Dollars & Sense – Construction Publications Inc

New Manitowoc Extended Service Coverage available for Grove GMK all-terrain cranes with three service levels available to meet owners’ demands

Alissa B — Wed, 27 Aug 2025 18:54:20 +0000

Taking you further

Protection against unexpected repair costs

New Manitowoc Extended Service Coverage available for Grove GMK all-terrain cranes with three service levels available to meet owners’ demands

Manitowoc has launched its new Extended Service Coverage (ESC) program for all Grove GMK all-terrain cranes in North America. The ESC program replaces the previous extended warranty option, offering peace of mind and exceptional protection at competitive prices.

The ESC offers a variety of advantages for crane owners and focuses on flexibility and convenience. The coverage packages guarantee repairs are performed by factory-trained technicians using authentic Manitowoc parts. Other benefits include pausing coverage during unforeseen situations, transferring unused coverage when selling a crane—enhancing resale value as it allows new owners to enjoy the remaining coverage—or even canceling the coverage for a prorated refund.

The ESC program covers a broad range of GMK crane models, including the GMK3050-3, GMK5150L-1, GMK6400-1, among others. Manitowoc plans to add coverage for other product lines, such as Manitowoc crawler cranes, as the program evolves.

“The ESC program offers multiple tiers of coverage tailored to meet the different needs of our customers,” said Chad Pingel, Senior Project Manager at Manitowoc. “We designed this program to ensure owners can focus on their businesses while protecting their investments against unexpected costs.”

The ESC provides three levels of protection:

Essential Coverage: Protects critical powertrain and boom equipment, including carrier components such as axles, transmission, drivetrain and engine; superstructure elements like the turntable bearing and electric swivel; and key boom components like the base section and boom tip
Plus Coverage: Builds on Essential Coverage by adding protection for the hydraulic system, lifting equipment and accessories like outriggers, auxiliary hoists and heaters
Platinum Coverage: Offers the most comprehensive protection, covering all Plus Coverage items along with top technology and electronics, such as Crane Control System (CCS) and telematics, and includes an annual “health check” inspection

“These plans are reasonably priced, reflecting our belief in the reliability of Manitowoc cranes,” said Pingel.

Remanufactured parts and components could help decrease your machinery’s total cost of ownership, promote profitability

Alissa B — Thu, 06 Jun 2024 15:37:53 +0000

Life Cycle Solutions

Remanufactured parts and components could help decrease your machinery’s total cost of ownership, promote profitability

Do you want to save money without sacrificing quality and reduce your carbon footprint at the same time? Using remanufactured parts and components could be the answer.

“Fewer raw materials are used in remanufacturing than new parts manufacturing,” said Matt Beinlich, Senior Director, Remanufacturing Business, Komatsu. “According to a paper from the Rochester Institute of Technology titled ‘Capturing Energy and Resources through Remanufacturing,’ the rule of thumb is that 80% of the mass of a component is reused through the remanufacturing process, reducing the need to extract new materials from the earth. Remanufacturing is necessary and good for the industry and the environment because it contributes to sustainability.”

It can also contribute to profitability, Beinlich added.

“Remanufactured components are a much more cost-competitive option compared to new ones because fewer raw materials are required,” Beinlich emphasized. “The quality of genuine Komatsu remanufactured parts and components is better than will-fit items. That’s why we back them with a one-year, unlimited-hours warranty and a quality assurance program of up to 10,000 hours on major components.”

Enhancing availability

Beinlich leads a new team of Komatsu remanufacturing personnel that is committed to increasing customer utilization of reman parts and components. It includes longtime remanufacturing specialists such as Senior Product Manager Goran Zeravica, as well as Remanufacturing General Manager Isamu Hamai, Parts Sales and Marketing Manager Eric Uehara, Reman Procurement Manager Krutarth Desai, Senior Quality Engineer Cody Clark, and Quality Assurance Specialist Bryan Davis.

