Piping fresh concrete: how pumping can take ready-mix produces to the next level.

Instinct tells most ready-mix producers that adding to a fleet can add to the potential for more headaches. It usually means more variables to watch, more debt to absorb, more people to pay, and at worst case, more trouble than it's worth.

Producers are rightfully wary of change--especially

An analysis of the below ready-mix producers veteran in pumping services show that owning a concrete pump can provide more benefits to an operation than simply adding to profits. Sure there can be headaches involved with owning a pump, but done right, the advantages can far outweigh the negatives.

Cape Cod Ready Mix

Cape Cod Ready Mix, a ready-mix producer consisting of 3 transit mix plants serving the 30-mile long Cape Cod, Mass., peninsula and a fourth recently installed plant in southeastern Massachusetts, moved into pumping services in the early 1970s. The company purchased its first pump for its concrete construction division, which it disbanded several years ago. Market conditions, however, compelled tile company to continue pumping concrete.

The producer, which has two competitors on the peninsula, retained a concrete pump mainly because there was only one other concrete pumping contractor on Cape Cod.

"The pumping service is a profit center, but not a huge revenue center," said Peter Joy, general manager of Cape Cod Ready Mix. "We own a pump more for customer service."

A strong residential construction market on Cape Cod enhances the value of owning a pump. Land is a scarce commodity on the peninsula, so building often takes place in tight, difficult-to-reach areas.

With land getting scarcer, and placements getting more challenging, Cape Cod is pumping more than ever. Contractors are--more than ever--willing to pay for the reduced placement times afforded by using a pump.

"In this area, I see pumping as more a wave of the future," said Joy, "but not in volume pours, more so in difficult placement pours."

One of the biggest benefits of owning a pump for Cape Cod is the ability to turn around trucks faster on difficult pours. Booms reach over tough terrain also enables the ready-mix trucks to stay on pavement, which reduces wear and tear on the company's fleet of 28 front-discharge ready-mix trucks.

"Customers like the 'one-stop shopping' aspect too," said Joy. "With one phone call, they can schedule pumping and concrete delivery."

Cape cod runs a 32-meter pump, which is big enough to handle all residential pours, yet compact enough to maneuver down narrow streets and to set up in tight locations.

While equipment dependability is a key for success for all ready-mix producers, the stakes of dependability are raised even higher for Cape Cod Ready Mix given the environmentally sensitive character of customers, especially in prestigious neighborhoods. Oil leaks or hydraulic leaks can exasperate customers not only from an efficiency standpoint, but also from a standpoint of polluting the environment. Anti-growth sentiments run strong on Cape Cod, so running anything less than a squeaky-clean outfit can mean dire long-term effects on business.

"We are very conscious of our product and our customer relationship," said Joy.

It has compelled Cape Cod to keep its fleet relatively new, and adopt a stringent preventive maintenance program. The oldest ready-mix trucks in the Cape Cod fleet are 1994 models. Likewise, when the company decided to stay in the pumping business, they invested in a new concrete pump. Taking a chance on the reliability of secondhand equipment had not paid off for the company in the past.

"We've been through the secondhand route many times, but given our focus on dependability we felt buying a new pump was well worth the investment. We have a reliable piece of equipment that is going to be out there every day," said Joy.

Preventative maintenance on the pump consists of fine-tuning after every job. Service includes rotating pipes to even wear, and pressure washing to detect chafing on the lines. Clean, well-maintained equipment is the company "billboard" as well as the only route to longevity in a sensitive marketplace.

Scheduling is another benefit of owning a pump, according to Joy. Customers typically schedule a project around pump availability, not around concrete availability, as pump availability is a lot scarcer than ready-mix truck availability. Owning a pump lessens the times that scheduling is thrown into disarray by last-minute changes in pumping times by outside contractors.

Cape Cod does not pump all its jobs, and it keeps a goodwill relationship with other pumping outfits in the area, providing back-up if another contractor's pump breaks down. Likewise, the other pumping outfits return the favor.

It is important "to keep the pump moving" for the equipment to earn its keep. Cape Cod will pump competitors' concrete, and no job is too small. In fact, the pump cost stays fairly constant whether the pump does a large or small job. Extra cost will only come in if the pump is held up for an uncommonly long time. In this market climate, doing smaller jobs actually becomes more desirable. Small jobs often come in the form of contractors who do not realize they need a pump for a difficult placement until they are ready to place the concrete. The pump becomes another solution offered by Cape Cod to serve its customers.

Cape Cod typically can service 2-3 pumping jobs a day, depending on the size of the projects. Set-up takes about 20 minutes and breakdown and clean-up takes roughly an hour, according to Joy. Clean-up may take longer in situations where the company can't dump its hopper on-site. For an additional fee, Cape Cod will empty the hopper at one of its ready-mix plant sites.

Working with typically larger foundation contractors, Cape Cod can work the pump efficiently for the benefit of all. A pump can free most of a foundation crew to start another job while the pump places the first job.

