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Equipment makers urged to improve quality, after-sales service

19th June 2015

By: Anine Kilian

Contributing Editor Online

  

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As mining companies reinforce their push to minimise costs, original-equipment manufacturers (OEMs) are at risk of losing market share if their product quality, after-sales services and inventories are not improved, says advisory services company Timetric’s Mining Intelligence Centre senior consultant Nez Guevara.

He notes that the results of a recent Timetric survey of 100 key decision-makers at operating mines throughout Europe and the former Soviet Union show a cost-conscious approach towards spending on equipment parts and after-sales service.

“OEMs are at risk of losing market share as respondents have outlined their dissatisfaction on issues regarding after-sales services and the availability of parts,” he says.

He adds that the survey highlighted strategic parts, non- strategic parts and processing equipment parts. The results revealed the dominance OEMs have in the strategic parts and processing equipment segments, while independent third-party suppliers have significant shares of nonstrategic parts.

From the sample, 60% of mines solely use OEMs for strategic parts, with 66% only employing OEMs for processing equipment needs.

“For nonstrategic parts, however, 27% of mines are using third parties solely and 39% are using a mix of OEMs and third parties,” says Guevara.

Edited by Martin Zhuwakinyu
Creamer Media Magazine Managing Editor

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