Heavy Equipment - Construction Executive https://constructionexec.com The Magazine for the Business of Construction Tue, 14 Jul 2026 14:53:19 +0000 en-US hourly 1 https://constructionexec.com/wp-content/uploads/2025/10/CE_Fav_Green_512x512-1-150x150.png Heavy Equipment - Construction Executive https://constructionexec.com 32 32 251514335 How Deferred Elevator Modernization Quietly Erodes Your Building’s Bottom Line https://constructionexec.com/article/how-deferred-elevator-modernization-quietly-erodes-your-buildings-bottom-line/?utm_source=rss&utm_medium=rss&utm_campaign=how-deferred-elevator-modernization-quietly-erodes-your-buildings-bottom-line Fri, 17 Jul 2026 10:00:00 +0000 https://constructionexec.com/?p=65955 When an elevator service in your commercial building stops, almost all operations stop.

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In a busy office building, the morning rush is the worst time to lose an elevator. Tenants waiting four minutes for an elevator that should have arrived in 90 seconds have plenty of time to start questioning their upcoming lease renewal. Building managers fielding the third service call in as many months have another headache to add to their to-do list. And ownership groups facing a five-figure emergency repair bill on a 25-year-old system can only agonize about what they could have saved had they acted six months earlier.

These scenarios play out in commercial buildings across the country every day. And in most cases, they can be avoided entirely with proactive capital planning.

An Elevator Works Harder Than Most People Realize

The average commercial elevator makes up to 500 trips per day, equivalent to traveling more than 1,000 miles per year. Over the operational life of a building, that is an enormous cumulative load on mechanical and electronic components that were engineered for a specific service life. The cab and its components such as control systems, drive technology and door operators are relics of the era in which they were installed, likely operating well past their optimal performance window.

Regular maintenance can keep aging systems running smoothly for decades, but even the best maintenance plans have their limits. At some point, repairs can only do so much, and the cost of keeping an outdated system operational begins to outpace the cost of replacing it with something built for the next 20 to 30 years. 

The Three Costs Building Owners Aren’t Accounting For

When a building owner defers an elevator modernization, the calculus often looks straightforward: The repair bill today is smaller than the proposed modernization project. What that calculation misses are the three categories of cost that accumulate as your elevator equipment ages.

The first is operational. Aging components fail more frequently and less predictably. Emergency service calls can carry premium pricing, and replacement parts for obsolete systems can be difficult to source, which adds extended downtime on top of cost. What begins as a manageable maintenance budget and downtime can quickly double over a three-to-five-year window as a system continues to age.

The second is liability. Aging elevator equipment interacting with the public every day creates real exposure for building owners, operators and managers alike. ADA compliance, fire safety codes and local inspection requirements are not static, and systems that were fully compliant at installation may no longer meet current standards. Owners who get ahead of modernization are protecting their tenants, their visitors and themselves.

The third is asset value. In a competitive leasing market, vertical transportation is not a background amenity, it’s a daily touchpoint for every tenant in the building. Slow wait times, frequent service interruptions and outdated cab aesthetics are documented factors in tenant retention decisions. For building owners preparing for a refinance, a sale or a major lease renewal cycle, an aging elevator system is a liability that sophisticated buyers and tenants will price in.

Modernization Is a Roadmap

One of the most persistent misconceptions about elevator modernization—one that often causes decision makers to delay—is that it requires a complete system replacement, a prolonged construction period and a major capital event. In practice, a well-structured modernization can be phased across budget cycles, prioritized by risk exposure and executed with minimal disruption to building operations.

Modern approaches allow individual cars to be taken offline for upgrades while the remaining units stay fully operational, a meaningful advantage in multi-cab modernizations where downtime is the primary operational concern. Building owners and their contractors can also take advantage of online planning tools that allow modernization scenarios to be modeled and costed before any contractor engagement begins, enabling more informed conversations with lenders, ownership groups and tenants.   

The conversation has also shifted around destination dispatch technology, which optimizes traffic flow across a bank of elevators by assigning passengers to specific cabs before they reach the lobby. Originally developed for new high-rise installations, this technology is now broadly applicable to modernization projects and can be added to many existing systems without a full cab or hoistway replacement. For building owners looking to meaningfully improve performance without a full overhaul, it represents one of the highest impact upgrades available for elevator systems.

The Efficiency Case Is Getting Harder to Ignore

For building owners navigating ESG reporting requirements or managing LEED-certified properties, an elevator modernization carries an energy efficiency dividend that is increasingly difficult to overlook. Modern drive systems, including regenerative drive technology that return energy to the building’s electrical system during descent, can reduce elevator energy consumption significantly compared to older motor-generator technology. In large, multi-cab installations, that reduction is a meaningful contribution to a building’s overall energy profile.

Modern systems also reduce the carbon footprint of ongoing maintenance, as intelligent diagnostics and remote monitoring allow service teams to address emerging issues before they become emergency calls. This predictive maintenance reduces unplanned service calls and tenant disruption.

Where to Start

For contractors advising building owner clients, the starting point is an honest assessment of the equipment. The right questions are simple: How old are the core control and drive components? What does the repair history look like and in what direction is it trending? Are there pending code reviews or renovation projects that could trigger compliance requirements? What does the leasing picture look like over the next three to five years?

Online planning tools now make it possible for building owners and their advisors to begin modeling modernization options, including phased timelines and associated costs, well before a formal contractor engagement. That early homework separates building owners who are in control of their modernization timeline from those who find themselves at the mercy of it.

The Cost of Waiting Is Already on the Ledger

For building owners and facility managers with aging elevator equipment, an elevator modernization is not just a future expense to be budgeted; it is an opportunity to plan your downtime and therefore provide a better customer experience. The cost of waiting to modernize your elevator is real, and those who work in the industry can confirm it almost always exceeds the cost of a proactive modernization.

Treating your vertical transportation systems as strategic assets rather than maintenance line items will put you in control, helping to avoid emergency calls, increase tenant satisfaction and retention, and ultimately protect the long-term value and reputation of the property. The cost of waiting to modernize is real, and in the experience of those who work with customers facing these decisions every day, it almost always exceeds the cost of proactive modernization. So rather than crossing your fingers that your equipment can survive another year, talk to your elevator service provider about how to get ahead of it on your schedule, on your terms, and on your budget.

SEE ALSO: RISING DEBATE: PROPRIETARY VS. NON-PROPRIETARY ELEVATOR EQUIPMENT

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Understanding Total Cost of Ownership in Construction Fleets https://constructionexec.com/article/understanding-total-cost-of-ownership-in-construction-fleets/?utm_source=rss&utm_medium=rss&utm_campaign=understanding-total-cost-of-ownership-in-construction-fleets Wed, 15 Jul 2026 10:00:00 +0000 https://constructionexec.com/?p=65940 Understanding TCO gives construction fleets the clarity they need to make informed decisions about budgeting and more.

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Construction fleets operate some of the most expensive and complex assets in any industry, with each piece of equipment representing a major capital investment and a major operational risk. Despite the high stakes, many construction companies still struggle to answer a fundamental question: What does this asset truly cost over its lifetime?

That’s where TCO—total cost of ownership—becomes critical. Understanding TCO gives construction fleets the clarity they need to make informed decisions about budgeting, replacement planning, maintenance strategy and job costing. Without it, fleets rely on assumptions and, in construction, assumptions are expensive.

