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Trotti, John

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Sunday, July 26, 2009 8:00 PM

CNH Parts & Service Remanufacturing

By: Trotti, John Comments

I spent the latter part of last week in Branson, MO, being brought up to date on new initiatives by the CNH Parts & Service (P&S) and Fiat Powertrain Technologies (FPT) designed to strengthen customer service activities. Chief announcements included the formation of a partnership between P&S and FPT, a joint venture between P&S and SRC Holdings Corp. (SRC), and plans for a new P&S distribution facility in Portland, OR.

Details on each of these initiatives can be found on our Web site as part of the Latest section.

While each of these is significant in terms of P&S’s customer service, the one I found most intriguing was the P&S/SRC joint venture, which (in my eyes) heralds a significant change in CMH’s approach to customer needs.

SRC has provided P&S with remanufactured components for a number of years, so the relationship is not new. Rather, it is CNH’s recognition of the growing importance of remanufacturing as a means for its customers to extend the life of expensive equipment that reflects change. If this vision is correct, it will be interesting to see how CNH promotes reman to its customers and how in the future its customer acceptance might affect engine and drive-train engineering design.

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