200 likes | 570 Views
July 28, 2010. TRANE BUILDING EQUIPMENT AND CONTROLS. YOUR PARTNER IN COMFORT. Why Standardize with Trane Equipment and Controls?. Lower First Costs National preferred pricing and discounting for: Equipment Controls Service Parts Purchase equipment/controls direct
E N D
July 28, 2010 TRANE BUILDING EQUIPMENT AND CONTROLS YOUR PARTNER IN COMFORT
Why Standardize with Trane Equipment and Controls? • Lower First Costs • National preferred pricing and discounting for: • Equipment • Controls • Service • Parts • Purchase equipment/controls direct • Pre-payment discounting
Equipment • Typical equipment (the types we have seen on Fulton projects) has been approved on a national account basis to as low as .3222 multipliers on list (67.8% discount from the list price).
Controls • Trane Control material has been approved on a national account basis to.3222 multipliers on list (67.8% discount from the list price). • Engineering Labor on a PPS (Pre Packaged System) basis has been reduced by 60%. • Technician Labor on a PPS system has been reduced by 30%
Service • Service rates have been set to be reduced to National Account levels (This varies by Territory, but is the best level offered by each District).
Parts • Special discount rates on Trane Parts equaling our discounts to re-sellers will be put in place. Discounts will apply to all carried stock including filters, equipment components, lubricants and installation materials.
Pre-Paid Discount • The Pre-paid discount offer will be extended at current rates.
Challenges • There is no Fulton standard design that we have been able to discern. • A design developed in cooperation with Trane would yield significant savings, but access to the Mechanical Engineers has been difficult.
Potential Savings in a Trane collaborative design • Assume a three split system design per the attached pre-packaged solution. Standard pricing would be about $26,000 to Fulton through the normal contracting chain. • With PPS, National Account Discounts and pre-purchase discount, the cost to Fulton Bank would be less than $16,000.
Tasks to move this forward • Trane needs to be introduced as a team member to the Mechanical Engineering firm responsible for the establishment of the standard design. • Fulton Bank must work with the ME firm and Trane to establish the low-cost high-return solution. • Fulton Bank and Trane must sign the National Agreement paperwork.