Haiyou’s Honest Advice [How to Effectively Reduce Annual Maintenance and Parts Costs] – A Thorough Discussion (from Haichuan QQ Group)

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3.jpg Scene: HaiChuan’s official technical exchange QQ group, 264151200. Topic: How can annual maintenance and repair costs as well as parts costs be reduced effectively? Initiator: Ke Yi. Number of participants: 15. The chat records are reproduced below: (QQ numbers have been removed to protect privacy.) Ke Yi() 15:17:17 How can we effectively reduce the annual costs related to maintenance and spare parts? I hope the experts here can give me some advice. Xinjiang Chemicals 15:18:20 Effective management brings benefits. 【Shanghai】Permanent magnet speed control() 15:18:27 Proper equipment maintenance extends its service life and reduces the need for repairs. Ke Yi() 15:18:50 What else? Xinjiang Chemical Industry 15:18:59 Controlling the purchase prices of accessories. Xinjiang Chemical Industry 15:19:31 For the same materials, some are purchased at 10,000 yuan while others are bought at 5,000 yuan. Ke Yi() 15:19:54 Should it be controlled through equipment management and production processes, or through procurement? Which method allows for better control? Xinjiang Chemical Industry 15:20:07 It needs to be controlled in both ways. Xinjiang Chemical Industry 15:20:18 Management needs to be strengthened significantly. Ke Yi() 15:20:26 I mean, which method can help control costs more effectively? Xinjiang Chemical Industry 15:20:53 It’s definitely through management. 【Su】Process ご Float Sink Mi() 15:20:54 Those are the biggest cost factors. 【Hu】Permanent Magnet Speed Control() 15:21:19 Procurement is the easiest as well as the hardest to control. Ke Yi() 15:21:27 The boss gave us a task to focus on control through procurement. 【Su】Process ご Float Sink Mi() 15:21:34 You need to control things at their source; some expenses are inevitable. Ke Yi() 15:22:00 But sometimes it’s contradictory – the company wants high-quality products, yet high-quality products are expensive. Ke Yi(343141007) 15:22:04 What should we do? 【Hu】Permanent Magnet Speed Control() 15:22:24 Good quality products last longer. 【Su】Process ご Float Sink Mi() 15:22:35 So in the end, cuts are usually made during production. 【Su】Process ご Float Sink Mi() 15:22:43 That won’t do; this won’t work either! 【Su】Craft ご Float Sink Mi) 15:22:48 Common problem. Ke Yi() 15:23:04 To give an example, say 10 million was spent in 2016; next year, I start using better equipment and making upgrades to some of it, so the costs will increase. Ke Yi() 15:23:20 It could end up being 12 million. Ke Yi() 15:24:05 Of course, this extra 2 million will show effects over the next 3-5 years; after that period, my costs for repairs and spare parts will be lower. 【Su】Process ご Float-Sink Mi() 15:25:17 In our company, production and maintenance are under strict control at the moment. Ke Yi() 15:25:33 In our company, the managers work for the board of directors; they are all appointed by the parent companies, and they change after serving for 4 years. Everyone tries to reduce costs during their term in office. 【Su】Process ご Float-Sink Mi() 15:26:20 The problems are all passed on to those below them. Ke Yi() 15:27:02 But everyone who works with equipment knows that sometimes, in order to reduce expenses during the current leader’s tenure, repairs aren’t carried out; as a result, the next leader has to make up for those missed repairs. What used to be a small expense might end up costing a lot more under that leader’s leadership. 【Su】Process: ご Float/Sink ミ() 15:27:18 All companies do this – they try to cut costs on both ends as much as possible. But which one is simpler? 【Su】Equipment Management – Ge() 15:27:28 Vicious cycle. Ke Yi() 15:27:51 Also, in the production workshops, there is often a need to find various spare parts; the same is true for some aspects of equipment management. 【Su】Process: ご Float/Sink ミ() 15:28:02 As for management, it’s about saving money and making profits. Who cares about all that? Ke Yi() 15:28:47 There’s one pump designated for a certain function, but there’s also a spare pump head. Then there are the impeller, bearings, shaft, mechanical seal, and so on – in total, it’s like having more than one pump. Ke Yi() 15:30:37 This situation happens often, and it increases costs. Of course, from the perspective of equipment management in the workshop, if I have spare parts, I can simply replace the pump head when there’s a problem, and then take the pump apart for repairs. This ensures the steady operation of the equipment, but it does increase the inventory of spare parts. 