“When customers buy a Komatsu machine, they expect that those machines will have readily available, reasonably priced, high-quality parts and components necessary to keep them running throughout the machine’s life cycle,” said Zeravica. “Genuine Komatsu remanufactured components can play a significant role in meeting that expectation. Our goals include improving availability and utilization so that our customers have a better total cost of ownership.”

Zeravica added, “To promote our customers’ success with remanufacturing, we have brought a lot of people together from various parts of the Komatsu family including suppliers, our parts depots and distributors. Ordering reman parts and components will be easier too, as we bring that into the digital age by making them available through My Komatsu.”

Smart Quarry Study provides insightful information designed to help operations optimize productivity with the proper equipment

Alissa B — Fri, 23 Feb 2024 22:35:26 +0000

Serving You Better

Smart Quarry Study provides insightful information designed to help operations optimize productivity with the proper equipment

Is your fleet the right size to maximize your quarry operation? Are you most effectively hauling from the face to the crusher? Do you know your hourly costs and how your practices are affecting them?

Questions like these and more can be answered with Smart Quarry Study, one of the Smart Quarry solutions offered by Komatsu. Smart Quarry Study provides:

Knowledgeable support when job planning
Valuable insight tailored for your operation
Confidence that your fleet is right for the job

“Ideally, Smart Quarry Study is a boots-on-ground meeting with customers at their location or locations to get a complete understanding of what they want to achieve,” said Craig McGinnis, Senior Business Solutions Manager for Komatsu, noting that remote study analysis is a possibility. “Maybe they are thinking about replacing equipment, want to increase production, or expand their pit. Through a Smart Quarry Study, we look at their operations and make recommendations designed to help them reach their goals.”

McGinnis added that Smart Quarry Study can help operations better understand how equipment and other factors affect performance, to assist in the making of cost-effective purchasing decisions. He also emphasized that it’s brand-agnostic.

“By comparing different class sizes, we can give you information related to more efficient costs per hour, per ton and per yard,” McGinnis explained. “Everything is based on each operation’s unique factors, and the resulting recommendations are tailored to them, no matter what equipment they use. We crunch the numbers and come up with a total cost of ownership. We really get down to a unit cost or dollar per ton of material moved and ways to improve those.”

Unique, local factors

McGinnis is part of Komatsu’s Smart Quarry team. Each member has extensive knowledge in quarry operations.

“The best way to get started is to contact your Komatsu distributor, who can help get a Smart Quarry Study set up,” said McGinnis. “From there, we reach out to the customer and gather some information about what they want to accomplish, then schedule the study at a convenient time. Once we have all the data put together, we present it to the customer to help them make more informed decisions.”

McGinnis continued, “If you want to monitor your operation in more detail with continual tracking tools, we also offer Smart Quarry Site. This tool, which is also brand-agnostic, can help you understand if you’re getting the most from your equipment and operators, to help improve production and performance, as changes occur.”

To learn more about Smart Quarry solutions, visit https://www.komatsu.com/en/technology/smart-quarry/

Remanufactured parts and components could help decrease your machinery’s total cost of ownership, promote profitability

Alissa B — Fri, 23 Feb 2024 16:30:48 +0000

Life Cycle Solutions

Remanufactured parts and components could help decrease your machinery’s total cost of ownership, promote profitability

Do you want to save money without sacrificing quality and reduce your carbon footprint at the same time? Using remanufactured parts and components could be the answer.

It can also contribute to profitability, Beinlich added.

Enhancing availability

Beinlich leads a new team of Komatsu remanufacturing personnel that is committed to increasing customer utilization of reman parts and components. It includes longtime remanufacturing specialists such as Senior Product Manager Goran Zeravica and Product Manager Arash Moghaddamzadeh, as well as Remanufacturing General Manager Isamu Hamai, Parts Sales and Marketing Manager Eric Uehara, Reman Procurement Manager Krutarth Desai, Senior Quality Engineer Cody Clark, and Quality Assurance Specialist Bryan Davis.

Moghaddamzadeh added, “To promote our customers’ success with remanufacturing, we have brought a lot of people together from various parts of the Komatsu family including suppliers, our parts depots and distributors. Ordering reman parts and components will be easier too, as we bring that into the digital age by making them available through My Komatsu.”

