VICTOR NEMUKULA Diesel-powered equipment is still, by far, the most popular in the market in terms of overall volumes sold, with Doosan and Crown remaining Shumani’s top selling brands
Maintenance lease agreements offered by industrial equipment supplier Shumani enable customers to rent equipment on a long-term basis, with full maintenance programmes as a cost-effective option, particularly as loadshedding continues to negatively impact on businesses’ profit.
Loadshedding is having a significant impact on the total uptake of equipment in general, says Shumani MD Victor Nemukula.
He explains that, while large companies are exploring and investing in alternative power sources, such as solar photovoltaic power, to mitigate the impact of loadshedding, the procurement of large capital equipment is increasingly being deferred as the ability to spend capital on equipment is slowing down.
Small business are affected to an even greater degree, as they cannot afford to invest in solar power technologies. Consequently, they are forced to shut down their operations for up to eight hours a day, which, in turn, affects their ability to operate. Those worst affected have had to close businesses permanently.
Additionally, many businesses have also turned to diesel generators to continue operations during power cuts, which can be costly, thus affecting their profit margin, Nemukula notes.
Shumani’s maintenance-inclusive lease agreements enable customers to gain “extra peace of mind in a volatile market”.
The company provides complete management of the units and supplies performance reports customised to customer requirements.
The maintenance portion of Shumani’s service level agreement depends on the number of hours that the equipment is used, while the finance portion depends on finance interest rate.
Should the productivity of a customer decline, as a result of its being unable to operate during loadshedding, Shumani provides customers with the opportunity to restructure the agreement to ensure it is mutually beneficial.
Therefore, while predominantly larger businesses have taken advantage of these agreements, the company can tailor the agreement to suit businesses of any size.
“Shumani works with customers on a case-by-case basis. We don’t operate on one-size-fits-all. We also have a short-term rental option that ensures that they can always opt out, should their requirement/s change.”
Nemukula adds that customers are increasingly hesitant to commit a large portion of their budget to acquiring new equipment. Therefore, the full maintenance lease agreement options are beneficial, as it enables them to free up capital while focusing on improving operations.
“Virtually all our equipment is mostly on full maintenance leases. It has become the biggest portion of our business,” he says.
Shumani prioritises its commitment to ensuring 98% uptime and uninterrupted service to enable customers to focus on core business activities.
The company also aims to provide seamless services to interested customers through its service department and call centre, whereby customers can learn more about Shumani’s offerings and work towards a customised agreement at their convenience.
Equipment Offerings
Despite the ongoing impact of loadshedding on businesses, Nemukula notes that there has been growth in the materials handling sector.
“We are witnessing a resurgence in growth as the economy starts to grow, albeit at a smaller pace,” he says.
Diesel-powered equipment is still, by far, the most popular in the market in terms of overall volumes sold, with materials handling equipment manufacturers Doosan and Crown remaining Shumani’s top selling brands.
Nemukula also recommends its range of reach trucks, which enables customers to improve their use of warehousing space. The trucks can reach up to two metre high, thereby providing more storage space for stock.
The reach trucks can be powered by lithium batteries and boast a reduced charging cycle of 60%, compared with that of older-generation batteries, thus allowing for more operating time, he concludes.