Optimizing Maintenance: The Power of Metrics and KPIs
Optimizing Maintenance: The Power of Metrics and KPIs
Jeff Roscher, Co-Founder and President of eWorkOrders
Posted 4/9/2024
Introduction
Maintenance metrics stand as the cornerstone for organizations, offering a crucial means to evaluate the effectiveness of their maintenance processes and attain operational targets. Through systematic monitoring and analysis of these key metrics, companies can enhance equipment reliability, diminish downtime, and foster an environment of continuous improvement.
This article embarks on a thorough exploration, highlighting the profound significance of maintenance metrics and their pervasive influence on maintenance management. Unveiling the top 10 maintenance metrics as guiding principles, organizations can strategically prioritize to optimize their maintenance operations. By adapting these metrics, organizations gain valuable insights, pinpoint areas for enhancement, and make well-informed decisions concerning their maintenance strategies and resource allocation.
The Importance of Maintenance Metrics
Maintenance metrics and Key Performance Indicators (KPIs) emerge as indispensable instruments, providing unique insights into the effectiveness of maintenance processes. Their crucial role in upholding the excellence of organizational maintenance sets them apart as essential guides toward operational goals. Through meticulous tracking, these metrics reveal distinctive insights that drive continual improvement, strengthen equipment reliability, and elevate the overall performance of maintenance operations.
Encompassing dimensions such as machine failures, repair times, and costs, these metrics align seamlessly with company objectives, offering a nuanced and thorough evaluation. Organizations leverage them to scrutinize management performance, identify specific areas for enhancement, and guide decisions related to resource allocation and maintenance strategies.
Adopting a structured approach to tracking maintenance performance empowers organizations uniquely, leading to reduced downtime, heightened efficiency, and judicious decision-making. This unique perspective is vital for optimizing maintenance operations, ensuring the lasting reliability of assets, and achieving sustained peak performance.
Essential Maintenance Metrics and KPIs for Optimal Performance
1. Mean Time Between Failures
MTBF, a cornerstone metric, gauges the average time between consecutive failures of a system or component.
MTBF is calculated by dividing the total operating time by the number of failures that occurred during that time
MTBF is commonly used in the maintenance and reliability industries to predict and improve the reliability of systems and components.
2. Mean Time to Repair (MTTR)
A pivotal metric, MTTR measures the average time required to restore a failed system or component.
To calculate MTTR, the total time it takes to resolve a maintenance issue is divided by the number of reported issues during a specific period. The resulting figure gives the average time taken to resolve each issue.
A lower MTTR indicates that maintenance teams are responding to and resolving issues more efficiently, which helps to minimize equipment downtime and improve overall maintenance performance.
3. Overall Equipment Effectiveness (OEE)
Providing a holistic view, OEE measures equipment utilization by assessing availability, performance, and quality.
Availability is assessed by determining the percentage of time the equipment is accessible for production.
Performance is measured by evaluating the speed at which the equipment operates in comparison to its maximum capacity.
Quality is determined by examining the percentage of products that meet established quality standards.
OEE measurement helps manufacturers identify specific areas within the production process that requires some enhancement, fostering increased efficiency, reduced downtime, and heightened product quality.
4. Planned Maintenance Percentage
Evaluating proactive measures, this metric signifies the percentage of planned maintenance activities.
Planned Maintenance is determined by comparing the number of scheduled maintenance activities completed to the overall number of maintenance activities.
It provides insights into the effectiveness of planned maintenance activities and helps in optimizing maintenance strategies to improve overall equipment reliability and reduce downtime.
5. Emergency Maintenance Percentage
Assessing the urgency factor, this metric reveals the proportion of maintenance activities conducted on an emergency basis. High emergency maintenance percentages may indicate issues with maintenance planning and asset reliability.
This metric is calculated by dividing the number of emergency maintenance activities by the total number of maintenance activities.
By measuring this metric, organizations can identify potential issues with maintenance planning and asset reliability, allowing them to optimize maintenance strategies and reduce the need for emergency maintenance, ultimately leading to improved operational efficiency and reduced downtime.
6. Asset Utilization
Measuring equipment usage to its full potential, this metric identifies underutilized assets and optimizes resource allocation, contributing to improved efficiency.
