COMPUTERIZED MAINTENANCE

MANAGEMENT SYSTEMS

Chapter 1

INTRODUCTION

1
 Historical Review

• Industry today is in a fight to

survive.
• Competition is on international
levels.
• One area many industries are
now turning their attention
toward is the maintenance
function.

Historical Review

• Industrial Revolution
• 1950 Applying Preventive Maintenance in
industrial plants (USA / Japan)
• 1970 RCM adopted by the U.S. military
• 1971 TPM originated in Japan
• 1980 RCM was adopted by the U.S. commercial
nuclear power industry
• 1990 RCM began to enter other commercial
industries and fields
• 1990 Lean Maintenance

2
 Evolution in Maintenance
Management

• Level 1: Little awareness of maintenance as a

“management activity”
– Fire fighting “If it breaks, fix it”
– Total reliance on the individual attitudes of the maintenance crew
– Little or no advance planning of maintenance work
– Weekend and other overtime is accepted as the norm
– Budgets subject to “arbitrary” cuts
– Lack of maintenance history record
– Gradually deteriorating condition of assets
– No clear top-down commitment
– Unofficial objective to “respond quickly to request”

Evolution in Maintenance
Management

• Level 2: Awareness of maintenance as a potential

improvement area, still just an “engineering problem”
– Mainly a reactive work pattern
– Planning of shutdown and key overhauls
– Attempts at introducing a work order system have not been
successful
– Overtime worked to a regular pattern
– Some maintenance reports from the financial system
– Recognition of a need for change, but resistance
– Lack of support for proposals to improve maintenance
– No top-down or user involvement
– Unofficial objective to “support production”

3
 Evolution in Maintenance
Management

• Level 3: Acceptance that reactive maintenance is wrong,

joint commitment to improvement
– Preventive maintenance is well established
– Disciplined work order system – manual or computerized
– commitment to continuous improvement in maintenance
– More extensive management reports
– Attempts to link the maintenance budget to a planned workload
– Maintenance costs are charged to asset users
– Well maintained history records
– Official maintenance objective has been published
– Maintenance is occasionally discussed by senior management

Evolution in Maintenance
Management

• Level 4: Senior management commitment, predictive

maintenance, continuous improvement, reliable and
accurate information
– Predictive maintenance is preferred
– Detailed failure mode and effect analysis is performed
– Continuous improvement is formal, cross-functional and
participative
– Management performance indices are regularly reported
– Costs of non-conformance are monitored
– Maintenance funding is directly linked to the workload
– A comprehensive maintenance strategy guideline is available
– Maintenance is recognized as an important investment

4
 Evolution in Maintenance
Management

• Level 5: “Best Practice” maintenance established, fully

integrated information systems, reliability-driven
maintenance, engineers use skills for improvement
– Asset users are accountable for current asset performance
– Operators perform care and monitoring tasks
– Maintenance staff concentrate on improving asset performance
– Equipment reliability is the driver for maintenance efforts
– Equipment failure – not justified as run-to-failure – are rare
– Audit procedure are implemented regularly
– Information system is an integral part of the management process
– Asset management is discussed as an agenda item at board
meetings

Historical Review

• Preventive Maintenance: 1950s

• Computer Technology: Personal Computers
• Computer Systems: Late 1970s – Early 1980s
• Early Systems
 WINSCORE of Servidyne Systems, Inc. 1977
 MASC/IMMPower-SP of Revere, Inc. - Walker
Interactive 1978
 MIMS of Mincom, Inc. 1979

5
 Historical Review

• Famous Systems
 MAXIMO ADvantage of PSDI 1986
 MP2 Professional of Datastream Systems, Inc. 1988
 Passport of Indus International, Inc. 1989
 Plant & Equipment Maintenance Management of J.D.
Edwards 1989

Maintenance Management

• Maintenance Management is defined as the

organization of maintenance within an agreed
policy, used to achieve maintenance objectives
and guide maintenance decision making.