【Su】Process ご Floating/Sinking ミ() 15:30:42 Coordination and communication within the company are the most important. Other departments can’t possibly be all important. Just one sentence from them can affect production, and they will reject all your words. Ke Yi() 15:31:32 In this situation, does anyone have any good solutions? 【Su】Craft ご Float-Sink Mi() 15:35:04 That’s it; repairs require certain materials, and as a leader, how can one improve the efficiency of the department’s work? Instead, production ends up passing the problems on to the maintenance department, which in turn turns to procurement. 【Su】 Process: ups and downs Mi() 15:35:11 It’s all interconnected. 【Shanghai】 Permanent magnet speed control () 15:35:23 There’s no solution. 【Su】 Process: ups and downs Mi() 15:35:51 In my opinion, it all comes down to communication and coordination between departments; they must work together for the benefit of the company and to reduce costs. 【Su】 Process: ups and downs Mi() 15:36:11 You alone can’t possibly identify all the major problems within the company. Is it possible? [Su] Process: Go Fuchin Mi () 15:36:40 Resolved. Ke Yi () 15:36:40 @[Su] Process: Go Fuchin Mi Yes, it’s like when equipment malfunctions; production basically comes to a halt. There’s nothing wrong with our operations or the processes involved. The equipment itself is at fault; it’s just that the equipment provided by the manufacturer isn’t up to standard, and the procurement team didn’t purchase suitable equipment. [Su] Equipment Management - Ge () 15:37:02 In reality, the equipment management department has close relationships with many other departments, such as finance, supply chain, and production. What you mentioned earlier is essentially a vicious cycle; there’s no way to achieve a perfect solution in such situations. [Su] Equipment Management - Ge () 15:37:14 It’s all interconnected. [Su] Process: Go Fuchin Mi () 15:37:54 There’s always bickering between different departments within the company. 【Su】Craft ご Float Sink Mi() 15:38:13 Who would admit that the problem lies with them? 【Su】Equipment Management – Ge() 15:38:15 The management only says that more communication is needed. 【Su】Equipment Management – Ge() 15:38:26 More communication~·*1000 【Su】Process ご Floating/Sinking Mi() 15:38:29 Then these managers can go home. Ke Yi() 15:38:38 As mentioned by those in higher positions, and also due to conflicts between departments, things get even more complicated when it comes to certain individuals’ interests. 【Su】Equipment Management – Ge() 15:39:07 To put it simply… 【Su】Equipment Management – Ge() 15:39:18 It’s because the various systems within our company aren’t properly implemented. 【Su】Equipment Management – Ge() 15:39:51 There are many rules, but their implementation still needs improvement~~~·· Ke Yi() 15:40:08 It’s like the problem I’m facing now: a pump manufacturer contracted for 2 pump heads at the beginning of this year; they were replaced, then another 2 were contracted last month, and this month, 2 impellers were ordered. Ke Yi() 15:40:45 This is because the people in charge of equipment down there have vested interests with that manufacturer. 【Su】Equipment Management – Ge() 15:41:02 You say there’s no problem with procurement, right? Sure, after all, we have a quality guarantee deposit, and there are signatures from those who inspect the equipment after each repair. 【Su】Equipment Management – Ge() 15:41:44 There are daily, weekly, and monthly inspection records for the workshops. 【Su】Equipment Management – Ge() 15:41:46 Check. Ke Yi() 15:41:54 Often, each procurement plan involves several pages of documents, and the management doesn’t read them carefully. By the time it gets to me, when it’s time for the manager to sign off, they ask why more items were purchased and whether the products from that supplier are of poor quality. 【Su】Equipment Management – Ge() 15:42:01 Checking that the equipment is in good condition before use. Check. Ke Yi() 15:42:23 Should I say that the products I bought before were of poor quality? 【Su】Process: ご Rise and fall ミ() 15:42:37 – Improve it step by step; don’t try to achieve everything at once. Ke Yi() 15:42:56 – It’s hard to say; one also needs to think of reasons to get the manager’s approval. Ke Yi() 15:43:29 – Well, when it comes to discussing this matter openly, there’s not much to say. University student Wu – Microfluidics 15:43:33 – Apply pressure level by level. 