There are many benefits to outsourcing a plant’s machine lubrication program. There’s no doubt, the immediate benefit one would expect is reduced ongoing cost of machine care. This is reasonable because machine lubrication is a ‘maintenance’ function, and because maintenance is generally responsible for managing the cost of existing capacity rather than expanding capacity at a reduced unit cost.
Implementing a PLSI contract program reduces parts consumption and overtime labor, which produces documentable savings.
Although MRO reductions may inspire the initiative, and although MRO savings are certainly real, these savings pale in comparison to the value accrued to the organization through dependable, repeatable capacity. These improvements represent a tremendous dividend for an arguably miniscule investment.
The Ultimate Benefit Plan:
- Your machines last longer and they run better.
- You produce better quality.
- You produce more quality products.
- Your MRO charges decline.
- You generate better business results.
- You live a less stressful life.
In other countries….
Outsourcing machine lubrication is a common business practice among manufacturers in Australia, India, Brazil and the European Union. A strong, tactical business case can be made for outsourcing this ‘routine’ maintenance function because it leaves you with the enviable opportunity to expressly focus on what you do best. Increasingly, this, and the recognition of the clear benefits, is driving acceptance of the practice in manufacturing plants across industries in the United States.