What Total Cost of Ownership Really Means

TCO represents the full lifecycle cost of an asset from acquisition through disposal. While purchase price or lease cost is often the most visible expense, it is only one part of the equation. Financing, depreciation, preventive maintenance, unexpected repairs, parts and labor, fuel consumption, insurance, compliance requirements, downtime and eventual resale value all contribute to the true financial impact of assets.

In many cases, the majority of an asset’s cost accumulates after it enters service. An excavator that appears affordable upfront can quickly become one of the most expensive assets in the fleet if repair frequency rises or fuel efficiency declines. Without a comprehensive view of these costs over time, fleet leaders cannot accurately measure performance or profitability. Understanding TCO shifts the conversation from upfront pricing to long-term value.

Why TCO Is Essential for Construction Fleet Strategy

Construction fleets operate on tight margins and strict timelines, with equipment reliability and cost control directly influencing whether a project meets profitability targets. When fleet costs aren’t fully understood, even small inefficiencies across dozens or hundreds of assets can significantly erode margins.

One of the most immediate benefits of TCO visibility is improved budgeting and forecasting. When fleets can see how operating costs trend over time, they can anticipate major maintenance events and plan capital expenditures more accurately. Instead of reacting to surprise repair bills, leadership teams can prepare for predictable cost increases and make proactive investment decisions.

Replacement planning is another area where TCO insight is transformative. Many fleets still base replacement decisions primarily on age, OEM guidelines or intuition; however, two similar machines can have very different cost trajectories depending on jobsite conditions, utilization rates and service history. Tracking cost per hour or cost per mile over time reveals when operating expenses begin to accelerate, providing a clear financial signal that replacement may be the more cost-effective option.

Accurate TCO data also strengthens job costing. Construction companies rely on precise cost estimates when bidding projects. If vehicle and equipment expenses are underestimated, bids may appear competitive but ultimately reduce profitability. A detailed understanding of lifecycle costs allows fleets to assign realistic hourly equipment rates, allocate maintenance expenses accurately and improve the financial accuracy of future bids.

According to a 2026 fleet benchmark report, “most fleets accept high-mileage assets; when maintained properly, older assets can keep a TCO value comparable to that of a newer asset. When maintenance discipline fails, those same assets become expensive and disruptive, fast.”

TCO analysis supports smarter maintenance strategies to keep assets safely working longer. Construction environments are harsh, and equipment is constantly exposed to dirt, vibration, extreme weather and heavy loads. By analyzing maintenance history alongside overall asset costs, fleets can identify recurring failure patterns, compare preventive and reactive repair costs, and adjust service intervals based on actual performance data. This reduces downtime while controlling unnecessary maintenance spend.

Why Calculating TCO Is So Difficult

Despite its importance, calculating TCO remains challenging for many construction fleets. The issue is rarely a lack of awareness; rather, it’s a lack of consolidated data. In many organizations, cost information is scattered across spreadsheets, accounting systems, fuel card platforms, telematics providers, vendor invoices and paper work orders. “When data lives in disconnected systems, building a complete and accurate cost profile for each asset becomes time-consuming and prone to error,” explains John Byron, maintenance advisor at Fleetio. “Manual data entry introduces inconsistencies, asset naming conventions may not align across platforms, and maintenance documentation is often delayed or incomplete.”

As fleets grow in size and complexity, these inefficiencies multiply. The result is a fragmented view of asset performance that makes reliable TCO analysis nearly impossible. Without centralized visibility, leaders are forced to rely on partial information and educated guesses.

How Digital Fleet Solutions Simplify TCO Tracking

Digital fleet maintenance and management solutions address the aforementioned challenges by consolidating asset data into a single system of record. Instead of managing separate tools and spreadsheets, fleets can automatically associate maintenance expenses, parts and labor costs, fuel transactions, inspections and downtime with the correct asset in real time.

This automation creates a continuously updated financial profile for every vehicle and piece of equipment. Digital work orders capture labor hours, service history and parts usage without relying on paper documentation, building a reliable maintenance record over time. With this level of visibility, fleets can analyze trends such as rising repair frequency, increasing parts costs or declining fuel efficiency before they escalate into larger problems.

Consolidated reporting also enables objective replacement planning. Rather than relying on subjective judgment, fleets can establish measurable thresholds, such as cost per hour exceeding a defined benchmark or maintenance spend reaching a certain percentage of asset value. These data-driven criteria help optimize capital allocation and improve long-term fleet health.

Turning Insight Into Financial Performance

Understanding TCO empowers action. With accurate data, construction fleets can refine PM schedules, identify training opportunities that reduce operator-related wear, negotiate more effectively with vendors and prioritize investment in equipment models that consistently deliver strong performance. Over time, these improvements extend asset life, reduce downtime, strengthen project margins and improve forecasting accuracy. Most importantly, they replace uncertainty with clarity.

Construction fleets operate in an environment where equipment performance directly impacts productivity and profitability. Relying on purchase price alone is no longer sufficient, but by embracing digital fleet solutions with built-in automation, construction companies can consolidate data and track operating costs with precision to uncover the trends that reveal the true financial story behind their equipment. Understanding TCO allows construction fleets to move beyond guesswork and take strategic control of their assets, improving both operational performance and bottom-line results.

SEE ALSO: FLEET SAFETY AS A BUSINESS STRATEGY FOR CONSTRUCTION COMPANIES

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Eye in the Sky: A New Italian Ferris Wheel https://constructionexec.com/article/eye-in-the-sky-a-new-italian-ferris-wheel/?utm_source=rss&utm_medium=rss&utm_campaign=eye-in-the-sky-a-new-italian-ferris-wheel Wed, 17 Jun 2026 15:00:00 +0000 https://constructionexec.com/?p=65572 A tight squeeze and a unique build requires double the effort—this time in the form of two cranes.

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A job with zero margin for error requires the utmost attention to the tiniest details. That job was the assembly of a Ferris wheel in Italy. The challenges were significant: limited operating space, narrow access routes and logistical conditions that ruled out the use of a conventional mobile crane. Top Noleggio—one of the most dynamic rental companies in Italy, operating a fleet of over 500 units—rose to the challenge with two machines from its lifting fleet: the PM 100SP and the PM 150SP from the Tadano PM Series. The decisive features? Outreach and tip capacity—two defining strengths of the Tadano PM Series that turned a complex challenge into a successful operation. Their maneuverability and precise control significantly facilitated the positioning of the Ferris wheel components, making for a faster, safer, more efficient and successful completion.

SEE ALSO: STEPPING UP: CUSTOM COINBASE STAIRCASE IN NYC

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Fleet Safety as a Business Strategy for Construction Companies https://constructionexec.com/article/fleet-safety-as-a-business-strategy-for-construction-companies/?utm_source=rss&utm_medium=rss&utm_campaign=fleet-safety-as-a-business-strategy-for-construction-companies Wed, 15 Apr 2026 16:00:00 +0000 https://constructionexec.com/?p=64908 From hiring and onboarding new drivers to managing the aftermath of an accident, fleet safety steps should never be taken lightly.

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Construction vehicles create continuous risk exposure—from public roads to active jobsites. Contractors routinely dispatch pickups, vans and wheeled equipment to move crews, transport materials and support daily operations. Those movements carry significant risk. Transportation incidents ranked as the second-leading cause of death for construction laborers, with 75 fatalities in 2020—the highest number since 2016.

