For some years leading forklift companies have been offering more than just sale/rental and contract maintenance, such as simulation for racking design, warehouse automation and other industrial trucks, but now these leaders are looking to become more symbiotic with their customers through greater collaboration for services well outside their usual remit. Could this, however, be a win-win development or a tarnished grail?

chazIn theory there is much to be said for a more collaborative relationship. Over recent years businesses have cut back on logistics staff owing to difficult trading conditions, leaving them less knowledgeable about what’s on the market to enhance their logistics efficiency. The last thing these companies want is to take on more staff to go out and conduct broad evaluations of numerous suppliers to provide a range of individual purchasing opportunities. The prospect of just one forklift supplier prepared to do all that, not just for forklifts but all kinds of industrial trucks, cranes, warehouse simulation and even truck drivers is a tantalising prospect that need not always be driven by profit. Can such a comprehensive supplier, however, be entirely trusted to deliver an impartial scheme that gives the customer the most cost effective deal? It depends partly on the supply partner chosen.

All forklift manufacturers have a strong incentive to push their own hardware, even if, at times, a product not in their portfolio would be better for the customer. Non forklift manufacturers, however, like Briggs Equipment, could be relied on more to give the customers the most cost-effective package. Briggs have developed what they call NextGen Logistics, aimed as much at medium-sized companies as big truck fleet buyers, but this or any other collaborative arrangement would only be feasible and rewarding if both parties took a holistic view of the business to come up with broader solutions that include a wider group of products and services. Bill Goodwin, sales director for Briggs, emphases that flexibility is more important than just providing a wider range of products/services, like racking layout and simulation for various design scenarios. This flexibility recognises the concerns customers have over contract term, business volumes, and whether the equipment is best suited to their application now and in the future when trading conditions might call for equipment changes. Large truck rental suppliers with a huge pool to call on are better placed than others to be more accommodating over flexibility issues.

Bill Goodwin is keen to stress that Briggs is not just sub-contracting out to a group of suppliers but actually providing the service itself. “It will only work through collaboration with a partner who has the ability, financial backing and a desire to conduct business in that manner,” says Mr Goodwin.

Buyers, however, must be careful over their choice of supplier and, as always, knowledge is the essential weapon against disappointment over purchase decisions. Some leading truck makers, for example, cannot necessarily be relied on to offer the most cost-effective collaborative deal if the best trucks for a customer are not in their portfolio. This is particularly the case with articulated forklifts. Other potential snares lurk within the differences in truck productivity among the competing makes, which can be as much as 20%. To counter this, some logistics services buyers should think again about what their logistics staff cuts could cost them. Well-trained, highly experience logistics personnel can be worth their weight in gold.

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