【Su】Process: ご Rise and fall ミ() 15:43:40 – The regulations also become stricter step by step. Ke Yi() 15:43:59 There’s no evidence either regarding what kind of person this equipment operator is, or anything about the manufacturer. 【Su】 Pressure pipeline design drawings – Ling() 15:44:07 Is there no assessment for operation and maintenance? 【Su】Craft ご Float/Sink Mi() 15:44:16 You go and undermine other people’s advantages. Do you think it’s appropriate? 【Su】Pressure pipeline design drawings – Ling() 15:44:20 Is no fee charged when the equipment breaks down frequently? 【Su】Process: ご Float-Sink Mi() 15:44:21 – Do it step by step. Ke Yi() 15:45:24 @【Su】For the design drawings of pressure pipelines – Ling: I don’t know how to assess specific equipment. Besides, if it’s not broken, they can buy it and keep it in stock; if there’s a shortage in stock, they can take it out, thus bringing the stock level back to 0. 【Su】Equipment Management – Ge() 15:46:15: You also think this is incorrect. It’s not necessary to buy something just because it’s broken; it’s also necessary to find out why it broke, through technical analysis. Ke Yi() 15:46:17 @【Su】Process: ご Float-Sink Mi() So this is quite difficult. If this is really done, it will be very difficult to carry out future work; it’s easy to imagine that the items received in the future will occasionally fail inspection. 【Su】Equipment Management – Ge() 15:46:44 The reason is valid, so there should be no problem. After all, for some wear-prone parts, surely we can’t avoid buying them. 【Su】Equipment Management – Ge() 15:47:22 Why do they break? The relevant department needs to provide a reason. Ke Yi() 15:47:31 @【Su】Equipment Management – Ge: What you’re talking about is an ideal situation, but in many cases, it’s necessary to purchase new equipment when it breaks down; production comes first, and production must always be ensured. 【Su】Equipment Management – Ge() 15:47:42 There’s nothing that can be done about that. 【Zhe】Process and Safety() 15:47:46 Regarding procurement, procurement, production, and technical teams need to work together in coordination. . . Before making a purchase, have production and technical departments provide detailed information on the equipment parameters and models. Once the purchase is finalized, communicate with these departments again, and it is best to confirm everything in writing. 【Su】Equipment Management - Ge() 15:48:08 It’s indeed broken and needs to be replaced; ultimately, it’s necessary to analyze why this keeps happening. 【Su】Equipment Management - Ge() 15:48:35 If the principle is “production comes first,” then replace the equipment whenever it breaks. That’s the purpose of having a department in charge of equipment. Jing-Dong Equipment (71672618) 15:48:51 Wearable parts also have a limited lifespan, and their replacement cycle is generally fixed. 【Zhe】Process & Safety() 15:48:57 Sometimes it’s not because of poor purchases, but rather issues with equipment selection – the material, strength, model, etc., are chosen incorrectly from the start. 【Su】Equipment Management - Ge() 15:49:03 Yes, that’s true when it comes to wearable parts. 【Su】Equipment Management - Ge() 15:49:09 What if it’s not that case? Ke Yi() 15:49:23 @【Su】Equipment Management - Ge In many cases, nothing gets resolved. As someone in procurement, I say it’s due to production or operational reasons, not because of the equipment I purchased. Even though what I say is often correct, it’s difficult for me to explain, as if I say too much, people will think I’m siding with the suppliers. 【Su】Equipment Management - Ge() 15:49:24 For example, some people replace the impeller as often as twice a month. 【Su】Equipment Management - Ge() 15:49:35 Is it due to an incorrect selection or an inappropriate medium? 【Su】Equipment Management - Ge() 15:49:52 @Ke Yi Yes. Ke Yi() 15:49:52 Often, people assume right away that those in charge of procurement are taking bribes. 【Su】Equipment Management - Ge() 15:50:01 That’s all you have to say? 【Su】Equipment Management - Ge() 15:50:38 No matter how good the quality of a device is, if it isn’t maintained, it still ends up the same. 【Zhe】Process & Safety() 15:50:40 One of our large tanks started leaking after less than 2 years of use. Upon analysis, the reason was the wrong material selection; it was corroded by the medium, and leakage was only a matter of time. Can you really blame the procurement department for something like this? Ke Yi() 15:50:53 I can talk about it. 