Asset utilization is determined by dividing the actual asset usage time by the total available asset time, offering valuable insights into the efficiency of a machine, line, process, cell, or factory.
This metric plays a crucial role in pinpointing underutilized assets and optimizing resource allocation, thereby contributing significantly to improved overall efficiency.
7. Inventory Turnover
This metric evaluates the speed at which maintenance parts and supplies are used and replenished. Essential for inventory optimization, it aids in reducing carrying costs.
Inventory turnover is computed by dividing the total maintenance parts and supplies used by the total inventory value.
It is essential for inventory optimization and aids in reducing carrying costs by providing insights into the efficiency of inventory management.
8. Work Order Backlog
Work Order Backlog is a metric that is valuable for indicating pending maintenance tasks and is critical for workload assessment, resource planning, and prioritization in the maintenance department.
The work order backlog is determined by subtracting the number of completed work orders from the total number of work orders.
This metric provides valuable insights into the current workload and helps in identifying areas that require attention and resource allocation.
9. Scheduled Compliance
Highlighting the adherence to planned maintenance tasks, this metric measures the percentage of tasks completed on time, offering insights into maintenance planning and execution effectiveness.
Scheduled compliance is calculated by dividing the number of scheduled maintenance tasks completed on time by the total number of scheduled maintenance tasks.
It offers insights into the effectiveness of scheduled maintenance tasks and the overall productivity of the maintenance processes.
Low schedule compliance can indicate missed tasks, delayed maintenance, or a reactive maintenance approach, while high schedule compliance reflects an optimized and proactive maintenance program.
10. Maintenance Cost per Unit of Production
Assessing cost-effectiveness, this metric measures total maintenance costs incurred per unit of production. It identifies opportunities for cost reduction, contributing to efficient maintenance operations.
This metric is determined by dividing the total maintenance costs incurred by the total units of production.
The Maintenance Cost per Unit of Production metric adds value by assessing cost-effectiveness and identifying opportunities for cost reduction, ultimately contributing to efficient maintenance operations.
Efficient Maintenance Metrics
Managing maintenance metrics and Key Performance Indicators (KPIs) can pose a challenge, but having Computerized Maintenance Management Systems (CMMS) software makes the job a whole lot easier and more efficient. This software offers organizations a range of tools and features to not only measure but also analyze and optimize their maintenance processes effectively. It’s a powerful tool that simplifies the task of tracking and monitoring, making the entire process more efficient. CMMS provides the ability for users to set measurable baselines and also reveals opportunities for enhancement, leading to decreased downtime, increased efficiency, and informed decision-making.
CMMS optimizes the tracking of key performance indicators (KPIs), addressing critical factors like machine failures, repair times, maintenance backlogs, and costs. Offering a comprehensive perspective on maintenance performance, CMMS empowers maintenance and facilities managers to make informed decisions and meticulously fine-tune organizational maintenance planning with precision.
Leveraging a CMMS unleashes the complete potential of a facility, offering invaluable insights into maintenance operations that fuel ongoing enhancement, fortify equipment reliability, and uplift the overall performance of maintenance activities. Through the implementation of a systematic approach to monitoring maintenance performance via a CMMS, organizations gain the ability to discern trends, identify areas of inefficiency, and make informed decisions rooted in data.
Investing in a CMMS is essential for optimizing maintenance operations, ensuring the lasting reliability of assets, and achieving sustained peak performance. It equips organizations with a comprehensive toolkit for refining maintenance efficiency, contributing significantly to the overall success of their facilities.
Final Thoughts
Navigating the landscape of operational excellence, maintenance metrics stand as an important guide for organizations dedicated to optimizing performance. Through a meticulous exploration, companies can elevate their maintenance processes, fostering increased equipment reliability, minimized downtime, and a culture of perpetual improvement. The top 10 maintenance metrics serve as indispensable principles, strategically prioritizing and enhancing operations.
The undeniable significance of maintenance metrics and Key Performance Indicators (KPIs) unfolds as a compass, providing unparalleled insights into process effectiveness. These metrics become essential allies on the journey toward operational goals, enabling organizations to scrutinize management performance, identify areas for enhancement, and make informed decisions about resource allocation and maintenance strategies.