At the same time, multimillion-dollar jury verdicts tied to vehicle crashes have reshaped how roadway incidents affect budgets, insurance programs and reputations. A single serious accident can trigger medical costs, equipment damage, litigation and long-term insurance market consequences.

The financial implications are significant. However, construction businesses that develop an effective fleet safety program can help reduce preventable crashes, stabilize insurance costs, protect workforce availability and strengthen a company’s legal position if an accident occurs. Distracted Driving Awareness Month each April highlights the importance of roadway safety. It also provides a timely opportunity for contractors to review how driver and vehicle safety fit into their broader risk management strategy.

Prevention First: The Foundation Is a Written Fleet Safety Policy

Increasing insurance limits does not reduce risk. Prevention begins with a written fleet safety policy tailored to the company’s operations that is consistently enforced.

A comprehensive fleet safety policy should address:

  • Authorized drivers and clear documentation of who may operate company vehicles
  • Motor vehicle record review at hire and periodically thereafter
  • Cellphone and device usage, including prohibitions on handheld use
  • Scope of vehicle use, including restrictions on off-hours or personal use
  • Accident reporting and internal notification procedures
  • Training requirements and disciplinary action for violations

Clear definition of authorized drivers is particularly important in construction environments. A foreman may ask someone to reposition a truck on a jobsite without realizing that individual is not licensed or approved to drive a commercial vehicle. Without documentation and controls, that seemingly small decision can create significant liability exposure.

Personal use policies require similar clarity. Allowing weekend use of your fleet without guardrails can expand exposure beyond what leadership intended. Even if returning vehicles to company premises nightly is not practical, defined parameters and written acknowledgment from drivers are critical.

Signed documentation and consistent record-keeping demonstrate that the company not only has a policy, but also trains its employees and enforces it. In the event of litigation, those records can become central to a defensible position.

Hiring and Onboarding: Safe Drivers, Not Just Skilled Tradespeople

Contractors rightly prioritize hiring experienced professionals. However, putting a highly skilled worker with poor driving habits behind the wheel can undermine broader safety goals.

Reviewing MVRs before hire and at regular intervals helps identify high-risk drivers early. Onboarding should include driver-specific safety training and reinforce that operating a company vehicle is a privilege tied to performance and accountability.

Mandatory training is required for drivers with repeated violations or preventable incidents. Ridealongs, observation and coaching based on real-world scenarios often deliver better results than a one-size-fits-all classroom session. If improvement does not occur, drivers may be subject to further consequences, including termination.

Distracted Driving and the Role of Telematics

Distracted driving remains one of the most persistent roadway risks, particularly for crews operating under schedule pressure or navigating unfamiliar routes. Safety professionals often categorize distraction into three types: visual (eyes off the road), manual (hands off the wheel) and cognitive (mind off driving). Addressing those risks requires both clear policy and consistent oversight.

For many contractors, telematics systems are initially implemented to track vehicle location, manage asset utilization, optimize routing and improve fuel efficiency. GPS visibility helps reduce unauthorized vehicle use, streamline dispatch and support preventive maintenance scheduling. In an industry where time and equipment availability directly affect project margins, those operational gains are often the primary driver for adoption.

In addition to these operational benefits, telematics can play a critical role in managing driver behavior. Systems that monitor speeding, hard braking, rapid acceleration and seat belt usage provide objective data that safety leaders can use for coaching and corrective action. When paired with clear expectations and training, that data helps identify patterns before they lead to a collision.

Successful programs are built on transparency. Contractors should clearly communicate what data is collected, how it will be used and what thresholds trigger intervention. Used appropriately, telematics supports both operational performance and driver safety, two outcomes that ultimately reinforce one another.

Vehicle Maintenance: A Critical but Overlooked Control

Mechanical failure can compound driver error or create independent liability.

Routine preventive maintenance schedules, documented inspections and pre-trip checklists help reduce breakdowns and crashes. Drivers should be trained to conduct basic walk-around inspections before leaving for a jobsite, checking items such as:

  • Tire condition and pressure
  • Lights and signals
  • Brakes and fluid levels
  • Securement of cargo and equipment

Cargo introduces additional exposure. Tools, materials and leased equipment must be properly secured not only during transit, but also in the aftermath of an accident. If a vehicle is towed, unsecured loads can cause secondary damage and increase costs.

Crash Management: Training for the Worst Day

Even the strongest prevention program cannot eliminate every incident. Structured crash management is essential.

An accident safety kit placed in every vehicle can provide step-by-step guidance during a high-stress situation. Typically, the kit includes a laminated card outlining:

  • Immediate safety steps, including checking for injuries and calling police
  • Guidance on moving the vehicle to a safe location if drivable
  • Instructions on collecting insurance information and witness contacts
  • Reminders on what not to say, including avoiding admission of fault
  • Internal reporting contacts and timelines

Drivers are often shaken and concerned about their job or license status in the aftermath of an accident. Clear instructions help them stay focused. Calling law enforcement promptly ensures an official report is generated. When safe, drivers should collect photographs of all vehicles involved and relevant roadway conditions.

Many vehicles now contain electronic data that may help document the circumstances of a crash. Prompt notification to internal leadership and the insurance carrier allows preservation of that data and early claim management.

Training is critical. Distributing a kit without instructions limits its effectiveness. Annual safety meetings should include practical discussion of crash response procedures, with scenario-based exercises that reinforce expectations.

Aligning Fleet Safety With Culture

Driver and vehicle safety programs are most effective when integrated into a broader safety culture.

Leadership behavior sets the tone. Supervisors should model focused driving by avoiding calls or texts to drivers while they are on the road. Positive reinforcement often produces better results than discipline alone.

Empowering employees to speak up when unsafe driving behavior is observed reinforces shared responsibility. From the interview process forward, communicate that safety expectations apply on and off the jobsite to build consistency.

For construction businesses operating across multiple states, coordination with insurance carriers can support policy development, telematics strategies, post-accident planning and appropriate coverage selection. However, the priority remains reducing the likelihood and severity of crashes in the first place.

Contractor leadership cannot afford to treat roadway exposure as an operational risk. A structured, enforced, and culturally aligned driver and vehicle safety program protects not only drivers and the public, but most importantly, the long-term viability of your business.

SEE ALSO: FLEET MANAGEMENT TECHNOLOGY SUPPORT DRIVER SAFETY WHILE BUILDING CUSTOMER TRUST

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How Contractors Can Maximize Equipment Value Without Over-Owning Assets https://constructionexec.com/article/how-contractors-can-maximize-equipment-value-without-over-owning-assets/?utm_source=rss&utm_medium=rss&utm_campaign=how-contractors-can-maximize-equipment-value-without-over-owning-assets Wed, 15 Apr 2026 12:00:00 +0000 https://constructionexec.com/?p=64878 Telematics for construction can tell you exactly which piece of heavy equipment to buy, how often to use it, how best to take care of it and more.

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Construction companies are under constant pressure to take on more complex projects while keeping costs under control, forcing many contractors to rethink how much equipment they truly need to own. Contractors need to be as flexible as possible to meet today’s demands, whether that includes building eco-architecture, mixed-use developments or even barndominiums. Traditional equipment may no longer be enough, but purchasing new equipment is cost-prohibitive for many up-and-coming contractors and construction companies.

