Toro announces new underground construction business strategy
New strategy will best serve customers, leverage world-class channel partners and position company for future growth
The Toro Company is realigning the organizational structure for its underground construction businesses to better serve customers, maximize synergies and streamline costs. The company intends to combine certain aspects of the Ditch Witch, American Augers and Trencor businesses, all of which were part of the Charles Machine Works acquisition announced earlier this year. This realignment supports a streamlined approach to the marketing, sales and service functions of those businesses to more effectively support end customer needs.
"We continue to be very excited about the expertise, knowledge and understanding of the underground business that the Charles Machine Works companies bring to our organization," said Rick Rodier, group vice president, construction businesses at The Toro Company. "Throughout the ongoing integration process, we continue to be impressed by their market-leading position, strong product portfolio and best-in-class channel. It is these factors that have influenced our decision to concentrate on the Charles Machine Works' product portfolio and brands in the underground product category going forward."
In a related strategic move, the company has decided to wind down its Toro-branded large horizontal directional drill and riding trencher categories. With the addition of the Charles Machine Works companies to The Toro Company family of brands, there are many opportunities to leverage their strength in the underground market, while maximizing efficiencies and cost benefits. These actions are very much aligned with the broader integration plan and will allow the company to rationalize its product offering in the underground construction market quickly and efficiently. The Toro brand will continue to serve the growing rental and specialty construction markets with industry-leading Dingo compact utility loaders, concrete and masonry mixers, compaction equipment, and tree and specialty turf products.
Since closing on the acquisition, integration and the resulting synergies are progressing as planned. These strategic initiatives have been put in place to generate even greater efficiencies, while enabling the company to allocate resources to both the Toro and Charles Machine Works brands effectively. The moves also align with the company's commitment to accelerating profitable growth, while extending its legacy of excellence.
More from Industry News
The all-new CASE TR340B compact track loader — operating at 90 horsepower with a 3,400-pound rated operating capacity — is the most powerful radial-lift CTL in the CASE lineup. Its all-new 8-inch LCD display improves on industry-leading CASE visibility with a new backup camera that is viewable in both forward and reverse operation. The display also showcases critical operating information and "trip" details. All-new electro-hydraulic controls, managed through the display, make it easier than ever for operators to dial CASE CTLs into specific application demands. All new cab controls and joysticks make the new TR340B easy to own and operate.
Industries such as construction, mining, energy, utilities and forestry, face many challenges when it comes to tracking assets and employees. Equipment often has to be transferred between locations, or monitored while it is dormant during off seasons. Lone workers may have to travel long distances or visit multiple sites during the course of their activities. And, all of this is further complicated today with shifting supply chains and economic realities putting further strain on the bottom line.