Asset management rising on business agenda

The drive to reduce operational costs and increase business flexibility is encouraging uptake of so-called asset management systems (AMS), with its roots in CMMS (computerised maintenance management software). Manufacturers are increasingly seeing them as instrumental in improving not only the reliability and efficiency of shop floor equipment and machines, but their OEE (operational equipment effectiveness) and flexibility, while also cutting costs. These are among findings from a study by analyst Frost & Sullivan, which shows that there’s more to AMSs than helping to eliminate unscheduled and costly downtime and assist in predictive planned maintenance. It reveals that AMS users are claiming improved ability to flex their shop floors and synchronise maintenance and operational requirements, while also rationalising spares suppliers and reducing inventory and procurement costs. For the more sophisticated, they’re also helping to optimise labour resources and improve the efficiency of operators themselves, while visibility of history data across plants is enabling the spread of best, and lowest cost practice through standardised procedures. As a result, Frost & Sullivan predicts strongly growing revenues for AMS vendors. However, as core ERP system vendors, plant automation giants like Emerson, Rockwell, Siemens and GE, as well as the MES (manufacturing execution system) vendors, like Invensys’ Wonderware expand the footprint of their offerings, users will spread their favours around. Brian Flannery, industry analyst at Frost & Sullivan, says: “At present, suppliers of [AMS] solutions are having to absorb any price increases they may wish to implement due to competitive price pressure. Only vastly superior products will be able to see any increment in prices. However, this is expected to change in future years, when greater system comparisons can be made amid more widespread standardisation of solutions.” He sees spending on maintenance growing as “senior management realise the benefits and value that can be gained by embracing and installing solutions into their business procedures.” He also reckons that as more manufacturers outsource responsibility for aspects of their plants and plant operations, these systems will become increasingly pivotal to their success.