In Part 1 of this blog series, we discussed four Enterprise Asset Management (EAM) implementation challenges that are significant roadblocks for organizations to get the asset intelligence needed for effective enterprise asset management. In this second and concluding part, let us understand four more challenges that limit organizations from generating rich asset information from the EAM system.
5. Lack of Documentation
Irrespective of how effective the EAM software is, if procedures and practices are not documented, the implementation effort will be in vain. For example, if there is no standard process for work completion (which includes, planning, scheduling, filling up work orders, etc.) the report that is generated from the EAM system will not be accurate.
Every process in the organization should be documented based on industry-accepted best practices for the EAM tool to produce the information that is needed by the organization. For documentation, top management needs to put together a team that identifies best practices for EAM, and records them in detail.
6. Lack of Performance Measures
An EAM or Computerized Maintenance Management (CMM) system will not, by itself, measure performance such as improved uptime or reduced costs. Performance can be measured by setting up Key Process Indicators (KPIs) for each business objective in the EAM system. For example, if the objective is to reduce maintenance costs, then KPIs (such as downtime, maintenance response time, total number of reworks attended, number of emergency work orders, etc.) and their baseline values need to be set for all the departments involved.
In this case, it may include the maintenance and materials management functions. This information needs to be uploaded to the EAM system in order to measure asset performance in a meaningful manner. It is the responsibility of the EAM team to set the objectives, formulate their individual KPIs, and their baseline values, and update this information in the EAM system.
7. Absence of Reporting Tools
An EAM or CMM system is most valued for the reports it generates. When this capability is limited, the organization fails to get the most useful information necessary for maximizing asset efficiency. Since EAM reporting is vital to turn data into ROI, organizations need to create the necessary reporting tools to get meaningful and actionable information. Scorecards, dashboards, and reports are the primary reporting tools. While scorecards are used to ascertain how well a business function is performing based on KPIs, dashboards are used to procure information (on preventive maintenance, inventory levels, etc.) for workers to carry on with their daily tasks.
Reports are mostly used by senior management for analysis purposes. These reporting tools need to be developed for each department (engineering, maintenance, inventory, procurement, and others) that uses the EAM software. When coupled with good data in the system, the EAM reporting engine will be able to generate quality information on ROI.
8. Absence of Auditing Processes
Auditing is required for any process, implementation, or activity to succeed in the long-term. If there are no plans for auditing the EAM system post-implementation, it will limit organizations from planning and prioritizing their future expansion plans. Establishing a good internal and external audit process will help identify deviations in the current set up, as well.
The EAM audit must cover all elements that contribute to a successful implementation. It includes organizational policies, practices, master data records, coding systems, procedures, and KPIs of each business function. Based on the results of the auditing process, organizations need to plan to close the gaps in the non-conforming elements immediately, in order to drive maximum asset efficiency and bottom-line growth.
The challenges in the journey towards achieving asset management excellence can be overcome by adopting a strategic and planned approach. By doing so, organizations can enjoy increased asset uptime that helps build revenue in the long run. Infoways’s Infor EAM is a highly configurable solution, built to help manufacturing organizations maximize the effectiveness of asset maintenance, and improve productivity. If you want to understand how Infor EAM can help mitigate risks and enhance your asset life, schedule a demo with our experts.