In the last few years, the Machine as a Service model has become increasingly popular in the manufacturing industry, and batch code printer OEMs are following suit. Simply put, Machine as a Service (MaaS) allows companies to lease a machine on a pay-as-you-go basis rather than buying it outright. You can make weekly or monthly payments on the machine based on the number of units you print rather than paying a flat rate, which is what makes MaaS different from a traditional rental service.
The Machine as a Service model provides multiple advantages for both the OEM and production facilities. Let’s dive a little deeper into what MaaS means and the benefits of Machine as a Service for batch code printing.
Even if MaaS is new to you, you’ve likely heard of similar models such as Software as a Service or Infrastructure as a Service. All of these sales models are designed to allow companies to use software, products, and equipment for little or no upfront cost.
With Machine as a Service for batch code printing, you generally pay a small fee for every code you print. The OEM of your batch code printer uses internet-connected monitoring chips and software to track your production volume, maintenance timelines, and operational issues. MaaS not only saves you money on upfront equipment costs but also removes the responsibility for maintenance and repairs from your organization.
The Machine as a Service model benefits both the equipment manufacturer and the production facilities that use them. For the OEM, the pay-as-you-go model provides a regular monthly source of revenue instead of a one-off sale. Additionally, MaaS requires manufacturers to maintain a closer relationship with their clients, opening up an extra channel to upsell services and equipment in the future. For production facilities, using MaaS decreases the amount of upfront capital needed to begin or expand your batch coding operation, plus you receive regular maintenance and repairs for no additional cost.
Let’s look further into the ways Machine as a Service batch code printing benefits production facilities and end-users.
Since Machine as a Service financing is usage-based, organizations need less upfront capital to get their batch code printing operations off the ground. This is crucial for smaller or newer businesses with low revenue, who can’t afford to outright purchase the advanced coding and marking systems required to compete in the market. Traditionally, they would have to either use outdated, unfeasible equipment or finance modern equipment with loans that could take years to pay back. With Machine as a Service, these organizations can implement high-end equipment at affordable, usage-based pricing, allowing them to decrease their overhead costs while staying competitive with larger, more established companies.
One of the challenges with implementing new coding and marking technology is training your staff on how to use, maintain, and repair it. Operator misuse can cause production slowdowns and errors, and it could take weeks or months to track down the issues and retrain your staff.
With Machine as a Service, the OEM uses monitoring software to ensure its machines are running efficiently. Operator errors and inconsistent volume outputs can be spotted quickly and the problems can be corrected before they do too much damage to your production efficiency. In a traditional warranty program, where you’ve either already purchased the machine outright or are paying a fixed rental fee every month, the OEM is incentivized to keep their maintenance and repair visits to a minimum to save money. On the other hand, MaaS ensures you’ll receive all the service and support you need because it’s in the manufacturer’s best interest to keep your machines running as efficiently as possible—remember, the more you’re able to produce, the more the manufacturer gets paid!
Machine as a Service models scale very easily to your company’s production size. Since your payments are usage-based, the amount you pay for your batch code printing systems will increase and decrease along with your business. As you grow and increase your output, your MaaS payments increase as well. In addition, since you’re not purchasing a batch code printer outright, you won’t be stuck with an obsolete model when an upgraded version is released. Many MaaS providers make it easy to switch your contracted printer to a new model (for a higher fee) so you can always take advantage of the best technology and stay competitive on the market.
Machine as a Service is still a fairly new concept in the batch code printing industry, though it has been taking off in other industries such as office equipment and medical device manufacturing.
If you’re interested in converting to Machine as a Service for batch code printing, your best bet is to meet with your current vendors and ask if they offer pay-on-demand, pay-as-you-go, or MaaS programs since most do not publicly advertise this program. Here at C&M Digest, we predict this exciting new service model, which benefits both OEMs and consumers, will soon be taking the coding and marking industry by storm.
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