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Home / Case Studies / A “Big-picture” View and ROI Analysis Shows That Spending a Little More Saves a Lot More

A “Big-picture” View and ROI Analysis Shows That Spending a Little More Saves a Lot More

Jim Gamlen

Challenges

Garratt-Callahan was the water treatment chemicals supplier for a Texas-based automotive parts manufacturer when the company opened up bidding on a new cooling tower as part of a major HVAC renovation at its plant. The bidding also included one company that was supplying the plant with processing equipment and services, and another that had done no previous business with the parts manufacturer.

Approach

Instead of competing on price alone with a “low-ball” proposal, Garratt-Callahan technical experts recommended the installation of state-of-the-art controllers for the new cooling tower system. We produced an ROI analysis showing that the new controllers, with their advanced water metering and communications capabilities, would enable the plant to track its water and chemical usage and record improved evaporation rates in the new system. By being able to document this information for the local utility, the plant would qualify for a substantial reduction in its water and sewer charges.

Results

As predicted, reductions in the plant’s utilities bill paid for its investment in the advanced controllers ($7,900) within six months. At nearly $16,000 those savings now go straight to the bottom line. The new controllers give the Engineering Department both a real-time view and a complete database of information on cooling system performance.

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