My Komatsu updates, new features improve fleet management to help you get the critical information you want in fewer clicks

Alissa B — Fri, 23 Feb 2024 16:24:12 +0000

Optimized Experience

My Komatsu updates, new features improve fleet management to help you get the critical information you want in fewer clicks

Fleet management is essential to maintaining your equipment’s health. Properly maintained equipment helps increase uptime and lower overall owning and operating costs. Staying on top of fleet management can be challenging, especially if you are still relying on end-of-day field reports or drives to the job site to check hour meters.

Digital solutions such as My Komatsu can change the game by giving you real-time machine data that can be accessed from practically anywhere, as well as tools that give you the capability to order parts and more. Recent updates make it easier to navigate, so you can quickly get the information you need to help make proactive fleet management decisions.

“Filtering capabilities have been updated to help users more quickly access the information they are looking for,” said Andrew Casey, Digital Solutions Analyst, Komatsu. “It’s more like a dashboard where you can get information in fewer clicks, which is something our customers wanted. Using their feedback, we made changes to make the interface more user-friendly. Customers who already have a My Komatsu account will see the updates automatically.”

Casey said one of the priorities based on customer feedback was a redesign of the My Fleet page, emphasizing that its substantially different look and easier navigation enable users to see their entire fleet of registered machines all on a single page without having to go through multiple tabs.

“We also expanded the ability to filter by idle time percentage, SMR range, model type, manufacturer, and much more,” Casey added. “A new sync map feature lets users zoom in on a particular territory, click the sync map to list button, and see machines just in that territory.”

Component tracking capability

Another major change is the addition of component tracking, according to Casey. The new functionality allows users to monitor component health, so they can more proactively plan for replacements.

“Users can set an interval based on last service date or SMR hours of the machine, then create an alert that notifies them when a component is due for replacement,” Casey explained.

Machine health and fleet monitoring are now easier, faster and more efficient with new alerting features, including additional alert types for abnormality codes, coverage, Komatsu Oil and Wear Analysis (KOWA) samples, and more. Consolidated and customizable views of your alerts can be set with the alerting dashboard. With My Komatsu, you can choose how to receive notifications — by web, mobile app, email or SMS.

Telematics information (Komtrax) in My Komatsu remains a vital feature that works with Komatsu and other brands that you have registered in your My Komatsu account. You can view machine location, fuel consumption, and machine health, which includes maintenance history.

Additional features available in My Komatsu include:

Publications – View parts and support manuals for your machines
E-commerce parts stores – Easily order parts and solutions that you can pick up in store, have shipped to your shop, or get delivered directly to your job site
Digital solutions – Sign up for and access your Smart Construction accounts such as Dashboard, Design, Drone, Field, Fleet, Office and Remote

If you don’t already have a My Komatsu account, you can sign up for one by visiting https://mykomatsu.komatsu. Once you have an account, your dealer can help you get set up and work with you on how to best utilize the platform.

“Proactive fleet management results in less downtime because you have a clear picture of your equipment’s health at all times,” said Casey. “You can better plan for routine service and component changes, address excess idle time, train your staff, monitor job sites and machine performance, schedule part orders, and much more.”

Bonus depreciation has dropped to 80%; equipment must be purchased, placed into service by midnight Dec. 31

Construction Publications Inc. — Wed, 26 Jul 2023 21:56:47 +0000

Industry Insight

Bonus depreciation has dropped to 80%; equipment must be purchased, placed into service by midnight Dec. 31

This year, full (100%) bonus depreciation, which was passed under the Tax Cuts and Jobs Act of 2017 (TCJA), dropped to 80%. Under the law, it will continue to drop by 20% per year until it reaches 0% in 2027.

Bonus depreciation is available for both new and used equipment placed into service by the end of the year. Eligible qualified property includes depreciable assets that typically use the Modified Accelerated Cost Recovery System (MACRS) with a recovery period of 20 years.

