Page 27 - TPM A Route to World-Class Performance
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8  TPM-A  Route to World-Class Performance


                  maintenance team would take great pride in its ability to ’fix’ a breakdown or
                  failure in minimum time, working overnight or at weekends and achieving
                  the seemingly impossible. Specialized spares and replacements would  be
                  held in stock or squirrelled away in anticipation of  breakdowns.
                    In  the  period  after  the  Second World  War  this  concept of  breakdown
                  maintenance prevailed. It was not until the 1960s that fixed interval overhaul
                  became popular; this entailed maintenance intervention every three months
                  or after producing 50 000 units or running 500 hours or 20  000 miles. The
                  limitation  of the regular interval approach is that it assumes that every machine
                  element will perform in a stable, consistent manner. However, in practical
                  situations this  does not  necessarily apply. There is also the well-known
                  syndrome of trouble after overhaul: a machine which is performing satisfactorily
                  may be disturbed by maintenance work, and some minor variation or defect
                  in reassembly can lead to subsequent problems.
                    It is interesting to consider some statistics of actual maintenance performance
                  in the early 1990s. Much of  the material quoted below has been derived from
                  a survey carried out by the journal Works Munugemenf based on a sample of
                  407 companies in 1991.
                    Expenditure on maintenance in the European Union (EU) countries has
                  been estimated at approaching 5 per cent of total turnover, with a total annual
                  spend of between €85 billion and €110 billion. This spend is equivalent to the
                  total industrial output of  Holland, or between 10 per cent and 12 per cent  of
                  EU industries’ added value. Some 2 000 000 people in 350 000 companies are
                  engaged in maintenance work (Table 1.2).
                    When we look specifically at the UK,  we find the annual spend in 1991
                  was €14 billion, twice the UK trade deficit at that time or 5 per cent of  annual
                  turnover. It also equates with three times the annual value of new plant invest-
                  ment in 1991 or 18 per cent of  the book value of  existing plant (Table 1.3).

                  Table 1.2 Maintenance expenditure as a
                  percentage of turnover in EC countries

                  UK                          5.0%
                  France                      4.0%
                  Italy                       5.1%
                  Spain                       3.6%
                  Ireland                     5.1%
                  Holland                     5.0%
                  ~~~
                  Table 1.3 UK maintenance spending
                  W   €14 billion annual spend
                  W   Twice UK trade deficit
                  W   5% of  sales turnover
                     Three times value of  new plant investment
                  W  18% of  book value
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