The Situation
Our customer, a producer of pulp and paper, required the refurbishment of three fan pump casings with Belzona Coating to restore tolerances. However, due to the poor condition of the casings, the chemical cleaning process took longer than expected and it became apparent that the pumps may not be able to be refurbished.
This situation could have resulted in a 28-week lead time for a new casing, causing a delay in the project timeline and an opportunity cost of hundreds of thousands–if not millions–of dollars.
Our Solution
PGE promptly submitted a bid to refurbish the casings within the project timeline. When a deteriorating casing was discovered during the repair process, we leveraged our supply partnerships by locating a used casing in excellent condition for one of the fan pumps, enabling us to kickstart the repairs ahead of schedule. When the chemical cleaning revealed the second casing to be beyond repair, we promptly located and procured a new surplus casing.
The Result
The result was a documented & customer-verified cost savings of $1.29MM. This situation demonstrates why proactive planning, in addition to finding alternatives to long lead times, is so important to generating cost savings.
$1.29MM
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