Maintenance Costs

Ask a competitor what their maintenance costs and concerns are for their machinery. They'll probably lie like a rug but it is a place to start. Ask the manufacturer of the machinery. They'll also lie but likely in a different way than your competitors. In the case of a bakery, ask your food inspector. They have no reason to lie but they don't care if they know the truth. This canvas from multiple sources will grant you a starting point to make your maintenance plans. Review them over time and adjust accordingly.

Your new equipment should have included a maintenance schedule in the documentation, assuming nothing breaks, your maintenance cost will be whatever you are paying your maintenance person/people X the amount of time it takes to carry out said maintenance.

Since whoever is going to be doing the maintenance should be familiarizing themselves with the equipment anyway, you should be able to arrive at a pretty close number.

How about on the OEM's recommended list of spare parts to keep on hand. They have already list those parts from a history of parts most likely to fail.

A lot depends on the care the operators give the machines and the schedule of preventive maintenance.

The difference between owner care and renter care. You get badly trained workers with a bad attitude and they will break machines to get paid time off. Fire bad workers ASAP.

Make sure each worker on the machine knows the safety aspects, the overload risks, breakage risks by bad actions.

Bad employees can break equipment in 25% of its life. careful workers and proper care and they can last far longer.

Ga from me

to the OP.. nothing to add to the realy good answers you've got... other than to say.. start now with the training of the operators & maint staff who will use and abuse the equipment.

you might want to see of the OEM is including in the package maint training on site.. and if you have a budget figure multiply it by 2.. its a budget right.. better to have more money in teh kitty and not use it than be looking for some and not have it.

The only problem is at the end of the year.. you better use it all, as in the next round of budget reviews, they will see how much you've spent and that what you get next year.

ps don't forget the overtime payments

You can make certain assumptions like 10% cost the equipment will be needed for trouble-free running of the bakery. After obtaining the list of maintenance items from the supplier, check with your friends in nearby bakeries to share their experience. Follow ISO practices etc. Rangasamy

As it is new equipment it must be under warranty for a year and supplier must have supplied critical spare parts along with PPM schedule and O&M manual. To get the regular maintenance as proposed by the supplier for estimation purpose you can take 10 to 15 % of the total cost the machinery. It keep on changing as the machines get older.

Thanks for all the reply's.

I am only at budget stage and looking to give an estimation of Maintenance costs for the first 5 years. I will have engineering staff on board to carry out Preventitive Maintenance and warranty will apply for at least 12 months. However machinery will get damaged outside warranty so I have got to allow for this.

If one of the proposed machines ( production lines ) costs 1,000,000 then at 10% 100,000 seems abit too much but 1% 10,000 seems too low?

Anybody ever done this ??

Ask the seller for their suggested maintenance schedule and the repair and fault history of the model - what to watch for, common faults and things that void the warranty - like not changing oil in a new car voids it.

You should also factor in hours per day the line is running. Is it going to run one shift, two, or 24/7? There may also be parts that are considered consumables and changed frequently, such as filters or blades, which may be charged to the production budget instead of the maintenance budget. Also consider if some procedures, such as routine cleaning, are going to be a PM item charged to maintenance or a SOP item performed by production and charged to their budget. Consider critical parts which are not included in the manufacturers list of recommended spares, such as motors, which could bring the line down. Don't depend on short lead times for obtaining such parts.

There are several whys in which do preform this operation, as others have stated here. DOT & NASA have worked on this issue and have some interesting models that could be followed to help oneself determine cost in a more definitive manner. Their use of Parametric Estimating Models can be seen by looking up or doing an internet search for this subject.

I tried to do that search & found mostly stuff for buildings

problem is each different set of equipment & operating conditions will yield vastly different results

I worked in a bakery for some years

other factors can come into play:

what percentage of downtime is acceptable?

I worked in a bakery for some years

our downtime goal for the 1st year was 12%, dropping down to around 2% year 10

the maintenance budget was based on production output. The budget for newly commissioning equipment was a separate account, once production output stabilized on the newly commissioned equipment [around month 4]

I can't really tell you exact figures, nor would they be relevant. Different [equipment] product lines had different figures.

I can tell you to pay special attention to the maintenance of the oven & the dividers.

One way to approach this if modeling is not your cup of tea is to gather each brand name off the equipment and contact manufacture and ask them for their life cycle data on each unit. All motor manufactures have this data. Will they share this information thats another matter.

But, given history of say motors in a hot environment such as a bakery or foundry, your looking at 2-5 years if it is excessively expose to heat without good fan cooling. Grease is going to cook out of the bearings, bearings are going to begin to wear and drop the rotor into the windings. Same can be said for all of your bearings. Slide chains (oven chains) if not lubed correctly will be worn out in 2-5 years of 24/7 operations. More if run time is less. You can go on and on. But Modeling does save lots of excessive waste time and money on spare parts / labor. Get with your controller and see if they can help with this end of the project. Suppliers such as your bearing houses also will do surveys to help in this area, check with one of them as well.

Good luck

Having worked in engineering planning I'd say maintenance costs are basic staff salaries plus consumables. But then something goes crunch and the whole lot goes out the window.

I've had to stand on the carpet and explain why a plant couldn't be safely run for the next 2 weeks. 50 men twiddling their thumbs other than to clean up!

It had gone crunch in spectacular style! Overtime payments for the engineering team, rush orders placed with outside contractors. Costs went through the roof, I spent 6 months budget in that 2 weeks!

The plant was clean afterwards!

I would say try to do a component check up. Do some research on each electrical, mechanical, and air component? What the pros and cons, and life expectancy is on each one with pricing and time to install the device. Also check the recommended spare parts list that gives you a heads up on some things that go bad. Also you need to know what PM scheduled duties need to be done to see a cost of each PM............

Sorry! I maybe jumping the gun on your question, I'm not sure on what you are asking are you asking for how you come up with a cost percentage of an install of this equipment or a maintenance projection once it is installed.

And once you have dates for Scheduled PM, make sure EVERYONE knows about it. It is such a pain when you announce "The poobah machine has to come down for $200.00 worth of PM and 4 hours off line tomorrow". Sales announces "We have a $2000.00 order to ship this week. Can you hold off on the PM?" You can say "Yes we can, but day after tomorrow, the price of the PM goes up to $10,000 from your budget.

Boy am I glad to be out of that racket...

Bill

you can try contact the machine manufacture to make extended warranty. Beside that depend on you and the customer to deside cost may be neccesary during contract service