Getting the Full Picture: CMMS and Lean Manufacturing

 In a recent study conducted by Electric Power Research Institute (EPRI), they found that the annual maintenance cost of repairing machinery (within the power industry) after it breaks down is $17 to $18 per horsepower, while the annual cost per horsepower using PM, is between $11 and $13. For maintenance teams that employ PdM, the cost is further reduced to $7 to $9 - a substantial savings. Even more compellingly, the study by EPRI revealed a potential maintenance cost savings of 47% by using PdM techniques. The relationship between maintenance and production is symbiotic, and constitutes the nexus of lean manufacturing, as the following example amply demonstrates.

When an industrial lubricants manufacturer began preparing for a substantial expansion project that would add 15,000 square feet to its main plant, it looked at systems that would ensure its maintenance operations were managed with the utmost efficiency and reliability. Towards that end, it looked for a computerized maintenance management system (CMMS) that would automate maintenance functions, along with existing gas, air, boiler, and steam systems. The CMMS automated maintenance tasks for its new machinery throughout the expansion, including seven new blending tanks, 50 pumps and an air-compression system, fluidly and consistently scheduling work orders and preventive maintenance (PM). The increased load made properly scheduled and executed PM critical to the reliability of the new facility.

The plant expansion provided a perfect opportunity to reconfigure its maintenance operations, while configuring the CMMS program to fit its specific needs (matching its asset-management needs and relating them to the industrial lubricant market), as opposed to falling into the common trap of deploying a generic template. This added relevance was crucial for the company which produces custom oil and lubricants for its clients rather than off-the-shelf products.

Prior to implementing a CMMS, the company relied on handwritten notes. Though detailed, as they added more machinery, the handwritten system of tracking work orders and service requests couldn't keep up. The robust PM that the company's CMMS supports prevents boiler downtime that would compromise the company's competitive edge. To ensure that the facility can respond to all requests, especially emergency ones that require same-day delivery of custom oil and lubricant products, the company relies on its preventative and predictive maintenance agenda to keep each piece of equipment in top shape.

In addition to normal PM, the CMMS provides work orders and reminders for occupational and environmental safety checks (e.g., water contamination analysis and prevention) and tasks that ensure compliance with municipal safety regulations. The CMMS produces email reminders that are sent to the exact person responsible for a particular maintenance function, filtering out spam, so that personnel can immediately respond without having to waste time trying to find and follow up with the appropriate personnel. As a result, the company has an even greater competitive advantage.