The answer may be to pull back on purchasing assets and equipment and instead balance a hybrid model that relies on both rental and ownership. The solution entails using data to determine when it’s time to own and when doing so is a costly mistake.

The Benefits of a Hybrid Model

Numerous benefits exist for construction leaders turning to this type of hybrid model. The goal is simple. Balance core owned assets with short-term rentals. In doing so, an organization can:

  • Reduce capital expenditure, keeping more money available for bigger investments and meeting the higher cost of labor
  • Optimize fleet utilization; keep equipment in frequent use, rather than sitting and waiting
  • Ensure the feasibility of big projects or more specialized work without having to plan for outright investment in new, limited-use equipment

The most challenging aspect of this process is knowing when to rent and when to buy. The cost of short-term rental can be prohibitive if using equipment for the long term or consistently extending a short-term contract.

How to Use Data to Make Better Decisions

Heavy equipment ownership should be based on data-backed decisions, not guesses about what purchase will yield the best ROI. The solution is to capture data that provides highly accurate insight into the use and effectiveness of any equipment. One solution is the use of telematics. These software programs provide exceptional insight into how to use equipment by gathering information such as:

  • Real-time location
  • Engine hours used
  • Maintenance requirements
  • Fuel and maintenance costs

Tracking Utilization

Telematics can provide a range of benefits to an organization. For example, utilizing software that offers GPS tracking and IoT sensors allows business leadership to consistently monitor utilization rates for each individual piece of equipment. This allows the measurement of how many hours each piece of equipment is actually being used. It allows tracking of idle time and pinpointing both overuse and underuse of assets.

If equipment is underused, it may not be worth the outright purchase depending on how frequently it’s needed. Overuse is a concern as well. Necessary equipment that goes down, even for a short amount of time, can be costly with added delays.

Improving Allocation

Utilizing telematics software, it’s possible to know the exact location of equipment. This also incorporates data about the usage status of the equipment, even paring the days and times a piece will need to be accessible for each project.

Managers can then more effectively and affordably move machines where they are not only needed but also where they’re needed most. This enhances outcomes and ensures employees have the right equipment for the job.

Optimizing Maintenance

Some construction companies are plagued with the ongoing need to keep equipment operating to push deadlines and meet project goals. Yet, skipping or missing maintenance can jeopardize the functionality, safety and even the future accessibility of that equipment. For some companies, downtime for maintenance and repair forces the consideration of purchasing new equipment. Still, that can be an expensive and avoidable mistake.

With telematics, it’s possible for companies not to plan maintenance by timing, but to make repairs when needed, stay ahead of breakdowns and enhance long-term outcomes. That includes monitoring factors such as:

  • Changes in hydraulic pressure
  • Fuel-burn rates
  • Engine diagnostic data

Utilizing Data to Decide When to Buy or Rent

In some situations, companies will need to consider the feasibility of purchasing additional pieces of equipment or renting. For example, turning to local scaffolding rental companies for projects tends to be less expensive than trying to manage and move equipment from one area to the next. It’s local, convenient and readily available without worrying about not having it available when a project needs to change.

Other types of larger equipment can be tempting to purchase in order to have on hand anytime; however, before making such a decision, companies can use telematics and other data to determine:

  • If there is an ongoing need for the equipment, which will make it a long-term, financially sound decision
  • Whether equipment is necessary for a highly specialized project, and whether purchasing it outright could create capital that’s frozen in that equipment without really producing value
  • If investing in total ownership is the best route for long-term growth

Using data to make such decisions minimizes locking capital up for too long in the wrong equipment, allowing businesses to maneuver more readily around ever-changing project designs and demands. Prioritize equipment access over total ownership. What is going to help improve cash flow and profitability?

Investing in modern equipment can be wise, but doing so with careful attention to an organization’s current and likely future use needs is more important than outright purchasing. With so much flexibility in ownership methods, including the wide availability of rentals, it makes sense for companies to make data-based decisions that ultimately keep cash flow moving. With access to software and IoT sensors so readily available, making critical decisions is far easier than ever.

SEE ALSO: THREE WAYS FLEET TELEMATICS ARE OPTIMIZING CONSTRUCTION IN THE NEW NORMAL

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Powering Up: How Sentry Equipment Has Lasted 100 Years in Manufacturing and What It Has Planned for 100 More https://constructionexec.com/article/powering-up-how-sentry-equipment-has-lasted-100-years-in-manufacturing-and-what-it-has-planned-for-100-more/?utm_source=rss&utm_medium=rss&utm_campaign=powering-up-how-sentry-equipment-has-lasted-100-years-in-manufacturing-and-what-it-has-planned-for-100-more Tue, 24 Mar 2026 12:00:00 +0000 https://constructionexec.com/?p=64407 Never tell Sentry Equipment the odds—the 100-year-old manufacturer is breaking into new sectors, buying into new tech and building itself up on a base of old-world values.

The post Powering Up: How Sentry Equipment Has Lasted 100 Years in Manufacturing and What It Has Planned for 100 More first appeared on Construction Executive.

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Only about one-third of construction companies survive beyond 10 years and less than 0.5% of all companies, regardless of industry, survive their centennial. So how, then, did Sentry Equipment beat both of those odds?

Construction Executive sat down with Sentry’s Marcease Warren, vice president of manufacturing—who has been with the company over 20 years—to discuss Sentry’s secret sauce when it comes to company vitality, staying relevant, keeping up with industry trends and creating some of their own.

How have you seen Sentry evolve over your 20-year tenure? How has the company evolved over its 100-year history?

It started off as a family-owned company. The first owner handed it off to his kids, they took it over and continue to treat their employees really well. Their whole thought process was when they retired, their kids didn’t want to take it over. So, instead of selling it to another company, another firm or someone else, they ended up creating an ESOP. So, we’re also celebrating 40 years of being an ESOP this year.

Over the years we’ve evolved from strictly power generation. We do a lot of work for power plants of all types: nuclear, coal, natural gas; we’ve added different product lines and through that we’ve seen ourselves shift from being the traditional old and dirty manufacturer to really focusing on adding new technology—fiber optic lasers and other things—so that we can be more vertically integrated. Over my tenure I’ve seen a shift from really relying on our supply base to really bringing in a lot of that technology and skillset in house to where we can control our own destiny.

Let’s talk about that technology angle coupled with increased demands for power, especially when it comes to the demands on the power grids and water facilities.

We are in the process of getting more involved with water and wastewater instead of traditional power generation. We didn’t anticipate it being a growth engine for us moving forward, but over the past several years, we’ve seen it take off. So now not only do we have what we were investing in for water/wastewater, but now power generation is starting to surge. What we were anticipating as being maybe 30% of our business is going to be a much more significant portion. Plants that were going to get decommissioned are now looking at expanding.

Are you anticipating that trend to hold steady, say into 2030? Or do you predict it to taper off?

The next five plus years into 2030 and beyond will continue to see this boom. We’re probably actually behind right now. We talk about our infrastructure, our grid, we know that’s been in place for 60, 70 years; we have to catch the grid up as well as continue to meet the new power demand. It takes a long time to get plants up and running, so this is going to continue for a while.

Are there any physical tools of technology that you’re using to help the manufacturing process?

