Chapter 10

Maintenance Management

MEM575
 Learning Objectives
 Understand Maintenance, reliability and its
enhancements
 Able to differentiate Types of maintenance;
Preventive, Breakdown, others
 Understand Total Productive Maintenance
 Maintenance and Reliability
 The objective of maintenance and
reliability is to maintain the
capability of the system while
controlling costs
 Maintenance is all activities involved
in keeping a system’s equipment in
working order
 Reliability is the probability that a
machine will function properly for a
specified time
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 Important Tactics

 Reliability
1. Improving individual components
2. Providing redundancy (backup)
 Maintenance
1. Implementing or improving
preventive maintenance
2. Increasing repair capability or speed

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 Maintenance
Breakdown maintenance
Reactive/Corrective approach; dealing with
breakdowns or problems when they occur

Preventive maintenance
Proactive approach; reducing breakdowns
through a program of lubrication, adjustment,
cleaning, inspection, and replacement of worn
parts

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 Maintenance

Predictive maintenance
An attempt to determine when best to
perform preventive maintenance activities
Total productive maintenance
JIT approach where workers perform
preventive maintenance on the machines they
operate

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 Costs Occur When Breakdown
 Costs due to machine downtime
 Probable loss of sales to customer
 Costs due to idle direct or indirect labour
 Costs due to delays in other processes that may
depends for material supply on the machine that is
down
 Increased scrap costs
 Repair costs
 Costs due to customer dissatisfaction from possible
delays in deliveries
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 Breakdown Programs
 Standby or backup equipment that can be
quickly pressed into service
 Inventories of spare parts that can be installed
as needed
 Operators who are able to perform minor
repairs
 Repair people who are well trained and readily
available to diagnose and correct the problems
using proper equipment.

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 Elements of Preventive Maintenance

 Routine maintenance – to prevent wear and

deterioration e.g. oiling, cleaning, adjusting,
collecting scraps
 Periodic inspection – to detect necessary repairs
or replacements well in advanced of actual
breakdowns
 Monitoring – to detect early warnings of
deterioration e.g. excessive vibrations and noise

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 Maintenance Cost Example
Should the firm contract for maintenance on their
printers if the cost of hiring the maintenance
services monthly is RM 150?
Number of Number of Months That
Breakdowns Breakdowns Occurred
0 2
1 8
2 6
3 4
Total: 20
Average cost of breakdown = RM300/breakdown
Routine servicing cost = RM300/service

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 Maintenance Cost Example

1. Compute the expected number of

breakdowns
Number of Frequency Number of Frequency
Breakdowns Breakdowns
0 2/20 = .1 2 6/20 = .3
1 8/20 = .4 3 4/20 = .2

Expected number
of breakdowns = ∑ Number of
breakdowns x
Corresponding
frequency

= (0)(.1) + (1)(.4) + (2)(.3) + (3)(.2)

= 1.6 breakdowns per month
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 Maintenance Cost Example

2. Compute the expected breakdown cost per

month with no preventive maintenance

Expected Expected number Cost per

breakdown cost = of breakdowns x breakdown

= (1.6)($300)
= $480 per month

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 Maintenance Cost Example

3. Compute the cost of preventive

maintenance

Preventive = Cost of routine Cost of

maintenance cost maintenance if service + service contract
contract signed

= (1 routine service/month)($300) + $150/month

= $450 per month

Hire the service firm; it is less expensive

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 Preventive vs. Breakdown
Frequency of breakdown

Number of breakdowns 0 1 2 3
Frequency of occurrence .20 .30 .40 .10

If the average cost of a breakdown is RM1,000, and

the cost of preventive maintenance is RM1,250 per
month, should we use preventive maintenance or
otherwise?

