McHugh playing his part

McHugh Components, formerly known as McHugh & Kramp, was established in 1973 by Graham McHugh’s father Seamus. Graham is joint managing director with his two brothers David and Derek. Graham is responsible for the sales and marketing operations, David looks after purchasing and logistics, and Derek is the financial director.

McHugh Components is synonymous with the parts industry for the last 44 years. In the 42,000ft² of warehouses, more than 40,000 different product line parts are in stock. Graham said: “We deal with a number of suppliers across Europe, mostly in Germany and Italy. They can have a part to us in 24 hours if required. Improvements in logistics and communication have been one of the biggest innovations in this business.”

In Ireland, McHugh Components deals with 850 dealer customers and 200 OEMs supplying machine components and hydraulic valve assemblies. At present, there are 52 full-time staff working for the business: Graham said: “We have 15 staff with over 30 years service, 25 with over 20 years of service, and the rest have been with us for 10-15 years. We try to give people a good working environment for a fair wage.”

Six staff members are on the road regionally every day building up relationships with customers and searching for new business opportunities. Not a believer in CRM management systems, Graham said if he can’t trust them to do the job they are no good to him. Most of the orders are submitted online, with a small proportion coming direct from the customer calls. It is easy to identify a problem if the orders stop coming in, commented Graham.

Changing times

Having joined the business way back in 1986, Graham has seen it all in terms of the evolvement of the agricultural machinery trade. He said: “The machines have got bigger and more complicated, and the dealers are moving in that direction. The story now is no different from the conversations had 30 years ago by my father and the industry back then”.

The decision to buy Kramp out of the business in 2008 was largely based on the move to a centralised structure by the parts giant Kramp in Europe. Graham said the only way to keep it Irish-run and protect staff, was for them to go it alone.

The name changed in 2010 to McHugh Components. At the moment both companies have a great relationship trading across a range of parts and companies. The parts on the shelf now are very different to those carried in stock 20 years ago. The consumables have stayed pretty much similar, and the big movement is towards electro-hydraulics. Hydraulic supplies, repairs and assembly of valves and switch boxes are a huge part of the business for the company. McHugh Components assembles hydraulic electro-valve chests for most of the OEM business in Ireland. Even the most simple machines have electronic switch control valves now. A massive market segment for them also is slurry parts from seals, to hosing, pumps and fittings. Electronics are also growing in the tractor parts portfolio although there is no intention yet to carry ECU or common-rail pump components.

FTMTA presidency

Graham will succeed Donal Fitzpatrick as FTMTA president next year, and he believes it is important to keep building on the work of previous presidents. A seamless transition to follow on the communication and education initiatives set out by Donal and Connor Breen before him, says Graham. Graham has outlined two areas that he will focus on. His first goal is to increase the membership numbers of the FTMTA. Graham is convinced that the organisation would benefit hugely from fresh ideas and new members.

He said: “The machinery trade is largely family-based and generational, with the business handed on to the next generation when the time comes.” He said this means getting an outside perspective is difficult, and that fresh ideas from all members could benefit the machinery dealers in the country.

The second goal, which was started by the current president, is to improve communication across all facets of the FTMTA. We really have to listen to our members, added Graham, and support their needs as much as possible.

“We also need to educate all stakeholders in the industry to develop a better understanding of the demands on a modern agricultural machinery dealer,” said Graham. “The machinery industry, like most others out there, is difficult and challenging at times. One of its main strengths is the resilience of the people and businesses involved and the strength of our manufacturing.”

Irish manufacturing

There is a strong case to be made that the Irish manufacturers are fast becoming the envy of Europe. They have developed a fantastic reputation for strong, well-made technical machines. Graham said: “They have achieved this by actually listening to what the farmer needs in a machine, and building them to last. In many ways we have surpassed a lot of UK manufacturers. Better than most, we know what they build as we supply most of them with components for hydraulics and electrics and much more besides.”

Graham also believes that this is another example of the trade working closely with the end user to deliver better results for all. Another good example of communication says Graham.

After five years on FTMTA council, Graham has assumed the honorary role of president. He joined the FTMTA during Gary Daly’s presidency of the association. Graham said: “I was one of the people who sat on the outside and complained that more could be done. That is the easiest thing in the world to do, so I decided to put my efforts to better use on council.”

He also added that he will be looking to be more proactive in supporting the industry in Northern Ireland. They can have a very beneficial input to the FTMTA, according to Graham. The machinery industry is a small but vital cog in the big wheel of agriculture and Ireland’s economy. Graham has a good understanding of the bigger picture; efficient farmers need efficient reliable dealers with good machines.