Is Your Operation Prepared for a Critical Failure? Minimize Your Downtime from Catastrophe to Recovery
How expensive is downtime?
Downtime can be expensive. In fact, the manufacturing sector loses more than $50 billion annually in unplanned downtime costs, according to data from Asset Performance Management: Blazing a Better Path to Operational Excellence. For years, managing assets like factory machinery was a reactive process, but newer technology can enable cost and labor efficiencies using predictive maintenance.
Predictive maintenance relies on hardware and software applications to monitor assets and alert managers when equipment needs repair or replacement. A 2018 study from Advanced Technology Services Inc. shows the leading causes of unscheduled equipment downtime is aging equipment (44%), followed by operator error (16%), and lack of time (15%). Researchers noted, “it appears that predictive maintenance might bear the most efficiencies to maintaining business continuity and effective business processes, including from a cost and performance angle.” Even for companies that have predictive maintenance plans established, many will experience unplanned downtime every year. Oden Technologies reports that companies with predictive maintenance strategies still experience 5.42% of unplanned downtime. This is an improvement over the 8.43% unplanned downtime seen with reactive maintenance plans, but still amounts to billions of dollars in losses annually.
The role of logistics and transportation
Varun Joshi outlines the failure process and the P-F Interval
Today, proactive managers fortify their maintenance cycle with an Uptime Logistics strategy. Planning for every contingency, Uptime Logistics specialists can significantly reduce downtime and save you money. By combining predictive maintenance and traditional risk management strategies, an Uptime Logistics plan will ensure your supply chain is rock solid.
When you are in a critical-failure situation, you can shorten the window to repair and increase your visibility by taking control of shipping. Your logistics partner should be prepared with key information including facility location, hours of operation, 24/7 contact, PO or reference number requirements, and knowledge of your key suppliers with routing guides in place.
“Until we have established reliability there is no sense at all in wasting time trying to make the thing go faster.”
While it’s easy to account for basic inventory costs, downtime is more complex. A Vanson Bourne global study from 2017 found that human error was responsible for 23% of unplanned downtime in manufacturing, 2.5x more than other industries. Faulty equipment was another primary contributor. The study also reported that “70% of companies lack complete awareness of when equipment is due for maintenance or upgrade,” suggesting a major blindspot for maintenance managers.
Avoid Castatrophic and prolonged downtime with uptime logistics℠
tracking is integral in the uptime process
CAP Logistics utilizes state-of-the-art Macropoint tracking software to give you a bird’s eye view of your shipments, with geofencing that can help you prepare to imminent deliveries.
You understand your business better than anyone else, and you know the importance of operational uptime, whether or not you know the exact cost of downtime. You’re likely incorporating better maintenance and repair strategies into your process, though you’re now also aware of the important role of transportation and logistics. Uptime Logistics℠ can complete your reliability strategy by accelerating the timeline from point of failure to operational uptime, ultimately saving you time and money. Whether for planned maintenance or an emergency situation, CAP Logistics is here for you. Call our US-based specialists 24/7/365 at 1-800-227-2471 or request a quote online here.