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 Number of Frequency of Expected number of
Breakdowns Occurrence Breakdowns
0 .20 0
1 .30 .30
2 .40 .80
3 .10 .30
1.00 1.40

Expected cost to repair = 1.4 breakdowns per

month X RM1000 = RM1400
Preventive maintenance = RM1250

→ PM results in savings of $150 per month

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 Economics of Maintenance

Total Cost
Cost

Preventive
maintenance cost

Breakdown and
repair cost

Optimum Amount of
preventive maintenance

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 Economics of Maintenance
 For highly complex automated machines with
expensive parts & highly skilled labour, preventive
maintenance is advisable.
 Preventive maintenance can be done when time
machines are idle or low production time
 If the cost of shutting down the machine is high, it
would be better to wait until breakdown

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 Total Productive Maintenance (TPM)
Direct employee involvement
– a sense of ownership and they would care more of the
machine that they involved with, organize appropriate
operation & maintenance training

Proper documentation
– Organized, computerized and easy access database of
maintenance problems, solutions and schedule by
employees e.g. expert system which assist in
troubleshooting various machine
Utilize machines that are reliable, easy to operate,
and easy to maintain
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 Autonomous Maintenance
▶ Employees accept responsibility for
▶ Observe
▶ Check
▶ Adjust
▶ Clean
▶ Notify
▶ Predict failures, prevent breakdowns,
prolong equipment life
Total Productive Maintenance (TPM)

▶ Designing machines that are reliable,

easy to operate, and easy to maintain
▶ Emphasizing total cost of ownership
when purchasing machines, so that
service and maintenance are included
in the cost
Total Productive Maintenance (TPM)

▶ Developing preventive maintenance

plans that utilize the best practices of
operators, maintenance departments,
and depot service
▶ Training for autonomous maintenance
so operators maintain their own
machines and partner with
maintenance personnel
 Overall System Reliability
100 –
Reliability of the system (percent)

80 –

60 –

40 –

20 –

0 |– | | | | | | | |
100 99 98 97 96
Average reliability of all components (percent)
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 Reliability Calculation’s Example

R1 R2 R3

.90 .80 .99 Rs

Reliability of the process is

Rs = R1 x R2 x R3 = .90 x .80 x .99 = .713 or 71.3%

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 Redundancy Example
A redundant process (backup) is installed to
support the earlier example where Rs = .713
The reliability of the system could be improved by having machines
in parallel, but expensive.

R1 R2 R3
Reliability has
0.90 0.80 Backup increased from
.713 to .94

0.90 0.80 0.99

= [.9 + .9(1 - .9)] x [.8 + .8(1 - .8)] x .99
= [.9 + (.9)(.1)] x [.8 + (.8)(.2)] x .99
= .99 x .96 x .99 = .94
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 How to Schedule for Preventive
Maintenance?

Simulation
By using past data of breakdowns and
random number, good tool to decide
in replacing parts that have not yet
failed

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 Computerized Maintenance
System
Data Files Output Reports
Equipment file
with parts list Inventory and
purchasing reports

Maintenance Equipment
parts list
and work order
schedule

Equipment
Repair history reports
history file

Cost analysis
Data entry (Actual vs. standard)
– Work requests
– Purchase
Inventory of requests
spare parts – Time reporting
– Contract work
Work orders
– Preventive
maintenance
– Scheduled
Personnel data downtime
with skills, – Emergency
wages, etc. maintenance Figure 17.3
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 Establishing Maintenance Policies

 Simulation
 Computer analysis of complex
situations
 Model maintenance programs before
they are implemented
 Physical models can also be used
 Expert systems
 Computers help users identify
problems and select course of action
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 Maintenance Policies – (Example)
 Critical component is replace before it breaks down through
the Preventive Maintenance Program
 Establish a repair facility and have an adequate maintenance
crew to reduce down time
 Use parallel paths of production (for critical stages) so that
breakdowns will not paralyze the entire production
 Design critical components in more reliable manner
 Establish storage/buffer between stages of production line
 Use standby machinery when a particular machine breaks
down

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 Let’s Recap
 Understand Maintenance, reliability and its
enhancements
 Able to differentiate Types of maintenance;
Preventive, Breakdown, others
 Understand Total Productive Maintenance