Tuesday, April 29, 2008

ETI - Tool Tech





A week in Carefree, AZ.
I recently returned from a few days in Carefree, AZ, where the Equipment & Tool Institute held their ToolTech 2008, a conference that brings together many premier US tool manufacturers with car companies and other interested parties to discuss current and future tool needs for the automotive world. People from Ford, GM, Toyota, Mazda, Honda, ISN, Medco, SPX, Snap-on Tools, and Bosch were there. Also companies like Nupla, JS Steelman, ALLDATA, Cardone, Hennessy, Autoland, and Drew Technologies attended. Overall there were 130 attendees, representing more than 70 companies.

ETI organized a panel of OE representatives to give us their view on upcoming tool trends. Ford, GM, Honda, Mercedes, Suzuki, and Toyota were represented.

Diesel Testing: They all see an increased need for diesel testing tools in the future. 17% of Ford F-series trucks will have diesel engines. GM expects hybrids to account for 10% of their total vehicle portfolio within the next 1-3 years. Honda will expand their small vehicle line over the next couple ofyears. They have launched several diesel engines in Europe, and we should see them in the US within the next 3 years. Mercedes is moving into the hybrid market. Suzuki currently has diesel in other parts of the world, not the U.S. Toyota admits they are a couple of years out from U.S. diesel products. They are currently committed to hybrids - 3 Lexus, 3 Toyota brands. They intend to increase the offering, though there is still a price penalty. Their research in plug-in hybrid technology is on-going.

Scan Tools and Diagnostic - traditional v. non-traditional requirements for scan/diagnostic tools
Suzuki - Anti-theft systems are getting more sophisticated,they feel scan tools will be needed for these systems.
Toyota - virtually every system will be accessible to scan tools, and they foresee as many as 50 scan codes per vehicle, even for something simple like the outside mirrors. The Toyota rep said, "if they can find a way to computerize the makeup mirror, they will."
Mercedes - They are looking for one simplistic tool that does one specific diagnosis very well.
Ford - Sees a lot of systems migrating towards communications systems, with modules and module programming more prevalent.
GM - GM is looking at the mass and fuel economy in new vehicles. They are investigating lighter materials to create less dense vehicles. This will have an impact on fuel economy, but also on noise reduction and road harshness. With hybrids, they continue to see the heat from Li-Ion batteries generating the biggest challenges.You can expect a need for future serviceability of high heat areas or battery cooling systems. Also see a need for diagnostic tools for the back-up sensing technology.

Finally - on the dealership level - many see a need for tool inventory and tool storage controls. There is a need to make the tools more accessible during the work day, so work can be done efficiently. But they still recognize that many tools come up missing during the course of a year.

Over the 3 day event, I spoke with quite a variety of people, including car company representatives, tool company representatives, tool & equipment distributors, and Dan Brass (see photo above. That's him in the blue shirt). While many commented on the general malaise of the economy, most reported they are having a good year. People are reaching out, looking for new markets, and they are finding them. It's encouraging to hear this, because I think the more people hear how bad business is, the more they are going to agree. Instead, I think we should focus on the positive things that are happening in our industry.

Many tool companies are in the final stages of bringing new products to market. Some plan to launch them at the ISN show in June, others are launching them through the mobile distributors, over the next few months. No matter how they're getting to market, its's encouraging to see the continued efforts to grow their businesses.

New products continue to drive a lot of our sales efforts. Reach out to your manufacturer/supplier/distributor and find out what's new and different. There's probably more than you realize.

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