Unplanned Downtime Costs Manufacturers $50 Billion Per Year

It is estimated that unplanned downtime costs manufacturers up to $50 billion per year. 

Equipment failure accounts for 42% of unplanned downtime costs. The related expenses include repairs, equipment and machinery replacement, as well as the increased cost of maintenance. Since these are unexpected expenses, they can devastate company budgets. 

In addition, the facility staff is exposed to greater safety risks, which can translate to even greater financial losses. Unplanned downtime is a costly business. If manufacturers want to avoid it, they have to take an active stance towards eliminating equipment downtime.

The top-performing manufacturers recognize the economic benefits of regular maintenance and invest in solutions that enable preemptive maintenance. 

Poor Maintenance Can Reduce A Company’s Production Capacity By Up To 20%

Industry analysts found that a company’s production capacity drops between 5 and 20% due to poor equipment maintenance.

When a company or facility experiences a downtime event, its capacity to produce goods is crippled. The critical equipment breaks down, and employees can’t complete their duties. Furthermore, managers have to spend time ordering replacement parts and unplanned maintenance operations. Their production line pays the price. On top of that, companies have to make up for the loss of labor with overtime, which adds to the overall expenses. 

All of this can be prevented with an outstanding maintenance practice that stops equipment breakdowns from happening in the first place.