10 key steps for buying a printing press
Faheem Agboatwala, founder and chairman of BMPA’s Share to Benefit Forum and director at Hi-Tech Printing Services advices the buyer with 10 quick tips for a hassle-free press buy
21 Mar 2013 | 15810 Views | By PrintWeek India
Buying a printing press to upgrade your capacity and benefit from all – the latest technologies can be a tough decision to make. Here are some factors to mull over before you hammer out a deal.
Finally, go with your gut. This is the equipment you will be working with for the next 10-15 years and you must be happy buying it.
Checks | Brand New Machine |
A) Get the best possible price.
B) Bundle in an extended warranty and discount on spares and service visits once the warranty has expired.
C) Ensure that you ask for a factory acceptance test protocol (FATP).
D) Ensure that you or your engineer are present for the factory acceptance test at their site prior to
dispatch.
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Checks | Pre-owned machines |
A) Do they perform to the maximum in terms of both speed and substrate; if possible print your actual jobs on actual substrate on the press to confirm.
B) Do perform a print contrast test on each unit.
C) Check for the commercial acceptability of the register for the kind of jobs you do or intend to do.
D) Check for dot gain and slur.
E) Enlist all the discrepancies and ask the seller to rectify and provide another trial; don’t bargain the price and return with the faulty machine thinking that you will solve the issues in your factory. Bear in mind, we are in the business of printing and not refurbishing.
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Disclaimer: This working is a rough estimate and may not contain certain factors like depreciation, etc. It’s best you consult your financial advisor on this one.
No compromise points | |
Once, you hammer out a deal; insist on following things for hassle free performance of the machine.
A) Foundation – Lay the foundation as per manufacturer specifications and get it verified it by a certified structural expert.
B) Clean power - do what it takes: Install stabilisers, UPS, etc. Refer to other users in your locality as each location has its own unique power issues.
C) Maintenance-free chemical earthing.
D) HVAC (heating, ventilation, and air conditioning) - Exhausting is as important as cooling.
E) Never compromise on the installation process - let the manufacturer install the machine, don’t cut corners here.
F) Operators - invest in good people, a machine is only as good as its operator is.
Finally, after you have successfully installed the machine do ask the manufacturer to schedule a regular application and maintenance training to your operators.
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Point of View | Manroland |
Manufacturer superiority
In equipment purchase with high denomination values such as printing equipment, the most important factor is the reliability and security of the deal. And here lies the key differentiation between a manufacturer and a dealer. This is not to say that every dealer is unreliable, however comparing by the law of averages, the manufacturer offers reliability and transparency in every deal as compared to dealers. The manufacturer has first-hand access to the equipment, the technology and the spare supply as compared to a dealer who depends on the original manufacturer. Therefore, the fastest and reliable way is to approach the manufacturer directly.
Training centres
Manufacturers understand the importance of proper and detailed training for the customers and their production staff. This motivated Manroland to start dedicated on-site training and classroom training sessions for our customers. We offer week long training sessions that are organised at the customer’s site and on their press, as we believe practical hands-on training is the most effective training method for press operators. These training sessions are complimentary for all buyers of new as well as pre-owned presses of Manroland.
Flexibility in pricing
The pricing of new machinery depend on the following factors: level of automation, efficiency of the press, accessories defined by a customer, the speed of the press and any special features requested by the customer for their special applications.
Paperwork, precaution in used kit buy
While investing in pre-owned equipment, a buyer should insist on authentic documentation highlighting the technical specification of the press, age proof of the press, the accessories and ideally a press inspection and evaluation report from the manufacturer which serves as a crucial authentication of the actual valuation of the press. Buyers must be careful about the prices mentioned in the sales deed, and ensure that the price offered includes the necessary freight costs and adequate insurance for the press during transit. It is highly recommended to thoroughly review the press under the supervision of trained personnel before completing the sale. We also suggest that the dismantling of the press is done by trained engineers in the presence of the buyer, to ensure that the package is comprehensive and complete and minimum installation time.
Technical factors you present
We highlight the higher productivity, low maintenance and running costs on Manroland equipment. These are important factors for customers as they offer significant cost savings in the medium to long term period. In addition, Manroland offers several automations as standard equipment features including 3/4th automated plate loading, zero consumables in the ink duct and transfer elements, automated feeder settings and ink flow regulation features, these excellent productivity enhancing features are offered at no additional costs to the customers.
Hurdles faced by the buyer
The decision about purchase of new machinery depends on several factors such as funding; choosing the right equipment, service support etc. Amongst these the availability of funds is one of the most critical and demanding factors especially for small and medium sized buyers in India. Most first time buyers are intimidated by the paperwork and adequate financial proof or collaterals necessary to avail funding from lenders and banks alike.