“The purpose of bonus depreciation is to encourage businesses to invest in new equipment and machinery,” said Sean Farrell in the article “A Guide to the Bonus Depreciation Phase-Out 2023” on SharedEconomyCPA.com. “It provides businesses a tax incentive to do so.”

With the percentage of bonus depreciation dropping, now may be a good time to consider making a purchase, according to Dan Furman, Vice President of Strategy at Crest Capital.

In the article “Goodbye, 100% Bonus Depreciation — Phase-Out Begins in 2023” published by Equipment World, Furman writes, “To qualify, the equipment must be bought and placed into service during the calendar year, so making your bonus depreciation purchase as early as possible has advantages (avoiding supply-chain issues delaying shipment/etc.). Further, if you were considering a major purchase in 2024 or beyond and planned to use bonus depreciation, perhaps bumping that purchase to 2023 makes sense (80% depreciation this year vs. 60% next, and so on). In addition, finance rates are predicted to keep rising, so if you were planning to finance your purchase, there’s another advantage to buying earlier.”

Higher amounts for Section 179

An additional advantage is that it has no limit on the amount. It can be used in conjunction with Section 179 expensing, another tax savings vehicle, that does have a cap.

Section 179 limits the 100% depreciation amount to $1,160,000 in 2023, an increase of $80,000 compared to 2022. After that amount, the expensing percentage begins to reduce. The total equipment purchase limit for this year is $2,890,000, which is up from $2.7 million.

Editor’s Note: This article is for informational purposes only. To learn more about how to take advantage of these tax savings, contact your tax adviser or equipment dealer for more information.

Click here to learn more.

Komatsu Care Plus Cost Per Hour gives you a fixed hourly rate on unlimited services for 60 months

Alissa B — Mon, 15 May 2023 14:10:47 +0000

New Payment Option

Komatsu Care Plus Cost Per Hour gives you a fixed hourly rate on unlimited services for 60 months

As your machines age, increase certainty in your owning and operating costs with Komatsu’s new Komatsu Care Plus Cost Per Hour program that delivers unlimited scheduled maintenance services at a fixed rate for 60 months.

“Komatsu Care Plus Cost Per Hour is a subscription-style billing plan that gives customers a very cash-flow-friendly alternative and lets them extend coverage beyond the complimentary maintenance period,” said Komatsu National Accounts Manager Felipe Cueva. “There is a nominal, up-front, opt-in charge. Customers then lock in their cost per hour for that 60-month period and are billed based on the machine’s monthly usage. Price protection is built in. The rate doesn’t change, which offers a hedge against inflation and rising costs.”

The benefits of Komatsu Care Plus Cost Per Hour include:

Unlimited hours
Up to 60 months of coverage guaranteed
Price protection
Total periodic maintenance (oils, filters, labor, travel and oil sampling)
Monthly payments based only on machine utilization reported in Komtrax
National coverage

How it works

“For example, if the rate on their particular machine is $5 per hour and the customer used the machine for 10 hours, they would be billed $50,” Cueva explained. “If they put 100 hours on the machine, the cost would be $500 for that month.”

The usage is tracked with Komatsu’s Komtrax telematics system to ensure accurate billing.

“Added peace of mind comes in knowing that, as with other Komatsu Care programs, the services performed with Komatsu Care Plus Cost Per Hour are done by certified technicians,” said Cueva.

He also noted that Komatsu Care Plus Cost Per Hour is restricted to current production models such as Dash-11 excavators. Hourly rates vary depending on machine. Once the initial 60-month period ends, customers may opt in again at the current rate.

“Customers can cancel their subscriptions at any time after 1,000 hours and two completed services without penalties or fees,” said Cueva. “We encourage anyone who wants more certainty in their costs to check this out, as well as other options through My Komatsu. Your local Komatsu distributor can help get you covered.”

Click here for more information on Komatsu Care Plus.

