Why Cheap Overhead Cranes Can Translate to Higher Costs in the Long Run.

When we speak of the costs of overhead cranes, we are referring to more than the initial cost of the product. Many companies opt for lower cost overhead cranes in order to keep their initial investment down; however, they are often surprised by the many hidden costs of cheap overhead cranes. Repairs, downtime, and poor performance are just a few of the problems that companies face as a result of purchasing lower cost overhead cranes. The costs of these types of cranes often exceed that of higher quality lifting equipment in the long run. A complete overhead crane lifecycle cost analysis can help to illuminate the many ways in which investing in higher quality products can save a buyer money in the long run. This article examines the ways in which lower cost overhead cranes can cause long-term problems through increased maintenance, safety issues, and decreased productivity. When buying an buyer is comparing different models, they must factor in the full range of costs in order to make the smartest choice for their business.

Understanding Overhead Crane Costs – Initial Price vs. Total Ownership

When selecting an overhead crane many buyers simply look at the purchase price of the crane. However, the costs of an overhead crane extend beyond the initial purchase price to include costs associated with the installation of the crane, its operation, maintenance and eventual replacement. The cheap initial purchase price of a seemingly bargain basement priced overhead crane can cost much more in the long run.

For example, basic installation might add significant costs for runway beams, electrical systems, and structural reinforcements. A simple cost comparison chart helps illustrate this point:

Better reliability and efficiency of quality cranes reduce long-term costs of overhead cranes.

Hidden Costs of Cheap Overhead Cranes

The true cost to own an “economical” overhead crane is often not fully disclosed to the buyer until after the purchase. Such items as additional costs to complete as required, higher than normal insurance premiums to carry, and special compliance upgrades to meet local and state building codes. Many cheap overhead cranes require a lot of additional electrical work and building reinforcements in order to meet minimum safety requirements.

Common hidden costs include:

• Expedited shipping for replacement parts
• Additional operator training
• Increased insurance due to higher risk
• Lost production during frequent repairs

Other factors can soon turn an apparently affordable crane into a real money pit.

Low-Cost Crane Quality Issues That Drive Up Expenses

Problems with Low-cost cranes can present themselves in a wide variety of different forms. Cheap models of cranes are typically produced using lower quality materials and can be prone to weak welds and poor quality electrical systems. As time passes, these types of cranes can experience repeated failures and a decrease in precision when lifting loads.

Substandard installation procedures can cause systems to function improperly from the start. Key components can go out of alignment, begin to wear excessively and fail prematurely. This causes a host of problems for manufacturers as the overhead crane they so desperately need winds up being far more costly than anticipated – primarily due to the frequent service calls and periods of down time to repair.

Poor-Quality Crane Components and Their Impact

The biggest problems with a poor quality crane component arise very quickly with a cheap crane. Motors, brakes, cables, ropes, wheels and control systems fail prematurely.

Typically these components will fail at normal operating loads. These can cause serious safety hazards and unexpected crane down time. For example, bad brakes can increase stopping distance and cause a load to fall. Lower grade ropes and wheels cause more frequent replacement and higher maintenance cost for cranes.

Vulnerable components typically include:

• Hoists and lifting mechanisms
• Electrical control panels
• Travel wheels and end carriages
• Brake systems

Quality components from reliable manufacturers last longer and perform better in harsh environments.

Crane Lifecycle Cost Analysis – Seeing the Full Picture

Crane lifecycle cost analysis is more than just buying a crane. A proper analysis of costs to own a crane from initial purchase through the life of the crane until it is no longer used includes acquisition cost, the cost of operation on a daily basis, cost of maintenance, the cost of downtime, and finally the cost of decommissioning.

A simple cost comparison of price over 10 years for cost effective cranes against quality alternatives reveals that cheaper cranes can cost an additional 30% to 50% over the decade. A detailed listing of cost is provided here to establish reality for buyers in this marketplace.

Crane Downtime Costs and Production Losses

Downtime costs of cranes represent one of the largest hidden expenses. Every single hour of down time results in thousands of dollars lost in production, idle labor, and in delayed shipping.

The cheap cranes will often break and extend the time required to repair them. And the cost of time lost due to a downed crane in a high volume facility can easily exceed tens of thousands of dollars per hour. A good quality crane will help to minimize such down time and help you to keep your productivity.

Crane Maintenance Expenses Over Time

The cost of maintenance for low-cost cranes quickly escalates. Spare parts not in the standard program are difficult to obtain quickly and are expensive. Repairs that are performed as an emergency are always much more expensive than the corresponding preventive maintenance.

Because the cheap cranes go through more wear and tear between maintenance periods, they generally require more frequent service which can result in greater than average labor and parts costs to maintain for life.

Repair Frequency and Spare Part Costs in Cheap Cranes

Low cost cranes, by virtue of their low durability, require more frequent maintenance. The cost of spare parts for the cheaper design rapidly add up when components fail. Furthermore, non-standard parts are usually not readily available, meaning even simple replacements can lead to further delays and increased costs.

Quality cranes are using standardized, commercial, off-the-shelf parts. The benefits are fewer repairs, and lower cost for replacement parts in the long run.

Safety Risks Associated with Low-Cost Overhead Cranes

Crane components that are made to a low cost can lead to a number of safety issues. There is a risk of a load falling and potential damage to surrounding structures. There is also a risk of electrical failure which can lead to accidents and injury. Such incidents can result in large fines from regulatory bodies as well as claims against the owner for compensation.

High quality equipment with proper safety features will protect your workforce while also saving you money in insurance premiums and complying with legislation.

Making Smart Choices for Lower Long-Term Overhead Crane Costs

Evaluate overhead cranes in detail to help lower costs. When purchasing overhead cranes, examine total lifecycle costs, not just initial price. Make sure to get a detailed specification for any overhead crane you are considering and carefully compare the quality of each.

Practical tips include:

• Asking for lifecycle cost projections
• Reviewing component quality and certifications
• Evaluating manufacturer support and spare parts availability
• Prioritizing safety features and energy efficiency

Smart means better, less trouble, cheaper in the long run.

FAQ

What does a crane lifecycle cost analysis do for a buyer?

It reveals true long-term costs compared to the initial investment and includes the costs for the operation, maintenance as well as the costs due to potential downtimes in the following years.

What are common problems in cranes of low price?

The material may be weak. The welds may fail. The motors and brakes may be substandard. The electrical system can fail.

If you’re looking for durable and long lasting overhead cranes, then Nante Crane is your ideal choice. The leading manufacturer from China of high quality overhead cranes, crane components and intelligent control panels has more than 30 years of experience in this field. Nante Crane focuses on reliable, efficient, safe and custom-made overhead cranes and crane parts to reduce the total cost of ownership and to increase productivity. Check out their extensive range of overhead cranes at nantecrane.com and let the experts of Nante Crane help you to find the perfect lifting solution for your specific needs.Contact us today through the appropriate channel and we will answer any questions you may have.