How Air Conditioning Suppliers Make It to the Technicians Who Use Them
Air conditioning supplies and equipment are an integral part of HVAC businesses. But how do these essential supplies make it to the technicians who use them?
Work with multiple suppliers. Look for suppliers who offer different prices and stock levels. For example, if you need enclosure air conditioners for electronics, look for ones that have different thermal capacities and corrosion protection options.
HVAC Supply Chain
Normally, when a HVAC client has a problem with their air conditioning unit, the repair or replacement work is done on a fairly quick timeline. Businesses like HB Home Service Team would call a vendor to get the parts and equipment they needed, and they would receive everything within a day or two of calling. However, during the COVID-19 pandemic, many companies are facing supply chain issues that may take some time to resolve.
As a result of the worker shortage and other specific global shipping issues, materials that are used to make HVAC supplies are now scarce and much more expensive. Raw materials such as copper, aluminum, steel, and plastic have all increased in price, as have oil and other fuels that are used for transportation.
These higher prices and supply chain disruptions are impacting the bottom line for some HVAC Air Conditioning Supplier businesses, causing them to raise their rates or pass on the additional costs to their clients. However, by streamlining work processes and leveraging technology to improve value, HVAC contractors can reduce operating expenses and still provide their clients with great service. One way to do this is by using software that allows them to compare supplier pricing and availability in one place. With better visibility, they can make the best decisions for their business and their customers.
HVAC Parts Shortages
The microchips that control your air conditioning unit are a key part of the global supply chain. When this chain slows down in one spot, due to things like natural disasters or manufacturing slow-downs, it has repercussions across the world. This is why it’s essential to take care of your HVAC system with preventative maintenance.
Salt Lake City’s Whipple Service Champions reported that their suppliers are telling them to expect up to a 6- to 8-week delay in getting parts for AC repair and new systems. This is due to a number of factors including shipping delays at ports as well as COVID-19-related quarantines in China that cut production in factories that produce HVAC components and supplies.
Despite these ongoing issues, manufacturers are working hard to get back up to speed and meet customer demand. But this will likely take some time, as they work to retrain workers and restock their warehouses and facilities.
With less equipment and parts available than usual, it’s not surprising that prices for commercial HVAC repair are going up. It’s a good idea to start padding your budget now to account for rising rates so that you don’t get hit with unexpected costs. This is also a good time to think about investing in some energy efficiency upgrades that will save you money on your cooling bills in the long run.
HVAC Equipment Shortages
As COVID-19 wiped out the workforce and forced people to stay home, service requests for HVAC companies skyrocketed. However, equipment manufacturers couldn’t keep pace with the demand and production slowed as a result. Meanwhile, finished products piled up in warehouses and ports across the world as a result of a shipping container shortage.
Manufacturers also struggled to make HVAC parts and supplies due to labor shortages and other factors that have impacted production. In addition, many factories have Air Conditioning company been forced to shut down due to government-imposed quarantines. The resulting supply chain process issues have resulted in long lead times for equipment, especially for smaller scale contractors without access to larger supplier networks.
The lack of raw materials has added to the problem, as well. Copper, aluminum, steel and plastic are all in short supply and expensive to produce. Inflation has driven up the price of other critical materials, including semiconductor chips. This is causing a delay in the supply of essential construction and HVAC equipment and putting projects behind schedule.
The best way to overcome these supply chain issues is for HVAC businesses to plan ahead and work with multiple suppliers to get the equipment they need. This strategy may help to reduce the risk of missing a project and save money in the long run. It’s also a good idea to invest in procurement software that can quickly compare different suppliers, prices and availability.
HVAC Software for Suppliers
HVAC software allows businesses to streamline operations and focus on delivering high-quality customer service. Aside from automating tasks, the software can also help businesses manage appointments, track customer information for warranty purposes or marketing initiatives, and generate invoices and estimates. It can also provide analytics to help businesses improve productivity and reduce costs.
During the supply chain bottleneck, HVAC contractors can encourage customers to schedule preventative maintenance services in order to extend the life of their existing systems and avoid having to replace them with newer models that may not be available due to shortages. Additionally, they can encourage customers to diversify their own pool of suppliers in case any one of them runs out of specific equipment.
With an all-in-one field management platform like ServiceTitan, HVAC companies can equip their technicians with a mobile sales tool that provides them with easy-to-create sales presentations featuring photos and videos, multiple options proven to increase estimate conversion rates, and more. Moreover, technicians can use the app to create work orders on-site and automatically collect payments through GPS tracking and responsive invoicing. Furthermore, they can leverage the platform’s inventory management features to ensure that they have the right parts at all times. These include real-time inventory control, automated reordering, and a warehouse management system that supports a wide range of fulfillment processes.
