See more of our State of the Industry 2016 coverage.Pumps & Systems staff spoke with Walt Erndt, vice president and general manager of municipal markets at Crane Pumps and Systems, about the current state of the industry and what we should watch for in the coming year.
Q. What trends do you expect to see facing the industry for 2016?
A. Innovations are enabling facilities to be more energy efficient and recover resources that were used to manage water and wastewater. Buy increasing their facility’s capacity municipalities can bring on new customers. Increased capacity is becoming more critical as the population grows and people want the convenience of municipal utilities verses septic tanks and onsite wells. The use of force main technology continues to increase annually as a means to transport wastewater and in many cases is being used to replace aging gravity sewer technology. Utilities are learning that force main technology is much more efficient than traditional gravity sewers. Since the piping systems are sealed, force mains offer freedom from infiltration/inflow. With no secondary leakage, treatment gets simpler, the system demands less energy and money, and it is easier to predict and use what is entering the treatment facility. A wastewater treatment plant can be built with smaller capacity since the treatment process will not be upset by storm related infiltration/inflow. A gravity-based system requires manholes to be placed at every pipe-turn. These become potential entry points for infiltration and inflow. That means more maintenance and treatment plants are left to process larger flow volumes that are more complex and less predictable.
Q. What do you foresee as challenges facing the industry for 2016?
A. The major challenge in the water and wastewater industry is the lack of proper infrastructure. Our aging infrastructure causes leaks, which in turn affects the distribution and supply of water. Leaks in our city water systems as well as the city’s population growth will continue to put a strain on our utilities. The city of Atlanta loses over 31 percent of their water supply due to leaks in their aging system. Conservation of water usage at the consumer level is a restricting factor to budgets as our current rate structures are based on usage. This reduction of billing revenue delays proactive water system repairs and continues the trend of aging infrastructure. Water and wastewater utilities are also faced with capacity constraints to store adequate amounts of drinking water and combined sewer during rain events. Building new infrastructure or upgrading the existing infrastructure will reduce the negative impact of this challenge, but government funding will be needed to assist the local municipality.
Q. What are some ways that businesses will be able to thrive during 2016?
A. End customer support is critical to the success of a thriving company. Because most manufacturers in this industry work through channel partners to reach end customers it is important that you keep this relationship healthy. To thrive selling through channel partners you must have a product that works and is differentiated. Channel partners won't risk their reputation on a product that is full of bugs or doesn't do what it is supposed to. Your partners build businesses on their reputation as their customer’s trusted advisor. This customer trust must be established for product selection, implementation, and support. Manufacturers that thrive in this industry ensure that their channel partners are trained to position their products and their value properly with their end customers. Good businesses will provide partners with an easy way to get up-to-date product information and making sure they are effectively trained. E-learning and Front End Web Tools help with this training requirement.