The Importance of a Proactive Approach at Borusan Cat

At Borusan Cat, we believe in and work for the value of being proactive. We aim to solve problems before they arise and anticipate opportunities. Because we know that in order to be a reliable solution partner for our customers, we need to think about their well-being as much as they do.

We are aware of the high cost of downtime for our customers and the importance of meeting their periodic machine needs in the field, and with our 'Borusan Cat Rental' service, we produce rental solutions to prevent our customers from stopping their sites.

Before beginning our success story, I would like to elaborate on two definitions for those who do not know.

- The term GIKA (General Construction and Public Segment) covers municipalities, special provincial administrations, quarry enterprises, industrial plants, road construction companies and companies that can receive direct bids from the public.

- The term Run (Rental, Used, New) refers to our solutions such as rental, second-hand and new machine sales to our customers in the context of GIKA as sales consultants.

Working with Türkiye’s Largest Rental Company

The customer in our rental success story is located on the Anatolian side of Istanbul and is known as Türkiye's largest rental company serving the end user. Ayke Makine offers service with more than 400 machines in its machine park. Although we wanted to work with them for years, we could not meet at a common point in terms of price/expectations. We had started negotiations with our customer about purchasing machinery again in 2021, and the current conditions and the increase in the costs of finding financing were creating a good opportunity for us in terms of leasing. At this point, our company's Early Bird initiative opened a valuable path for us.

I would like to briefly talk about the Early Bird initiative. Borusan Cat's large rental inventory is constantly expanding. With our proactive purchases, we are able to identify the machines that will join our inventory in advance. This gives us the opportunity to rent the machines to our customers in need beforehand. In other words, the 'Early Bird' gets the worm!

Within the scope of this initiative, we made an agreement with our customer covering 25 machines for the year 2022 and by signing a preliminary contract for delivery times, we provided Ayke Makine with a price advantage in the rental operation.

First of all, we presented the cost advantages between purchasing and leasing to our customer in detail. As Borusan Cat, we determined the equipment that our customer needs. We detailed the difference between the purchasing costs and leasing costs that our customer planned to make in a 1-year period. With the 'Early Bird' initiative, we completely eliminated our customer's one-year uncertainty with the machine diversity, machine availability and price advantage we will offer to the them.

In the 2023 planning, when we started negotiations with the customer, when we saw that they had investment plans, we had a very advantageous opportunity to develop our current businesses. We increased the number of our machines to 55 in the first stage, and we had the opportunity to increase it to around 75 during the year, depending on machine availability.

We are Ready for the Future with our Proactive Approach

The most important factor for Ayke Makine to see us as a solution partner is that we minimize the risks such as the difficulty of long-term planning in the Turkish market, financial risks, periodic volatility and eliminate the risks that may arise in the business planning within the 1-year plan.

When we talk to our customer about the coming years, we are encouraged to hear that we can increase the number of construction equipment under our agreement to 200-300, which once again demonstrates the value of being proactive and taking initiative. At Borusan Cat, we strive to identify the needs of our customers before they even realize it. With our proactive approach, we will continue to develop services that are beneficial for Borusan Cat, our customers and our world!

Naci Özkal

Author

I have been working at Borusan Cat for nine years and in the industry for twelve years. People around me know me as a calm person. I am the father of two children. Whenever I face stressful moments related to work, cooking in the kitchen helps me reduce stress. In my free time, I swim and do various sports. Living calmly and away from chaos is my dream for an ideal future.

If I were not in my current job, I would seek a position in an organization whose activities are aimed at helping those in need. In this area, I am very impressed with the activities of Haluk Levent.