Power Equipment Company 75th Anniversary

PR ROUD TO HA AVE V PO OWER ON N OUR T TEAM Congrattulations to Pow wer Equipment on 75 Years e of Exceptional Service

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LeeBoy salutes our friends and partners at Power Equipment in celebrating this historical milestone.

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Robust Menu of Services Boosts Power Equipment’s Popularity Among Customers tributorship represents several major manufacturers that are among the best in their industries.

“Our primary line, Komatsu, for instance, is the second largest maker of construction equipment, and Epiroc is the number one drill manufacturer,” he said. “Another of our great accounts is Takeuchi, with its industry-leading line of track loaders. We also carry Sennebogen, the top materials handling equipment company in North America, and the Wirtgen Group, with its road development business, is number one worldwide when you consider its line of milling machines, pavers and compaction products.”

But Power also offers a hearty menu of other capabilities to its customers that most full-service dealerships simply cannot match.

To start off, Power has established itself in its market territories as a parts and service powerhouse, chiefly due to both operations being well-managed and streamlined. Boosting its service department, for instance, is a complete equipment rebuild center that allows customers to get a re-life for their heavily worked but reliable machinery — saving them money and freeing customers from the anxiety of buying a new piece if they don’t feel ready to do so.

And, although construction equipment dealers are often thought of primarily for the product lines that they sell, over the last two decades, Power’s Certified Rental business has become one of the best and most convenient short-term lease programs in the country.

By Eric Olson CEG CONTRIBUTING EDITOR

When a company can both survive, and thrive, for 75 years, it certainly is a cause for celebration. Few machine distributors have the stamina to last that long, particularly when you consider the number of rocky economic and market forces one would have to endure in that time.

But Power Equipment Company should never be mistaken for a run-of-the-mill dealership.

The Knoxville, Tenn.-based construction and mining machine distributor offers a lengthy list of services, apart from new machine sales. As a result, it is one of most popular production equipment dealers in the South.

Its stellar reputation among contractors and business owners across the state, from the Appalachians west to the Mississippi River, can be chalked up to its smart, friendly people determined to put customer loyalty ahead of anything else.

And it is not just Tennessee customers that make up Power Equipment’s market. Among its six branches is one in Tupelo, Miss., that, along with the Memphis location, services the needs of customers that work in construction, material handling and forestry operations in the northern half of Mississippi. The Memphis branch also does business with folks in eastern Arkansas.

Power Equipment provides guidance and support to each of its dealerships, including the other four locations in Knoxville, Kingsport, Chattanooga and Nashville.

“We are a full-line distributor, with our primary line being Komatsu, as well as 10 to 15 other lines that we represent,” explained Chris Gaylor, president of Power Equipment. “That means that we are engaged in multiple markets for a variety of construction machines, including those needed for site prep, excavation, road development, forestry, mining, quarry and aggregates work. One of our groups also markets to steel mills and mill service companies for above-ground material handling.”

Michael Brennan, Power Equipment’s CEO, added that the dis-

Power Equipment Is a Baby Boomer Power Equipment was founded in 1946 during America’s postWorld War II construction boom. R.S. “Tommy” Tucker opened it as a single-location International Harvester distributorship in east Knoxville before later expanding the business to Chattanooga and Kingsport.

“In the early 1950s, I believe, they bought out a company called Industrial Tractor, which got them into Nashville and that allowed Power, in the 1960s and ‘70s, to expand into Kentucky and southwest Virginia servicing the coal mining industry through the International Harvester lines,” Gaylor explained.

Power Equipment’s Memphis branch.

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Ownership ultimately transferred to Tommy’s sons, Don and Tom, and in the 1980s, Power Equipment’s ownership was transferred to Tommy Tucker’s sons, Don and Tom, and in the latter part of the decade Chris Gaylor’s father, Roy Gaylor, became company president.

“We were not a Komatsu dealer at the time, but Dad pursued trying to get the Komatsu account,” recalled Chris Gaylor.

Part of the process for ultimately obtaining the Komatsu account in Tennessee included the need for an ownership succession plan. Consequently, negotiations began for the sale of the Power to Roy Gaylor, which were completed in 1993. Initially, Power was appointed the Komatsu line in east and central Tennessee, before adding officially Komatsu to its already established operations in west Tennessee in 1995.

Chris Gaylor (L), president, and Andy Moon, vice president of sales, both of Power Equipment.

Power’s Success Caught the Eye of a Suitor The Tennessee distributor had matured into a successful company over its first 52 years by adapting its business to the cyclical fortunes of the industries that it served. If Power Equipment faced any problems, it always figured out viable solutions to keep the com-

the Kentucky distributor. “But we knew that the best chance for us to succeed long-term was to diversify away from that. So, when the opportunity came our way in 1998 to join up with Power, we jumped at it. The merger really gave us a way to create a larger footprint that was more diversified than either one would have been individually.”

New Nashville Branch Set in Dynamic Area In the 21st century, Power Equipment has split its sales, service and parts territories into three main sections of the Volunteer State: east Tennessee, middle Tennessee and west Tennessee, the last of which also oversees the company’s operations in Tupelo, Miss.

The company also has done this in southwest Virginia and western Arkansas.

(L-R): James Ireland, Memphis service manager; Darryl Thompson, vice president, regional sales manager; and Jamey Frewin, Northern Mississippi and Memphis territory manager.

pany moving forward.

As a result, in 1998 Power attracted the attention of Bramco, a parent company to Brandeis Machinery & Supply, a Louisville, Ky., equipment dealer. Brandeis counted Kentucky and Indiana as its territory and sold and serviced many of the same products as Power.

