained to work on aerial lift equipment are in high demand and can find meaningful employment opportunities in the aerial and rental industries.”

The Genie Tech Pro Online Service Training program teaches basic aerial lift equipment technologies, including electrical systems, hydraulics, machine inspections and control systems to new service technicians. It also offers courses specific to working on boom lifts, scissors lifts and telehandlers for intermediate and advanced experience levels. Participants who successfully complete the Genie Tech Pro training program will have the ability to calibrate, adjust and troubleshoot with the aid of tools such as schematics, service manuals, laptop or table and connection software.

“The long-term benefit of training service technicians is that these participants are gaining the knowledge they need to be able to work on aerial lift equipment fleets early in their professional careers,” says Bartley. “From a prospective manager’s or employer’s perspective, this has a real impact on the rental company’s bottom line — because machines that are properly maintained and in good working order are machines that are making money for the business. This means that trained service technicians will realize an increase of job opportunities in the aerial and rental industries from successfully completing technical training courses, including the Genie Tech Pro program.”

For 50 years, Genie has provided education, support and solutions for its aerial lift equipment that rental store owners, employers and operators depend on to help protect their fleet investment and livelihood. From operator training to service training, Genie offers fleet customers a wide range of training resources to operate, sell and/or maintain Genie aerial equipment to its full potential. For more information about the Genie training programs, including Genie Tech Pro Online Service Training, visit www.genielift.com/en/servicesupport/training/index.htm.

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CURRY SUPPLY

SERVICE TRUCKS FOR THE EQUIPMENT RENTAL INDUSTRY Curry Supply is a leading manufacturer and dealer of service trucks to the equipment rental industry. Whether you rent service trucks or need them to service your fleet, Curry Supply has water trucks, dump trucks, crash attenuator trucks, mechanics trucks, flatbed trucks, fuel/lube trucks, enclosed lube trucks, and lube skids in stock and ready to ship. As a rental industry provider, Curry Supply understands the things that are important to companies who rent trucks: easy to use products that are rent ready, that are delivered on time, and which have

a favorable residual value. They can source the chassis, apply your decals, and prep it so all you have to do is put it out on rent.

That’s turnkey. Whether you are a single rental location or a national chain, Curry Supply makes it easy.

800-345-2829 Sales@CurrySupply.com www.CurrySupply.com www.linkedin.com/company/ curry-supply-company

WE MAKE IT EASY. Whether you’re a single rental location or a national chain we make it easy to get the trucks you trust.

YOUR JOBS. OUR TRUCKS.

®

American Rental Association ASSOCIATE MEMBER

WATCH

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BRIGGS & STRATTON NAMES DAVID FRANK VICE PRESIDENT OF COMMERCIAL ENGINE SALES Briggs & Stratton Corporation (BGG) appoints David Frank as vice president of commercial engine sales. The added position comes as part of Briggs and Stratton’s refined focus and commitment to commercial engine consumers. In his new position, Frank’s primary focus will include strategic planning, account sales and management, and establishing new partnerships with rental centers and OEMs. “As we enhance the strength of our commercial division, we are excited to add David to our sales team,” said Dave Rodgers, senior vice president & president – Briggs & Stratton engines group. “Between his extensive knowledge of outdoor power equipment and past sales experience, we are confident that he will bring substantial value to our commercial customers, and help us continue to reinforce our commitment to the commercial engine industry.”

In his new position, Frank will oversee the commercial engine sales division and develop relationships with new and existing customers. In addition, he will be in charge of establishing new partnerships with OEMs, maintaining current relationships and managing the sales team.

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Most recently, Frank served as the vice president of sales and marketing for Subaru Industrial Power Products division. Frank administered all engine, generator and pump sales, as well as new product development.

“I’m looking forward to the challenges and opportunities this role brings,” Frank said. “Given my past sales experience and relationships with OEMs, I feel confident that I will be able to deliver exceptional strategic insight and overall service to our commercial customers.”

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The South Korea Doosan Bobcat Inc., which controls U.S. construction machinery maker Bobcat, applied for preliminary exchange approval for an initial public offering (IPO) planned for this year.

Seoul-based analysts said Doosan Bobcat could have an estimated market valuation of about $3.48 billion.

Top shareholder Doosan Infracore Co Ltd owns 66.6% of Doosan Bobcat. A spokesman for Doosan Infracore confirmed the application and said Doosan Bobcat planned to list this year, but declined to comment about the estimated market valuation. www.ForConstructionPros.com/RENTAL

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October 11, 2016

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ADVERTISER’S INDEX ADVERTISER

PAGE

Allied Construction Products....23, 47

ADVERTISER

PAGE

ADVERTISER

PAGE

Little Beaver Inc...............................53

Allmand Brothers Inc................19, 41

EDCO Equipment Development Co..............................35

Atlas Copco/Chicago Pneumatic.....27

Essex Silverline.................................71

Bair Products Inc..............................55

EZ Oil Drain......................................64

Perkins Engines Company Ltd.............................13, 61

Barreto Manufacturing Inc.........9, 57

Generac Power Systems..................21

Brunner & Lay, Inc...........................31

General Pipe Cleaners...............11, 63

Quick Attach Attachments Inc.........................74-75

California Rental Association.........29

Hercules Sealing Products...............68

Scania USA..................................48-49

Club Car.....................................33, 51

JCB Inc.............................................2-3

Skyjack Inc........................................15

Curry Supply Company....................67

John Deere Construction Equip........7

Sotcher Measurement Inc...............66

Cushman Commercial.....................59

KHL Group.......................................69

Trojan Battery............................17, 37

Ditch Witch................................65, 76

Kohler Company..........................5, 39

Valley Industries LLC.......................28

Kubota Engine America Corp.........45

World of Concrete...........................70

Nu Star Inc.......................................64

Kuhns Power Equipment LLC.........68 This index is provided as a service. The publisher does not assume liability for errors or omissions.

