3 Reasons Why You Need an Asset Maintenance Program
With worldwide prices for many commodities like precious metals, chemicals, and even food products continuing to fluctuate, many industries are struggling to match their production with market demand. In addition to the havoc this causes with labor requirements and planning, it has a huge impact the availability of major production-related assets.
Advances in technology continue to change industrial processes therefore reducing the amount of work done by a skilled labor force; given that, a strong Asset Maintenance Program is a necessity.
Here’s why:
1) The increased need for major capital-intensive assets like earth-moving equipment, cranes, tankers, drill rigs, etc. has become essential to boosting production, so the need to leverage these fixed assets has never been more critical. Consider that the value generated from increased asset utilization has a multiplier effect. Just a 1% improvement can have an exponential impact on the bottom line.
2) While the above point may seem obvious, the caveat is that it is often not fully realized…Why? Because while these assets may be necessary, they have become harder to maintain and operate, which has decreased the value of the production increases they generate. As a result preventive asset maintenance with a reliability-centered maintenance (RCM) approach is critical to keeping these assets performing at or near their optimal level.
This approach applies to not just movable equipment, but to entire facilities like power generation plants, chemical, oil & gas refineries, and manufacturing facilities. The turnaround time for shutdowns and planned outages can be greatly reduced with a strong Asset Maintenance plan.
3) Better leveraging fixed assets by keeping operating costs low should be one goal for any company involved in production, processing, or any heavy industry. Revenue-generating assets can represent billions in capital investment. Appropriate preventive maintenance requires a robust Asset Maintenance program and will keep your assets well maintained and capable of meeting present and future production demands
Maximizing the utilization of revenue producing heavy assets is a key driver for financial performance!