Adopting a well-organized strategy for overseeing maintenance performance becomes a catalyst for organizational empowerment. This structured approach contributes to the tangible advantages of reduced downtime, elevated efficiency, and strategic decision-making—an indispensable combination for refining operations, upholding asset reliability, and attaining a sustained pinnacle of performance.
Jeff Roscher
Jeff Roscher is the Co-Founder and President of eWorkOrders, a leading provider of Computerized Maintenance Management System (CMMS) and Enterprise Asset Management (EAM) software. With his extensive technological expertise and sharp insights, Jeff has established himself as an innovator in the field, creating customized and cost-effective solutions for companies of all sizes. Under his leadership, eWorkOrders has become an industry leader in CMMS and EAM software.
To learn more about eWorkOrders and their software solutions, visit their website at https://www.eWorkOrders.com
Reactive maintenance is here defined as all maintenance work that was scheduled less than 20 hours before it was executed. It makes sense that there is a strong correlation between safety incidents, injuries and reactive maintenance. In a reactive situation you might not take the time you should to plan and think before you take action. The urgency also call out the so common hero in maintenance crafts people and they take risks they should not take.
Reactive maintenance is here defined as all maintenance work that was scheduled less than 20 hours before it was executed. It makes sense that there is a strong correlation between safety incidents, injuries and reactive maintenance. In a reactive situation you might not take the time you should to plan and think before you take action. The urgency also call out the so common hero in maintenance crafts people and they take risks they should not take.
The concept of Best Practice is easy to describe and discuss – the more difficult part is determining your path towards reliability and maintenance Best Practice and more importantly, sustaining standards and developing a continuous improvement culture.
The concept of Best Practice is easy to describe and discuss – the more difficult part is determining your path towards reliability and maintenance Best Practice and more importantly, sustaining standards and developing a continuous improvement culture.
Christer Idhammar of IDCON INC presents the implementation steps you need to take if you want to be successful in improving reliability and maintenance, sustain that improvement, and continue to improve after that.
Christer Idhammar of IDCON INC presents the implementation steps you need to take if you want to be successful in improving reliability and maintenance, sustain that improvement, and continue to improve after that.
“Maintenance is a thankless job”, this is repeated by us every time and also sometimes, use it as a tool to be with the maintenance person. Many a times it's true. We don’t appreciate their efforts as we cannot get their direct results like the sales showing their numbers, production showing their targets achieved and crossed. The maintenance data is also recorded, tracked, presented and analysed, but it is viewed and understood only whenever the production or sales targets are missed due to some failure of the machine. In other words, we try to understand the maintenance data with negative approach and to understand its impact on the business loss.
“Maintenance is a thankless job”, this is repeated by us every time and also sometimes, use it as a tool to be with the maintenance person. Many a times it's true. We don’t appreciate their efforts as we cannot get their direct results like the sales showing their numbers, production showing their targets achieved and crossed. The maintenance data is also recorded, tracked, presented and analysed, but it is viewed and understood only whenever the production or sales targets are missed due to some failure of the machine. In other words, we try to understand the maintenance data with negative approach and to understand its impact on the business loss.
In most businesses, success is easily measured by looking at the bottom line; but what’s the bottom line in the maintenance business? To better understand how to evaluate maintenance business performance, it’s helpful to examine how businesses generate profits. Quite simply, businesses generate profits by providing goods and/or services at minimum cost and sold at a fair market price. Obviously, revenues generated from sales must exceed the costs. It is important to note that the customer determines the fair market price.
In most businesses, success is easily measured by looking at the bottom line; but what’s the bottom line in the maintenance business? To better understand how to evaluate maintenance business performance, it’s helpful to examine how businesses generate profits. Quite simply, businesses generate profits by providing goods and/or services at minimum cost and sold at a fair market price. Obviously, revenues generated from sales must exceed the costs. It is important to note that the customer determines the fair market price.
Regardless of the nature of the manufacturing process you maintain, the subject of your maintenance budget has doubtless come up in recent days—probably over and over. That's because most organizations still view the maintenance department as a cost center, and when it's difficult to locate the bottom line, senior managers have a tendency to look behind the maintenance budget to find it.
