The High Costs of Cheap Shopping

13.10.2022

Justyna

How many times have we bought something “bargain” or very cheap that was supposed to serve us for many years, only to discover that the product did not meet our expectations in terms of both quality and durability, necessitating a new purchase? How much time, nerves, and money have we spent on repurchasing? When buying, it is worth looking at the entire process comprehensively, from a much broader perspective. In many cases, calculating the Total Cost of Ownership (TCO) proves to be very helpful.

In the case of lubricants, we must treat oil as an investment. If we invest wisely and take care of it, it will bring us very large and certain returns. It’s easy to fall into the trap of a cheap purchase, but a TCO analysis will quickly show that a cheap purchase generates high operational costs. TCO allows us to calculate the actual costs of acquiring, installing, using, maintaining, and disposing of assets in a company over time. Thanks to TCO, it’s easy to demonstrate how low purchase costs of machine elements, raw materials, including lubricants, translate into increased usage and maintenance costs.

Plastics Processing Industry

The plastics processing industry currently provides extremely diverse products. Plastic components are produced in mass production mode, ensuring high precision of final products at relatively low costs. Increasing competition and rising energy and labor costs make uninterrupted and continuous production the key to success and survival in business. The majority of production takes place on injection molding machines, where the primary working element is the hydraulic system. Hydraulic systems can be compared to the human circulatory system. The heart is the pump, the veins are the pipes, the kidneys are the filters. The functioning of the whole organism and its efficiency depend on what flows in this system – blood, and in our case hydraulic oil. It is the blood that nourishes the entire organism and allows it to function, making the entire system work possible. The same is true with oil. If it is of good quality, it can increase the efficiency of the whole system and prolong its life.

CHECK IF YOUR OIL HAS FEATURES SUCH AS
TCO analysis oils.docx Word

This is not theory, this is experience

Although the initial price is higher, I consider the purchase of higher quality oil as an investment. An investment with certain returns, as confirmed by the TCO in Table 2. This example does not include additional benefits achieved by a plant using high-quality oils, such as increased work safety, environmental protection, efficiency, reliability, reduced downtime, etc.

Mobipol as an Authorized Distributor of ExxonMobil has the tools and experience that will bring tangible benefits to your company. Our experience in the use of lubricants and maintenance techniques has been utilized by many clients. As a Lubricant Engineer for the distributor (DLE) together with the technical engineer team (FES), we can create a detailed analysis of oil use in the facility and provide appropriate recommendations for free. The entire program of providing valuable solutions in these three critical areas is called Advancing Productivity™.

SAFETY – less frequent oil and filter changes mean reduced risk of accidents during machine contact

ENVIRONMENTAL PROTECTION– through the potential for increased efficiency, it helps reduce energy consumption. Fewer changes also mean less waste.

PRODUCTIVITY – trouble-free equipment operation means greater production

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Contact me to conduct a TCO analysis in your company: contact 

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