KPIs for Maintenance: Efficiency Boost

KPIs for maintenance are the lighthouse that guides your maintenance strategy in the right direction. Setting the right KPIs for maintenance is crucial. Why? To keep your equipment reliable and prevent any unnecessary downtime.

But where do you start when defining KPIs for maintenance?

I know – it sounds daunting, but it is not. This guide will outline the key steps in setting KPIs for maintenance. We’ll help you align maintenance operations with your company’s goals.

But first, we’ll address the bare minimum of KPIs for maintenance. Then, we will walk through the most important aspects of KPIs for maintenance that you should be considering.

What’s next after the theory? Action, of course! We will share practical insights and examples on setting KPIs for maintenance in your industry. Examples from the real world will help you understand the subtleties of using KPIs wisely.

Now, take a moment to think about the power that a clearly defined set of maintenance KPIs can give you. It is not only about setting the KPIs. It’s about continually using them to improve and achieve success and operational excellence.

Ready to take your maintenance strategy to the next level?

Table of Contents:

1. What are Key Performance Indicators KPIs for Maintenance?
2. Why are Maintenance Key Performance Indicators Important?
3. What are Maintenance Metrics?
4. What are Maintenance KPIs vs. Maintenance Metrics?
5. How to Set KPIs for Maintenance?
6. How to Analyze KPIs for Maintenance?
7. Wrap Up

First…

What are Key Performance Indicators KPIs for Maintenance?

Definition: Key Performance Indicators (KPIs) for maintenance are a measure of the efficiency of maintenance activities. These metrics provide insights into various aspects of maintenance performance. This includes equipment uptime, reliability, responsiveness, and overall asset health. They help in understanding how reliable and healthy equipment and other assets are. And help guide decision-making and improve the system.

Key maintenance KPIs examples include:

• Equipment Uptime, which measures equipment operational time.
• Mean Time Between Failures (MTBF) to assess equipment reliability.
• Mean Time to Repair (MTTR) for maintenance responsiveness.
• Preventive Maintenance Compliance ensures adherence to scheduled tasks.
• Overall Equipment Effectiveness (OEE) provides a comprehensive view of equipment performance.

Why are Maintenance Key Performance Indicators Important?

Maintenance Key Performance Indicators (KPIs) are crucial in assessing and improving the efficiency and effectiveness of maintenance activities. Let’s explore why these KPIs are important:

• Performance measurement: KPIs provide quantitative measures to evaluate the performance of maintenance activities. This allows you to track progress against predefined goals and benchmarks accurately.
• Goal alignment: Aligning maintenance KPIs with organizational goals and objectives ensures that maintenance efforts contribute directly to broader strategic initiatives. This fosters alignment across departments and functions.
• Decision-making: Maintenance KPIs offer valuable insights that support data-driven decision-making processes. You can make informed decisions regarding resource allocation, prioritization of maintenance tasks, and investment in new technologies or equipment.
• Resource optimization: Maintenance KPIs help optimize resource allocation by identifying areas of inefficiency or underutilization. This enables you to allocate resources more effectively. This ensures that human resources, equipment, and materials are utilized efficiently to maximize productivity and minimize costs.
• Risk management: Monitoring maintenance KPIs helps you identify and mitigate potential risks related to equipment failure, downtime, and safety incidents. Addressing issues promptly and implementing preventive maintenance measures reduces the likelihood of costly disruptions and operational setbacks.

What are Maintenance Metrics?

Maintenance KPI metrics are measurable figures that evaluate good maintenance practices. They assess various aspects of maintenance performance, such as equipment reliability, efficiency, and resource utilization, among others. Here are some essential maintenance KPI metrics:

1. Overall Equipment Effectiveness (OEE): OEE is a metric that measures the overall effectiveness of equipment. It combines three metrics: availability, performance, and quality. The OEE metric helps to analyze how well your company uses its resources.
2. Mean Time Between Failures (MTBF): This metric shows the average time between equipment failures. Having this number gives you an idea of how reliable your equipment is. Moreover, this metric is necessary for preventive maintenance planning and understanding the effectiveness of preventive maintenance efforts.
3. Mean Time to Repair (MTTR): MTTR is a metric that quantifies the average time to repair equipment failure. It measures maintenance responsiveness and efficiency, influencing downtime reduction strategies.
4. Planned Maintenance Percentage: This metric is used to measure the percentage of maintenance that is planned or scheduled in advance. A higher planned maintenance percentage indicates proactive maintenance practices and better resource utilization.
5. Maintenance Cost per Unit of Production: This is essentially a financial metric. It lets you understand how much your maintenance activities cost. You can use this number to understand better the total costs incurred per unit of production output. Thus, you can identify cost-saving opportunities and optimize maintenance budgets.
6. Downtime: Downtime tracks when an asset or equipment is not operating. Why? Because it is undergoing maintenance or repairs or due to a failure. Reducing downtime is crucial to improving productivity and profitability.
7. Backlog: This metric shows the number of maintenance tasks or work orders your maintenance team still has to complete. The better you are at monitoring and controlling backlog, the better you can prioritize and manage your team’s workload.
8. Asset Utilization: Asset utilization measures the extent to which an asset is used to its full capacity. When an asset is being underutilized, you can evaluate it. Then, make changes to maintenance schedules or operations to improve efficiency.
9. Inventory Turnover for Spare Parts: Inventory turnover for spare parts assesses your maintenance team’s spare parts management. High inventory turnover typically means your team has more than enough spare parts. Conversely, a low inventory turnover rate usually stems from a failure to restock inventory promptly. Or, worse, from poor inventory management.
10. Percentage of Preventive Maintenance vs. Reactive Maintenance: This metric compares the percentage of time spent on preventive maintenance to the time spent on reactive maintenance. The higher the percentage, the more proactive your team is in catching problems before they break.

What are Maintenance KPIs vs. Maintenance Metrics?

Maintenance Key Performance Indicators (KPIs) vs. Maintenance Metrics. These key maintenance items are instrumental in evaluating your operations performance. They help you understand what problems are occurring and take strategic corrective action. Though the two terms are often used interchangeably, they have some differences.

Let’s explore these differences:

How to Set KPIs for Maintenance?

Selecting the best maintenance KPI metrics is crucial to accurate maintenance assessment and performance improvement. Below are a few tips on how to choose the right maintenance KPI metrics.

1. Define organizational objectives: Select maintenance KPIs based on your firm’s objectives. You want to ensure maintenance KPIs support the broader goals and objectives of the firm.
2. Identify maintenance objectives: Determine what maintenance goals you want to measure through your KPIs. For example, you may want to reduce downtime, increase asset reliability, or lower maintenance costs.
3. Understand key maintenance areas: Identify the critical areas and processes of maintenance in your company. Are they preventive maintenance, equipment reliability, or spare parts management?
4. Research industry best practices: Find industry-specific maintenance KPIs and industry best practices. This will offer insights into commonly used metrics and benchmarking standards.
5. Consult stakeholders: Collaborate with staff, managers, and other relevant stakeholders to determine the maintenance KPI that matters most. They will help you understand which KPIs are more pertinent to your organization’s needs and challenges.
6. Prioritize KPIs: Select KPIs based on their strategic importance, relevance to maintenance processes, and potential for driving performance improvements.
7. Ensure measurability and data availability: Ensure the selected KPIs are measurable. Moreover, ensure the data needed to measure and analyze these KPIs exists within your maintenance systems.
8. Select a balanced mix of KPIs: Choose a mix of KPIs that provide insights into all the main aspects of maintenance performance.
9. Set clear targets and thresholds: Establish clear targets and thresholds for the selected KPIs. This will define what a good performance level is and make the evaluation of your maintenance performance meaningful.
10. Review and adjust regularly: Review, readjust, and add KPIs based on organizational and maintenance strategy changes. You can also leverage stakeholder feedback to keep the KPIs relevant and effective.

How to Analyze KPIs for Maintenance?

Tackling data analysis is similar to solving a mystery, especially when analyzing KPIs for maintenance. The key to cracking the code lies in effective data visualization. Data visualization turns the numbers into a compelling narrative.

However, when relying on Excel, the struggle with lackluster visuals and limited creativity can be all too real.

Fear not; ChartExpo offers a remedy to Excel’s visualization woes. With ChartExpo, data analysis becomes a visually engaging adventure.

So, bid farewell to mundane charts and welcome a world of dynamic, insightful visualizations.

Let’s learn how to install ChartExpo in Excel.

1. Open your Excel application.
2. Open the worksheet and click the “Insert” menu.
3. You’ll see the “My Apps” option.
4. In the Office Add-ins window, click “Store” and search for ChartExpo on my Apps Store.
5. Click the “Add” button to install ChartExpo in your Excel.