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6
 Maintenance Management
System

Budgetary Control

Maintenance Performance
Maintenance Measurement and Control
Documentation

Equipment Spares Plant Reliability

Management Control

Maintenance
Long-Term Maintenance Organizational
Planning and Control Efficiency Control
(Turnaround Management)

Short-Term Maintenance
Planning and Work Control

Asset

• Asset - unlike in the

accounting definition, in
maintenance this is
commonly taken to be
any item of physical plant
or equipment

• It is the basic unit of

maintenance.

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7
 Asset Management

• Asset Management - the systematic planning and

control of a physical resource throughout its life.

• This may include the specification, design, and

construction of the asset, its operation, maintenance and
modification while in use, and its disposal when no longer
required.

15

What Is CMMS?

• CMMS (Common)
Computerized Maintenance Management System
(equipment list, preventive maintenance, corrective maintenance)

• CMMMS
Computerized Maintenance & Material Management System
(preventive & corrective maintenance, spare parts management)

• EAMS
Enterprise Asset Management System
(maintenance, inventory, and procurement management)

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8
 What Is CMMS?

• Computerized Maintenance Management Systems

(CMMS) or Enterprise Asset Management Systems
(EAMS) is an integrated solution used to design, build,
procure, operate, maintain, modify and dispose an
enterprises’ assets such as the buildings, facilities,
fleet and plant equipment, IT equipment and networks
over the assets’ life cycle, as well as the inventory and
human resources associated with maintaining those
assets.

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What Is CMMS?

• Enable planning, controlling, and monitoring of physical

asset events and maintenance tasks pertain to plants,
equipment, and facilities.

• Span all phases of asset life cycle, including investment

planning, specification, design, operations and
maintenance, and disposal.

• Help managers better allocate equipment and resources,

and ensure proper and timely maintenance is carried out.

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9
 Business Drivers and
Benefits

• Optimize equipment use with real-time tracking tools.

• Maximize availability of plants, equipment, and other
facilities.
• Centralize accurate maintenance records and
documentation.
• Define and enforce organizational quality and safety
standards.
• Organize the process of asset decommission and
disposal at end of life cycle.
• Improve management of inventory, parts, and services
with maintenance, repair, and operations (MRO)
functionality.

Manual Systems

These have had limited success because of:

• the problems associated with training people to be
disciplined enough to maintain the maintenance
system, that is, to input the data to the system.
• the effort required, by supervisors and managers, in the
organization and documentation of the system.
• trade group's reluctance to become involved in paper
work.
• the effort associated with the acquisition and
compilation of meaningful data and statistics from the
system.
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10
 Manual Systems

• In a typical paper system, each piece of equipment or

asset will have a history card or file.

• This file will contain the asset's detailed description,

along with information on maintenance procedures to be
used, periodicities, trades required, last maintenance
dates, and perhaps some out of date information about a
breakdown, which occurred years ago!

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Manual Systems

• To determine what maintenance is due requires

someone to look through every card, check each of the
last maintenance dates against the periodicities and
select those, which are due.

• Next, the appropriate maintenance procedures must be

selected from the file before work instructions are raised
and issued to the relevant trade's persons.

• Upon completion of the work, the relevant asset's file

must be selected, details updated and the file replaced in
its slot. 22

11
 Manual Systems

• Whether one or several persons complete these tasks,

many man-hours are involved and to properly support
any reasonable sized system of this type can become
virtually a full time occupation.

23

Old Methods Provide

Limited Benefits

• Manual Systems; index cards, memo files, wall-mounted

log charts...

• Old methods were bulky, incomplete, and inefficient,

and generally used inconsistently

• CMMS is a much more reliable and better overall

maintenance tracking system

12
 Potential Costs

• Potential costs of doing nothing are high

• Billions of dollars spent annually to maintain assets

• Over one-third of that dollars wasted due to poor or

inadequate maintenance management

Potential Costs

• When scheduled maintenance is not followed, sudden

breakdown is a certain outcome

• Associated costs of breakdown do not stop with

equipment repair and replacement

• There are also unproductive downtime, lost business,

uneven workloads, overtime, and emergency inventory
purchasing

13
 Need of CMMS Today

1) Safety Factor – For example fires have been attributed to bad

maintenance.

