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Rebuilds and Cat® Reman: Know the Difference
If you think the terms "remanufactured" and "rebuilt" are interchangeable, you’re not alone. Each repair option offers unique solutions. This article will help you tailor available Cat® Reman repair solutions to your business needs.
Estimated read time: 6 minutes
FIRST, WHAT IS CAT® REMAN?
One way to understand the difference between Cat® Reman products and parts that are rebuilt, either by a Cat dealer or a third-party rebuilder, is to first get a handle on what “remanufacturing” does not mean.
As Allen Spencer, Core Supervisor for Cat Reman, explains in the video below, remanufacturing is not rebuilding, refurbishing, repairing, recycling, reconditioning or overhauling. Instead, it’s a much more involved process that returns the part or component to original Caterpillar performance specs. The finished product is backed by a same-as-new, 12-month Caterpillar Limited Warranty.1
FAST TURNAROUND
Depending on parts inventory, a rebuild may be more cost effective and time efficient. If a Cat Reman part is available, however, it is provided off the shelf, right out of a Cat dealer’s on-hand inventory2. That can be important when machine uptime is critical.
One question to ask when choosing between rebuilding a part or buying a Cat Reman component, notes Cat Reman Commercial Manager Trent Tippey, is: How long can you afford to have that piece of equipment out of production?
“If there's a customer who has a really short window of time that they need to rebuild an engine in, they may leverage a Cat Reman … engine to really shorten the duration,” Trent says.
Cat Reman Global On-Highway Truck Engine Sales Manager Marcus Fair concurs, saying the short turnaround time for a Cat Reman component can result in major reductions in machine downtime. “It might take, let's just say, a week or a week and a half to rebuild an engine. [With Cat Reman], they can purchase a complete engine and send the old core back to Cat Reman. This can be done in a matter of days versus weeks.”
Those time savings can really add up, says Cat Reman Senior Vice President Brian Edwards. “We can put products on the shelf that allow customers to come in and basically make exchanges in real time. We tend to save about three to four weeks on average to go with Cat Reman3 versus a rebuild. Cat Reman helps them every way you can look at it — with speed, with cost, with flexibility.”
MAKES SENSE, RIGHT? SO WHAT ARE CAT CERTIFIED REBUILDS FOR COMPONENTS?
While Caterpillar conducts remanufacturing processes, the global Cat dealer network is capable of performing highly sophisticated Cat Certified Rebuilds — and no matter where you go in the world, you’ll find the work completed to a consistent standard of excellence.
A Cat Certified Rebuild involves an extensive process that requires trained professionals, specialized equipment, stringent quality control and access to the latest technical information. And it’s available only through a Cat Certified Rebuild performed by your local Cat dealer.
CORE RETURN PROMOTES A SUSTAINABLE PARTS LIFECYCLE
A key to the Cat Reman process is “core return.” A customer can bring an end-of-life component — a core — to a Cat dealer, where it’s exchanged for core credit. This credit can then be used toward the purchase of a Cat Reman part. This saves the customer the time and expense of disposing of the core, and it keeps the core out of the scrapyard.
Instead, says Jeff Gutzwiller, Product Manager for Cat Reman Engines & Engine Components, the core is sent to one or more Cat remanufacturing facilities around the world to undergo the comprehensive Cat Reman process.
“One thing you really need to understand about Cat Reman is it's a true remanufacturing process,” Jeff explains. “We take your old core back, it gets completely disassembled and those parts go, in some cases, to multiple Cat remanufacturing facilities. Injectors may be remanufactured [in] one facility, cylinder blocks in another facility. It all comes back together and is manufactured down an assembly line just like new, using the same Cat quality management system as new."
“That’s very different from what happens when you have a component rebuilt,” he adds. “If you go into a local repair shop, typically your original transmission's going to get taken apart by one or two technicians in a stall. They're [doing] more cleaning and replacing parts. And that same unit, in essence, goes back together with some replacement parts.”
Regardless of their differences, sustainability figures heavily into Caterpillar’s remanufacturing process and into the rebuild process. By recycling resources, reusing core and remanufacturing and/or rebuilding components to re-enter the supply chain as viable parts, Caterpillar keeps the supply chain stocked with a steady flow of replacement products for customers to purchase and use.
CONSISTENTLY A FRACTION OF THE COST OF NEW4
Jeff notes that the Cat Reman price is set so there are no surprises. “One thing you get with Cat Reman is a known price point because it's an exchange. You send this core back and your price point is ‘X.’ With Cat Reman, you're going to get the same quality and standards all the time, and that price point's going to be constant as well.”
Of course, says Cat Reman Product Support Manager Mike Nordmeyer, there will always be situations where a rebuild makes sense from a cost and time standpoint.
“As you look at the different repair options,” Mike observes, “you start on the lower end of the price range where you have the lower-level repairs. These repairs may be before failure, so they're able to quickly get a repair done. They have an option of a new component, they have an option of a rebuild and then [Cat] Reman fits in the middle there. The advantage of [Cat] Reman is it comes in at a fraction of the price of new4. That'll give them a much more economical price point for that product [when compared to a new part].”
FULL PRODUCT LINE
If you choose to go with Cat Reman, you can be sure you’ll find solutions across a variety of industries and applications.
“It's really important for us to have variety in our Cat Reman products,” says Jennifer Keffeler, Minneapolis District Manager and former Global Sales Manager for Cat Reman On-Highway Truck Engine (OHTE) Aftermarket. “For us to be able to say we have Cat Reman options — whether it's a component or a complete drop-in engine across a customer's product line — helps us really reemphasize the value story that Cat Reman brings to the table.”
Cat Reman General Manager Bob Paternoga adds, “Cat Reman products are used in virtually every industry that Caterpillar serves. For example, in mining, Cat Reman products are ideal for use in the dealer Cat Certified Rebuild process. They rely very heavily on our availability.”
CAT REMAN: A SMART OPTION
All these factors — like new performance with a same-as-new warranty1, built-in sustainability benefits, off-the-shelf availability2 at a fraction of the cost of new4 and a comprehensive product line — combine to make Cat Reman components the best repair option in many situations. Your Cat dealer can help you make the right choice between new parts, Cat Reman products and rebuilds depending on your needs and budget.
No matter what industry you’re working in or what Cat equipment you may run, you can count on the quality of Cat Reman parts and components. “’Like new’ is not just a slogan,” concludes Danny. “It's what our customers demand out of our product.”
1Warranty can vary by model and application; limitations may apply. For complete details about the applicable Caterpillar Limited Warranty, contact an authorized Cat dealer.
2Part(s) may not be available off the shelf at all times and in all locations.
3Time savings when compared to repair and return situations represent an average across all Cat Reman part numbers in 2021.
4Cost savings based on return of core; core conditions apply.
Cat Reman
The thought leaders and subject matter experts involved in the design, development, distribution and marketing of Caterpillar’s remanufactured, like new products.