Building a Scalable Transformer Services Business – Critical Elements of Success

In the article, the authors Hassan Zaheer and Chris Gerber highlight the critical elements required to build a scalable and high-performing transformer services business, especially amid growing supply chain constraints and rising transformer demand. Drawing on their extensive industry experience, they explore how refurbishment and lifecycle extension strategies are becoming essential for utilities that face long lead times and high costs associated with new transformer units.The article explains the conditions under which refurbishment becomes a viable alternative—typically when costs fall between 60% to 75% of a new unit and lead times are significantly shorter. The authors walk through the typical refurbishment process and emphasize that both OEMs and independent service providers can thrive in this space if they build strong technical, operational, and commercial foundations.

Key elements of a successful service organization include having a skilled, engineering-driven technical team capable of on-site and off-site diagnostics and repairs, and access to the right equipment and tools, from oil filtration systems to high-voltage test equipment. Operational management plays a vital role in project delivery, requiring tight coordination, milestone tracking, and strong communication with clients. Importantly, the article stresses that marketing and sales for service businesses must focus on showcasing team experience and field capabilities rather than branding products alone. With demand for transformer refurbishment on the rise, Hassan and Chris conclude that organizations that align their technical expertise, operations, and customer relationships can position themselves for sustained growth in a rapidly evolving power landscape.

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