“What changed things dramatically was Bramco had its own rental company called Resco Rents that it sold in 1997 before making the strategic decision to reinvest that into distribution,” Gaylor explained. “Power was sitting there with a contiguous territory and several common lines with Brandeis, as well as common values, and shortly after that is when we merged with Bramco.”

Both Power and Brandeis had a similar history as well, said Mike Paradis, chairman and CEO of Bramco.

“In the 1970s, both businesses pivoted their attention toward the coal industry,” noted Paradis, a fourth-generation owner of

Cody Pate (L), rental coordinator, and Matthew Spence, territory manager, both work out of Power Equipment Company’s Nashville facility.

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AN N IVE RSARY

PROU D TO B E A POWER EQUIPMENT POWER E QU IPM ENT PARTN ER

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Hamm rollers, a Sennebogen material handler and other quality equipment is on display at Power Equipment’s Nashville branch.

But the middle Tennessee region is proving to be a potent growth area for Power due to the Nashville area’s dynamic construction market. Homes and factories are rapidly going up and roadbuilding is high due to major companies and manufacturers deciding to build new facilities in the Music City and smaller cities and towns nearby.

After having operated a branch for many years in La Vergne, southeast of Nashville just off I-24, Paradis said that Power’s older facility had become too small to keep up with the rapid pace of the distributor’s business. That led the company to build and open a new 58,000-sq.-ft. campus at 320 Waldron Road in La Vergne early last year. It includes 20 service bays capable of handling the largest production equipment operated by Power’s customers.

“That was something we needed to do because we were bursting at the seams [at the old location],” Paradis explained, “and we’re glad we did because we now have a beautiful facility that will hopefully serve us well for a long time.”

According to Gaylor, the new 17-acre La Vergne branch also has proven to be a great investment for Power because of its expanded capabilities. There is a significantly larger parts warehouse, new shops for GPS calibration and repair, a dedicated demonstration area and covered loading and unloading areas.

“Because we have taken on the Epiroc line of hydraulic drills, we now have a clean room for rebuilding drifters from rock drills, a sunken room for rebuilding hydraulic hammers the way it is supposed to be done and a shop that can handle the largest mining machinery operating in the state of Tennessee,” he said.

The branch’s proximity to I-24 and other major highways also allows for better access for Power’s customers and vendors. In addition, being able to service contractors working between Nashville and Memphis, as well as get parts delivered quickly to other points in western Tennessee, is a key function of the new Nashville facility, according to Paradis.

career in that field.

“There is such a shortage of well-trained people who can fix production machines and that is the big challenge right now for the future of this industry,” Gaylor said. “If you have a talent for it, there is so much upside to a career as a machine technician. It affords you an exceptionally good living and it can be a path to a lot of different careers. Yet, the fact remains that there are just not enough folks out there to fulfill the amount of work that we have.”

The problem of attracting young folks to the technical field is not limited to Power Equipment. Slowly, though, its apprenticeship program has brought in good, new technicians to its shops, he reported.

“We have found that more than 80 percent of our students have made it all the way through,” Gaylor continued. “We test them for general aptitude for this work, but they also must demonstrate a desire for it. They have invested in technical school to get a basic level of education in the field. If they get to that level, they qualify for our apprenticeship program.”

Each month, a tech candidate attends a week of classroom study before he or she goes back to their respective Power branches and report to their mentors what they learned, he explained.

The process of learning machine systems continues for 18 months, while the last six months is focused on training for the task most needed at their specific branches, such as an excavator specialist or a tech that works on forestry equipment.

In two years, Power can graduate some of the more knowledgeable techs in the company. Those graduates that have shown themselves to be most effective are usually put on the company’s field trucks alongside more experienced technicians.

Rebuild Center Gives New Life to Tired Machines Bramco has added tremendous value to Power’s customers by providing them with an economical solution to replace their aging machines.

The Rebuild Center, located in Louisville, Ky., was developed several years ago to allow customers that do business with the Tennessee distributor the chance to have a second life given to their equipment that have seen a lot of action — and at a fraction of the cost of buying a new one.

Accredited Program Creates Talented Technicians Over the past six years, Power Equipment, assisted by Bramco, has worked to solve a chronic lack of young, qualified service technicians at their branches by creating a groundbreaking program that identifies and trains people interested in pursuing a 8

Technicians at the facility can take a wide variety of construction, material-handling and mining equipment down to their frames, if necessary, before refurbishing them to look like new. It is all done within the center’s ample shop space, equipped with overhead cranes, engine dynamometers, hydraulic test stands, track presses, and a paint shop.

A couple of driving factors were behind Power (and Bramco) making the decision to offer this kind of service, explained Paradis.

“With all the engine changes within the last 10-15 years, Tier-1 through Tier-4, people are always reticent about jumping into new technology,” he said. “If they can get a second life out of a piece of machinery at a reasonable cost comparable to buying new — 60 to 70 percent — it makes so much sense to do so. With a rebuild they can get another life out of that last generation of machine if they don’t feel they are ready for a new one. Many of our quarry and coal mining customers are generally running production machines that take a pounding from the work.”

Paradis explained that since the 2016 elections, most equipment manufacturers braced for a long, slow economy and did not roll as many new machines off the production line.

“As a result, for the last four and a half years, at most points we have been running within a tight equipment supply – now is about as tight as it has been,” he continued. “All manufacturers are saying that certain models will not be available until this fall or next spring, so that is also driving people to ask, ‘Can I get another life out of this piece of equipment?’ Rather than making a big investment this year, with a full rebuild they may get another five or six years out it. That is the value of rebuilds.