We’ve been really focused on fiber optic lasers and being able to fabricate our own components as well as using press brakes. It’s technology that’s not necessarily new to the industry but is newer to us. When we first acquired our laser and our press brake, we actually took someone who was in a different department but was interested in operating it and got him trained within two to three months; he became proficient in under a year. We’re seeing the older technology evolve in a way that makes it really easy to get new people involved.

It seems there is enthusiasm across the company for taking on these types of changes. Would you say that is what has sustained Sentry for the last century?

I would say that is part of what has sustained us—you have to be changing. If you’re not changing, then you’re falling behind. Our ESOP culture has certainly made that change easier. When looking to expand, most people will simply hire additional people to keep up with the workload. Now, we look first at how we can leverage technology, which has made our shop employees and our company overall really embrace the use of technology.

Is Sentry feeling the effects of the workforce shortage?

We’re feeling it, too. We’ve been doing better recently and that’s primarily due to a lot of referrals—employees refer us to friends or friends of friends. We’ve had some success that way, but one specific department that’s been challenging is the machining department. There are not a lot of machinists out there, so if you want to get someone, you’re typically stealing from a company that already has them, so that’s been a challenge.

In an earlier discuss, one of the main points was “how Sentry’s business has diversified, as well as the reemergence of the capital Power Industry.” Talk more about that.

The diversification came into getting more involved with water/wastewater. Sentry acquired a company out of Salt Lake City called Rebuild-it Services Group, whose work ties into infrastructure—and there is a lot of old infrastructure revolving around wastewater treatment. What we will aim to do is rebuild equipment instead of a company or municipality replacing that equipment. That is how we’re starting to diversify from strictly power generation, but like I said earlier, now that’s coming back. So now we’re trying to ramp up our capacity in house to handle this resurgence.

With all of the change Sentry is embracing, how does it maintain its founding values as a family company and an employee-owned company?  

One of the things I remember when I first started is you knew every employee’s name, you knew their spouses, their families. And now that we’ve grown, that’s become a challenge. But we still focus on those core values. We still have town hall meetings. We have events we call O.J. With Owners where we’ll connect employees who might not see each other on a day-to-day basis. We really try to focus on different ways to connect now that our employee base is not only just in manufacturing but in these other facilities as well.

Where do you see not only the state of the company, but the state of the entire construction industry and then the company’s position within the industry by 2030?

I see us still being heavily involved with infrastructure and helping make sure that infrastructure is positioned well for growth. I see 2030 as a starting point, not necessarily the ending point when it comes to construction. I think that’s just us getting caught up; once we get caught up, what’s the next thing that we’re going to be able to do?

SEE ALSO: PRIORITIZING SUCCESS: SUCCESSION PLANNING BEYOND THE COMPANY WALLS

The post Powering Up: How Sentry Equipment Has Lasted 100 Years in Manufacturing and What It Has Planned for 100 More first appeared on Construction Executive.

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The Role of Ergonomics in Preventing Soft Tissue Injuries Caused by Heavy Equipment Handling https://constructionexec.com/article/the-role-of-ergonomics-in-preventing-soft-tissue-injuries-caused-by-heavy-equipment-handling/?utm_source=rss&utm_medium=rss&utm_campaign=the-role-of-ergonomics-in-preventing-soft-tissue-injuries-caused-by-heavy-equipment-handling Tue, 17 Mar 2026 16:00:00 +0000 https://constructionexec.com/?p=64253 Here’s how contractors can use the principle of ergonomics in protecting their workforce.

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Construction workers are at high risk of soft-tissue injuries and musculoskeletal disorders. They can hurt themselves when handling heavy equipment and materials, leading to missed work or long-term physical issues. In some cases, companies can experience financial losses and project delays as a result.

Ergonomics can be an impactful, high-ROI investment. Ensuring workers are fit for the environment can mitigate injury risk and enhance productivity. Here’s how contractors can use the principle of ergonomics in protecting their workforce.

SEE ALSO: SAFE LIFTING TECHNIQUES FOR CONSTRUCTION WORKERS

Operator Comfort and Safety Are Important in Choosing Construction Equipment

Safety and security are vital in an industry as dangerous as construction. Operating heavy equipment can result in subtle ergonomic injuries, which should be addressed through support, training and encouraging workers to report symptoms. Here are some common causes of soft-tissue injuries management should be aware of.

Whole-Body Vibration

Excavator operators typically spend their entire workday inside the cab, where they can experience ergonomic issues caused by jarring and repetitive motions. That is because of the constant and frequent vibration from the machine’s engine, which passes through the operator’s seat and the floor. This continuous exposure can lead to muscle fatigue and chronic back pain.

Awkward and Static Postures

Operators usually work in non-neutral body positions for extended periods. They twist their torsos to observe blind spots, crane their necks for overhead loads and flex their backs to reach poorly placed controls. These unnatural movements can increase pressure on the intervertebral discs.

Repetitive Motions

Operating older hydraulic levers or using poorly placed foot pedals can cause significant strain on hands, wrists, shoulders and ankles. This can eventually lead to tendonitis and carpal tunnel syndrome.

Key Design Features That Prevent Injury

Many musculoskeletal disorders involving nerves, tendons, ligaments, joints, cartilage or spinal discs are the result of sudden or cumulative force. The resulting wear and tear can lead to disabilities over time. To prevent them, key design features for heavy equipment are needed. An ergonomic operator’s cab can significantly improve workers’ performance and long-term health. As such, they should be crucial factors during the procurement process.

Here are some design features that can help create a safe and secure workplace.

Ergonomic Operator’s Seat

Choosing an ergonomic operator’s seat requires considering technical factors that make working more comfortable and efficient. The seat must have multi-axis adjustability, such as height, forward, seat pan angle, backrest angle and lumbar support—these modifications can accommodate a wide range of body types. Another crucial factor is an advanced suspension system to help absorb harmful whole-body vibrations.

Intuitive Controls That Reduce Strain

Reduce workload by replacing high-force mechanical levers with electronic joysticks and fingertip controls. They require less force and are located in fully adjustable armrest pods. Operators can then work in relaxed, neutral positions. This reduces strain on the shoulders, wrists and hands.

Visibility That Eliminates Harmful Postures

Make sure cabs are engineered to minimize blind spots. Look for models with large, panoramic windows and integrated camera systems. This gives operators a comprehensive view of the worksite so they don’t have to strain their necks or twist their bodies to see clearly. Additionally, having a wider range of vision can further improve site safety.

Managed Noise, Climate and Air Quality

Companies should extend ergonomics beyond physical posture and improve the operator’s environment. Key factors are noise and temperature, which significantly add to stress and physical fatigue. Ergonomic pressurized cabs keep dust out and feature advanced climate control. Ensure the equipment’s materials are sound-dampening to reduce workers’ exposure to harmful noise levels.

Safe Entry and Exit to Prevent Slips, Trips and Falls

Heavy equipment with ergonomics in mind facilitates easier operator entry and exit. This means wide, serrated and anti-slip steps, optimal foot placement for pedals, wide-opening cab doors and high-visibility handles. These features help prevent falls, especially when people climb out of machines in muddy, icy or cluttered environments.

