Outsourcing maintenance can provide some advantages, such as reducing labor costs and overheads, accessing specialized skills and expertise, improving flexibility and scalability, enhancing quality and performance, and focusing on core competencies and strategic goals. By paying only for the services you need when you need them and leveraging the experience of external providers, you can avoid hiring, training, and retaining in-house staff. Additionally, you can adjust the scope and frequency of maintenance according to changing needs without affecting core operations. This will also free up your time and resources for more value-added tasks.
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Outsourcing maintenance…. if that is your only option, then okay. Conversely there are some organizations that could have permanent in-house staff but choose to contract it out anyway. Reason: They don’t want to stray from their primary business objective. The downside of outsourcing is (1) there is no incentive to reduce reactive maintenance, (2) work order updates may be minimalistic, (3) poor information sharing between contractor and client, (4) they probably don’t employ planners, and (5) they see no need to keep a job plan library or failure history. And the absolute worse omission is the lack of a weekly maintenance schedule. The client-to-contractor instruction says, “You pick the work you’re going to do from the backlog.”
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A good first question to ask is, do we have the skills to perform the corrective or preventative maintenance task in house? Any high performing maintenance team will answer yes. However, speed of maintenance needs to be taken into account. When given the time and resources, a high performing, well trained maintenance team can figure it out and be successful. However, if asset criticality and uptime come into play, there’s often not time to “figure it out.” Outsourcing certain tasks not only benefits the speed of critical asset maintenance, but can also be great training opportunities for in house staff. Outsource it enough times and you and your team gain confidence in the ability to perform said task with equal quality and greater speed.
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Ramzi Aljilany
Senior Instrument and Control Technician at OMV | +40K Followers | +17.7M Impressions
Outsourcing maintenance can be an incredibly beneficial solution for businesses:- - It can help reduce labor costs as it involves hiring external companies or individuals to take care of operations and maintenance tasks. This means that businesses can benefit from the expertise and knowledge of experienced professionals, without having to pay the cost of hiring their own staff. - It can also help businesses to reduce their overhead costs, such as the cost of purchasing and maintaining equipment and tools. This means that the overall cost of operations can be significantly reduced, providing businesses with more financial freedom.
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In my company, complex jobs that required particular tools and abilities, as well as well-equipped workshops and space, such as diesel generator overhauling, were outsourced. On the other side, jobs that were previously done by third parties at a great expense, such as pressure relief equipment overhauling and certification, were trained locally, and a testing and certification machine was purchased to complete the entire operation in house. By following such strategies, company reduce much of expenditures and achieve cost reduction targets.
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According to Quélin, B., Motlow, D., 1998. Outsourcing: A transaction cost theory approach. The five main reasons to outsource can be listed as (Quélin and Motlow, 1998): 1. Ability to refocus on strategic activities 2. Realization of economies of scale by the service provider 3. Development of reorganization policy 4. Technological reasons 5. Globalization of markets
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Em experiências que já vivenciei com terceirizações de atividades de manutenção pude observar que três fatores foram fundamentais para a tomada de decisão, sendo eles complexidade da atividade, custos envolvidos, segurança embarcada em conjunto com a prestação do serviço. São três temas que corroboram para um debate extenso, mas são extremamente relevantes na hora de colocar na "balança".
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La decisión de tercerizar o no, debe ser evaluada detalladamente en cada Organización, en cada caso y momento. Hoy en día, todas las Organizaciones dependen en mayor o menor medida de Contratistas para realizar sus operaciones y actividades. Tal como vengo sosteniendo, desde hace más de 10 años, en diversos artículos, Conferencias realizadas y Capacitaciones impartidas, la Tercerización es una excelente herramienta, que cuando es bien evaluada y gestionada, brinda flexibilidad y beneficios.
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Outsourcing is a very valuable tool and a valid strategy , as long as you realize you outsource the tasks, not the responsibility. "It is not a set it and forget it" solution. In all my work I have done with 3rd party suppliers I have constantly pushed them to improve and help me and my organization improve as well. Might not always be appreciated, but I would say almost all benefited from it.
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Pros: Shifting risk, specialized skills, flexibility Cons: Cost, transparency, administration My half a cent🤣🤣..........
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Los beneficios que se listan en este apartado, en cuanto acceder a más habilidades, conocimientos, tener mayor flexibilidad, o mejorar la calidad y la productividad, dependerán si se realiza un adecuado proceso de contratación y administración de Contratistas. Esto, comienza en especificar correctamente para sentar las bases para seleccionar correctamente a los Contratistas. En caso contrario, la tercerización podría causar perjuicios a la Organización, como vengo sosteniendo hace más de 10 en mis Artículos, Conferencias y Cursos.
Outsourcing maintenance can present some challenges, such as losing control and visibility over your processes and schedules, and relying on external providers for availability, reliability, and accountability. Coordination and communication costs may increase due to managing multiple contracts and relationships. Additionally, there is a risk of transferring responsibilities and assets to external providers who may not have the same commitment or security as your internal team. It is also possible that outsourcing maintenance can reduce your competitive advantage and innovation potential, as well as create potential conflicts between your interests and those of external providers.