“Plus, people know that with production equipment today, these machines will last forever if they are properly maintained.

There’s not a stigma attached to a rebuild because people are starting to see the economics of running something longer if it can stay productive.”

story for Power Equipment across its markets, due to the high demand for short-term-use equipment.

Brennan said the distributor’s dedicated rental fleet is stocked with a variety of machines, ensuring availability for customers that want mid- to large-size earthmovers.

Bramco had its own rental business for three decades before selling it in 1997. After fulfilling the terms of a non-compete agreement, Paradis said, it decided to get back into the business in 2001, specifically the more profitable rent-to-rent market.

“When we came back into the business 20 years ago, machines were getting expensive, so we started buying any lightly used equipment that we could find on the market, and we labeled it Certified because we knew that we were going to take care of each machine and keep it running like it was brand new,” Paradis continued. “Now, our customers know that if they want a shortterm rental, they will get Certified pieces at a low rate.”

Today’s Dirt Movers Rely on High-Tech The most important evolution in the 75 years that Power Equipment has been actively selling, renting and servicing production equipment in Tennessee and its other markets may be the technological advances in the machinery, more specifically the digital capabilities designed into their operating systems.

Brandeis Machinery was an after-market technology solutions distributor in Kentucky before Komatsu released its machine-control products in 2013 featuring the latest digital technology embedded into the manufacturer’s line of production equipment.

Following Brandeis’ lead, Power Equipment began to build its own technology solutions division in 2014 when it hired personnel (known as technology solution experts, or TSEs) to help customers understand the digital capabilities of new machines and assist them in making the best purchasing decisions.

Komatsu Ups the Ante on What Equipment Can Do Komatsu’s machine control technology is found on its latest dozers, excavators and motor graders. These intelligent, or Imachines, are made up of monitors, sensors and controllers that gain GPS corrections from satellites in orbit around the Earth that can pinpoint an equipment operator’s exact location on site to make a precise grade cut.

Power Utilizes Successful Rent-to-Rent Business Along with celebrating its 75th anniversary in 2021, Power Equipment also is observing 20 years since its Certified Rental business was formed. The name signifies that the enterprise offers lowhour, late model production equipment on a short-term basis.

Since it began, Certified Rental has become a major success

A LeeBoy 685D motorgrader, as well as Barko, Takeuchi, Hamm and other iron is ready to get to work from Power Equipment’s Knoxville facility.

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Power Equipment was founded in Knoxville in 1946.

When a company can both survive, and thrive, for 75 years, it certainly is a cause for celebration.

“At the time that Komatsu first began offering that, the percentage of machines that had machine-control on them was maybe 20 percent, and I would bet you that today at least half, if not 60 percent, of the dozers that we sell are fully integrated with that technology,” said Gaylor. “But most are starting to understand just how efficient a well-run machine control operation is for a contractor.”

Power currently has eight machine control technicians dedicated to assisting with technological installation, the calibration of the machines and, if there is a breakdown in the field, getting to the scene to make the necessary repairs. If components of the equipment need to be taken into the shop for further repairs, they can do that before getting it back to the machine on site for re-installation.

“When we look at where our customer base is evolving to, we are finding most are much more tech savvy in electronics today and understand how to use the data that they collect relative to a job site,” said Chip Young, general manager of Power’s Technology Solutions Group. “Plus, the people that they are performing that work for are requiring a much greater precision from contractors and their machines. Therefore, our customers want technology that enables them to create a more exacting product.”

themselves well and they know what they are talking about.

Hopefully, too, we have a reputation among our customers for being fair. Inevitably, when some issue arises in our industry, we have a lot of long-time customers that know we will take care of them.”

In his role as CEO of Power, Brennan is responsible for setting the strategic, long-term direction of the construction, materials handling and mining equipment distributor. He feels Power has made the correct moves to keep it successful.

“The great lineup of manufacturers we represent, first and foremost, has put us in the position for even more success in the future,” he said. “As we look ahead, we also see service and rental as key offerings for our customers. For the success of the latter, we must ensure we have plenty of rental equipment of the types that our customers need for their short-term operations. In this Mike Paradis current labor shortage, customers are focusing more on their business moving dirt, running a quarry or operating a steel mill, and looking to outsource their service needs. So, we have been working to increase our service capabilities and technicians across our entire footprint.

“Therefore, our future success, and that of our customers, can be found in offering an even more robust service menu than what we have right now,” Brennan concluded.

Gaylor echoed those comments by adding that Power Equipment’s future depends on maintaining the highest level of support possible to keep customers wanting to continue the business relationship.

“When you get it right, it is amazing the kind of loyalty that that will bring,” he said.  CEG

“...we have a reputation among our customers for being fair.

Inevitably, when some issue arises in our industry, we have a lot of long-time customers that know we will take care of them.”

A Robust Menu of Services Key to Future The number of services that Power Equipment offers its customers, backed up by knowledgeable and neighborly people at each branch, has helped to give the distributor its stellar reputation in Tennessee, northern Mississippi and southwest Virginia.

“I feel we are very fortunate right now in that we have a great management team and staff at Power,” said Paradis. “They present 10

Power, Komatsu Team Up to Offer Terrific Parts and Service Programs

By Eric Olson

since to improve its effectiveness — to offer its customers an unprecedented level of customer support.