2) Standard Factor – Many manufacturing companies are

implementing ISO. A maintenance system is a requirement
under ISO 9002. ISO 55000 for Asset Management is now
available.

3) Productivity Factor – In an effort to increase productivity,

many companies are utilizing a maintenance management
system.

4) Cost Factor – An effective maintenance management

program results in savings in maintenance time and costs.

Benefits of CMMS

Top Ten Benefits Average Improvement

Increased Maintenance Productivity 29%

Improved Equipment Availability / Reduced Downtime 17%

Reduced Excess Inventory 21%

Less Stock Shortages 29%

Increased Planned Maintenance 78%

Reduced Emergency Work 31%

Less Overtime 22%

Less Waiting Time 29%

Reduced Emergency Purchasing 29%

Better Pricing from Vendors 18%

Reference: Terry Wireman, Computerized Maintenance Management Systems, Industrial Press Inc.,1986

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 What does a CMMS do ?

• Many asset management systems fail soon after

implementation because they have been badly specified.

• Quite often it is not until after the installation is complete,

that users realize their new system does not meet their
requirements. This is understandable.

• Typically, prospective users may be consulted about

what they would like from the system, but quite often they
are not in a position to comment, as they are not fully
aware of what is available.
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CMMS Function

• Control the company's list of maintainable assets through

an asset register
• Control accounting of assets, purchase price,
depreciation rates, etc.
• Schedule planned preventive maintenance routines
• Control preventive maintenance procedures and
documentation
• Control the issue and documentation of planned and
unplanned maintenance work.
• Organize the maintenance personnel database including
shift work schedules
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15
 CMMS Function

• Schedule calibration for gauges and instruments

• Control portable appliance testing
• Assist in maintenance project management
• Provide maintenance budgeting and costing statistics
• Control maintenance inventory (store's management,
requisition and purchasing)
• Process condition monitoring inputs
• Provide analysis tools for maintenance performance

31

Decision Making

• Many companies spend thousands of pounds on

complex, integrated systems for which they have little
use. It is only after they are installed that it becomes
apparent that perhaps only 5 to 10% of the available
functions will be used.

• It is extremely important however, that prospective

purchasers ask themselves a few questions before
making any decisions.

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16
 Decision Making

• Do you have the resources and the commitment to

implement the system? Even in a medium-sized company,
significant amount of time will be required to collect and input data.
Someone will be required to create a library of maintenance
procedures where this does not already exist.

• Are you willing to provide support and administer the

system on an on-going basis? The extent of this support will
clearly be dependent on the size of your system.

• Do you require the system to control your stores and or

purchasing? Are you willing to commit the people power
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to input the data for this?

Decision Making

• Do you need it for accounting purposes or just

maintenance control?

• Do you really need a multi-user system, and if so, how

many people are likely to use it? This should be based on who
is likely to use it, not who you would like to use it.

• On multi-user systems, are you willing to commit your

personnel to the training, which is likely to be required?

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17
 What returns can be
expected?

Most vendors sell their packages by claiming:

• Increased plant availability - by reducing down time
• Lower operating costs - by reducing overtime, spares
inventory
• Prolonged asset life - by more effective maintenance
• Reductions in spare part inventory - by identifying parts
through links to equipment
• Much improved control over preventive maintenance
schedule and documentation
• Simplified access to maintenance data and statistics -
through report generator
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Decision Making

• Whatever the claims made by the supplier, one of the

main benefits to be gained from an CMMS is that it helps
and encourages the user to focus on good maintenance
practice.

• Procedures become formalized and organized through

having to conform to the requirements of the new system.

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