From industry growth to safety and security concerns, industry trends present opportunities and challenges for mining and large construction companies. The key to capitalizing on these trends lies in an unexpected area: your surplus, idle, and obsolete assets, from mobile earth moving equipment to site services and utilities.
Here are four major trends affecting the mining and construction industry, and how an effective program for managing surplus assets can help you make the most of them.
1 – Industry Growth
With commercial and residential building increasing significantly, the construction industry should grow by 5% in 2017. To keep pace with growth, industry leaders are increasing productivity with innovative technologies and processes such as prefabrication, modularization, and robotics.
How Surplus Management Can Help: Innovation often makes what came before it obsolete. What will you do with mining and construction equipment you no longer need? By selling your obsolete equipment on the secondary market through a surplus management program, you can turn it into working capital to fuel innovation.
2 – Lean Production
Lean has helped industries such as manufacturing increase efficiencies and profits. Pressed to make the most of every dollar, leading mining and construction companies are also exploring methods to streamline production while reducing waste and costs.
How Surplus Management Can Help: Surplus management helps you meet lean manufacturing goals by identifying and removing unneeded items, whether through sale, redeployment, or recycling. Look for a partner that has helped clients meet lean goals by reducing waste in the form of surplus.
3 – Finance Drought
With several industry segments still struggling, many mining companies are finding it challenging to attract investors. As once-reliable sources of capital dry up, mining companies must look to alternative finance sources to stay healthy.
How Surplus Management Can Help: Selling your surplus assets provides you with an ongoing source of capital to keep your company financially stable. An asset management partner can also deliver an independent, objective appraisal of your company’s value to support negotiations with potential investors.
4 – Spotlight on Safety
Safety and risk management was a big issue for mining and construction companies in 2016, and 2017 should be no different. The reach and speed of the Internet, however, can swiftly turn a small safety challenge into a PR disaster. To enhance existing safety measures and address newer concerns such as cybersecurity, industry leaders are reevaluating safety procedures, strengthening policies, and conducting risk assessments.
How Surplus Management Can Help: Your surplus mining and construction assets can be a valuable capital source. If you don’t remove these items carefully and compliantly after sale, however, you could potentially hurt workers, damage property, or negatively impact the environment. To mitigate these risks, look for a surplus management partner with experience handling and removing large, complex mining and construction assets.
Liquidity Services: The Leader in Managing Surplus Mining & Large Construction Assets
In over 15 years serving your industry, Liquidity Services has helped dozens of the world’s leading mining and large construction companies capitalize on industry trends by managing, valuing, and selling their surplus assets for maximum return.
Our Mining & Large Construction Expertise
- Nearly $300 million in total sales
- Over 150,000 surplus assets sold
- More than 50,000 registered buyers