“In the old days, a salesman would work with a customer to determine their needs, hopefully sell them a piece of equipment and the relationship stayed with the salesman,” he said from his office in Knoxville, Tenn.. “There was never any kind of explanation by service and support people about how the machine worked, where customers could get support, the machine’s maintenance features, etc. The result was that a customer’s first machine problem was often his introduction to service and support. No formal knowledge was imparted to them about parts and service — who we are, what we can do, what our capabilities were — which led to a more reactive relationship, not a proactive one.”

CEG CONTRIBUTING EDITOR

Distributors of production equipment have learned to adapt their operations and their styles to fit what consumers demand from them. The companies that manage to remain in business for decades — even generations — are the ones that are operated by smart and nimble thinkers that have figured out how to evolve with the times.

Power Equipment Customers Assigned Support Reps Today, however, at the time of the initial equipment delivery to a Power Equipment customer, Robins said a customer support representative (CSR) is present to explain the machine’s features, talk to them about the warranty, its maintenance and operation, and present a contact list of people in parts and service to keep handy.

“Now, there is a handoff of the baton from sales to the product support side,” he noted. “We have been given the opportunity to educate the owner about the machine and who to talk to if he has a problem. It sets the tone for a much more proactive, supporting relationship. That change has been a welcome one to our customers.”

Power Equipment utilizes its modern customer-service approach alongside its older philosophy of having various levels of professionals that act in problem-solving and selling roles across its territories from the Appalachians to west of the Mississippi River.

Wayne White (L), general product support manager, and Robby Allen in Nashville.

Apparently, Power Equipment is among those distributors as it marks its 75th anniversary in 2021.

At the heart of the company culture, found in each department of the six branches that operate in Tennessee, northern Mississippi and and southwest Virginia is a parts and service business that has been perfected over the years to become one of the South’s best.

Shawn Robins, vice president of product support of Power Equipment, explained that the company enhanced its customer service experience in the late 2000s — one that has been tweaked several times

(L-R): James Dalton, Jason Hicks and Bill Warr, all of Power Equipment Company.

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Congratulations on 75 years!

Doing business in essential industries like construc tion and forestr y requires great par tnerships to be successful. Kom matsu would like to recogn nize Power Equipment Company for 75 stellar years of providing custom mers with quality service. We are honored to be a connected par tner!

komatsuamerica.com

(L-R): Chris Hooker, James Kopplin, David Robbins and Justin Keen all stand ready to helps customers at the parts counter.

Nine CSRs are assigned to its different sales territories to maximize customer satisfaction and boost product confidence for the manufacturers represented through Power Equipment.

“The CSRs are constantly in the field as a direct liaison to the customer for Power Equipment and gathering data through machine inspections,” explained Wayne White, general product support manager of Power’s Middle Tennessee Region in Nashville. “They also direct operations training during machine deliveries and provide parts and service solutions that best fit the customer’s needs.”

The distributor employs another four customer service managers (CSMs) that call on the different industries that make up most of Power’s business: quarry and mining, steel mills, road development, and rock drilling solutions.

Lathan McVickers, parts sales specialist.

Rich Floyd (L) and Quentin Underwood service customers’ equipment in Nashville.

Komatsu equipment is ready for service in Nashville.

“CSMs are also field product support people, but unlike CSRs, they work with a finite number of customers that we have identified as needing additional attention because of either the uniqueness of their business or the level of service they require,” Robins explained. “All our customers are in production-driven industries, but some of them do so 24/7, 365 days a year, which puts them at a different level than a general construction business that usually works weekdays with two days off.”

(L-R): Shawn Robins, Jim McNeillie and Sarah Teague.

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Two additional employees serve Power as product support reps (PSRs), one of which is dedicated to drill support and makes sure customers using those products can get the accessories and consumables they need, like steel and drill bits.

but contractors are also trying to attract them to their shops. It has become very competitive.”

Manufacturers Also Dedicated to Better Services Each of the major product manufacturers that sell their lines through Power Equipment have forged parts and service programs to improve the customer experience over the years, a process that is ongoing.

In fact, an experienced vet like Power Equipment’s Bill Warr, with 40 years in the distribution business, said most well-known makers cannot be successful in the ultra-competitive marketplace without being clued into what today’s contractors want. As a result, he noted that a customer’s feeling of wellbeing during the parts and service process is “100 percent better than I have ever seen it.”

The distributor’s primary line is Komatsu, the second-largest maker of construction equipment in the world, a market leader in designing streamlined parts and service programs for its users.

“Komatsu has a number of applications and programs that our customers can interact with directly to help manage their fleet such as Komtrax, MyKomatsu and Komatsu Care,” explained Warr, the distributor’s general product support manager for east Tennessee and southwest Virginia, which includes branches in Kingsport, Chattanooga and Knoxville.

Robins said, “The Komatsu Care Program and its continued evolution has been one of the best programs that Komatsu has come up with and it’s well-received by our customers.”

He explained when a customer purchases a new Komatsu machine, the first 2,000 hours of maintenance is complimentary — a fantastic deal “considering that the customer has the assurance and peace of mind that we are maintaining it in accordance with the manufacturer’s recommendations.”

With additional Komatsu Care Programs, customers can choose to extend their maintenance agreement past the complimentary period or couple them with extended warranties, “maybe another 5,000 or 8,000 hours on the original maintenance agreement,” Robins said, to ensure that their machine will continue to be serviced well for a long time.

He noted that there exists within Power Equipment a high standard in what it can offer in terms of detail and comprehensiveness of its maintenance versus “others that don’t do very much of that.”

“What we have found with customers, even the ones that want to continue to maintain their own equipment, is that once they get a taste of our programs, they understand the value we offer because ours comes with a level of comprehensiveness that includes oil sampling and a 50-point check at each interval.