ChartExpo charts are available both in Google Sheets and Microsoft Excel. Please use the following CTAs to install the tool of your choice and create beautiful visualizations with a few clicks in your favorite tool.

Example

Let’s say you want to analyze the KPIs for maintenance data below.

Follow these steps to visualize this data in Excel using ChartExpo and glean valuable insight.

• To get started with ChartExpo, install ChartExpo in Excel.
• Now Click on My Apps from the INSERT menu.

• Choose ChartExpo from My Apps, then click Insert.

• Once it loads, scroll through the charts list to locate and choose the “Progress Circle Chart”.

• Click the “Create Chart From Selection” button after selecting the data from the sheet, as shown.

• ChartExpo will generate the visualization below for you.

• If you want to add anything to the chart, click the Edit Chart button:
• Click the pencil icon next to the Chart Header to change the title.
• It will open the properties dialog. Under the Text section, you can add a heading in Line 1 and enable Show.
• Give the appropriate title of your chart and click the Apply button.

• Add the percentage sign with Unscheduled Downtime values by clicking on the small pencil icon as follows:

• Add the percentage sign with Reactive Maintenance values by clicking on the small pencil icon as follows:

• Add the dollar sign with Maintenance Costs values by clicking on the small pencil icon as follows:

• Add the hours (hrs) with the Mean Time Between Failure value by clicking on the small pencil icon as follows:

• Add the days with Work Order Cycle Time value by clicking on the small pencil icon as follows:

• Click the “Save Changes” button to persist the changes made to the chart.

• Your final Progress Circle Chart will look like the one below.

Insights

• Unscheduled Downtime: 7% – Shows a relatively small number of unforeseen breaks in operation, suggesting strong equipment dependability.
• Reactive Maintenance accounts for 18%. This implies that a significant amount of maintenance is reactive, potentially highlighting the need for preventative actions.
• Upkeep Expenses: $10 – This signifies a moderate cost for maintenance.
• The average time between equipment failures is 35 hours, as denoted by the Mean Time Between Failures.
• Work Order Cycle Time: 5 days – Indicates the duration for finishing maintenance tasks, potentially showing effectiveness in planning and performing them.

FAQs

What are the KPIs for maintenance management?

Maintenance management KPIs are quantifiable metrics used to assess the effectiveness and efficiency of maintenance activities. They include metrics such as equipment uptime, mean time between failures (MTBF), and mean time to repair (MTTR).

What is the KPI for total productive maintenance?

The Key Performance Indicator (KPI) for Total Productive Maintenance (TPM) is Overall Equipment Effectiveness (OEE). OEE measures the efficiency of production equipment by combining metrics related to availability, performance, and quality. It provides insights into equipment utilization and performance optimization within TPM initiatives.

How do you measure maintenance performance?

To measure the performance of maintenance, you use Key Performance Indicators (KPIs) such as:

• Equipment uptime.
• Mean time between failures (MTBF).
• Mean time to repair (MTTR).
• Preventive maintenance compliance.
• Maintenance cost per unit of production
• overall equipment effectiveness (OEE).

Wrap Up

Setting Key Performance Indicators (KPIs) for maintenance is crucial for evaluating performance and driving continuous improvement.

First, align KPIs with organizational objectives to ensure they support broader strategic goals. Next, identify specific maintenance objectives and areas of focus, such as equipment reliability or cost reduction.

Collaborate with stakeholders to gather input and insights into relevant KPIs for your organization’s needs and challenges. Prioritize KPIs based on their alignment with objectives and potential impact on performance improvement.

Ensure selected KPIs are measurable and data to track and analyze performance effectively is available. Also, choose a balanced mix of KPIs that provide insights into different aspects of maintenance performance.

Establish clear targets and thresholds for each KPI to define performance expectations and enable meaningful performance evaluation. Then, regularly review and adjust maintenance KPIs based on evolving organizational needs, maintenance strategy changes, and stakeholder feedback. Continuous refinement of KPIs ensures they remain relevant and effective in driving performance improvement.

Conclusively, setting KPIs for maintenance is a multi-faceted process that requires careful planning, collaboration, and alignment with organizational objectives. By following the structured approach above and leveraging stakeholder input, you can select KPIs that provide meaningful insights.

Do not hesitate.

Get started with KPIs for maintenance and ChartExpo today to drive continuous improvement and achieve operational excellence.