【Su】Equipment Management – Ge() 15:51:00 That’s why it’s necessary to analyze why this happened. 【Su】Equipment Management – Ge() 15:51:37 @Ke Yi The production department says they didn’t violate any procedures; well then, let’s check the records. Ke Yi() 15:52:23 @【Su】Equipment Management – Ge For some components, it’s difficult to determine the status of the equipment clearly. Unlike raw materials, once the items arrive and all their specifications are met, then they’re considered acceptable. 【Su】Equipment Management – Ge() 15:52:31 If these things aren’t properly handled, and there are no records of the equipment’s operation in the workshop, how can we say that they’re operating in accordance with the required standards? They’re the ones who use the equipment directly – how can it be said that there’s no problem with them? 【Su】Process ご Float/Sink ミ() 15:53:02 In the end, it’s still a matter of coordination and communication. Don’t just sit idle – solve the problems. 【Zhejiang】Process and safety() 15:53:07 Equipment maintenance is extremely important; it’s necessary to turn the equipment manually when it’s stopped, lubricate screw valves regularly, and apply anti-corrosion paint every year. Moreover, some items are misused and damaged as a result of excessive force. Ke Yi() 15:53:17 For many spare parts, one only looks at their appearance; some of them are used after being stored for half a year, and problems arise after 2–3 months of use. Is it a problem with the assembly or with the way they’re operated? How can we determine that? 【Su】Process: Floating/Sinking Mi() 15:53:22 Solve the problems first, and the costs will naturally go down. 【Su】Equipment Management – Ge() 15:53:22 Well, this has already reached a point where it’s necessary to be thorough about things; and if you say that, you’ll offend many people. 【Su】Equipment Management – Ge() 15:53:36 Like in terms of equipment operation and the workshop… 【Su】Equipment Management – Ge() 15:53:42 You’re in big trouble now. Ke Yi() 15:53:54 So, in a company, the procurement department is considered insignificant. Ke Yi() 15:54:13 There’s nothing you can do. 【Su】Equipment Management – Ge() 15:54:22 If you’re too close, there’s no respect; if you’re too far away, there’s resentment. 【Su】Equipment Management – Ge() 15:54:28 Right? Guo Qian() 15:54:41 Huh? Isn’t it said that being in procurement is a lucrative position? Ke Yi() 15:54:49 The relationship shouldn’t be too good, nor too bad. 【Shanghai】Permanent magnet speed control() 15:54:51 This is really a serious situation – something that can get you into trouble. 【Jiangsu】Equipment management – Ge() 15:54:53 Even those with high salaries are worried, haha. 【Jiangsu】Process: ご Floating/Sinking ミ() 15:54:58 It seems there’s something wrong with your company’s leadership! Ke Yi() 15:55:07 @Stranded Life is tough. 【Su】Equipment Management - Ge() 15:55:09 It’s not that their leaders have problems. Stuck() 15:55:19 Uh, okay. 【Su】Equipment Management - Ge() 15:55:31 If a leader comes from the equipment field, he’ll definitely understand well. 【Su】Equipment Management - Ge() 15:55:39 Many of the company’s executives aren’t from this industry. Ke Yi() 15:55:44 There are also various types of procurement roles – some get more benefits while others get less. 【Su】Process: ご Float, Sink, Mi() 15:56:05 Our company’s top leaders aren’t from this industry either. Stuck() 15:56:12 As long as they don’t have to deal with tough issues, that’s fine. 【Zhe】Process, Safety() 15:56:13 There’s a lot of profit in procurement for the cafeteria. 【Su】Process: ご Float, Sink, Mi() 15:56:15 That’s really impressive. Ke Yi() 15:56:40 Moreover, in some cases, when there are problems and things need to be split evenly, the leaders always side with production and equipment issues, rather than helping procurement. Ke Yi() 15:57:51 Often, we even have to cover up mistakes related to equipment – everyone in the company knows it’s an issue with equipment operation, but since it’s still within the warranty period, we still have to fight for compensation from the company, arguing that it’s a problem with their equipment itself and demanding warranty coverage or repairs. 【Su】Process: ご Float, Sink, Mi() 15:58:45 Other things are subordinate to production; there’s no bias. But what’s the key here? How to communicate. There’s nothing to complain about; when there are problems in production, it’s those involved in the production process who suffer the most. 【 Su】Craft ご Float/Sink ミ() 15:58:57 Just do your job properly