“I believe the Komatsu programs and those we have are very effective ways for Power Equipment to stay in tune with our customers’ machines and be involved with their parts and service needs,” stated Robins.  CEG

Unique Program Addressing Technician Shortage Through Power Equipment’s parent company, Bramco, the Tennessee distributor has been utilizing a unique new program to address an issue that plagues both the equipment industry and that of their larger customers: the lack of well-trained machine technicians.

It arises from large numbers of older service techs retiring from the business coupled with not enough young people entering a field that can offer them a lucrative and rewarding career.

To battle the problem, in 2015 Bramco instituted an apprenticeship program across Indiana, Kentucky and Tennessee. This initiative, which includes both Power Equipment and its sister company Brandeis Machinery, was recognized last fall as the first Associated Equipment Distributor (AED) dealer member in the United States to receive the Industry Recognized Apprenticeship Program (IRAP) award.

In July, Power will hold its ninth class in the apprenticeship program, Robins said. He described it as a two-year program featuring both monthly classroom training and on-the-job learning followed with mentoring at their home branch location.

“We typically draw graduates from diesel tech schools or folks who may have a little experience in the industry already,” he explained. “It’s something we can do proactively to address our technician shortage problem. It is a big investment on our part, so we try to choose our apprentice candidates wisely.

“While in the program, we offer assistance with purchasing tools at a significant discount to get them off and running,” Robins continued. “The apprentices are getting paid the entire time they are in our program. In addition, they are getting to work with seasoned techs and benefiting from top-quality trainers. So, this really is an awesome program to help someone to grow into a very rewarding career.”

According to Mark Holley, Power’s general product support manager in the West Tennessee Region, the apprenticeship program is “well-constructed and developed” with its success now coming to fruition for the distributor in 2021.

“To me, the key was that the company dug its heels in and came up with the resources to commit to solving the tech labor shortage over the long term,” said Holley, whose territories includes branches in Memphis and Tupelo, Miss. “That’s the answer for the future because as this equipment gets more and more complicated, we are also seeing less and less of what we call ‘shade-tree mechanics’ that can even touch these machines. We are in a struggle for people all the time because not only are other equipment companies looking for young, qualified technicians,

Power Equipment service technicians receive regular training throughout the year.

L-R): Chad Gentry, Michael Harrison, Rick Whitmire, Marty Dawson and Patrick Benson.

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Certified Rental Marks 20 Years as One of Power Equipment’s Top Services

By Eric Olson

CEG CONTRIBUTING EDITOR

Craig Leis, vice president of Bramco’s rental operations.

This year marks the 20th anniversary of one of Power Equipment’s most successful services, a cornerstone business that has significantly benefited its loyal customers.

Bramco, Power Equipment’s parent company, developed the Certified Rental business in 2001 to provide contractors in the Tennessee and northern Mississippi markets with a short-term rental equipment solution.

But Power Equipment understands that more of its customers realize the advantage of rental when they cannot fully utilize a piece of equipment. Most contractors understand if they cannot utilize a piece of equipment more than 65 percent of the time, it is better to do a short-term rental to fill their equipment needs.

“A Certified Rental piece of equipment is a low-hour, late-model and reliable rental machine,” described Craig Leis, vice president of Bramco’s rental operations. “With Certified Rental having a dedicated rental

Bramco, Power’s parent company, developed the Certified Rental business in 2001 to provide contractors in the Tennessee and northern Mississippi markets with a short-term rental equipment solution.

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fleet, contractors can be assured of a high availability of rental equipment when they need to rent. And when Certified Rental equipment is sold from the rental fleet, our customers appreciate the ability to purchase a machine that’s only a few years old and has been meticulously maintained.”

More Customers Now Prefer Short-Term Rentals At the time Bramco opened Certified Rental, it had already been decided the short-term rental business would be operated within each branch of Power Equipment’s six branches.

“We use all our own factory-trained techs, our own salespeople, and four dedicated rental reps,” he explained. “We also save on overhead by using Power’s existing facilities rather than separate rental locations.”

The Knoxville-based distributor’s Certified Rental fleet is made up of 100 percent earthmoving and construction equipment and primarily consists of production equipment from Komatsu, Wirtgen and Montabert hammers, said Michael Brennan, Power Equipment’s CEO. The Certified Rental sales force does an excellent job of helping customers understand which piece of rental equipment best fits their needs.

“Most customers only have a short-term need — no longer than several months,” Brennan added. “They simply want to rent from us, then give it back when finished and not be responsible for its maintenance.

Certified Rental takes care of that for them and it’s not on their books. If it breaks down, we will send a tech out to fix it or just swap it out for another machine to keep them going.”

Certified Rental Reduces Customer Worry Power Equipment Rental Manager Steve Woodby has learned that most customers also like that Certified Rental’s technicians keep the fleet well maintained.

“As a customer, they don’t have to worry about a piece of equipment getting onto a job and breaking down, causing them to look bad,” he said. “It’s well known that we keep them fit and looking like brand-new machines.”

With the various uncertainties in the construction sector in recent years, particularly throughout most of 2020 and early this year due to the pandemic, Woodby explained that contractors felt better about being able to rent through Certified Rental. continued on page 23

Rebuild Center Offers Great Value to Power Equipment’s Customers

By Eric Olson

cess and popularity of The Rebuild Center.

“We have included the opportunity for customers with a fleet of machines to put together an entire rebuild program to include base project pricing for budgeting ease and extended warranties to give the customer reliable resources,” he explained. “The Rebuild Center can evaluate an entire fleet to put together a program that works for any specific customer needs across multiple models.

