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Increased Up-Time
A customer had a given application in which an expensive mechanical seal was being used. The mechanical seal in question needed to be replaced in an emergency breakdown. The customer phoned a Bearing & Transmission technical service representative to find out how quickly that mechanical seal could be delivered in order to get their operation up and running. The representative checked the customers stock to see if they had any available for replacement and followed that up by checking Bearing & Transmission stock. The search yielded no results.
The appropriate mechanical seal had a 3 day lead time that would have caused the customers operation to be shut down for that period, resulting in a substantial amount of lost production income. Instead of accepting the circumstances, ordering the product, and moving on, the Bearing & Transmission representative visited the maintenance point to personally inspect the application.
As it turns out, the mechanical seal that was originally put in place of a traditional oil seal was not accomplishing the task for which it was intended to do. The Bearing & Transmission representative informed the customer that a traditional oil seal would perform almost identically to the mechanical seal, and could be provided in a matter of hours at a fraction of the cost of the mechanical seal.
Cost of Mechanical Seal: $9000
Cost of Standard Lip Seal: $23
DVA Savings: $8,977
The customer in this instance experienced a hard cost savings of the difference between the expensive mechanical seal versus the traditional oil seal, $8,977, as well as soft cost savings on decreased down time. The DVA value was the total of both the hard cost and soft cost savings.
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