Find out how NRI Industrial helped a large energy utility provider with our consignment services.
Our client is one of the largest North American based power producer with more than 70 generating assets. Our clients vast generation portfolio includes hydroelectric stations, solar stations, thermal stations, gas fired stations & nuclear stations.
To minimize the risk of failure and impact due to downtime, our client upgraded machinery and equipment on a routine basis, which generates a significant amount of used and surplus equipment.
To avoid production interruption, our client stocks a significant amount of maintenance, repair and overhaul (MRO) equipment and parts. As a result, our client produces surplus equipment and parts on an ongoing and inconsistent basis from each of their 70 operations.
Prior to engaging with NRI, the client listed out 3 problems they wanted to address:
Challenge #1 - Due to our clients size and variety of operations there was an extensive variety of surplus equipment ranging from low value items such as, PLC-based controls to high value items such as wastewater discharge treatment systems.
Challenge #2 - Most auction houses only perform a forced liquidation, or one-time large-scale sale. For this type of recovery model to work, our client was forced to collect surplus in a centralized location until it had enough material to attract a third-party auctioneer.
Challenge #3 - Our client housed an in-house asset recovery team of more than thirty people. However, due to a lack of the specialized marketing knowledge required for selling industrial equipment, their team achieved limited success.
We offered our client a multi-faceted asset recovery solution focusing on maximizing their return on assets while providing a streamlined process for managing and storing their surplus equipment. This included:
A no-cost valuation on surplus assets providing the client with a clear picture on what the equipment value is on the secondary market
A multi-pronged sales solution, including consignment services, auction services and private treaty sales, designed to maximize exposure and reduce turn-around times.
A streamlined logistics process for managing surplus, including logistics, dismantling and rigging services to transport and store equipment in our facilities.
Consultation on special projects, such as facility closure and decommissioning, as well as strategies to minimize common second-market pitfalls.
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