(By Natasha Tandon, head of marketing and strategy for Manroland India)
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Point of View | Heidelberg India |
Manufacturer superiority
A dealers’ sales objective is generally short-term, seeking quick profit, whereas a direct manufacturers’ sales aims are long term and focus more on fostering relationships while providing relevant and lasting solutions. A dealer has the liberty to manipulate transactions and offerings, whereas a direct manufacturer can neither entertain nor indulge in manipulation of any sort, as everything is accounted in black and white.
What should the buyer look for?
To each his own! At the end of the day, a printer is at the mercy of a certain amount of luck while buying a pre-owned press which is not the case with buying a new press. Besides the ten points, among few others, it depends on what kind of customer you are going to cater to and what level of precision and consistency you are looking for. There are three segments – low, medium and high. If you want to be in the low-end segment, then pre-owned equipment may work well. For everything else, including precision, consistency, less wastage, high OEE and better profit margins, new press is the only choice. One can also be certain of a ROI in maximum three years with minimum down time.
Training centres
Heidelberg is the only manufacturer who focuses on training and education aspect, as well. Heidelberg’s’ Print Media Academy (PMA) in Chennai is a standing testimony to the same.
Finance offers
Finance is certainly offered and is done so via our partners who are nearly at par with international standards. However, hedging costs can change the scenario.
Flexibility in pricing
Flexibility depends on how much you want to put in and how much you want to get out of the press at the end of the day.
Paperwork, precaution in used kit buy
We would strongly recommend buying pre-owned equipment directly from the manufacturer. Furthermore, send in-house teams for inspection for first-hand.
Technical factors you present
To outline - we run through the press in detail explaining every feature, right from feeder to delivery, define and prove stability and consistency, ROI, cost per sheet, lesser wastage benefits, lesser make ready and change over times benefits and so on. Our 101 check points guarantee the claimed speed, quality and consistency, if the machine is refurbished and bought from us and we even guide them to get certified as per ISO: 12647-2.
(By Madhukar Choudhary, manager – customer finance, Heidelberg India; Peter Rego, general manager, equipment sales, Heidelberg India; and Dr RajendraKumar Anayath, head, PMA India, Heidelberg India)
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Point of View | Insight Communications |
Local partner helps
Most of the manufacturers are the best in their core area of producing high-end equipment, however working with local partners is always a better choice as there are issues which need specific attention. This is because the local partner is more aware of the local situation and cost of operations. The end user price are very stiff and the local persons do understand this better. Manufacturers also seem to get myopic with geographic and customer behavior although this may not apply to all.
Training centres
It is important to have training centres in India but there has to be some efforts from Government of India to promote this. As of today almost 95% of the machines imported in India under EPCG (at 0% import duty) to lower the cost and for educating about the machine the supplier has to pay a duty plus clearing amount to nearly 26 to 29% to start the business. And when he wants to upgrade the equipment or sell it to some other part of the world the entire 27% of the duty is lost. And the entire process of import of machine for training is lost. The Heidelberg Print Media Academy was an impressive initiative. Today, when most of the manufacturers globally are struggling to keep afloat the cost training centres are the first to get a hit
Flexibility in pricing
In pricing of a press, there is something known as the base price of the machine and then there are optional features which can cause a difference of 5 to 7% in case of configurations.
Paperwork, precaution in used kit buy
Most customers work on the adjectives used by per-owned machine dealers like beautiful machine, a wow buy, fully loaded machine etc but they have no clue what they are buying and what are the options. It can be a nightmare sometimes. It is recommended to take assistance of local distributor or the manufacturers instead of relying on free-lancers as they may not be aware of what is going in for the customer. After all it’s the printers hard-earned money.
Technical factors you present
We tell the customers all the facts of the products and their limitations as well. We do provide onsite training to our customers. Once they cross a level and expresses interest then they can go the Komori Graphic Center.
(By Sangam Khanna, director for Komori at Insight Communications )
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Point of View | Kunal Enterprise |
Superior service matters
It doesn’t matter whether you are buying the kit from a direct manufacturer or a dealer. Whoever provides a better quality of service is superior.
What should the buyer look for?
In today’s world of rapidly changing technology, a buyer must look for return on investment of maximum up to two to three years. The investments made should be flexible enough to match the changing market scenarios in terms of applications. In addition, the buyer must invest some capital for innovations.
Finance Offers
Though we do not offer finance directly. But we recommend EFL and Intelec take care of the finance. However, it is recommended that the buyer chooses the finance company that offers lowest interest rate.
Flexibility in pricing
As our machines are imported, the flexibility in pricing depends upon currecny fluctuations.
(By Ajay Gandhi, managing director, Kunal Enterprise)
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