How Equipment Sizing Drives Safety

Construction workers who do not wear protective gear are three times more likely to get injured than those who do. Company officials can encourage them to protect themselves by developing an ergonomic strategy and prioritizing safety first during the acquisition phase. They should choose appropriately sized machinery and equipment designed to prioritize safety and comfort.

Management should ensure equipment isn’t too large for a confined jobsite. They should consider factors such as travel height for clearance of overhead obstacles or the tail-swing radius. These should be core ergonomic considerations when purchasing equipment.

It’s vital to consult a detailed construction equipment size guide to ensure the equipment fits the site environment.

The ROI of an Ergonomics-First Approach

The number of construction equipment operators is expected to increase by 4% from 2024 to 2034. As the industry grows, it’s important that safety standards improve alongside it. Companies should be proactive in investing in ergonomics to protect workers and ensure stable profits. After all, a safe working environment helps prevent workers’ compensation costs, project delays, incident investigations, and hiring and replacement training.

Since work-related musculoskeletal disorders are typically sustained by older workers, investing in ergonomics is a great way to retain experienced and valuable talent. Safety should be viewed as a planned, strategic advantage rather than a reactive cost.

Building a Safer, More Productive Future

Many workers experience musculoskeletal disorders due to the nature of their work. Unsafe environments can significantly affect projects, costing companies more over time. They should prioritize ensuring a comfortable workspace for operators so they can focus on their tasks without worrying about safety. More operator-assisted systems and designs are available. Contractors making ergonomic factors a priority are ensuring the long-term health of both their workforce and the business.

SEE ALSO: ANALYZING THE BENEFITS OF EXOSKELETON USE ON CONSTRUCTION SITES

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How to Make the Most of Your Water Truck on the Jobsite https://constructionexec.com/article/how-to-make-the-most-of-your-water-truck-on-the-jobsite/?utm_source=rss&utm_medium=rss&utm_campaign=how-to-make-the-most-of-your-water-truck-on-the-jobsite Wed, 25 Feb 2026 13:00:00 +0000 https://constructionexec.com/?p=63379 From fire prevention to road maintenance, water trucks on the jobsite might be some of the most important—yet most overlooked—pieces of construction equipment.

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Water trucks are often the unsung heroes of jobsites. Every crew knows that they are mainly used for dust suppression and control. The moving of earth and heavy traffic generate huge clouds of dust, creating several problems such as safety hazards, health risks and clogged equipment. Water trucks control the soil to avoid these issues.

While this is a large and important task, there are other ways water trucks can be used. Many contractors overlook additional ways they can be utilized, undervaluing the equipment and preventing them from getting the best value for their investment. If properly customized and maintained, water trucks can do much more than just control dust.

Fire Safety and Prevention

In some areas, a water truck provides the only source of pressurized water available near the jobsite. When properly equipped, water trucks can serve as the primary line of defense against fire on construction sites and even help prevent them from occurring in the first place.

Water trucks can be used to wet down hot work areas to prevent stray sparks from causing a fire. The truck can soak the ground and nearby combustible materials before any welding, grinding or torching work begins. They can also create fire breaks, dampening the area. The barrier can slow or even stop a brush fire from entering the jobsite.

Most trucks carry between 2,000 and 5,000 gallons, more than enough to act as a fire extinguisher in case of an emergency.

If the truck will be used for fire safety, make sure it has key features. A water cannon or high-pressure hose reel is critical. The hoses enable workers to pull a line to a specific spot that a truck cannot reach directly, essential for spraying down hot work areas. 

Road Maintenance and Wash-Downs

Maintaining the haul roads of a construction site is critical. Heavy traffic and machinery can break down soil and loosen large rocks from tires. Water trucks have sweeper nozzles that can be used to clean off roadways. Sweeping the road with high-pressure water pushes rocks and debris aside, leaving a safe path for trucks to haul.

Water trucks can be used to pack soil before laying the foundation or paving a road. This requires a very specific amount of water. If the soil is too dry, it won’t stick together. If the soil is too wet, the ground can’t support the weight of the job.

Water trucks typically have a specialized spray bar to apply a controlled amount of water. This makes it easy to achieve soil stability.

Dry roads can lead to potholes when loose soil lacks a binding agent. Using the truck to apply a consistent, light seal of moisture helps keep the soil compacted. This also reduces rolling resistance for other trucks, helping them travel faster and consume less fuel.

A road littered with debris that hasn’t been washed away is detrimental to other vehicles’ tires. Construction tires for haulers are expensive, costing thousands of dollars per tire. Using a water truck’s sweeper nozzle to clear roads significantly extends tire life, saving costs in the long run.

They can also be used to wash down equipment. Using high-pressure hoses for washdowns of heavy equipment, such as excavators and haul trucks, provides several benefits.

Mud and debris can cause equipment to overheat. Additionally, dried mud can hide cracked frames or other issues that may need repair. Utilizing a water truck to keep machinery clean makes it much easier to inspect and maintain the equipment.

The vehicles must be cleaned when they leave dirt and hit the pavement. Cleaning tires and wheel wells at the exit point prevents the liability of making public roads slippery and unsafe for drivers.

Truck Customization and Maintenance

Before you buy a water truck, map out what kind of jobs it’ll be used for, how it’ll be utilized and how many people will use it. Recently, the cost of water truck customization and maintenance has increased dramatically. What once may have been a simple add-on can now break the bank. Before prices continue to rise, it’s important that the water trucks are properly maintained and that all features are attached.

Different jobsites have different demands. For example, some construction sites are very steep. If this is the case, a stronger chassis will be needed. If the plan is to use the truck for fire prevention and sweeping, make sure it has the bells and whistles needed to do so.

When it comes to rural construction, it’s critical to make sure there’s a suction pump and hose. The suction hose can pull water from a nearby natural resource such as a pond, creek or lake. This allows the site to have a constant water supply without having to drive miles to a fill point. This helps significantly reduce fuel costs and transit time.

Lastly, it’s critical to thoroughly train workers on its use. Driving at high speeds and taking sharp turns can significantly hurt the truck’s longevity. When a driver makes a quick movement or brakes hard, thousands of pounds of water slam into the tank.

If the season is slow or the truck isn’t being utilized, don’t get rid of it. Water trucks can do more than just control dust. They can transport water, sweep streets, and even prevent emergencies. The cost of buying a water truck is skyrocketing. Hang on to it, utilize it, and maintain it to improve longevity and get its money’s worth. 

SEE ALSO: Earth Benders: R.J. Zavoral and Sons Inc. on Their History of Moving the Midwest

The post How to Make the Most of Your Water Truck on the Jobsite first appeared on Construction Executive.

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The ROI of Ground Protection Mats for Construction Equipment https://constructionexec.com/article/the-roi-of-ground-protection-mats-for-construction-equipment/?utm_source=rss&utm_medium=rss&utm_campaign=the-roi-of-ground-protection-mats-for-construction-equipment Wed, 04 Feb 2026 20:00:00 +0000 https://constructionexec.com/?p=62779 There's a mat for that. Construction jobsite mats may seem a small effort, but they provide major benefits.

The post The ROI of Ground Protection Mats for Construction Equipment first appeared on Construction Executive.

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Ground protection mats have the power to preserve uptime, reduce equipment damage and minimize risks. With multiple current realities eroding construction profits and shrinking timelines, construction leaders must leverage every opportunity to maximize performance and reduce risk in the field. Ground protection matting is one of those opportunities.

