20 minutes with:
Roger Lindley interviews the newly appointed Vice President for CNH Construction Equipment Europe.
– CNH Construction Equipment Europe
“With just a few months in the position and after many years with Iveco, are you finding any synergies between commercial trucks and construction equipment?”
“The business model is very similar– the customers have the same expectations. They look for high performance together with reliability; they also appreciate that even the best machines will fail at some time or other but the effect of this is minimised by efficient after-sales support. This is reflected in the resale value. Of course, there are big differences between the products and they are designed and engineered for their specific applications in which they are used. But, it is by recognising these differences that customer expectations are met. “
“What are your immediate priorities?”
“Sales and service. Like all other companies, we have gone through, and continue to go through, unprecedented market conditions. There is no past experience to draw from. Recovery depends on having a strong, highly motivated network of dealers able to deliver expectations as close to the customer as possible. It is not sufficient to have an extensive dealer network. It is essential that the dealer personnel and the people within CNH – whether it is CASE or New Holland – supporting dealer activities all have a strong belief in the brand and an appreciation of the complete range with all the various options and configurations that are available. People are as important as the product. Trust in people brings trust in the brand.”
“How do you see CNH doing this?”
“By focusing on two distinct areas – compact and heavy line. Although customer expectations of productivity and reliability are the same for each, the way the customer is approached is very different. It is important to recognise these differences and have the strategies in place to provide the most appropriate level of service.”
“You mentioned synergies with the automotive industry. Leading manufacturers in the automotive sector are now offering, as standard, warranties of up to seven years. Do you see this step being implemented with construction equipment?“
“For many years, customers have had the option to extend warranties on new machines but I believe we can do more. We have to be prepared to support our claims of reliability and an efficient after-sales service and we can do this by offering a wider variety of warranty extensions - a sort of ‘warranty plus’ whereby customers select the level they require. This can be from the standard warranty through to full-service warranties over a longer period of time.”
“Are you satisfied with the current product-line or do you see areas in which CNH need to be stronger?”
“I think that the existing product range meets current market requirements, but, as the group has shown over the years, new products will be introduced as technology develops and in order to ensure that we continue to provide customers with the products that best meet their demands as a full line supplier.”
CNH has recently made the CASE dozer range available in Europe, Africa and the Middle East.
“Offering a full-line delivers many benefits to customers. For instance, we have recently started offering the Case dozers through the dealer network in Europe, Africa and the Middle East. I appreciate that these are not high-volume products but making it available enables customers to dedicate themselves to one brand, one supply chain, a lower inventory because of greater commonality of parts and faster service times through familiarity.”