digitalization
flexPay - more than just "pay-per-use"
| Julia Reich
New financing model adapts flexibly to the use of the machine
Pay-per-use financing models are in vogue because they offer plastics processors more flexibility and security when production capacity utilization fluctuates. This also applies to KraussMaffei's new flexPay offer, which allows customers to easily adapt their financing rates to the actual use of the machine. In this interview, Quirin Kuchler, Product Manager Digital & Service Solutions, talks about the benefits and potential of the new financing model.
AHEAD
Pay-per-use has now arrived in the industry and is seen as one of the next "must-haves" in machine financing. How do you evaluate the pay-per-use trend?
Quirin Kuchler
Especially in current times, characterized by unpredictable and volatile market demand, measures to minimize the risk of underutilization are increasingly coming into focus. The numerous further developments in the digital sector make it possible to offer pay-per-use models without additional manual effort.
With flexPay, we have expanded a classic pay-per-use model with additional modules to increase the general customer benefit. Various digital and lifecycle products help to minimize costs and maximize machine availability over the entire lifecycle of a machine.
An outstanding example of a digital product that contributes to both cost reduction and machine availability as part of flexPay is liveCare. liveCare, as part of the KraussMaffei socialProduction product family, monitors various machine components and helps to ensure that worn components can be replaced at exactly the right time.
This minimizes the risk of unplanned machine downtime and allows maintenance work to be better coordinated.
Proactive maintenance: The liveCare condition monitoring solution offers continuous online monitoring of the wear condition of machine components.
AHEAD
How does KraussMaffei's flexPay differ from pure pay-per-use solutions?
Quirin Kuchler
The maintenance package included with flexPay and the continuous digital condition monitoring mean that the residual value of the machine can be increased. This in turn reduces the monthly flexPay rate. At the same time, flexPay includes a variety of digital products for monitoring production, increasing efficiency or simplifying machine operation. This significantly reduces operating costs compared to pure pay-per-use solutions and traditional machine financing.
The digital service products included in flexPay offer clear benefits. They help to reduce energy consumption, avoid rejects and extend the service life of the machine.Quirin Kuchler
Product Manager Digital & Service Solutions
AHEAD
Where do you see the greatest benefits for your customers with flexPay?
Quirin Kuchler
We connect our customers' shopfloor. At the same time, digital products support the digital transformation. flexPay is not about ownership of the machine, but about paying for hours of use. In this context, flexPay offers four main advantages:
- Affordable production - flexible payment and usage We optimize our customers' working capital by shifting CAPEX to OPEX, minimizing costs in case of machine underutilization and enabling new offers with smaller lot sizes.
- OEE optimization (performance, availability & quality) Our customers produce - we guarantee machine availability to keep production running smoothly and maximize the output of high quality parts.
- D2 - Decarbonization powered by digitalization The machine comes with best-in-class digital products that help achieve CO2 targets while maximizing our customers' profits.
- Unleash the potential of data We connect our customers' shop floor. At the same time, our digital products contribute to your our customers’ digital transformation journey.
More flexibility in production: With the new flexPay financing model, only the service that is actually needed is paid for
AHEAD
How quickly can KraussMaffei customers get their machine up and running with flexPay financing? Do they have to expect more effort compared to traditional financing solutions?
Quirin Kuchler
Customers can put the machine into operation with flexPay without any delay. The only thing needed is a data interface to calculate the flexPay rate based on the actual use of the machine. The data interface is realized via the KraussMaffei smartCube and the flexible rate is charged to customers by our financial partner Linxfour. Other lifecycle and digital services included in flexPay are provided by KraussMaffei and are designed, among other things, to facilitate machine operation, optimize production and take over central tasks in the area of maintenance.
AHEAD
How does flexPay fit into KraussMaffei's long-term strategic direction, particularly with regard to sustainability?
Quirin Kuchler
A central cornerstone of KraussMaffei's corporate strategy is to contribute to sustainability, particularly in the area of reducing CO2 emissions. The greatest CO2 emissions and the greatest financial outlay typically occur after the machine has been installed. This offers enormous potential for financial and ecological optimization after the initial investment.
The integrated approach of enabling decarbonization through digitalization has been successfully implemented as part of the flexPay financing product. The digital service products included in flexPay help to reduce energy consumption, avoid scrap and extend the service life of the machine.
They also allow an increased proportion of recycled material to be processed safely. flexPay thus combines the economic attractiveness of a flexible financing solution with ecological optimization throughout the entire life cycle of the machine.