Installing the right mats in the right places across the jobsite can help preserve uptime in wet or muddy conditions. It can protect equipment from damage, reduce impacts on wetlands and other ecologically sensitive habitats, and improve worker safety.

Ground protection mats include hardwood timber mats, cross-laminated timber mats, composite mats made from high-density polyethylene plastic, heavy-duty crane mats and trackout control mats. Mats can be quickly repositioned as the project progresses.

Before writing off ground protection mats as an unnecessary expense, managers should understand the return on investment they offer.

Minimizing Downtime

Inclement weather disrupts 45% of construction projects nationwide. Muddy conditions resulting from rain, snow or spring melts often cause costly work stoppages as crews wait for the ground to dry out.

Mats preserve uptime by providing smooth, level, stable surfaces that allow crews and equipment to move around the site safely and efficiently. Timber mats create a raised surface, which allows for water runoff underneath and reduces water pooling. Some have coated ends for protection against rot.

Contractors who utilize ground protection mats often save more than the cost of the mats in days of downtime avoided. The increased operational resilience mats provide helps protect project timelines and, in turn, profitability.

An added productivity bonus of installing ground protection mats around the jobsite, including parking pads and staging areas: Subcontractors who are spread thin across multiple projects are more likely to prioritize work on jobsites that are clean and mud-free.

Protecting Equipment and Materials

Heavy equipment is a significant capital investment. Mats allow equipment operators to maneuver safely regardless of the ground conditions. They prevent machines from getting stuck in soft soil or hitting large rocks that could damage tires and undercarriages. They also reduce wear on equipment.

Mats installed under stationary assets such as pumps and generators keep those assets dry and out of mud and water, which helps prevent unexpected failures. Placing mats under pumps protects against another not-uncommon scenario: pumps sliding down a muddy slope into the body of water below.  

Contractors who use mats to create smooth surfaces for staging areas protect their high-value materials from mud and moisture.

Improving Jobsite Safety

Safety is an executive-level concern, especially given the many business impacts of safety incidents. Ground protection mats reduce risk across the jobsite. For example, by providing stable, level surfaces for heavy equipment, mats help prevent equipment from tilting and tipping over.

Walkways made of mats increase traction for workers on foot and protect against trips, falls and turned ankles caused by muddy ground and ruts left by dried mud. Installing mats around restrooms and office trailers limits the amount of mud tracked in, minimizing slip hazards.

Crane mats increase the safety of crane operations, which pose significant danger. Timber crane mats, often paired with timber outrigger mats, are thick, heavy-duty mats designed to support the extreme weight of cranes and their loads without shifting or buckling. Properly constructed and deployed, crane mats mitigate the risk of a catastrophic crane tip-over, safeguarding personnel, equipment and the company’s hard-earned safety record.

Supporting Sustainability Efforts 

Ground protection mats limit the environmental impact of operations, especially in sensitive environments.

Mats used to create temporary roadways and equipment platforms minimize soil compaction by distributing the downward pressure of wheels, tracks and outriggers. Similarly, mats placed under restroom trailers, mobile offices and storage containers reduce soil compaction by evenly distributing the weight of these units.

Reducing soil compaction helps limit stormwater runoff, supporting compliance with Stormwater Pollution Prevention Plans and reducing the financial risk of noncompliance. Mats also help preserve any vegetation beneath.

At project closeout, wood mats can be reused or recycled. Composite mats, which have lifespans of up to 10 years, are biodegradable and recyclable.

Limiting Jobsite Maintenance and Restoration

When mats instead of gravel are utilized to create temporary roads, parking pads and staging area surfaces, the need to maintain gravel is eliminated. Unlike gravel, mats don’t need to be raked and they aren’t eroded by weather.

Mats also help contractors keep the jobsite cleaner. Trackout mats placed at jobsite entrances remove excess dirt and debris from tires and tracks so they aren’t spread around the site. Walkways installed around office trailers, portable restrooms and storage containers decrease the amount of mud tracked inside these units, which minimizes the need for cleaning. 

By reducing soil compaction and protecting vegetation, mats can significantly reduce the scope of site restoration work, and the associated costs, on projects that require contractors to return the site to its original condition at project completion.

Limiting Liability

Trackout control mats placed at jobsite exits dislodge debris such as rocks that could be carried onto the roadway and kicked up by vehicles. Should rocks cause damage to vehicles, including windshields, contractors may be liable for the damage.

These mats can be installed over dirt, asphalt, turf, sand and grass surfaces. They help ensure compliance with local jurisdiction or Department of Transportation regulations that require project owners to implement measures to prevent construction debris from being carried onto roadways. They also reduce the need to deploy street sweepers near jobsite exits.

Planning in Advance for Ground Protection Mats

Mats are not a one-size-fits-all solution. The best type of mat depends on factors such as the type of environment, the ground conditions, the weight and type of equipment in use, the project duration and the project budget.

A matting provider that carries an extensive inventory of mats of different types will advise on the best mats for the jobsite and application. They can also forecast the number of mats needed based on historical data to help ensure availability. A full-service, turnkey provider will install the mats to create temporary roads, work surfaces and trackout areas. Some even perform site restoration.

SEE ALSO: KEEP YOUR FLEET SAFETY PLANS SIMPLE AND ACCESSIBLE

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Rising Debate: Proprietary Versus Non-Proprietary Elevator Equipment https://constructionexec.com/article/rising-debate-proprietary-versus-non-proprietary-elevator-equipment/?utm_source=rss&utm_medium=rss&utm_campaign=rising-debate-proprietary-versus-non-proprietary-elevator-equipment Mon, 11 Aug 2025 13:00:00 +0000 https://constructionexec.com/article/rising-debate-proprietary-versus-non-proprietary-elevator-equipment/ Independent elevator companies are leveraging owner options, lower long-term costs, and supplier and equipment choice to compete against major proprietary brands. Who will come out on top?

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Elevator equipment systems come in lots of shapes and sizes, each of which ultimately falls into one of two categories: proprietary or non-proprietary. Choosing the right vertical transportation systems, and maintaining and updating them, can impact everything from safety of building users to the profitability of building owners.

While contracts can make for some variations, proprietary elevators are considered “sole source,” consisting of exclusive equipment that is designed, manufactured and maintained by one company and restricted—by patents—from service by other companies. By contrast, a non-proprietary elevator system consists of open-source equipment that is intended to be serviced by any company that the buyer of the system selects.

The “Big 4” elevator companies—OTIS, KONE, Schindler and ThyssenKrupp—fall into the proprietary categories. The companies describe their products—which may be sold at a discount—and services in various ways. A sampling of some of their own descriptions includes providing “all materials necessary for the elevator installation, eliminating guesswork and possible delays;” “innovative elevator technology;” “personalized service;” a “predictive elevator maintenance system;” and so on.

Non-proprietary elevator companies, or independents, provide a range of products and services and see things differently. William McGrath, president and CEO of South Jersey Elevator, states it plainly: “Saving a few bucks upfront can cost you big later. Non-proprietary equipment gives the building owner freedom—freedom to pick their service company, to avoid getting stuck with one vendor and to manage costs over the life of the elevator.”

That being said, there are challenges with a combined share of about 55% of an elevator market that is valued at about $19.4 billion in the United States.