Regardless of the nature of the manufacturing process you maintain, the subject of your maintenance budget has doubtless come up in recent days—probably over and over. That's because most organizations still view the maintenance department as a cost center, and when it's difficult to locate the bottom line, senior managers have a tendency to look behind the maintenance budget to find it.
Whether your company is large or small, whether you're hiring an entry-level employee or a top executive, any one of the following mistakes can result in a hiring disaster for your organization. Recent Kennedy Information audio conference speaker Lori Davila and her co-author Louise Kursmark offer 10 key points for reviewing your organization's hiring procedures and making adjustments where needed.
Whether your company is large or small, whether you're hiring an entry-level employee or a top executive, any one of the following mistakes can result in a hiring disaster for your organization. Recent Kennedy Information audio conference speaker Lori Davila and her co-author Louise Kursmark offer 10 key points for reviewing your organization's hiring procedures and making adjustments where needed.
Many smaller companies feel maintenance management software is overkill for their organizations. Nothing could be further from the truth. In reality, even a one-person maintenance department can reap the benefits of maintenance management software. The same benefits realized by the maintenance crew in larger companies are there for smaller maintenance departments also.
Many smaller companies feel maintenance management software is overkill for their organizations. Nothing could be further from the truth. In reality, even a one-person maintenance department can reap the benefits of maintenance management software. The same benefits realized by the maintenance crew in larger companies are there for smaller maintenance departments also.
Besides being the central hub for maintenance, the storeroom also provides functions that are absolutely critical to the maintenance operation. These functions are so important that when the storeroom is operating in a best practices mode, the rest of the maintenance operation can excel – the storeroom is the enabler. Put another way, if the storeroom is run improperly (such as poor inventory accuracy, parts unavailable when needed due to poor replenishment and procurement practices, etc), the rest of the maintenance operation has no chance of achieving high service levels of equipment availability and reliability.
Besides being the central hub for maintenance, the storeroom also provides functions that are absolutely critical to the maintenance operation. These functions are so important that when the storeroom is operating in a best practices mode, the rest of the maintenance operation can excel – the storeroom is the enabler. Put another way, if the storeroom is run improperly (such as poor inventory accuracy, parts unavailable when needed due to poor replenishment and procurement practices, etc), the rest of the maintenance operation has no chance of achieving high service levels of equipment availability and reliability.
We now have the ability to automate many of our standard maintenance processes, analyse in detail various parts of our businesses, and the performance of our equipment. We are able to plan shutdowns, technical change projects and operational maintenance procedures down to a very fine level of detail. As maintenance management generally makes up around 40 - 50 % of operational budgets, the savings made possible from increased efficiency and reduction of waste are staggering.
We now have the ability to automate many of our standard maintenance processes, analyse in detail various parts of our businesses, and the performance of our equipment. We are able to plan shutdowns, technical change projects and operational maintenance procedures down to a very fine level of detail. As maintenance management generally makes up around 40 - 50 % of operational budgets, the savings made possible from increased efficiency and reduction of waste are staggering.
CMMS systems, as we have come to know them, come basically from two distinct families. These are ERP systems such as SAP, JDE and the PRONTO system and EAM systems such as Epac, MIMS and a plethora of other systems. When most maintenance practitioners refer to CMMS systems they are in reality talking about EAM systems.
CMMS systems, as we have come to know them, come basically from two distinct families. These are ERP systems such as SAP, JDE and the PRONTO system and EAM systems such as Epac, MIMS and a plethora of other systems. When most maintenance practitioners refer to CMMS systems they are in reality talking about EAM systems.
It's important to find out if material flows are present or not throughout a bulk-processing facility; material cost savings and increased plant efficiency can offset an investment in monitoring. Most bulk solids processors can do this using low-cost acoustic emission-monitoring technology.
It's important to find out if material flows are present or not throughout a bulk-processing facility; material cost savings and increased plant efficiency can offset an investment in monitoring. Most bulk solids processors can do this using low-cost acoustic emission-monitoring technology.
