Typically, CMMS software provides insight into maintenance costs for each piece of equipment, but does not include utility expenses associated with each unit. Utility costs, such as electricity for motors, steam for turbines, and gas for boilers and reformers, are usually tracked separately in a lump sum format. However, for a comprehensive view of lifecycle costs and equipment efficiency, it is important to consider both maintenance and utility expenses. Is there a method available to track utility costs specific to each piece of equipment? Thank you.
Monitoring electricity usage in a plant is entirely feasible, as demonstrated by your local utility company. The question to consider is whether this is a worthwhile investment. While installing meters on main branches is a common practice, is it necessary for every piece of equipment? When the topic was raised by financial personnel, the decision was made to proceed with meter installation across the board. This way, any individuals who leave lights and computers on unnecessarily can be identified and addressed, potentially leading to cost savings. The additional manpower required for meter reading, bill comparison, and equipment maintenance could be offset by these savings. It is crucial to allocate resources for managing data in systems such as ERP, CMMS, and Excel. One suggestion is to incorporate meter readings into the monthly inventory process to ensure accountability and efficiency. This marks the conclusion of the discussion.
Have you implemented a plant and equipment efficiency enhancement initiative? If so, what was the outcome? Were there significant cost savings achieved? Thank you.
Josh, I may be mistaken, but I feel like I might be in the wrong discussion platform (SAP). In our company, we follow a maintenance-centric model where Operations and Maintenance both report to a division manager in the refinery. Procurement is handled by a separate department within Finance. The responsibilities for the CMMS are divided between Maintenance and Procurement. All employees must go through the CMMS for any goods or services procurement, with no exceptions. In your company, who oversees the "CMMS" - is it the accounting department? In our organization, both Maintenance and Procurement have ownership of the CMMS system. Operations also track and report their expenses (inventory, water, oil usage, etc.), but this data is not inputted into the CMMS. Payment transactions and chemical purchases are recorded in the CMMS, while fuel usage is detailed in the monthly Refining Report along with production data. How does your organization handle these processes with the actors involved?
Our operations mirror your surroundings, which raises the question: how can you reduce utility costs effectively? While analyzing maintenance costs is important, it's only part of the equation. The key lies in seamlessly integrating multiple reports for swift business decision-making. When it comes to choosing between ERP and CMMS systems, which option will work best for your needs? Thank you.
Josh, you didn't mention where you stand within the organization. I am leading the maintenance vision, particularly in terms of utilities. A few years back, I spearheaded an initiative to monitor steam traps using ultrasound technology. Today, this has become a crucial part of our preventive maintenance plan. Our Operations team conducts surveys at night, providing our Maintenance team with a list of defects to address. The importance of addressing leaking steam traps cannot be understated. What sets our approach apart is that we did not hire additional staff or make significant operational changes. Instead, we invested $7000 in an ultraprobe along with training. This investment was supported by data from the Department of Energy and other sources. Our focus was on solving the mysteries surrounding our steam distribution system and eliminating inefficient practices. The result? Increased knowledge among our operators and mechanics. Through a custom software solution, we can now quickly identify issues within our steam system, allowing for immediate action. This has led to significant improvements in energy efficiency and reduced downtime. While the exact cost savings are difficult to quantify, the efficiency gains are evident. We now manage around 500 steam traps effectively, thanks to our proactive approach to maintenance.Overall, our efforts have not only saved money but also improved the overall functioning of our steam system.
I agree with your viewpoint on tracking utility costs for an end-to-end view of machinery operations. Although CMMS software does not directly allocate utilities to individual assets, it's possible to do this manually by establishing a correlation between machine operation time and the associated utility consumption. This process may demand additional labor and analysis, but over time it can provide a transparent picture of the total ownership cost. Alternatively, you may want to consider more advanced IoT-based asset management solutions that can track real-time energy consumption for individual units, hence improving energy efficiency and leading to cost savings.
✅ Work Order Management
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Answer: Tracking utility costs alongside maintenance expenses provides a comprehensive view of lifecycle costs and equipment efficiency. It helps in identifying cost-saving opportunities and optimizing equipment performance.
Answer: While CMMS software typically focuses on maintenance costs, there are methods to integrate utility cost tracking into the system. This may involve customizing the software or utilizing additional tools to input and monitor utility expenses for each equipment unit.
Answer: Utility costs to consider include electricity for motors, steam for turbines, and gas for boilers and reformers. These costs can significantly impact the overall operating expenses and efficiency of equipment.
Answer: Implementing a structured tracking system, establishing benchmarks for energy consumption, conducting regular audits, and analyzing data trends can help in effectively managing utility costs for individual equipment units.
Answer: By accurately tracking utility costs for each equipment unit, organizations can make informed decisions regarding maintenance schedules,
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