How Preventive Maintenance Optimization Saved $1.6M in Just 6 Weeks

A major steel plant approached us with the objective of optimizing their maintenance practices to achieve first-quartile performance in maintenance and reliability.

Their goal was to reduce downtime, improve asset longevity, and reduce maintenance cost. However, their existing preventive maintenance program was not delivering the desired results.

By performing Preventive Maintenance Optimization (PMO), the plant achieved $1.6M in savings within the first six weeks, demonstrating the immediate impact of a well-structured preventive maintenance plan.

Challenges Faced

The plant’s existing maintenance practices were falling short of expectations leading to equipment failures. The following challenges were identified:

Basic checklist approach with minimal detail
The maintenance strategy relied on a simplistic checklist format that lacked the depth and specificity needed to properly address equipment health.

1. Failure modes were not identified
   Without clearly defined failure modes, troubleshooting became a reactive, trial-and-error process. Since everyone has their own interpretation of when action should or should not be taken, this lack of clarity led to inconsistencies in decision-making and delayed interventions.
2. Tasks lacked precise descriptions
   Maintenance tasks were poorly defined, leading to inconsistent execution. The lack of clarity around task specifics, such as frequency, required trades, necessary tools, quantity, or type of grease, meant that workers often performed them in different ways, reducing efficiency and increasing the risk of errors.
3. Critical components were missing from the inspection process
   Some of the components were overlooked during routine inspections. This oversight resulted in critical issues going unnoticed until they escalated into larger problems.
4. Poor scheduling resulted in cancellations or missed inspections
   The maintenance team struggled with scheduling, which led to missed or canceled inspections.

Why a Preventive Maintenance Optimization (PMO) Was the Right Solution

In response to the challenges faced by the plant, we performed a structured Preventive Maintenance Optimization (PMO). The exercise focused on refining the existing processes by addressing key areas of concern, including preventive maintenance task standardization, failure mode integration, and resource optimization.

The following improvements were implemented:

Transitioning to an objective-based approach with clear, standardized task descriptions.

One of the primary changes was shifting from a checklist-based approach to an objective-driven system. We created clear, standardized task descriptions to ensure that each maintenance activity was specific, measurable, and aligned with the overall reliability goals of the plant.

1. Identifying and integrating failure modes into maintenance routines
   Another critical improvement was the integration of failure modes into the maintenance program.
2. Adding new tasks to cover all detectable failure modes
   Through the identification of failure modes, we uncovered additional maintenance tasks that were necessary to detect and mitigate risks effectively. New tasks were introduced to cover all identifiable failure modes.
3. Classifying undetectable, low-risk failures as run-to-failure, optimizing resource allocation
   For issues that were undetectable or deemed low-risk, we classified them as “run-to-failure.” This approach allowed us to allocate resources more effectively by focusing on high-priority, high-risk failures that could significantly impact plant operations.
4. Removing redundant, non-value-added tasks
   Lastly, we performed a thorough review of the existing maintenance tasks to identify and eliminate any redundant or non-value-added activities.

By refining the maintenance program through these strategic changes, we were able to significantly enhance the plant’s overall efficiency and reliability

Field Implementation – First Step

Once the new maintenance program was established, we conducted a first iteration of the updated procedures, working directly with the plant’s technicians. This hands-on approach ensured proper training and adherence to best practices.

Immediate Impact

During the initial six-week implementation phase, we identified and prevented potential failures that could have resulted in over $1.3 million in losses:

• Damaged coupling spiders in the lubrication network, which could have led to catastrophic motor and pump failures.

• Blocked oil mists, preventing proper lubrication of critical gearbox components, significantly increasing wear and tear.

These early findings validated the importance of a well-structured maintenance strategy and proactive monitoring.

Field Implementation – Leveraging Thermography

To further strengthen the plant’s preventive maintenance program, we recommended investing in a thermal imaging camera (~$1,000). This cost-effective yet highly valuable tool provided visual insights into temperature variations across critical components. By detecting abnormal heat patterns, our team and the plant’s maintenance team could quickly identify potential failures before they escalated into costly breakdowns.

Key Thermal Analysis Discoveries

As part of the thermography integration, thermal scans quickly revealed critical issues. These discoveries allowed the maintenance team to take timely corrective actions:

• Blocked Valve in the Gearbox Lubrication System – A thermal scan revealed a significant temperature difference within the gearbox lubrication systeme pipes, leading to the discovery of a blocked valve. This obstruction prevented proper oil circulation, restricting lubrication to a key gear component. Left unchecked, this could have resulted in excessive wear, overheating, and ultimately, premature failure of the gearbox.

• Overheating Pump Motors – Infrared imaging identified abnormally high temperatures in several pump motors. Further analysis pointed to potential misalignment issues contribute to increased friction and energy consumption. Addressing these concerns helped extend equipment lifespan and improve energy efficiency.

Results – Financial and Operational Impact

Implementing an optimized preventive maintenance strategy led to substantial financial and operational gains, demonstrating the tangible value of preventive maintenance optimization:

• Over $1.6 million in cost savings within the first six weeks: By proactively addressing potential failures before they escalated, the plant avoided costly repairs, production losses, and emergency maintenance expenses. These savings came from reduced component replacements, minimized downtime, and damage-related costs

These improvements significantly strengthened the plant’s reliability strategy, positioning it closer to its goal of achieving first-quartile maintenance and reliability performance.

Conclusion and Next Steps

Key Takeaways

• Transitioning from a basic checklist to a structured, failure mode-driven maintenance program significantly improved reliability and maintenance efficiency.
• The first iteration of optimized maintenance practices prevented costly failures and saved over $1.6M.
• Integrating thermography enhanced condition monitoring, leading to better predictive maintenance.

Raphael Tremblay,
Spartakus Technologies
[email protected]