Over the last few years, Power has also invested in more core machines that get a full rebuild prior to sale, adding another option for our customers to replace or grow their fleet with economical and reliable solutions.”

Shawn Robins, the Vice President of Product Support for Power Equipment, added that, based on individual operating philosophies, one of his company’s customers may prefer utilizing The Rebuild Center, while the next one may not.

“Some are very committed to second lives, while some, for assorted reasons, would rather rotate out that machine,” he said. “It depends, too, on how they purchase. They may buy on a lease up to a certain number of hours while others like to buy a machine outright and run it for as long as possible to get the most out of it. The Rebuild Center, though, has been well received by those customers who decide to go that route. I can’t think of a time since it started that we have not been busy.”

CEG CONTRIBUTING EDITOR

Tennessee and Mississippi customers that do business with Power Equipment are given the opportunity to resurrect tired, nearly worn-out machinery at The Rebuild Center, a dedicated shop facility that can completely overhaul a customer’s productionclass equipment and get them back on the job working and looking fine.

The Louisville, KY-based service provides complete rebuilds for a wide variety of construction, material handling and mining equipment. Its eight fully trained technicians also perform machine refurbishment and remanufactured services.

But Power’s equipment repair and upgrade facility would not be a key selling point to the distributor’s customers if it were not for the fact that it provides them with the inherent value of a rebuild – the reliability of a new machine at a fraction of the cost.

Workspace Breathes New Life Into Fatigued Machines The 18,650-square-foot Rebuild Center was launched four years ago by Power’ Equipment’s parent company, Bramco, under the guidance of Garrett Dykes, the Louisville Regional Branch Manager for Brandeis Machinery & Supply, a sister With Rebuilds, Size Generally Matters company to Power Equipment. His The economics and practicality of having efforts created the shop space, outfitted The Rebuild Center work its magic on a with overhead cranes, an engine piece of equipment for a Power Equipment dynamometer, and a hydraulic test stand. customer, though, is not the same for every In addition, the facility is equipped with machine, Robins said. line boring and expert welding capabili“Based on my experience, there is a certies, along with a paint department to tain level of machine that it makes sense to add that finishing touch to a machine send to The Rebuild Center,” he explained. given a “re-life.”

A technician works on a rebuild of a Komatsu HD785 “A contractor that we work with must considWhen a contractor delivers his piece off-highway truck. er a couple of things, such as frame hours, of equipment to The Rebuild Center, the second life it receives starts with a complete inspection and meaning that the durability of a machine is important and whether detailed estimate of the job. After technicians begin their work, a it is capable of being rebuilt. Theoretically, you can do it with the smaller machines, but you must also consider the financial part of set of updates on its progression is provided to the customer.

Among the tasks that The Rebuild Center’s personnel performs it. The cost of rebuilding a smaller machine gets close to the cost is the repair or replacement of a machine’s major components. In of purchasing a new one, ruling out the feasibility of having a secaddition, all wire harnesses and hoses are changed, cylinders are ond life done.

“But going up the scale, like with Komatsu wheel loaders, for rebuilt or replaced and tested, and any frame and body damage is repaired to factory specifications. Depending on the amount of example, it typically starts with the manufacturer’s big 500 line, a wear and tear on a veteran machine brought to the facility, much size where it becomes practical to rebuild,” Robins continued. “At of the work involves a complete tear down to its frame before it that point, the cost of a rebuild versus a new machine becomes can be built back to its original condition. When finished, though, more attractive and the frame hours and the durability of that piece the rebuild is backed by a 180-day or 2,500-hour warranty of equipment is such that it can withstand getting another life.”

Dykes was careful to note that The Rebuild Center in Louisville (whichever comes first), and the new parts on the energized has the same highly trained technicians as those found at each of machine are also given a manufacturer's mandated warranty. the six Power Equipment branches in Tennessee, Mississippi and southwest Virginia. He sees this as being another value level for Longer Life Adds Up to More Value Dykes said for contractors seeking alternatives to replace aging the distributor’s customers ibecause they will not experience any machines, a rebuild is an extremely cost effective and viable solu- interruption in “on demand” services from their preferred Power Equipment locations during a rebuild project as no local technition.

And this, of course, is the biggest driver of the continued suc- cians are involved.  CEG 17

Power Equipment Helps Customers Master Komatsu’s Innovative Tech “Customers can choose to evolve as the technology advances — becoming faster, more efficient, and more productive. Power Equipment understood the challenges their customers were facing and recognized it needed a team of people to guide them through their use and application.”

Chip Young Chip Young, general manager of Power’s Technology Solutions Group.

By Eric Olson

CEG CONTRIBUTING EDITOR

The surge in digital technology in operating production equipment within the last 20-plus years has improved the proficiency and accuracy of how these machines work on job sites. Each year, manufacturers like Komatsu introduce updated operating systems to their excavators, dozers, wheel loaders and motor graders, among other equipment and tools, to increase their capabilities.

After initially providing aftermarket technology service, Power Equipment’s parent company, Bramco, decided in 2013 to build its own division of tech experts, known as the Technology Solutions Group. In 2021, the division is made up of six Technology Solutions Experts (TSEs) — dedicated and knowledgeable people well-versed in how to help customers grasp the intricacies of these continually evolving high-tech production machines.

“TSEs assist contractors and operators with the machine technology, helping customers understand their needs, and ultimately supporting them in making the best purchasing decisions,” said Chip Young, general manager of Power’s Technology Solutions Group. “TSEs are also on site when machines are delivered, assisting our customers with training and various other professional services that we offer which enables them to become more efficient and, subsequently, more profitable.

