Published May 20, 2017

Remanufactured tractor gearboxes

Valtra has managed to create a new and profitable business from remanufacturing used gearboxes, making good use of their technicians' professional expertise. This extends a product’s life cycle and saves energy and materials compared to manufacturing new gearboxes. The customer quickly receives a new gearbox to replace a broken one. A deposit scheme has been created to ensure the return of old gearboxes.

Problem

Value is lost when used tractor gearboxes are taken out of use. Manufacturing new gearboxes consumes a large amount of resources.

Solution: remanufactured Valtra Reman gearboxes for tractors

Used gearboxes are returned to the factory to be dismantled, cleaned and refitted with new parts to replace worn or damaged ones. Remanufacturing uses approximately 95 per cent less energy than manufacturing a new product. The gearboxes are assembled, tested and painted like new products. Customers can choose from several different models, which are quickly available direct from the warehouse.

Revenue model and benefits for Valtra

Remanufacturing gearboxes accounts for a significant portion of Valtra’s business and is very profitable. Since 2012, the turnover for Reman gearboxes has increased at an annual rate of 25-30 per cent. When ordering a Reman gearbox, the customer pays a deposit which is approximately 50 per cent of the gearbox price. This deposit is repaid to the customer upon return of the old gearbox.

Close co-operation and sharing information during product development helps to improve products. The valuable expertise of Valtra’s technicians generates new added value while saving the customer money and time.

Benefits for the customer

The remanufactured Reman gearbox is 30-40 per cent cheaper than a new product. The updated, like-new gearbox can be quickly installed in the customer’s tractor. Dealers and maintenance technicians enjoy easily scheduled and faster repair times. Valtra pays the delivery costs and offers a warranty for the proper function of the remanufactured gearboxes.

Facts

Valtra in a nutshell

Industry: design, manufacture and distribution of agricultural machinery

Founded: 1944

Net sales: over €50 million

The launch of the circular economy solution: remanufacturing of gearboxes began in 2012

Personnel: over 250

Headquarters: Äänekoski

Website: http://www.valtra.co.uk/parts

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