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Executive Report: Scots show their cool Hirers exhibiting at this year’s ScotPlant had a positive outlook, resisting suggestions of a business slowdown. Alan Guthrie reports from Edinburgh. Several hire companies were among the 150 exhibitors at the ScotPlant construction equipment show, held at the end of April in Edinburgh. Their presence gave an ideal opportunity to gauge opinions regarding business confidence within our industry, following on from the Crosshire and Forum articles in our May issue, which urged hirers to keep cool heads and maintain positive thinking, rather than being affected by a media induced gloom. Indeed,
some
business
commentators
have
suggested
that
the
economic
doom
mongers
have
been
much
too
closely
focused
on
the
turmoil
in
London’s
financial
centre.
This
view
was
expressed
by
the
Director-General
of
the
British
Chambers
of
Commerce,
David
Frost,
addressing
politicians
and
business
leaders
in
Liverpool.
He
said,
“If
you
lived
your
life
in
London,
you
would
often
be
left
with
the
impression
that
the
economy
was
about
to
fall
off
a
cliff.
From
my
visits
around
the
country
“Business is certainly strong” Certainly, hirers at ScotPlant were in confident mood. “We have diversified substantially in recent years and a lower proportion of our Group business comes from markets such as house building,” said Ian Johnson, General Manager of A-Plant’s Trenchless Technology division. “Roads still have to be maintained, underground pipe networks have to be replaced, and customers realise that we can provide the specialist equipment they need, like hydraulic pipe pushers, pipe bursters, impact moles and electro-fusion machines. Business in Scotland is certainly strong.” A-Plant also displayed a comprehensive line-up from its Plant & Tool Hire, Powered Access, Lux Traffic Control, Accommodation and Power Generation Divisions. Chris Nixon, Director of Plant Hire with Newcastle-based Nixon Hire, told EHN that “it is only natural for people to be cautious about the economy, but having said that, our hire business is working flat out across the board. Some house builders have reported that they are delaying - not cancelling - the next phase of certain developments, but there remains a huge amount of work to be done in other markets. Glasgow has to build facilities relating to the Commonwealth Games when it hosts them in 2014, the M74 at the English/Scottish border is being widened, and work has just started on the New Tyne Crossing project that will take two years to complete, with a further one year needed to refurbish the original tunnel.” Accommodation
Hire
Director,
Graham
Nixon,
added
that
the
company,
which
has
14
depots
stretching
from
Aberdeen
down
to
Wakefield,
placed
orders
in
March
worth
£2m
for
site
cabins.
Making its ScotPlant debut, HSS Hire Scotland promoted the comprehensive nature of its product range for this region. “We are here to show construction customers in Scotland just how much they can hire from us,” said Managing Director, David Johnstone. “The credit crunch means that many professionals will hire, rather than buy, the items they need. Projects like the Edinburgh tram network extension and the Glasgow Commonwealth Games will also add to demand.” David Johnstone says that the business is broadening its fleet to meet the specific needs of the market, and that it is targeting a wider range of tradesmen. It has also opened larger depots to cover bigger areas. “HSS Hire Scotland, for example, has invested significantly in compact plant and other larger equipment than the traditional HSS offering, to meet the demand that we are experiencing. “We opened our flagship Newbridge depot, to the west of Edinburgh, last year, and a new 20,000ft2 facility in Glasgow. We now have 23 HSS branches in Scotland, with a further 24 agency agreements. Sales Managers are building strong customer relationships in markets such as construction and civil engineering.” The HSS Hire Scotland stand displayed a diverse selection from its fleet, including Belle concreting equipment, JCB mini excavators, Neuson dumpers, GenSet lighting towers, Wacker compaction plates and Norton Clipper floor saws. Groundforce, part of the Vp group that also owns Hire Station, displayed equipment from all four of its divisions, comprising Groundforce Shorco (which provides structural support products), Piletec (piling equipment), Stopper Specialists (pressure testing and flow control) and Survey Technology. “The whole Groundforce operation is very busy,” said Geoff Norris, Robotics/GPS Sales Manager with Survey Technology. “The media gives the doom and gloom mongers too much air time to talk about the economic situation, while the reality is much more positive. Additional opportunities “Survey Technology has six dedicated branches, at Bridgwater, Coleshill, Crawley, Crewe, Loughborough and Wetherby, with two specialist equipment servicing and calibration facilities. Traditionally, our main market has obviously been the construction industry, but we are always looking for additional opportunities. For example, a robotic total station can be supplied on long-term hire to monitor the condition of a building, a dam or any other structure and to record any changes. As well as providing accurate measurements, this reduces the need for personnel on site.” Survey Technology supplies a complete line-up of equipment, ranging from basic auto-levels through to lasers and machine control receivers. The operation also offers a repair and calibration service to customers who own equipment. Another specialist hirer exhibiting, Tracked Dumper Hire UK, also reported a positive business outlook. The Norfolk-based company has a fleet of 80 tracked vehicles with carrying capacities from 1.5-22 tonne, including swivel tip and Hiab crane attachments. “The market is strong, with demand for our smaller machines coming principally from professionals such as landscapers who have to negotiate soft ground conditions,” said Jeremy Taylor, Proprietor of the company. “We can supply machines nationwide, although our customer base for the smaller units tends to be more local to us, owing to transportation costs and the wider availability of machines in the market.” The business offers tracked dumpers made by Morooka, Hitachi, Kubota, Yanmar, Komatsu and Mitsubishi, along with off-road personnel carriers and utility vehicles. “Two Morooka machines were recently supplied for a project in France, south of Dijon, for a two-month maintenance contract on the TGV railway,” said Jeremy Taylor. “The initial enquiry came via our web site, and the contractor could not find a more local hirer.” On the company’s stand at ScotPlant, new fleet additions were displayed including track mounted hedge cutters and boom lifts. The hirers that EHN spoke to are obviously staying successful by actively listening to their customers, assessing market opportunities and adapting their fleets accordingly. They are clearly far too busy to have time for anything other than positive thinking. • Executive Hire News › Archives › June 2008 › Executive Report › Scots show their cool
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