COMPLEX CONTEXT

There were just over one million low-, mid- and high-rise elevators of various designs in service across the nation in 2024, with 44% of them, or about 453,000, traction elevators; 28%, or about 288,000, hydraulic systems; and another 24%, or 247,000 pneumatic, also called machine room-less. In the United States last year, there were more than 175,000 men and women working in the elevator installation and service field, according to research firm IBISWorld, with another 9,858 employees in elevator manufacturing.

Facets of the business are seeing gains. For example, market research firm IndustryARC projects that the elevator modernization and maintenance industry in the United States will grow from 2024 to 2030 by a compound annual growth rate of 4.0%.

While there are no federal requirements for elevator inspections, the U.S. Department of Labor’s Occupational Safety and Health Administration has maintenance guidelines, and there are elevator safety and mechanic licensing codes in states as well as regulations in local municipalities. There are federal Americans with Disabilities Act mandates for elevator accessibility.

With such rules and regulations in place—and with all that crucial equipment running—the need for service, maintenance and upgrades is crucial and frequent. One way to put it? The wisdom of the initial buy plays out over time.

South Jersey Elevator works on a project to modernize traction elevator equipment and install a new cab.

TELLING CASES

In a recent American Institute of Architects presentation, two non-proprietary companies, Delaware Elevator and Alliance Elevator Solutions, explained, “It is common practice to sell a proprietary elevator at a low price to the general contractor then make up the cost with an inflated maintenance contract with the building owner.”

The DE-AES presentation indicates that there are other advantages to non-proprietary elevators, including not being locked into long-term service contracts (“no mandatory equipment updates”) as well as “longer life cycles and a trusted supply chain,” and “open-source equipment and parts; no expensive sole-sourced proprietary parts.”

Three years ago, when owner and developer SteelWave renovated a Class A office building in downtown Denver, they selected an independent installer for the building’s eight elevators—passing over three proprietaries, explains Paul Giovannetti, senior vice president of business development for Catalyst Strategic Advisors. A major proprietary company had installed the original equipment, but change was needed due to “maintenance terms, response time and customer service,” he says.

Giovannetti, who was director of design and construction for SteelWave at the time, explains that the non-proprietary “responded excellently” to SteelWave’s RFP. While the proposed costs in the bids were roughly the same, the independent’s “schedule was detailed, its procurement process was outlined, they interviewed great,” Giovannetti says, “and they were not hiding behind the shield of the big brand.” Giovannetti reports that three years later, the elevators are running smoothly and maintenance costs have been about 15% less than what they were with the old equipment.

Elsewhere, at a mid-rise apartment building in southern New Jersey with a proprietary system, the owner was informed “that they needed a new controller and software for more than $120,000—and only that company could do the work,” McGrath explains, “The customer was fed up and called us.”

The end result: South Jersey Elevator modernized the elevator “with fully non-proprietary components and saved them close to $40,000,” McGrath says, explaining that the owner now has control of their elevator system. Further, “we’ve had plenty of customers in similar situations,” he says, including schools, senior living communities and medical buildings.

At left, a newly modernized traction machine. At right, a brand-new elevator cab interior

TOUGH CALL

Still, the decision-making process is not necessarily simple. Elevator systems have their complexities, as does the process of selecting and servicing them.

The National Elevator Industry Inc. trade group has countered criticisms of proprietary installers in part by indicating that proprietary technology is found in various industries, not just elevators, and there are safety codes in place that dictate that companies provide “special tools if needed for their equipment, as well as unique procedures to guide other companies in how to work on their systems.”

On another point, as the DE-AES presentation points out, “it can be complex to separate the initial purchase price from the cost of upgrades and maintenance, and therefore difficult to calculate the true cost of ownership. The temptation may be to rely on brand names instead of a full examination and comparison of systems.” Then, once bought, “without competition among service or parts providers, the lifetime costs to maintain proprietary systems are much higher than for non-proprietary systems,” according to the presentation.

Karen Kennedy Dodds, regional vice president Mid-Atlantic for American Elevator Group, an independent company, puts it this way: “Property owners and managers are often faced with a difficult choice: Save on upfront costs with a proprietary elevator system or invest in the long-term flexibility of a non-proprietary one.” As she explains, “While the initial price tag may be lower for a proprietary system, the long-term costs and limitations can far outweigh those savings.”

Charles Meeks, president of Delaware Elevator Company, also acknowledges that general contractors can be under considerable pressure to go with the low bid, and estimates that selecting a proprietary system can save about 20% in the initial purchase price. That would mean that for a $150,000 elevator designed for a three-story building, the cost saving would be about $30,000. However, if the buyer goes with a non-proprietary system and “they save 30% for the next 30 years on maintenance, it’s a no-brainer,” he says.

There’s more. For example, “in instances where proprietary suppliers say they’ll allow non-proprietary service, the proprietary suppliers may jack up the price for parts,” Meeks argues. And if a building owner decides to go elsewhere for service after the fact, there may even be legal issues, he says. For example, it can be a mixed picture legally whether a building owner who bought a proprietary system may then select any company to provide service to it, with proprietary suppliers pointing to their investments in developing the system, Meeks explains.

Other dynamics can impact the selection process. For example, Meeks explains that “developers of low-to mid-size buildings, particularly hotels, get them operating, get a positive cash flow and then flip it in five years. So, they don’t care how long a system lasts. It’s somebody else’s problem,” he says, “But if it’s a long-term hold of a condo or office building, or any property that’s not going to be flipped, then they need to be careful and buy products that are going to last.”

A technician completes installation of new hydraulic elevator equipment, which is powered by pistons rather than the steel  ropes or belts used in a traction elevator

CONTINUING EFFORTS

Looking at the market today, “the trend is still toward the Big 4,” says Giovannetti, who cites “name recognition, contract and specification constraints, [which] keep decision makers going back to the standard options. Many design teams and decision makers do not have a ton of experience approving a system that is ‘not as specified.’”

Given all the complexities, “it’s easy for general contractor to just go with the Big 4,” says Brandon Ray, senior director of State and Local Affairs for Associated Builders and Contractors. Nevertheless, efforts are underway at ABC’s Elevator Contractors Council to get out the word about the various issues and to share insights about safety, training and business development in the industry. About 50 ABC members belong to the council, which meets regularly online and in person at association events.

A key goal of the council, Ray says, is “for general contractors to understand the value that’s brought by independent elevator contractors as merit shops that have cultivated and trained up their own specific workforce. There’s no reason to think that non-proprietary, independent contractors are any less equipped or skilled to do the job, or that non-proprietary equipment is any less safe” than that offered by proprietary companies. In his view, “the message is getting through, but there’s work to be done,” to make decision makers across the board aware of that fact.

“People need to give the non-proprietaries a shot,” says Giovannetti, “because they are just as good as proprietary, they’ve got better contract terms, they’re more motivated to do good work and they focus on customer service.” He adds that in his 26 years of experience in the industry, his best experiences have been with non-proprietary elevator companies.

Meeks compares the overall situation to getting your car serviced: “You can’t take your car down the street anymore to the local garage for a tune-up. They can’t do it—it’s too proprietary. You have to take it to the dealer, they plug into the black box and they’re going to charge you three times the cost.”
So, as Meeks adds: “Buyer beware.”

SEE ALSO: ELEVATORS TAKE SUSTAINABLE SMART CITIES TO THE NEXT LEVEL

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