Process & Machinery Controls

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A Buyer's View: Utilizing Refurbished Equipment to Lower Costs

In today's business environment, where re-organization, cost-cutting and efficiency are continuing themes, refurbished equipment can provide an effective way to assist in providing cost-effective solutions for real process/operations problems. The benefits of using refurbished equipment are many. These include: extended life of currently installed equipment; no additional training requirements (use what you "know"); and of course, cost savings.

Life extension of process control equipment, particularly Distributed Control Systems (DCS), can provide a variety of savings opportunities to the user. In many cases, users make the decision to replace existing DCS systems due to one (or more) of the following concerns:

1) Obsolescence by the original equipment manufacturer (OEM)
2) Lack of functionality, both real and perceived
3) High maintenance cost - manpower and materials/parts
4) Expanding system requirements

In the current marketplace, refurbished equipment is available for just about every piece of equipment used in a plant environment. These products are typically sold for up to 60% of what you might pay the OEM. A typical case for DCS products would be a requirement to expand an existing process which requires a cabinet configured to support 20-30 loops of control.

  OEM Refurbished Eqpt.Supplier Savings
Cabinet (w/wiring & Mountings) $17,500 $ 7,000 $10,500
Power Supplies (2) $ 4,000 $ 2,200 $ 1,800
25 I/O Cards $35,000 $15,000 $20,000
  $56,500 $24,200 $32,300

As you can see, this would yield a cost savings of $32,300 or 57% of the OEM price as well as assuring that the equipment acquired requires no additional training for your existing staff.

For more information on meeting your Process Control instrumentation needs, give us a call.