“The technological advances change the ways that our customers do their jobs every day,” Young continued. “Customers can choose to evolve as the technology advances — becoming faster, more efficient, and more productive. Power Equipment understood the challenges their customers were facing and recognized it needed a team of people to guide them through their use and application.”

trollers that provide them with GPS signals from satellites in orbit around Earth. By triangulating a position via radio waves between an on-site base station, the production machine and the satellites, the earthmoving operator can get a precise fix on his machine’s location down to about the size of a golf ball, said Jacob Burch, the business manager of Power’s Technology Solutions Group.

“With that kind of pinpoint accuracy, our customers can grade job sites to within the tolerances that his or her customers expect,” he explained. “The controller and sensors on a Komatsu iMC Machine compile the positioning and 3D model information and controls the hydraulics of the machine, preventing the operator from cutting past grade on either an excavator or a dozer.”

Bramco has eight intelligent machine control technicians within its Technology Solutions Group that work specifically on the installation and calibration of this equipment. If there is a breakdown in the field, these are the folks that are dispatched to the site to make the needed repairs. Should a field repair not be feasible, Power Equipment can bring the machine’s electronics to one of its in-house technology repair centers where fixes can be made before it is reinstalled on the machine.

Young explained as a Komatsu dealer throughout Tennessee, northern Mississippi and southwest Virginia, Power Equipment is experiencing increasingly more customers choosing intelligent equipment over the base machine offering. This can be attributed to the distributor’s customer base becoming more tech savvy with electronics and understanding how to use the data that their machine systems collect relative to a job site.

“The people that our customers are performing work for are requiring a much higher level of precision from both the contractors and the machines,” he noted. “Therefore, our customers want to be able to create a better project and reduce project timelines.

Let’s say a contractor is developing a site for a new neighborhood where the streets and the lots must be at certain elevations and the excavation for the basements need to be precisely done.

Machine Control Increases an Equipment’s Capability Komatsu’s lines of excavators and dozers possess the latest in machine control technology. These intelligent machine control, or iMC Machines, utilize a variety of monitors, sensors and con18

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All that work must also be properly documented. That’s really where Komatsu’s intelligent machines and our expertise comes in as we make sure our customers operating an excavator or a dozer know how to achieve those results as efficiently as possible with the machines we have provided.”

points to allow Power’ Equipment’s customer to use that information to make informed decisions throughout the life cycle of the job site,” said Burch.

“We can fly the UAVs before work is even done and with that data our customers can verify whether the plans are correct,” he Partnership Creates One-Stop Shop noted. “Simultaneously, with their Power Equipment’s customers also equipment on site, they can see benefit from the distributor’s affiliation how much material their machines between Komatsu and Topcon are moving in near-real-time, meanPositioning Systems, the maker of a ing that they don’t have to fly the premier, high-tech positioning system site every day to get updates. for surveyors, civil engineers, construcThrough the Smart Construction tion contractors, equipment owners Dashboard, the Komatsu iMC and operators. Komatsu equipment Machines can report surface data utilizes Topcon’s positioning technolofrom the previous day to our cusgy as a platform for its iMC Machines. tomer’s office for review.”

Topcon’s sophisticated systems are Power Equipment’s 3D data speseamlessly integrated into Komatsu cialist, in turn, creates three-dimenproduction equipment, allowing sional models that can be uploaded Power to repair these products in each to the equipment’s machine control of its markets. system. Instead of the operator “Our partnership with Komatsu and looking at the engineering drawing Topcon has allowed us to be the total or checking out the window for the solutions provider for our customers,” survey stakes scattered throughout explained Young. “Power Equipment’s a job site, he or she always has a line of products not only includes most Brandon Suell tests Topcon controls at Power Equipment’s Nashville digital representation of the plans, of the traditional sizes of dirt-moving branch. at their fingertips and within the equipment, but other machines like cab, so that they know their exact drills, pavers, mills and compact equipment. We want to be able position on the project and if they need to cut, fill or are on grade. to provide machine control solutions to all contractors, becoming “Let us say the contractor had a change order and needed to a one-stop shop.” have a 3D model corrected for the job site,” explained Burch. “By utilizing Smart Construction Remote, the contractor can send the Smart Construction a Revolutionary Approach to Jobsite Workflows updated file electronically from their office directly to their iMC Traditionally, workflows for most projects go like this: Machines instead of waiting for someone to drive to the site and Contractors bid on a job, if it is awarded to them, they receive the insert the file into the machine via a USB drive. The use of techplans, build a model, go to work, and submit change orders — nology just makes everything on the job work more efficiently.” steps that are all separated from one another.

Digital transformation of the job site will continue to evolve and What Smart Construction does is tie all Power Equipment, with its partnership with those steps together, according to Burch.

Komatsu, will continue to focus on delivering “This, to me, is the most exciting their customers innovative and industry leading thing to hit the equipment industry,” he technology solutions.  CEG said. “Komatsu wants its Smart Construction brand to be synonymous with digitalization of the job site. Through it, Komatsu is provid“By using a drone to fly the site ing solutions to our customers throughout their entire process by of a construction project, the digitizing their projects – connecting UAV professional can collect office and field. Digitization begins when customers prepare to bid and enough data points to allow follows through the progress of the project: scheduling, tracking employPower Equipment’s customer ee tasks, change orders, material moved and much more.” to use that information to To assist customers wanting to become engaged with Smart make informed decisions Construction solutions, Power’s throughout the life cycle of Technology Solutions Group also includes an unmanned aerial vehicle the job site.”

(UAV) expert and a three-dimensional data engineer on staff.