In this paper we are concerned with design and innovation in the context of long-term service driven engineering projects. The cases reveal a number of ways in which new organisational arrangements have emerged from attempts to deal with these difficulties and also some of the mechanisms that have helped companies to identify the design implications of future maintenance requirements.
In this paper we are concerned with design and innovation in the context of long-term service driven engineering projects. The cases reveal a number of ways in which new organisational arrangements have emerged from attempts to deal with these difficulties and also some of the mechanisms that have helped companies to identify the design implications of future maintenance requirements.
When maintenance is allowed to interact with the plant and production Original Equipment Manufacturer (OEM), a prosperous relationship for both parties will often ensue. This OEM partnership results in first-hand information for maintenance to set up its maintenance approach, and valuable operational and design feedback for the OEM. There are seven main circumstances in which maintenance will interact or communicate with an OEM and form an OEM partnership.
When maintenance is allowed to interact with the plant and production Original Equipment Manufacturer (OEM), a prosperous relationship for both parties will often ensue. This OEM partnership results in first-hand information for maintenance to set up its maintenance approach, and valuable operational and design feedback for the OEM. There are seven main circumstances in which maintenance will interact or communicate with an OEM and form an OEM partnership.
The cost per kWhr, the "cost of producing electricity", is the cost of the energy which is taken out of the steam by the turbine generator system and converted into electricity. The following paper discusses calculation methods for determining this cost -- a critical step in the process of evaluating cogeneration feasibility.
The cost per kWhr, the "cost of producing electricity", is the cost of the energy which is taken out of the steam by the turbine generator system and converted into electricity. The following paper discusses calculation methods for determining this cost -- a critical step in the process of evaluating cogeneration feasibility.
A methodology is presented to evaluate and determine the necessary level of reliability for process equipment such as large centrifugal compressors and turbines in a refinery environment.
A methodology is presented to evaluate and determine the necessary level of reliability for process equipment such as large centrifugal compressors and turbines in a refinery environment.
This project, like so many others, had a humble beginning. About five years ago, after returning from a routine sales call to the smelter where a representative was selling synthetic and specialty greases, he challenged the authors to develop a series of lubricants that he could sell to the aluminum industry. In a discussion with a group of maintenance people at the smelter, he was told that if his company could develop longer lasting lubricants and protect equipment better than the current product, they would buy from him.
This project, like so many others, had a humble beginning. About five years ago, after returning from a routine sales call to the smelter where a representative was selling synthetic and specialty greases, he challenged the authors to develop a series of lubricants that he could sell to the aluminum industry. In a discussion with a group of maintenance people at the smelter, he was told that if his company could develop longer lasting lubricants and protect equipment better than the current product, they would buy from him.
Mass unbalance in a rotating system often produces excessive synchronous forces that reduce the life span of various mechanical elements. Unbalance is basically very simple case caused by an asymmetry in the rotating element that results in an offset between the shaft centerline and center of mass. Asymmetry can be an off-center weight distribution, or it can be a thermal mechanism that produces uneven heating and bowing of the rotor, or it can be an electrical effect that produces uneven magnetic field.
Mass unbalance in a rotating system often produces excessive synchronous forces that reduce the life span of various mechanical elements. Unbalance is basically very simple case caused by an asymmetry in the rotating element that results in an offset between the shaft centerline and center of mass. Asymmetry can be an off-center weight distribution, or it can be a thermal mechanism that produces uneven heating and bowing of the rotor, or it can be an electrical effect that produces uneven magnetic field.
Just like nutrition facts printed on the label of every item in a grocery store, the symbols on an oil can label tell consumers the service rating and certification for that product. In the United States, the American Petroleum Institute (API) administers the licensing and certification of engine oils through a system that meets the warranty, maintenance and lubrication requirements of original equipment manufacturers. OEMs, oil marketers, additive companies and testing laboratories work together to establish engine oil performance requirements, test methods and limits for the various classifications and testing processes.
Just like nutrition facts printed on the label of every item in a grocery store, the symbols on an oil can label tell consumers the service rating and certification for that product. In the United States, the American Petroleum Institute (API) administers the licensing and certification of engine oils through a system that meets the warranty, maintenance and lubrication requirements of original equipment manufacturers. OEMs, oil marketers, additive companies and testing laboratories work together to establish engine oil performance requirements, test methods and limits for the various classifications and testing processes.