Lien Right | Subcontractors, don’t waive your right to a lien

Alissa B — Wed, 15 Feb 2023 21:02:17 +0000

Subcontractors, don’t waive your right to a lien

In the course of reviewing construction subcontracts, I’ve recently seen provisions similar to the following (simplified for convenience and confidentiality):

“The subcontractor shall reimburse the [contractor and/or owner] for any costs and expenses for any claim, obligation, or lien that arises from the performance of the work.”
“The subcontractor shall remove and discharge any lien, claim, security interest, or other encumbrance related to the subcontractor’s performance of the work.”

The provisions are often followed with boilerplate requirements for paying the third-party claimant, bonding, reimbursement of attorneys’ fees, indemnification responsibilities, or other ways of providing security to the owner or general contractor.

The purpose of these types of provisions is clear: Owners want their projects completed free of liens, and they want the person responsible for the work to make sure that happens. This is an understandable position, and it is reasonable for any construction contract to require lien waivers. The problem is that these provisions do not require payment prior to the waiver.

Yes, if a subcontractor is paid, it should agree to keep the project clear of liens and remove any liens filed by its respective subcontractors or suppliers. But, until payment has occurred, retaining the powerful lien right is essential for any prudent subcontractor. Whether intentional by the drafting party or not, these provisions suggest the subcontractor is agreeing to waive its lien rights even when the owner or contactor fails to pay.

Simple solution

With these specific provisions, I find the solution is simple and relatively unobjectionable; I like to add “provided subcontractor has been paid for the work” at the beginning of the phrase.

Subcontractors should be on the lookout for these and other potential pitfalls, and make sure they do not unwittingly leave themselves unprotected by accepting provisions that are inherently unfair.

About the Author: Sam DeBaltzo has a wide variety of experience representing clients in real estate transactions and the purchase, sale and leasing of real property. He additionally provides counsel in several related industries, working routinely with construction, architect and engineering contracts. His business law experience includes general corporate matters and representation of both for-profit and non-profit businesses in mergers, acquisitions and dispositions. For more information, visit tonkon.com.

Reman NOx sensors deliver optimal performance while lowering costs, controlling emissions and promoting sustainability

Alissa B — Wed, 15 Feb 2023 14:28:11 +0000

Reman NOx sensors deliver optimal performance while lowering costs, controlling emissions and promoting sustainability

Equipment users often think of remanufacturing when it comes to engines and large components because the cost savings are significant, and they are getting “like-new” with a warranty. However, you could also save resources with smaller remanufactured items you may not have considered.

“NOx (nitrogen oxides) sensors are a great example of a high-quality, low-cost replacement option that help avoid breakdowns and reduce owning and operating expenses,” said Komatsu’s Goran Zeravica, Senior Product Manager, Reman. “A Reman NOx sensor protects your diesel engine’s aftertreatment system and promotes optimal performance with the added benefit of lowering emissions and promoting sustainability.”

Komatsu genuine Reman NOx sensors meet original equipment specifications, assembly processes and test procedures to match the performance of a new part. They help equipment users stay in compliance with regulations while maintaining productivity.

Komatsu genuine Reman NOx sensors can also help you:

Avoid maintenance issues with new/upgraded probe tips fitted with an anti-seize lubricant that is pre-applied to the sensor threads
Reduce wear with watertight inline connectors that verify electronic continuity between the probe and the control module
Operate predictably with limited data from the control panel, including temperature, mileage and hours
Reduce waste and save natural resources by reusing and salvaging components

Get the credit you deserve

Zeravica noted that sensor probes are a common failure, so remanufactured NOx sensors are fitted with new probe tips. Once the sensor probe is replaced, Komatsu Reman NOx sensors are calibrated and bench tested. Reman components are backed by a one-year, unlimited-hour warranty.

“We highly encourage that you return your used NOx sensor, so you get full core credit, even if the probe has been cut,” said Zeravica. “Contact your Komatsu distributor for additional details and work with them to acquire the right sensor and for proper installation.”

To learn more about Komatsu Reman, visit https://www.komatsu.com/services-and-support/equipment-reman-assembly/.

5 ways drones can reduce costs and increase efficiency on construction sites

Alissa B — Tue, 15 Nov 2022 20:44:18 +0000

Five ways drones can help reduce costs and increase efficiency on construction sites

As technology continues to change the construction industry, a potentially dynamic investment companies can make isn’t iron on the ground, but a drone in the sky.

