000740 - Hilti 23/1/09 18:43 Page 1
EXHIBITOR PROFILE
HILTI
EXHIBITOR
Hilti’s “no brainer”
ST
AND B60
At last year’s Executive Hire Show, Hilti (Gt. Britain) Ltd introduced its new Fleet
Management plan. One year on, we speak to four independent hirers about the scheme.
A year ago, judging by all the comments flying about, Hilti “a no-brainer. The Fleet Management Usage plan takes a lot of the
(Gt. Britain) Ltd seemed to be risking the reputation that it had built problems away because you know, at the outset, what the costs will
up over the previous 50 years. Having just launched its new be throughout the entire 48 month period.
business strategy, Hilti appeared to be telling hirers what they could
and couldn’t do as it announced that it would no longer sell “Under the repair system, Hilti tells us immediately when any item
indirectly through dealers and other third party distributors. needs servicing, collects it from any of our locations and returns it
This certainly upset many hirers that had previously bought Hilti within 48 hours. We already operate a lot of Hilti equipment in our
tools and accessories for re-sale and the manufacturer seemed to power tool fleet, predominantly TE 76-ATC and TE 905-AVR
have put itself on a collision course with hire. breakers, although we also offer other brands. However, in the
coming months as a machine needs replacing, we will use the Hilti
Its sales team had spent the second half of 2007 persuading hirers Fleet Management plan for all new items.”
to sign a Selective Distribution System (SDS) contract under which
each hirer can trade with Hilti by agreeing to buy products only for
Signed up at the Show
use in its own hire fleet and not to David Hare of Hares Hire Services
re-sell any tool or consumable that Ltd in Upminster, Essex is similarly
remains in the structure after its impressed. “It is ideal as it allows us
completion. From the start of last to increase our fleet size and frees
year, Hilti only dealt with hirers that capital for other products. We
signed this contract. signed up to the deal at the
Executive Hire Show last year.
Recognising the potential damage We had experienced a demand for
that its action would cause, Hilti Hilti breakers from our customers
added a number of sweeteners to and this plan has enabled us to
the bitter pill that it was asking hirers meet this demand. We have since
to swallow. The most important added a significant number of new
ingredient in the mix was the Fleet machines without having to phase it
Management Usage plan, which into our cash flow projections.
extended the manufacturer’s original Purchases include a number of
Two Year No Cost initiative,
Holbury Tool Hire’s Shaun Armstrong is a big fan of the Hilti plan.
breakers, DD120 diamond drill rig,
introduced in 2006. Under the Fleet Management Usage plan, hirers DC-SE wall chaser and dust extraction unit. The most recent
pay a monthly usage fee for its tools, with Hilti retaining ownership purchase was the new DCH 300 electric disc cutter.
of the machines. Equipment is rotated on a regular basis, based on
the economic life of the machine. Typically, for tools like the TE76- “Whilst we operate other brands of breakers, we will increase our
ATC combi-hammer and medium and heavy-duty breakers, the fleet in the future with mainly Hilti, but will always maintain stocks of
period is 48 months, although it can extend up to five years for other brands. This increase will not all be through the Fleet
diamond drilling equipment. At the end of the contract, Hilti would Management plan, as we will purchase some machines outright.
replace the kit with its latest models and the plan would start again. The 48-hour service turnaround is also an important benefit and this
also applies to equipment that we own. There is also an option for
Takes problems away
Hilti to supply labels with our plant numbers and telephone number
One year on, and in very different trading conditions to which the on each item. Overall, the quality of the equipment and service is
Fleet Management Usage plan was introduced, we spoke to a excellent from a company, which is also a leader in HAV information.”
number of independent hirers to find out their views on Hilti’s
strategy. For Phil Mason, MD of Hire One, which operates six outlets Shaun Armstrong, Director of Holbury Tool Hire Ltd, just outside
in south Wales, his company’s decision to support the plan was Southampton on the edge of the New Forest, is another fan of the
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