Sometimes Less Can is More!

Just after the Great Recession, Caterpillar decided to exit the truck engine manufacturing business in 2010. CAT had struggled to make a good Tier 4 product. Many thought CAT would buy another manufacturer. Some CAT dealers bought truck dealerships, and others started working on all trucks. Dealers asked me why CAT would exit the truck market. My answer, CAT is looking long term at service technicians will always be in short supply. The construction business will expand over time and need more technicians. Some CAT dealers have large lift truck dealerships, crane divisions, ag divisions—all need technicians.

Now in 2025, I know of two CAT dealers that have left the truck service business. The dealers are now using the truck facilities and service technicians to repair construction machinery. CAT was right the industry got much bigger from 2010 to 2025. US small equipment wentfrom 55k units in 2010 to over 150k today. Larger equipment went from 22k in 2010—yes that looks low and bad, and it was not a good time in the industry….to 65k+ units today. Technicians continue to be in short supply.

I have been in the construction machinery consulting business for 31 years. Dealers have asked me to track various types of data over the years. January 2025, I stopped putting 9 types of data into my forecasting Power Points. October has been a remarkably busy month; all of clients have been updated at least twice in 2025. No one has noticed the missing data. I wanted my clients to focus more on housing, nonresidential construction, and road work activity in their territory. General US economy, I still think National Retail Sales, Unadjusted is the best indicator (consumer spending).

Dick, my late father, would ask—why are you not going fishing to these 4 lakes that are less than an hour from where we live. My answer, Dad I only have so much time to fish so 2 lakes worked out well for me. I know the lakes; they produce plenty of fish catching for me. Hobbies are fun and take time but can get frustrating it you try to do too many.

I know many of you are thinking—oh this is new generation thinking going from a two-hourmovie in a theater into a ten minute You Tube video. This is not my point—I want everyone to use their time more efficiently, so they have time to do both. Yes, this blog could have been much longer….but I wanted to be more efficient.

LWS NOTE: We have long talked about the difference between Efficiency and Effectiveness. Andy points out Efficiency which is doing things well. It is his fishing example. That is particularly important, we agree.

But look more carefully at this blog please. He is also being more effective in his reporting. That is doing the right thing.