Drones are more accessible than ever with relatively affordable prices and simple operating controls, which make it possible for any organization to start drone operation.

If you’re ready to expand your fleet, here are five ways drones can help reduce costs and increase efficiency on your job sites.

1. Streamline communications

Being able to streamline information and connect your entire staff can help increase your workplace and job site efficiency.

With a timeline function, drones can take photographs from the same coordinates during the duration of a project to provide a timelapse of the progress. This can keep everyone up to date on the project’s status.

“The drone technology allows us to have somebody go out and drone sites two to three times a week,” said Greg Sutton, Vice President of Operations at Aspen Earthworks Inc. in Reno, Nev. “Even if I can’t get out here and see what production has happened on a site, I still feel like I visited the job site through the drone technology.”

2. Spend less time surveying

Depending on the site, conventional surveying can take days — with drones, it can take minutes.

“I think the greatest change after adopting drones or being exposed to drone usage is using the high accuracy survey grade data that they provide,” said Jason Anetsberger, Director of Customer Solutions at Komatsu. “Instead of having to walk a site or drive a site to map it terrestrially, they can now fly the site in a much larger area, in much higher resolution, in much less time, and get a highly accurate survey of that terrain. It has opened a whole new world for contractors to extract value from utilizing a drone.”

A company can quickly and accurately collect objective data of its job site with a drone, and that information can be used to help increase productivity and efficiency in the field.

3. Get accurate material estimates

Having the incorrect number of materials for a project can waste time and money. On construction sites, drones can quickly provide a precise representation of the area, so you can get an accurate estimate of everything you will need for the project.

During a preconstruction flight, you can compare the real site to the engineer’s model, which allows you to fix any miscalculations. By correcting those errors, companies can quickly see a return on investment.

“We had a customer recently who realized they had to move 40,000 cubic yards more than what the engineer quantities were saying they needed to do at the beginning of the job,” said Jim Petry, Construction Project Modeler for Komatsu. “For them, that was a big revelation. That was the first time that they used a drone. They quickly found a lot of value in it. They can see where their cut and fills are on the site, where that is taking place, and if it’s a large site, they can make better decisions on equipment.”

With more accurate measurements in the early stages of projects, companies can adjust their fleets accordingly to help increase production and have more precise data collection throughout the process.

“Komatsu’s Smart Construction Drone has enabled Aspen Earthworks to reach new levels,” said Aspen Earthworks President Ryan Dustin. “With day-by-day information, it’s enabled us to really dial in our estimating and our production rates that I believe have helped put us near the top of our market, and it was incredibly easy to get started. With that moment-by-moment information and real-time data, we can work with our project manager and superintendents to help us reorganize and redo the way we approach our dirt and utilities projects to increase efficacy.”

4. Connect clients to every site

You can also use drone technology to quickly and accurately connect beneficiaries to the job site, which can help save time, avoid future headaches, and secure repeat clients.

“With drones, you can give clients confidence that they’re getting the production that they’re paying for,” said Anetsberger. “That could help contractors secure future business. There’s more trust in that relationship if you’re feeding them near-real-time data or opening a digital twin, so they can follow alongside.”

Plus, drones can reduce the amount of time spent providing documentation for invoices.

“Instead of spending a day doing that conventionally, you’re doing the flight in just a few minutes and can accurately compare that against the last flight to be able to put their invoices forward and get paid as progress moves along,” said Petry.

5. Create dynamic marketing content

Aside from using drones for surveying, they can also be used to collect photographs and videos on job sites, or even at the office, that can be used for marketing, recruitment and public relations campaigns.

The maneuverability of drones can create dynamic photographs and videos that a person on the ground simply cannot easily replicate. Also, you don’t have to cut into your marketing budget for a camera.

While any drone can adequately survey, photograph and record a job site, Anetsberger and Petry recommend a robust model if you want high accuracy with good stability to get the most out of your investment.

Click here to learn more.