“By using a drone to fly the site of Jacob Burch, the business manager of Power’s Jacob Burch a construction project, the UAV proTechnology Solutions Group. fessional can collect enough data 20

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Power Equipment Expands Its Komatsu Business in Arkansas For the past decade, Power Equipment has had its eye on expanding its presence across the Mississippi River into Arkansas from its primary market in Tennessee.

Finally, in late July, the Knoxvillebased distributor announced that it has been selected to be the authorized dealer for Komatsu products at branches in Little Rock and Springdale, Ark. Beginning in midSeptember, Power Equipment will sell and service Komatsu and other of the dealer’s product lines in those two markets, both of which had been well served by H&E Equipment Services.

The new branches will give Power Equipment eight dealerships in total. They join existing stores in Knoxville, Kingsport, Chattanooga, Nashville, and Memphis — all in Tennessee — as well as another in Tupelo, MS. Prior to the agreement between the two dealerships, though, Power Equipment had served Komatsu customers well for 32 years in 12 counties of northeast Arkansas from its Memphis branch. The new deal with H&E significantly increases Power Equipment’s Komatsu territory to include all but five of the state’s 75 counties (the remainder are in the southwest corner of Arkansas).

“We see it as a natural extension for us to move into the state and have two more stores to serve those Arkansas customers,” said Andy Moon, vice president of sales of Power Equipment. “We have been interested in expanding there for the past 10 years. I think H&E clearly has a focus to move more toward the rental business, rather than distribution.

“It has been an aspiration of Power Equipment for quite a while to go to Arkansas because we have a lot of customers there that operate in other areas within our Bramco footprint,” Moon added, referring to the distributor’s parent company. “Power Equipment, in Tennessee and northern Mississippi, and Brandeis, our sister company serving Kentucky and Indiana, have many in-common customers that also work in the Arkansas market. It was just a very nice fit for us to move west into the state.”

He also noted the exciting possibilities for his company in bringing the full capabilities and services of Power Equipment to the state as well as increasing Komatsu’s market presence. Power, Moon said, looks to significantly invest in additional product support capabilities for its Komatsu customers across Arkansas, such as hiring more technicians and customer service representatives,

expanding its training, and increasing its investment in parts.

The association between Komatsu, a global equipment maker, and Power Equipment has proven to be fruitful for both companies because of how well the latter caters to the needs of the manufacturer’s construction and forestry customers in the region.

“Komatsu has a long, successful history working with Power Equipment and we are excited to expand our partnership with them," said Rod Schrader, chairman and CEO of Komatsu America, in a statement.

“We recognize and appreciate their strong customer focus and commitment to both selling and supporting the Komatsu product line and look forward to supporting them with this expansion.”

Skilled Employees, Product Lines On the Way To make the transition easier, Power Equipment plans to keep H&E Equipment’s current dealership employees from the Little Rock and Springdale branches.

That is because Power Equipment found H&E’s people to be just as dedicated and professional as any working for the Tenn.-based distributor, Moon said.

“I have been thrilled at the folks that will be joining Power Equipment at these Arkansas branches,” he added. “Their level of experience and product knowledge have exceeded my expectations. We are happy to welcome them to our team.”

Power Equipment is currently in the process of ramping up its operations in Little Rock and Springdale stores before opening to the public later this month.

Moon explained that the distributor is not planning to make any additions or expansions to those existing facilities, at least initially.

Rather, it is concentrating its efforts on hiring skilled people, particularly those with experience in product support. He noted that it does have open positions available for both the parts and service departments in each of the Arkansas branch locations.

Besides offering Komatsu products, Power Equipment’s two new branches will also feature other equipment lines, including Takeuchi compact construction equipment and Fecon forestry attachments, with more to come.

“We are still in negotiations with suppliers on some of the other equipment lines, so I would say that in the end, we will be able to offer many of the same products in Arkansas that we do in Tennessee,” Moon said.  CEG 22

CONGRATULATIONS! 75 YEARS OF GIVING CUSTOMERS THE POWER TO PERFORM.

THE IND DUSTRY’S NEW STANDARD

THANK YOU FOR BEING A DEDICATED DEALER

P oud Proud oud pa partner parttner t e o of P Power ow o wer e Equipment Equip Equ p pmen entt Con Congratulations ngratulatio ons on 75 successful ul years!

from page 16

“If they didn’t have projects lined up last year, it was kind of hard for them to justify buying a new machine and having a monthly payment without the next job to put it on,” he continued. “Also, with a transient customer that travels from out of the area for a job, the service works extremely well. Let’s say you have a contractor from Kentucky coming down to work in Tennessee.

They will find it better to rent from a nearby Power Equipment branch over having to truck their equipment with them.”

Service Satisfies Area’s Appetite for Rental Two decades after it was founded, Certified Rentals has grown to become a large slice of Power Equipment’s success across its territories.

“That’s due to customers continuing to have a growing appetite for rental and Power Equipment having a dedicated rental fleet to serve their needs,” Brennan said. “So, when a customer wants to rent a piece of equipment, we have an availability of that product and thus are filling that need in the marketplace for mid- to large-size dirt products.”

Leis noted that Certified Rentals is not constrained by borders, allowing the division to rent and transfer construction between any Bramco branch.

“The benefit for us is our fleet can migrate to where a machine is needed,” he explained. “For instance, the red-hot central Tennessee/Nashville region, where our latest branch was opened, can draw equipment from Knoxville or Memphis through the program. Having a large geographical footprint is certainly an advantage for Certified Rental.”  CEG

Kevin Mallard, heavy equipment rental coordinator.

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