Maintenance: in-house or outsource?

Outsourcing-oder-eigene-Instandhaltung

Maintenance: in-house or outsource?

In the times of Industry 4.0, is it still wise for an industrial enterprise to keep its own maintenance staff or is it more profitable to hire external partners for maintenance? We will discuss the pros and cons of this issue here.

It’s truly a dilemma! Many industrial enterprises downsize their in-house maintenance team to a minimum. Keeping such a team at 100% operational availability comes at a high price which many are not prepared to pay. On the other hand, maintenance teams should ideally be available 24/7 (including a back-up team) which naturally leads to increased personnel expenses. In addition, there are also costs for special tools used in maintenance as well as regular trainings. Some equipment, such as torque and vibration measurement technology, is extremely costly and its acquisition is of no clear benefit considering the limited operation hours.

In the end, the company’s financial situation is the deciding factor whether a dedicated maintenance team can be sustained or not. If you are thinking about establishing an in-house maintenance team, you should know the pros and cons!

In-house maintenance – an overview

An in-house maintenance crew is invaluable in case of an emergency when a prompt response is of great importance. The biggest advantage lies in the fact that the team gets to know all the ins and outs of their machines over the years. Due to their in-depth experience, the team knows the weak spots of their machines which prompts a very specific response.

Due to continuous staff cutbacks in many companies, maintenance technicians often become maintenance coordinators by hiring external firms when necessary. The unfavourable consequence is a deficit in responsibility when outsourcing maintenance tasks to external partners, and potentially dangerous loss of expertise within the company. When companies opt for external maintenance partners, constant availability must be guaranteed in case of emergencies so that the machines can be tended to under any circumstances.

At a glance – What speaks in favour of internal maintenance teams?

  • short reaction times
  • many years of specific experience with the company’s own machines
  • avoid the need to navigate the confusing market of maintenance service providers with many different outside firms
  • avoiding loss of expertise when outsourcing maintenance
  • high coordination effort required when managing several external partners
  • difficulty to control (several) external partner(s)
  • cyber security and confidential data stay within the company

It is often problematic when many different external firms work on separate parts of the same machine. Coordinating all the different partners during a maintenance job also poses a challenge. If there is cause for complaint, liabilities must be defined clearly. Plant managers often complain about the difficult situation when external partners cannot be sufficiently controlled since they are not authorized to directly instruct these teams. Another considerable risk that should not be underestimated is cyber security and the handling of confidential data. External staff should always be vetted and encouraged to sign confidentiality agreements.

Maintenance: when is it recommended to hire external services?

Nevertheless, consulting external maintenance providers can be beneficial to your company. Some providers are highly specialized in servicing whole parts of machines and have a lot of know-how regarding all relevant components. Ideally, they can service the whole powertrain including clutches, brakes, gearboxes, motors, pumps and bearings. Choosing the right service partner can shorten downtimes because the teams possess the know-how to quickly solve operating problems on the powertrain.

Another plus: qualified service providers put great emphasis on specialized high-end training of their employees. They use state-of-the-art equipment and are certified in various areas – for example, according to ISO-CAT certification in the field of vibration analyses.

At a glance: what speaks in favour of external maintenance?

  • external service providers are often specialized in whole parts of machines
  • high expertise in servicing all relevant components in a certain area
  • in-depth knowledge of complete powertrain systems, including clutches, brakes, gearboyes, motors, pumps and bearings
  • reduced downtime
  • external employees undergo special training
  • external service providers are certified
  • high expertise in condition monitoring systems
  • … and in implementing sensors as well as data analysis

What does maintenance look like in the times of Industry 4.0?

Internal maintenance teams have limited options in the face of the aforementioned Industry 4.0. Automation systems in industrial plants bring about higher production speeds and processing times. In the case of machine failure, consequences are more dire and the need for real-time condition monitoring becomes clear. Suitable condition monitoring systems require a high amount of diligence in implementing sensors and in handling and interpreting any resulting data. At this point, it is recommended to consult an external partner with the necessary technology and know-how.

Condition Monitoring – are you keeping tabs on your powertrain?

Do you know us? We are the leading global provider of high-tech services for powertrain systems. We offer a 360° service – from installation and monitoring to the repair and optimisation of individual powertrain components during the complete life-cycle of your powertrain. We are a single source support provider for all of your powertrain requirements and time-consuming coordination measures between different providers are no longer necessary.

Since 2020, we have been offering an innovative, newly developed Condition Monitoring Cloud to our customers. Grounded in our long-standing experience and the expertise of our Competence Center, we have combined a professional CM software with an interfacing internet platform. This enables our customers to conduct internal monitoring and autonomous analyses. With our Cloud solution, customers can monitor all their vital powertrains and aggregates using implemented sensors and preset alarm set points – across all locations and 24/7.

There are good reasons for either choice: internal maintenance teams and hiring an external partner. It is a very individual decision that needs to be made by each plant manager on their own. One advantage of external service partners is the availability of professional equipment, but an internal maintenance team that knows their machines inside and out is invaluable, as well. Experience has shown that a close collaboration between internal employees and external staff is very helpful – consulting a specialised and experienced external partner can simplify maintenance processes to a great extent.