When considering the purchase of a crane, cutting costs might be appealing at first (especially if you’re working within a tight budget). But in heavy industry, where downtime or other setbacks can cost thousands of dollars an hour, “cheap” equipment may end up being quite costly after all.
Whether you’re outfitting a brand new facility or upgrading older equipment, it always pays to look beyond the initial sticker price. At MMI Hoist Systems, we’ve learned a few things about the real costs of cutting corners. Here are our most valuable insights, along with tips for avoiding the most common pitfalls.
Cheap Crane Equipment Is a Safety Risk
When it comes to cranes, safety should be non-negotiable. But many budget models leave out key features that keep crews safe and jobs running smoothly.
Key Safety Features Missing From Cheap Cranes
- Load monitoring sensors: A lack of load cells and sensors risks overloading, which can lead to dropped loads, structural damage, and accidents.
- Cab safety features: Missing harnesses, slippery flooring, or insufficient monitors can lead to increased operator fatigue and a higher risk of accidents.
- Anti-collision systems: Without this software in place, risk of collision (and worker injury) increases.
- Emergency stop controls: Inaccessible or inadequate controls result in delayed responses in urgent situations, potentially making the accident worse.
- Proper stabilizers/outriggers: Inferior systems may fail, causing a risk of tipping or overturning.
- Durable slings and shackles: Poor-quality components may cause load drops, worker injuries, and/or property damage.
- Warning lights and audio signals: Without adequate warning systems, workers are not able to communicate effectively on the jobsite.
- Professional operator training: If providers do not provide or emphasize comprehensive training, operators may be unprepared, or more likely to commit errors.
- Weather adaptability: Cheaper systems may lack weather-resistant features or monitoring systems, making them even riskier to use in windy or rainy conditions.
- Technological advancements: The latest technology advancements (like VR training simulators and enhanced sensors) help increase safety and reliability.
In an industry where accidents can lead to serious safety concerns, cutting corners can mean the difference between a safe work environment and a risky one.
Other Reasons Why Cheap Crane Equipment Isn’t Always a Bargain
Safety is a major concern when it comes to cheap crane equipment. But it isn’t the only thing to keep in mind.
Here’s a look at other common hidden cost categories associated with cheap cranes, including the impact each category has on operations.
Low-Quality Components
Description: Cheap cranes often use inferior materials for components like gears, cables, and hydraulics
Impact on Operations: Increased downtime, higher maintenance and repair costs
Under-Specification
Description: Companies may try to use a crane for something other than its intended use, in order to save a bit on upfront costs.
Impact on Operations: Increased downtime, safety risks, accelerated wear and tear
Additional Operational Costs
Description: Freight, permits, inspections, and installation all add to the upfront cost of a crane, and cheaper cranes may come with surprise expenses. This is especially true if an existing building will need to be retrofitted to accommodate a “cheap” or used crane.
Impact on Operations: Unexpected financial burdens, project delays
Maintenance and Repairs
Description: Cheap cranes usually require more frequent maintenance, and unexpected repairs can be costly. Plus, sourcing and installing replacement parts can be challenging, especially if the manufacturer is less established or the repairs require specialized skills.
Impact on Operations: Higher operational costs, extended downtime
Depreciation and Obsolescence
Description: Cheap cranes lose their value faster, at up to 10-15% annually. Plus, they lack many modern features that would keep them relevant, and may require costly upgrades in the near future.
Impact on Operations: Reduced resale value, need for future upgrades
Insurance and Storage
Description: Cheaper cranes may have a higher risk profile, making them more expensive to insure. Storage costs can also add significantly to a crane’s price tag.
Impact on Operations: Increased financial strain, logistical challenges
The Real-World Cost of Downtime
Crane failure doesn’t just affect the piece of equipment—it halts production, delays deliveries, and puts safety compliance at risk. Unplanned downtime in industrial settings can, in fact, cost tens of thousands of dollars per hour.
Consider these costs also associated with downtime:
- Rush shipping fees for replacement parts
- Overtime pay to make up for lost production
- Scheduling issues, potentially across multiple teams
- OSHA violations or citations if the issue leads to safety failures
Avoiding the Pitfalls: What Smart Buyers Do Differently
If you need to source a crane for your next project, these best practices can save your budget, your schedule, and your safety record.
1. Assess Your Needs Accurately
Consider your needs for the project, including:
- Lifting capacity
- Terrain
- Environmental conditions
- Frequency of use
Do not settle for a crane that is too small or poorly suited to the job you need it to do. It will wear out faster, and it could be dangerous.
2. Consider the Total Cost of Ownership
Don’t just look at the price tag on the crane. Price the lifecycle of crane ownership, including:
- Maintenance
- Insurance
- Storage
- Operator training
- Expected downtime
3. Choose Reputable Suppliers
Look for well-known names and ask for documentation. Warranties, service history, and inspection records can tell you a lot about what you’re buying.
4. Invest in Operator Training
Optimal crane use requires operator training. Look for cranes that include operator training in the purchase; it will make all the difference in efficiency and safety.
5. Plan for Maintenance
Every crane needs regular care. Determine a schedule for routine inspections and servicing, and calculate your own downtime costs. Keep in mind that high-quality equipment with a solid maintenance plan can easily last 20+ years.
Final Takeaway: Think Long-Term
At MMI Hoist Services, we’ve worked on enough complex projects to know one thing: quality equipment saves money in the long run. It’s about more than avoiding frustrating breakdowns—it’s about protecting your people, meeting deadlines, and doing your work with confidence.
For all these reasons, don’t be swayed by the lowest quote when it comes to weighing your options for crane equipment. Instead, think of the upfront cost as only one aspect of a bigger picture—one that may include more hidden costs than you’re willing to pay. Be smart, do your research, and find the best long-term solution for you and your team.
With decades of experience in the industry, MMI can help you source the right crane for your next project. We’re here to help you lift smarter and safer, always. Contact us today with any questions.