Investment In Service Wins New Steel Processing Business For SENNEBOGEN
As an established secondary producer of aluminum, CASS knew what to look for when equipping for its new steel processing operation.
Oakland, CA – After 40 years of business, CASS (Custom Alloy Scrap Sales, Inc.) is recognized as a leader in the production of secondary aluminum, employing 100+ staff on its eight-acre site. The emergence of containerized steel scrap suggested new opportunities to President & Founder, Chal Sulprizo. In 2005, an acre of the facility was dedicated to steel operation and CASS commissioned a Sierra T-500 shear baler to prepare scrap steel for international markets, along with a fleet of end dumps to service clients.
While visiting clients, CEO Edward Kangeter observed a unique material handling machine that caught his attention. “We started out loading steel by hand,” Kangeter recalls. “Then we graduated to a small traditional excavator to feed the shear baler, but the operators found it difficult to see into the shear. That’s why I became intrigued by the raised cab on SENNEBOGEN material handlers.”
Kangeter has enjoyed a successful career in the metals and recycling industries, both domestically and internationally. He clearly understands the potential pitfalls of investing in capital equipment where OEMs are based offshore. While SENNEBOGEN’s innovative operator features were attractive, they weren’t enough on their own to match CASS’ long term requirements.
After researching the market for scrap material handling equipment, Kangeter found that he had a choice of machines that could offer some version of a raised cab for his operators. However, the critical point in his evaluation rested on parts and service that would facilitate uptime, not the features.
“Due to the small footprint of our steel yard and volume of material being turned, we have no choice but to process material in real time,” he explains. “We can’t afford to have equipment down. Most European OEMs do not make the large investment required to set up and fully stock a parts warehouse in America because they don’t have the business to justify it! At CASS, we run our steel operation 2 shifts a day, 6 days a week and expect our equipment to be up and running. We cannot tolerate it down, ever.”
Then Kangeter met Constantino Lannes, President of SENNEBOGEN LLC. While SENNEBOGEN machines are manufactured in Germany, Lannes’ company had been locally based in the Charlotte, NC region since 2000. The firm opened a new 54,000 sq. ft. facility in 2009 on the outskirts of Charlotte, in Stanley, NC, to house its head office, parts warehouse and training center.
“Talking with Constantino gave me confidence because of his vision and explanation of SENNEBOGEN’s approach to the US market. Anyone can talk about what they’re going to do but actions speak louder than words and making a significant capital investment into the US market, demonstrates they’re committed to the market for the long run.”
As Kangeter was completing his research and visiting demos of the Green Machines, SENNEBOGEN announced the appointment of its new distributor, Bejac Corporation, to serve the California market. For Kangeter, Bejac’s appointment as his local service agent for SENNEBOGEN was great news.
“It was important to see SENNEBOGEN in the market,” Kangeter continues. “And it was important to see it in operation but it was critical to know there is a dealer network ready to supply our parts and keep our equipment up and running.”
Kangeter had experience with Bejac with another manufacturer. “Service problems previously had been difficult to resolve, but when Bejac became the new distributor for that manufacturer, they were able to address all outstanding issues in a timely manner. Bejac provides the type of service we expect from industry leaders.”
Kangeter had the service and support solution required to move his business to the next level. “Having Bejac on board gave me confidence we would receive superior service combined with SENNEBOGEN’s vision & investment in the US market, I could focus on maximizing production and profitability!”
CASS placed the order for its first SENNEBOGEN machine, an 825 M rubber-tired scrap handler in early 2010. The 825 M weighs in at 64,250 lbs. and is powered by a 173 HP Cummins Tier III engine. The CASS machine was equipped with SENNEBOGEN’s latest D Series maXCab operator’s station, including hydraulic elevation to a height of 19 ft. above ground level. In its first year on the CASS site, the 825 M logged more than 4000 hours.
“The launch has been incredibly successful,” says Kangeter – successful enough that he recently purchased a second 825 M for his yard. “We did look at getting a larger model for the second unit, but in this small site, it’s advantageous for us to have the largest piece of equipment we can while keeping the footprint as small as possible.”
The first 825 M feeds the T500 shear baler while the second loads end dumps for local shipment. Both units are fitted with 1.5-yard orange peel grapples. The new material handlers had an immediate impact on CASS’ new steel business. “They give us better fuel economy while our operators are able to process more material faster, and safer. The 825 has dramatically improved our production process. The shear baler never stops; it’s being fed constantly through two shifts. With the shear’s cycle time around three minutes, the SENNEBOGEN can even take time to groom the site as it loads.”
Kangeter reports that throughput in his truck operation has increased 50% with his SENNEBOGEN Green Machines. His previous operation typically filled 4 to 6 of the 40 ft. end dumps using the traditional excavator, CASS now ships twelve plus per day. While CASS has made a number of improvements to its loading process, he estimates that the 825 M, with its rapid cycle times, has been able to trim off ten minutes from the time required to load each end dump.
The operators at CASS are also very pleased with their new equipment. Kangeter says, “They love using the SENNEBOGENs: the visibility, quick movement of the machine – it’s fun! It’s like they’re getting paid to play all day. But if they’re happy and working well, it helps our production.”
With the combination of operator-friendly engineering and business friendly service support, Kangeter feels his choice of SENNEBOGEN and Bejac was the right move for his expanding steel business. “Personally, I just had a gut feeling that SENNEBOGEN was a brand on the move,” he reflects. ”It was a good time to invest in the brand.”
SENNEBOGEN has been a leading name in the global material handling industry for over 65 years. Based in Stanley, North Carolina, within the greater Charlotte region, SENNEBOGEN LLC offers a complete range of purpose-built machines to suit virtually any material handling application. Established in America in the year 2000, SENNEBOGEN LLC has quickly become a leading provider of specialized equipment solutions for recycling and scrap metal yards, demolition, barge and port operations, log-handling, transfer stations, waste facilities and the tree care industry from coast to coast. A growing network of distributors supports SENNEBOGEN LLC sales and service across the Americas, ensuring the highest standard of professional machine support and parts availability.
For more information on the full line of SENNEBOGEN green line material handlers, contact:
1957 Sennebogen Trail
Stanley, NC 28164
Tel: (704) 347-4910 or fax (704) 347-8894