Joy says all Cape Cod mixes can be pumped, from grout to 1 1/2 inch aggregate mixes. The company also uses a pumpable flowable fill mix.

For Cape Cod Ready Mix, according to Joy, "pumping concrete is a dollar well spent."

With more than 30 years pumping experience, Cape Cod is ready to lead the way, and keep ahead of the competitive curve.

Croell Redi-Mix

The Wisconsin operations of Iowa-based Croell Redi-Mix provide a case study how of a larger producer integrated pumping services into its operations. Based in Lacrosse, Croell's Wisconsin operations consist of nine transit mix plants in the state, with six covering a 50-mile radius in the Lacrosse market. Croell operates 32- and 39-meter pumps in this market to handle mostly metropolitan and residential (70%) and some agricultural work (30%).

"Commercial jobs are more lucrative from a pumping standpoint," said Keith Barghahn, general manager of the Croell Redi-Mix Wisconsin operations. "But, from a ready-mix standpoint, pumps come in handy for jobs that are hard to place. They are smaller jobs, but using a pump turns ready-mix trucks around faster and enable less wear and tear on the machines."

For agricultural work, pumps are able to quickly place large amounts of concrete, required of many jobs.

Croell's decision to move into pumping services in the Lacrosse market parallels the strategy of Cape Cod Ready Mix. There was only one small pumping contractor in the market.

"We found it more efficient, especially on basement walls and bigger jobs to pump the concrete rather than try to place it with trucks, it has been a good fit for us," said Barghahn.

Croell first moved into the pumping business with a single 32-meter unit, which the operation found--as did Cape Cod Ready Mix--to be a good size to handle residential work. Where Croell's situation differs from Cape Cod is the reaction of its competitors.

"What we didn't expect is that our competitors followed us and added pumping trucks to their fleets. It has kept prices down for residential work," said Barghahn.

Since Croell moved into pumping, two of its competitors bought pumps and a second pumping contractor also entered the market. In short order, the area moved from a one-pump market to a seven-pump market. Pumping has now become almost an expected service for ready-mix producers in the area.

Being first does have its advantages. For one, customers tend to view Croell as a market leader. Also, Croell is the only producer with a second, larger pump more capable of handling commercial jobs.

One of the most unique jobs Croell benefited from owning its own pumping trucks was in remediation of pilings for a bridge on the Mississippi River.

"The contractor needed to place concrete on the main channel of the river, so we put on pump on a barge and the second pump on shore. We moved concrete from one pump to the other to reach the placement," said Barghahn.

Barghahn cites scheduling as a big advantage to owning pumping units. Typically, customers book the pumps two to 3 days in advance, which affords the operation the luxury of planning ahead for larger pours. Demand for pumping services in the area, even with the influx of concrete pumping competitors, accounts for the scheduling pattern. Croell can handle about 3 pumping jobs per day. Customer demand for pumping units pushes the availability of Croell's pumps to the second or third day. Barghahn adds that scheduling is aided also by the faster truck turnaround times afforded by using pumps.

Despite competition driving down pumping prices in the area, Barghahn still sees pumping as a good addition to the Wisconsin division, especially in terms of allowing better utilization of readymix truck fleet. "There is definitely a market for pumps, and in the right area money can be made at it too," said Barghahn.

In regard to other Croell divisions, the company has added pumping units as the markets dictate. Croell doesn't operate any pumping units in Wisconsin, where most of the company's plants are located. Contract pumping services are well-established around Cedar Rapids, and northeast Iowa. Conversely, in Rapid City, where it just recently entered the market with a single plant, the company acquired a 32-meter pump. In this market, pumps owned by ready-mix producers are the norm.

"It is almost a requirement if we want to offer the same level of service as our competitors," said Barghahn.

Take Advantage of ACPA Guidance

A great way to ease the path toward starting or maintaining a healthy pumping service is to take advantage of the guidance offered by the American Concrete Pumping Association. ACPA provides a library of educational material to help companies run reliable, efficient, and safe concrete pumping operations. Due out within a year will be a publication focusing on safety issues between the ready-mix concrete truck and the concrete pump. ACPA also offers safety material provided by concrete pump manufacturers.

According to Mike Cusack, vice president of operations for Conco Pumping, Concord, Calif., and president of ACPA, safety training is an ongoing priority for the association.

A must-read for any employee working with or on a pumping crew is ACPA's publication Safety Manual--Co-Worker Safety Rules for Laborers, Oilers, and the Placing Crew. The most essential guidelines for safe operation of a pump and for safe ready-mix truck interaction are spelled out in this training guide. Items such as rules for handling the placement pipe and pumping up, down, and around power lines and on different ground conditions are indispensable information for both the pump contractor and the ready-mix producer. Handy also is the standardized hand signals developed by ACPA for communicating with a pump operator.

To view all ACPA training offerings and to order any products online, visit www.concretepumpers.com.

--Bill Welgoss is a freelance writer based in Frederick, Md. He has more than 10 years experience covering the aggregates and construction materials supply industries.