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EYE ON RENTAL

By Dick Detmer

An American Perspective on the Hire Industry in the UK A visit across the pond reveals the business of renting equipment has universal similarities, along with some cultural differences

B

usiness is good in the United Kingdom. From small shops to rental superstores you can find success stories across the pond.

I recently toured a variety of rental companies, known as “hire shops” or “plant hire” companies in the UK. These included the single-store independently owned and operated variety as well as the large industrial-focused “super hire store” variety. I also visited the much smaller branch location “convenience store” version of large national chains.

I’m confident that many or most of the strategies that I recommend to rental companies in North America would be beneficial to hire companies as well. The purpose of my visit, however, was to observe and ask questions.

I was so impressed with how hospitable all were to me. I received thorough tours and was given plenty of time to observe and ask questions.

Construction and restoration activity stimulates rentals There was plenty of construction activity (I counted more than 30 large building cranes in London alone).

There was a seemingly vibrant building initiative (especially in and around

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London) with many new large commercial buildings in various stages of construction. Even though there were boom lifts in use, I marveled several times at the popularity of scaffolding.

It seemed as though much more of it was in use than when I visited Great Britain about 15 years ago. In addition to seeing massive amounts of scaffolding in use, (it is different from the types of scaffolding most commonly used in the U.S.), the hire companies I visited reported doing a brisk and growing business in this equipment.

it is evident that there is considerable effort to preserve and restore these historic structures.

In ge ne r a l, h i re bus i ne ss e s appeared to be doing well, with some notable exceptions.

Energy production is a big business in parts of the United Kingdom just as it is in parts of the US, Canada and Mexico. Of course, the dramatic decline in oil prices has had a very negative effect on the hire businesses in these oil production areas similar to the negative effect the oil glut has had on “oil patch” rental companies in North America.

One of the plant hire businesses I spent time visiting was heavily geared to Building in and around London benefits the UK hire industry.

Perhaps more important for most hire companies is the massive amount of restoration work that is apparent throughout the UK. Many of the buildings are significantly older than you would see in North America and

supplying the oil pipeline and refinery industry in the area. The transportation and refining of North Sea oil necessitates tremendous infrastructure and the need for rental equipment to build, maintain and repair the pipelines

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and refineries. (I can’t recall ever seeing such a huge breadth and depth of welding rental equipment.) But this operation, even with its emphasis on serving the oil industry appeared to be healthy and able to adjust to the downturn.

One of the independently owned and operated hire shops I visited was a terrific example of a success story. This business primarily serves homeowners and small contractors. It provides log splitters, sod cutters, lawn core aerators, floor sanders, pressure washers and many other do-it-yourself type rental items along with the towable air compressors, scaffolding, electric hammers, rotary hammers, compact excavators, vibrating plate compactors, rammers and the like for contractors. Sounds familiar doesn’t it? It continually added equipment requested by customers and is apparently successful. It also rented small canopies and barbeque grills on a regular basis during the nice weather seasons. (The area has harsh winters like in parts of the U.S. and Canada.)

But, when I asked if they rented other party or special event items, even the manager said they never received any requests for any other items. I specifically asked about table and chair requests (that would seem to be natural requests by customers requesting canopies) but again, the manager stated that for some reason, there were no requests for these two staple inventory items. I thought this was interesting because in North America tables and chairs are often requested when a rental company carries canopies or tents in its inventory. But again, I was there to listen and observe and not to teach nor to give advice.

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One area of the business that I observed in two of the chain hire operations that I feel might be superior to many North American rental companies is in the area of equipment safety inspection and testing. This was particularly evident in the area of electrical safety testing. In both small and large branch stores there were large electrical

who indicated their pride in their knowledge and their hire company. One even used the words “I love the hire business and the equipment too.” He even complimented me by saying that he could tell from my questions and my comments that I loved the business, too. It certainly is a fascinating business trade.

Sometimes I think that many rental business people in North America have the perception that North American rental business practices are all significantly superior to those in other countries.

I don’t think that this is true. Instead, I view the hire companies in the UK as just as focused on business success as North American firms and that we are all cut from the same cloth. We are all professionals who work hard and sincerely want to grow business. Cheers to all of my new friends in the United Kingdom. ■

I view the hire companies in the UK as just as focused on business success as North American firms and that

we are all cut from the same cloth. testing cages. These had large warning lights that indicated to anyone within at least 25 feet of the testing area when testing was being conducted within the cage. Red lights indicated “do not enter the cage” for safety’s sake and green lights indicated when tests were over and it was safe to enter the cage. A chain across the entry also had to be in place to start tests.

Brits love the rental business too I didn’t hear anyone lamenting about how difficult certain customers can be at times. I had the rewarding opportunity to interview employees as well as management and, perhaps surprisingly, I heard no complaints about anything. All were very friendly, dedicated professionals

Postscript: I was in the UK a week before the United Kingdom’s referendum to leave the European Union. Since the vote was for the UK to leave the EU, there are bound to be some sizable changes in the UK’s economy. Even though the divorce between the UK and the EU might take the full two years (the deadline) to be finalized, the impact on equipment rental businesses could be significant. The UK has a major influence on the US economy and what happens to the hire industry in the UK should be of interest to all of us.

Dick Detmer is a nationally recognized consultant, lecturer and writer with over 35 years of experience in the equipment rental industry.

For consulting, on-site employee training or to order his books, visit www. detmerconsulting.com. Dick can be contacted directly via his website, by emailing dick@detmerconsulting.com or by calling (309) 781-3451.

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