No one stocks parts anymore

[Kansas]

Maybe I'm just expecting too much. The up/down gearbox on the LT70 gave out yesterday. All the guts completely shot. A quick call to WM and they told me that was an off the shelf gearbox, not proprietary. We cannot afford to be down right now. I was willing to drive to get it. Phone calls to Topeka, Kansas City, and Wichita yielded nothing. This is a simple gearbox. I truly wonder if anywhere in inventory in those three cities they have an inventory of a single gearbox on the shelf of any kind. I been running into the same problem with bearings and seals. We try to keep an inventory of what we know goes out  on a regular basis. But you can't plan for everything. It seems like the industrial supply houses have gone from just keeping a few on hand to  having to order everything.

Wound up ordering it from Woodmizer a few minutes before deadline, next day air. I thought the price of the gearbox was reasonable. Next day air, well, that's another story.

[Ianab]

I can see it from both sides.

If your machine is down, it's costing you $$ to wait. But for a local business to stock a part they they might sell one a year? Maybe?

If you aren't moving that part in a month it starts costing you money just by sitting there.

I run a small computer business, we stock almost nothing, apart from some common parts, power supplies, memory chips, patch leads, adsl routers etc. Things that we invariably use most months. Other stuff, sits on the shelf collecting dust and we are paying the bank interest on it. Worse on computer parts of course, as a 12 month old hard drive or CPU is now almost worthless.  :

At least WM had the part in stock, they probably sell a few per month, or they keep one on the shelf for customer support reasons, even if it takes 12 months to move.

Ian

[thecfarm]

At least you can get it the next day,even though it's at a BIG cost. That's how things are now. Noboby want to stock parts because it cost the company money.

[SwampDonkey]

It all boils down to how much business they get. Some saw shops now a days don't stock anything because their main business it fixing any old small engine from a lawn mower to an ATV. The saw business has become a side line. Now, a shop that sells a lot of saws has a good inventory. I see it in brush saws. We have a new Stihl dealer in a local town, I asked them if they sell much for saws. They said not hardly any. Well, they are a farm tractor dealer and really aren't pushing saws. They are there if you want one or want a part, but you'll have to order it. They don't really care if they sell one they have tractors to sell and fix. What I have experienced is if your in there for a part, and the only one there, if the phone rings for a tractor part or a fellow comes in looking for a tractor part, your shoved to the last in line and waiting for these tractor guys to be served. Doesn't make you feel too welcome at their shop. I'm just about at the point where I'm going to be calling Stihl to let them know of their service at this shop. Not only that, I have to bring my own parts book for my saw because the young fellow hasn't a clue. ;)

[Bodger]

Mine conked out last summer and I priced the bronze gear from the manufacturer...the bearings were available locally.  The  cost of the gear was so close to the cost of a replacement unit I went ahead and ordered a new one.  I have to keep reminding myself the spread the cost of big parts like that over 16 years...then it doesn't seem so bad.

[Kansas]

Seems like some of the manufacturers would work out deals with distributors to put their stuff on the shelf at no carrying cost. A lot of this stuff is interchangeable, especially bearings, sprockets, etc.  Rather than keep all the inventory at the factory, put a few at  locations across the country. It can sit on those shelves as well as the ones at the factory. I would think it would lead to increased sales.

I was surprised that the guy at Woodmizer told me he had 3 in stock. I would have guessed as many LT70's they make, they would have had more. Maybe the new ones use a different style. Ours is about 6 years old.

[tcsmpsi]

Many manufacturers are faced with lower productions/less overhead/stock, which goes to the distributors, which goes to the dealers, as it comes from the consumers.   For 'on the street' dealers, the internet has taken very significant bites from sales.   As a necessary result, what stock/inventory is decided upon is more strictly prioritized.  

Perhaps a new show, Struggling for Dollars, could be a new lineage of Dialing for Dollars.   ;D

We have and are facing the same thing, though perhaps even more pronounced as independent dealers in our industry.  Finding stock is as problematic as creating the need for it.  Much of the stock is 'eaten up' by buying cooperatives tuned to internet sales depending on large volumes for profits.  

The more consumers are tuned to the internet for their purchases, the more independent dealers/service providers are gobbled up.  

[Chris Burchfield]

From the smallest and least expensive parts, I've seen $135,000 Fire Engine out of service because of a $.50¢ valve core for a front tire.  The city shop was closed for the weekend.  I picked up the valve core and tool for r&r at Autozone.  I couldn't let the engine be out of service until the shop opened on Monday.  I also didn't want to call a mechanic out who was on call, just for a valve core on a tire.  Yesterday, I went in search of a female 1/8" flat electronic connector for the trigger of my ESAB 210 MigMaster, of which I could not find in Memphis.  Not the welding supply shop where I bought the ESAB or a large Electrical Supply House.  I settled for a 3/16" at Radio Shack as a pack for $2.16 and put the welder back in service.  A few years ago, I had a quick change gear box go out on my Grizzly Metal cutting bandsaw.  They didn't offer just a gearbox, you had to order with the motor attached as an assembly.  I was under the gun to get the job out. Like Kansas' posting the assembly price was reasonable but, next day air was something else.

[Kansas]

If I heard the guy right it the gear box was around 350 dollars. The next day air was 180. i didn't listen too closely. Some things you just don't want to know.

Then, because we don't get UPS until 4:30 in the afternoon, that means the secretary is at the UPS warehouse up in Manhattan KS to pick it up.

[DanG]

We cannot afford to be down right now.

