How Kelling Group Helps You Keep Costs Under Control

Blog-April 11, 2023

Staying on a budget is always a challenge for construction projects. Research shows that nine out of ten construction projects experienced cost overrun, with an average overspend of 28%. But what is more surprising is how predictable the cause of these problems is.

Every project manager knows that the true cost of their equipment is not just the price of hire – it’s the sum of everything it takes to operate it effectively. Vehicles like Mobile Welfare Units and Van Mounted MEWPs are essential for many projects. But what can leaders do to ensure they maximize the value of every unit?

The answer is forecasting

Cost overruns don’t happen because leaders don’t know there will be unexpected costs; they happen because leaders, in some cases, cannot accurately plan for them. There are multiple ways a piece of equipment can lead to unexpected cost increases, which makes it difficult to anticipate the cost. 

This is changing though, as suppliers today can provide far more accurate total cost forecasts – or even offer supply agreements that remove the risk altogether.


Historical data increases accuracy

Welfare Hire is a perfect example of this. Our mobile welfare units and lighting towers run on more sustainable power sources, which dramatically reduces operating costs. But we have also gathered a large volume of data from real projects, together amounting to over half a million operating days, enabling us to build our Eco Calculator.

While every project is unique, the running costs of mobile welfare units and lighting towers are relatively predictable. The ECO Calculator allows you to estimate the savings in running costs you will gain through Welfare Hire with a high degree of accuracy – and finetune your order to fit your budget.

Removing hidden costs

Forecasting is highly valuable, but another way to keep hidden costs under control is to simply remove them. Maintenance accounts for up to 30% of the total cost of most vehicles, which is why Access Hire includes full support and maintenance packages. 

By removing the guesswork around maintenance costs, project managers reduce their risk and enable more accurate budgeting. But this isn’t the only way they can take control of their budgets.

The power of leasing

Access Lease enables leaders to lease their Vehicle Mounted MEWPs for the duration of a project. Not only does this allow them to access best-in-class vehicles at a lower cost – and avoid long manufacturer lead times – it also allows you to spread costs and save as much as 50% compared with loan repayments.

With all of these innovations, keeping strategic equipment costs under control is no longer a question of guesswork – it’s a decision project leaders can make. Whether it’s mobile welfare units or Fully-Electric MEWPs, Kelling Group is ready to support your project in creating visibility, consistency and long-term savings.