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1. Maximising
Your Company Name here
Return on assets
A strategy to drive down costs, improving profitability

2. Return on Assets rests on:
Streamlining our
asset-related
process
Making better
strategic asset-related
decisions
Sweating our
assets better

3. Introducing EAM – Enterprise Asset Management

4. EAM can also:
Optimize
sustainability and
frugal energy
consumption
Facilitate a shift
to preventive
maintenance for
minimal downtime
Consistently help
us comply with
all industry
regulations

5. So where are we now?
What does our Overall Operating Efficiency (OEE) look
like at present?
(OEE = % availability x % capacity x % quality)

6. So where are we now?
What does our Overall Operating Efficiency (OEE) look
like at present?
Run to fail. Work on equipment
only when it fails.
(OEE = % availability x % capacity x % quality)

7. So where are we now?
What does our Overall Operating Efficiency (OEE) look
like at present?
Recognize that maintenance strategies could be
improved, so have spares available when failures occur.
(OEE = % availability x % capacity x % quality)

8. So where are we now?
What does our Overall Operating Efficiency (OEE) look
like at present?
(OEE = % availability x % capacity x % quality)
Use routine inspections, lubrications, adjustments,
and minor services to improve equipment efficiency.

9. So where are we now?
What does our Overall Operating Efficiency (OEE) look
like at present?
Utilise specific techniques to monitor condition of
equipment, allowing for proactive replacement and
problem solving instead of failures.
(OEE = % availability x % capacity x % quality)

10. So where are we now?
What does our Overall Operating Efficiency (OEE) look
like at present?
Combine prior techniques with operator involvement &
automation to free maintenance technicians to concentrate
on repair data analysis and major maintenance activities.
(OEE = % availability x % capacity x % quality)

11. What can we expect?
Independent research* into companies that had
implemented a leading EAM system, showed these results:
*Based on independent research commissioned on a range of companies which had implemented Infor EAM.

12. Let’s bring these statistics a
little closer to home
Influence of Overall Equipment Effectiveness (OEE) on earning power
Planned hours
8760
Max prod/h
50
Availability
77.0&
Performance
85.7%
Quality yield
91.0%
Theoretical
prod/year
438 000
OEE
60.0%
Price/unit
0.600
Variable
cost/unit
0.416
Actual
prod/year
263 019
Contribution
margin/unit
0.250
Direct
maintenance
costs
9469
Depreciation
15 000
Other fixed
costs
30 000
Contribution
margin/year
65 755
Fixed costs/year
54 469
Fixed assets
150 000
NOWC
15 781
(OEE = % availability x % capacity x % quality) Prices in kUSD
Profit
Revenues
157 811
Revenues
157 811
Capital
employed
165 781
Profitability
7.15%
Capital
turnover rate
0.95
11 286
The earning power of a
plant under some
assumptions
ROCE
6.81%

13. It’s a great idea, but…
Implementation will be a nightmare.
It’s too expensive.
It’s too complicated.
It won’t integrate with our other systems.
It’s too much too soon.

14. Implementation will be a nightmare.
EAM implementation can be fast and relatively
painless, particularly with those EAM systems which
allow us to implement in tranches, as we see fit.

15. It’s too expensive
Some EAM systems charge per asset, which could be
prohibitive for an asset-heavy company such as ours.
Other EAM systems however, charge per user, with
an unlimited number of assets tracked.

16. It’s too complicated
Most leading EAM systems have been designed
to be used by entry-level data capturers,
allowing everyone from shop steward to finance
manager to participate.

17. It won’t integrate
Most EAM market leaders use a universal platform
that allows them to be easily integrated into any
other IT systems we currently have.

18. It’s too much too soon
Although EAM systems offer a diverse range of
features, we can start with the simplest benefits and
introduce other features as and when we need to.

19. So what kind of benefits could we really
expect from EAM?
Cost savings realised should significantly outweigh EAM
system investment
A flexible & configurable solution used by an array of user
groups within our company
Better support and dynamic notifications for all types of
facilities, equipment and assets
Mobile device options including Apple/Android/Windows Mobile
Reliability Planning & Analysis available for improved uptime
Energy & Sustainability reports to further improve efficiency and
reduce costs
Open architecture to support our integration needs

20. Thank you

21. Thank you