"This equipment has given us completely new opportunities to plan maintenance activities in advance. This has meant that we've been able to minimize the number of breakdowns, thus increasing our profits." A look in the rear-view mirror tells us that before 1993, the mill suffered three or four breakdowns, caused by stock damage, every year. After installation of the SPM system, breakdowns have been very rare, which has made it possible to avoid production losses worth millions.
"This equipment has given us completely new opportunities to plan maintenance activities in advance. This has meant that we've been able to minimize the number of breakdowns, thus increasing our profits." A look in the rear-view mirror tells us that before 1993, the mill suffered three or four breakdowns, caused by stock damage, every year. After installation of the SPM system, breakdowns have been very rare, which has made it possible to avoid production losses worth millions.
Many power generation steam turbine generators today are required in service well beyond their intended lifetimes. Dismantling for inspection is expensive, and owners need to consider all relevant information in making the decision. Application of condition monitoring in all the applicable methods is justified, with each showing different degradation modes. Performance analysis is less well publicised, yet unlike vibration analysis and oil debris analysis, it will show conditions which reduce machine efficiency and output, such as deposits on blades and erosion of internal clearances. The paper outlines, with examples, some condition monitoring techniques that have contributed to retaining some large fossil machines in service for up to 17 years without opening high-pressure sections.
Many power generation steam turbine generators today are required in service well beyond their intended lifetimes. Dismantling for inspection is expensive, and owners need to consider all relevant information in making the decision. Application of condition monitoring in all the applicable methods is justified, with each showing different degradation modes. Performance analysis is less well publicised, yet unlike vibration analysis and oil debris analysis, it will show conditions which reduce machine efficiency and output, such as deposits on blades and erosion of internal clearances. The paper outlines, with examples, some condition monitoring techniques that have contributed to retaining some large fossil machines in service for up to 17 years without opening high-pressure sections.
This article does not describe what you should measure, except perhaps in the form of examples to illustrate a point, but rather shares thoughts to consider about key principles to follow in developing your performance measures.Your performance measures must do the following.
This article does not describe what you should measure, except perhaps in the form of examples to illustrate a point, but rather shares thoughts to consider about key principles to follow in developing your performance measures.Your performance measures must do the following.
Gear pumps are the most common type of positive displacement pump, ideal for transferring high viscosity fluids such as automotive oils, plastics, paint, adhesives, and soaps. As with any pump, proper operation and regular maintenance are vital to reducing costly pump repairs and maximizing pump efficiency. Below are helpful tips for operating your gear pump and ensuring it achieves a long operating life through regular maintenance. As with any pump, proper operation and regular maintenance are vital to reducing costly pump repairs and maximizing pump efficiency.
Gear pumps are the most common type of positive displacement pump, ideal for transferring high viscosity fluids such as automotive oils, plastics, paint, adhesives, and soaps. As with any pump, proper operation and regular maintenance are vital to reducing costly pump repairs and maximizing pump efficiency. Below are helpful tips for operating your gear pump and ensuring it achieves a long operating life through regular maintenance. As with any pump, proper operation and regular maintenance are vital to reducing costly pump repairs and maximizing pump efficiency.
Plain and simple: there’s a lot that goes into a preventative maintenance program for hydraulic systems. While it’s a discipline that’s very basic and uncomplicated when you boil it down, there are many tests that need to be performed and plenty of steps where something can be done incorrectly, so it’s critical to the health of your machine that all are done regularly and properly. In order to do this, it’s important that both the system and hydraulic fluid are taken care of, as your fluid and systems are completely interdependent.
Plain and simple: there’s a lot that goes into a preventative maintenance program for hydraulic systems. While it’s a discipline that’s very basic and uncomplicated when you boil it down, there are many tests that need to be performed and plenty of steps where something can be done incorrectly, so it’s critical to the health of your machine that all are done regularly and properly. In order to do this, it’s important that both the system and hydraulic fluid are taken care of, as your fluid and systems are completely interdependent.