Why not?  Don't you keep enough inventory to fill orders?   ;D  Of course I'm just pulling your chain, but others can't afford to keep inventory for everything you might eventually need any more than you can.  There used to be places that tried to, but they all went broke and closed down.  I've been to several hardware store auctions where inventory was sold off for much less than it cost them 40 or 50 years ago.  Most of it went to scrap because the machinery it was made for doesn't even exist anymore.

[Sprucegum]

When I studied bookeeping 101 fifty years ago inventory was listed on the asset side of the ledger, now it's listed on the liability side.

We (where I work)  have thrown away a lot of good stuff since that happened  :

[sawguy21]

Inventory is a liability to an accountant, the cash has gone out the door and has not yet been recovered. The consignment plan Kansas mentioned is sometimes used to encourage an outlet to stock new product and get the name out but it is an expensive way for the supplier to do business. It is supposed to be paid for as it goes out the door,  the consignor needs to keep a close eye on it with frequent audits.

[Kansas]

Sprucegum, are you being serious that inventory is listed on the liability side? That doesn't make sense. Inventory is money sitting around waiting to be turned into more money. Maybe they do things different in Canada. How would you even make accounting work? It wouldn't even flow right on a balance sheet or profit/loss statement.

[beenthere]

Kansas
Just give the thanks to our Gov't for the business atmosphere now coming home to rest in your lap. ;)
Be happy you are not waiting for the slow boat from China.

[tcsmpsi]

Inventory also has tax burdens.  Longer it sits, lest it profits.

[DanG]

It doesn't take an Economics degree to know that inventory can be either a liability or an asset, depending on the demand for it.  Home Depot keeps thousands of 2x4x8s, but they don't stock any 3x11x19s.  They would have to order something like that from somebody like me.  The 2x4s are an asset, but the 3x11s would be a liability if they stocked them.

[Slingshot]

      I went by the local TSC yesterday to pick up a few bolts and looking at their clearance table saw
an alternator conversion kit for a 2n, 8n, 9n Ford tractor on clearance marked $69.99. The
original marked price was $299.99. I have no immediate use for it but decided to buy it. (maybe
craigslist?) Took it to the check out and the gal rung it up and said "wow!, bargain of the day,
you're getting it for $30.00." TSC probably used to sell lots of them but not much demand
anymore so saw no need to keep it in inventory. Now if i can only find a tractor dealer with
a brand new 8n Ford tractor sitting in a warehouse gathering dust that I can get as good a deal on,
I'd have a use for the conversion kit.    


_____________________________
Charles

[Ron Wenrich]

We keep major parts for the mill in inventory.  We make our own hoses for the hydraulics, have big hydraulic pumps and all the motors and cylinders necessary on hand.  We have extra belts, chains and bearings.  Our downtime is usually measured in hours instead of days due to not waiting on a part.  We're also re-engineered all those areas that caused problems so that we could eliminate as much downtime as necessary.  We got rid of imported bearings and chain.  They are more expensive, but they last longer and are cost effective. 

How much did that $350 part really cost you.  Downtime is really expensive.  Most bigger mills have plenty of inventory on hand.  They've learned you can't depend on someone having the part when you need it. 

[isawlogs]

Parts availability here is about the same , you can get anything .................. tomorow or the day after   :  Inventory is now on wheels, you order it , they turn around and do the same.  :-\

[Kansas]

In retrospect we should have realized we had a problem. We had on occasion been blowing the breaker governing the up/down switch. I just never thought to keep that gear box on hand. The first instinct is that its some electrical glitch.  Our original plan was to sell the HD40 when we got the 70. But twice we have had to pull the E25 motor off of it when the electric motors shelled on the 70. And those are proprietary motors, so either  wait for it to be shipped from the factory, or drive 600 miles one way to Indy. So we have kept it just for that part alone. I thought we were well stocked on parts for it, maybe I need to rethink what we need.

The mill was back going as of 11 this morning.

[LeeB]

It can take 6months to a year to get partsforthe drilling rig I work on and mostof them have to come from the manufacturer. We have to keep a multi million dollar inventory of spares in stock. I signed out $16,000 worth of expired rubber goods yesterday to clear them from inventory so new ones could be ordered. The old will go in the trash. Some or mostof them can be gotten in a few days in an emergency at great cost. A few days down time would be a quarter mil or more in lost day rate revenue and I work on one of the older lower day rate rigs. Some of the new deepwater drill ships get $4-600k a day. Minutes of down time cost a months wages for most people.

[customsawyer]

You can do what I do and have two LT70's that way you always have a parts house for the one you need. ;D

[SwampDonkey]

I keep an inventory of parts I know that can go at any time on my brush saw. Granted it's not a lot of money tied up just having it ready to slap on compared to operations you guys are running. But the way I see it, I loose 4 ways if that saw ain't working and if I'm not knowledgeable enough to fix it: Have to wait for the part, loss of pay, loss of benefits, have to pay someone to fix it. And the only thing I can claim is the cost of the part and fixing labor.  What about if I loose $500 in wages and benefits?? >:(

[Sprucegum]

Kansas; money sitting around is money loosing value, whether it be depreciation, taxes, or lost oportunities. The longer it sits the better chance of loosing it all.

[bandmiller2]

I spent 31 years as a fire service mechanic,they would call me in the middle of the nigtht or holidays and expect me to have the truck back in service.You stock the basics,especially rubber parts,switches and solenoids.I would replace parts like alternators and starters and rebuild the old ones for stock.What I'am saying is you must take care of your needs and not depend on vendors for emergencys.Frank C.