News and Press Releases

Marley Announces New Industry Transforming Productivity and Cold Water Outsourcing Programs

OVERLAND PARK, Kan., October 20, 2003 – SPX Cooling Technologies, a unit of SPX Corporation, recently introduced the most comprehensive productivity and outsourcing programs for the cooling tower industry — reinforcing Marley’s market leadership position and commitment to delivering customer centric products and services. The productivity and cold water outsourcing programs are designed to assist customers in evaluating their process cooling needs and offer a more flexible and cost-effective approach to enhancing cooling productivity and improving plant or facility processes.

“Focusing our efforts on what our customers need versus what we sell is the core of our commercial strategy,” said Charles M. Chiappone, senior vice president of commercial operations for Marley. “Our intention is to differentiate beyond our product portfolio and entrench ourselves in our customers’ processes.”

To support this initiative, Marley recently hired or redeployed 15 employees and restructured its commercial department. The new productivity and outsourcing team will provide direct support to customers, commercial operations and Marley’s independent representative network. The cross-functional team is comprised of business, financial and industry professionals with experience in HVAC, industrial and power companies who know the customer’s business and will be able to understand how Marley’s services can best meet its needs. The team is already actively working on numerous opportunities that are expected to provide millions of dollars in productivity returns to its customers.

“Cooling towers are often classified as a non-revenue generating asset,” said Tom Dendy, director of service solutions for Marley. “By partnering with Marley, customers will view their cooling tower as not simply a necessity, but a long-term productivity asset that will benefit from Marley’s expertise in maximizing thermal performance.”

Productivity Partnerships Benefit Bottom-Line

Marley’s cooling productivity program is designed to deliver more than a cooling tower. The objective is to become part of the customer’s process and identify areas where productivity can be improved, which will provide a positive impact to the bottom line. In the program, Marley first conducts a comprehensive audit of the current cooling system to determine unrealized productivity opportunities and then identifies the appropriate steps to enhance the cooling process. Marley then works with the customer to deliver the right solution based on their individual needs and situation. The solutions may involve several options that include among others: minor changes to the tower, building a new tower, refurbishment, or complete outsourcing of the ownership, operations and maintenance. “The underlying goal is to work with our customers’ engineers, production personnel and finance departments to deliver solutions that meet the entire breadth of our customers’ needs,” said Dendy.

Buy the Water, Not the Tower

The new cold water outsourcing program offers an alternative to tower ownership, whereby Marley owns and maintains the cooling tower, as well as meets the cold-water specifications of its customer by delivering the necessary amount of cold water at a pre-determined temperature. This program ensures that customers gain greater cooling capacity based on their unique requirements, while offering pricing options that include a flat fee or variable rate based on actual usage and economic impact.

“Cold water can significantly impact the performance of cooling towers and profits,” said Dendy. “For customers in need of upgrades and replacement towers, having Marley responsible for supplying the cold water changes the transaction from a capital expense to an operating expense. In addition, the transaction provides direct economic value to the customer and ensures predictable operating and maintenance costs.”