Quality equipment can be expensive. Very expensive! For example, a new van can cost over thirty thousand dollars. Keep in mind this is for an American Ford van, not a German Mercedes. An old vehicle can cost only a few thousand. But don’t be penny wise, pound foolish: it is essential for every business to have good equipment it can run on. Building a company based on quality equipment can be a smart move that will increase long term profitability. There are several reasons for this.
It’s easy to save money by going with poor quality equipment. That usually means buying something very old. The problem with this though is that breakdowns will be more frequent. For example, with our van example: the van might have to be constantly repaired by a mechanic. More time in the shop means the van spending less time shipping what it is supposed to. Old equipment is simply not as sturdy as new equipment. So although you will be saving money in upfront costs, you might lose money over the long term due to production interruptions.
New and high quality equipment typically has high productivity. So although you might be able to buy two pieces of used equipment for the price of one, the new piece of equipment might be a better deal in the end, this is because the new equipment has the new and latest technologies. Also, obviously there is less wear and tear on the equipment.
Which would you rather work for: a company that has ancient derelicts in its production facility or brand new equipment? Having new equipment sends a message that your company is bleeding edge. Good employee morale means more productivity and less turnover. They can brag to their friends how new their equipment is. To use the van example again, new equipment can improve not only employee morale but customer relations as well. Imagine your client’s reaction when being picked up in an old decrepit van versus a brand new Mercedes.
Produce A Better Product
This is not true for all types of equipment, but generally high quality equipment can produce higher grades of product. For example, if you have a fertilizer factory – higher quality equipment will be able to produce higher quality fertilizer. Expanding your product line might be a good business decision. More flexibility in the production process can really improve the bottom line of a corporation.
Quality equipment improves safety. New equipment has the latest safety features and safety should be number one in any work place. Whether it’s a new van or a sturdy air mixer for laboratories, new equipment can be a godsend. It can really help keep your employees safe and prevent injury. That can really help prevent a lot of problems both physically and financially.
Quality equipment is definitely a good investment. It may seem like a lot of money to spend now, but it will definitely be well worth it in the future. Down the road you will be able to see the benefits and stability of having quality machinery. It can really make a huge difference for you and your whole business.