Hello Darrell,
I don't have the Dow study, but here is an idea.
1. Add up all current maintenance hours per year (Own + OT + Contract). If you can't get contractor hours, use 30% of spend... it seems to be accepted. Let's say you use 200,000 mtce hrs per year.
2. Assumption. 1. You are currently Plan and schedule 25 % of the work (or whatever # u choose, will be depending on definition of what a planned and scheduled job is). This means you have 75 unplanned Unscheduled work. Assumption 2... conservative. When you have an unplanned & unschedule job you waste 50% of the time. I think it is more like 75%, but most would buy 50% (Compare NASCARE tire change with your own).
3. How much mtce hours are u wasting today? 200,000 x 75% x 50%= 75,000 hrs
4. Assumption: We can go to 60% planned an schedule in 2 years. Then we would "only" have 40% unpl. & Unsch.
5. In the future we would waste: 200,000 x 40% x 50% = 40,000 hrs
Business case... $50/ hr x (75k-40k)= 1,750,000/ year.
U may not like my assumptions, but u see the business case logic?
Note! The biggest financial gain is from increased production while keeping fixed cost the same, it is true for your industry as long as you can sell all you make.
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Torbjorn Idhammar
President & CEO
IDCON, Inc.
http://www.idcon.comRaleigh NC
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Original Message:
Sent: 04-16-2020 05:51 PM
From: Darrell Walker
Subject: Planning and Scheduling
If I remember, I have seen references to a Dow study that had data on the ROI of proactive maintenance strategies, particularly planning and scheduling. I am building a business case and need to reference studies that show potential savings on efficiency gains from planned work, PMs vs. PdMs/Precision, RCM vs Rebuild, etc.
Does anyone have access to case studies or access to data from either the Dow study, the Airline Industry, etc. Alternatively, books or articles by influencers that have referenced data would be helpful.
Big thanks.
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Darrell Walker
Manager of Maintenance and Reliability
Amalgamated Sugar Company
Boise ID
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