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The biggest risk in the short-to-medium term is the Team. When outsourcing, all of the maintenance personnel are forced to become employees of the contractor. Even if it's just a "formality", it's insulting and degrading to most long-term company employees to interview for their own job. Usually this means loss of benefits, seniority, job security, etc and you WILL see attrition. Maybe they raise the pay. If your company currently does not spend enough on maintenance in it's current state and financial pressures are to reduce, your company has built a cost model that is not sustainable. There are successful examples of this working but in my experience the problem is much deeper than who's doing the maintenance.
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Not only does outsourcing maintenance become another vendor/project management task, subject to administrative controls, change order/budget management, quality control, etc., outsourced contractors typically do not know your site as well as your in-house staff. What is your operating environment? What is your process? What is the run time schedule? What are the operating parameters? These are all questions that come into play when outsourcing maintenance - especially corrective maintenance - which all come into play when creating your PM schedule and/or your equipment breakdown. External maintenance providers don’t know the answers to these questions without internal support.
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One of the most drawback of outsourcing is the time delay. Unless outsourced contractor is within the boundaries of field or nearby, the response to call request takes much than expected or planned. Also mobilizing equipment in/out field to contractor associated security and transportation risks especially in instable hot countries. That could lead to loss production in worst case or badly effect the reliability as well as availability of facilities. In order to overcome such situations costly equipment redundancy strategies should be adhered.
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Ramzi Aljilany
Senior Instrument and Control Technician at OMV | +40K Followers | +17.7M Impressions
I think, Outsourcing maintenance can present some challenges, such as losing control and visibility over the process. Without having insight into how the work is being done, it can be difficult to ensure the quality of the services you are receiving. Moreover, if the process isn't well-managed, you may experience delays in resolving issues or even complete failure to meet expectations. The key to successfully outsourcing maintenance is to establish clear goals and expectations and track progress regularly. Make sure to have a clear timeline and plan in place, and don't hesitate to ask questions and get feedback from those providing the services.
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Tal como vengo planteando desde mi primer artículo sobre Tercerización del año 2013, el éxito de la Tercerización de Mantenimiento, depende de una adecuada definición de la misma, lo cual comienza en la Especificación Técnica y el Pliego de Contratación, y si esto falla, pueden presentar innumerables inconvenientes, sobrecostos y pérdidas.
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La propia Norma ISO 55001, incluye en el apartado 8.3 consideraciones para la tercerización de actividades de Gestión de Activos. Lo cual, incluye al Mantenimiento. Este punto, explícitamente, brinda indicaciones para que la Organización contratante asegure la Planificación y el control para el logro de los objetivos. Aspectos, sobre los cuales vengo insistiendo en los Artículos, Conferencias y Cursos, desde antes de la existencia de esta Norma. Quien está a cargo de la gestión, no puede caer en el grave error de deslindarse de la responsabilidad sobre las actividades que están tercerizadas.
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On top of all these, it will leave you open and vulnerable to market instability, as today's planned maintenance cost might double by the next one, thus managing budgets becomes a game of luck, not careful planning.
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As desvantagens da terceirização são: * Rotatividade da equipe; * Falta de compromisso dos colaboradores perante as instalações;
There is no definitive answer to whether you should outsource your maintenance activities or not, as it depends on various factors such as your current and future maintenance needs, resources, capabilities, and competencies. To make an informed decision, you should assess your current situation and identify any gaps or opportunities for improvement. Additionally, you should define desired outcomes and performance indicators for your maintenance function, evaluate potential external providers, compare the costs and benefits of outsourcing versus keeping in-house, negotiate the terms and conditions of the outsourcing contract, and monitor and evaluate the performance of the arrangement. Ultimately, outsourcing maintenance can be beneficial or detrimental for your organization depending on how you approach it; by weighing the pros and cons and following a systematic process to decide whether and how to outsource, you can optimize your maintenance function and achieve your organizational goals.
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There will always be jobs that need specialized outsourcing, but creating a core staff maintenance team should be a goal approached with careful planning, performance reviews and team skill growth. Success is a journey, not just a box to tick.
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Before you decide whether to outsource or not, develop an outsourcing strategy that addresses questions like: what work needs to be done on what equipment? what skills does that require? do we have the skills in-house or can we develop them and then sustain those skills? If you don't have the skills and don't want / can't develop them then where can you source them reliably and at the right quality? Does the likely costs support outsourcing or does it change the picture? If the decision to outsource stands then make sure you focus on how you will manage this work. Ensure you at least have the capability in-house to manage the work (that means a decent understanding of the work technically or you will likely be 'taken to the cleaners').
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The complex jobs that required particular tools and abilities, as well as well-equipped workshops and space, such as diesel generator overhauling, in my opinion should be outsourced. On the other side, jobs that required to be done by third parties at a great expense, such as pressure relief equipment overhauling and certification, I believe if, the local staff trained to be qualified and certified, and a required testing and certification machine was purchased to complete the entire operation in house, it will be much cost effective and more reliable.
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Ramzi Aljilany
Senior Instrument and Control Technician at OMV | +40K Followers | +17.7M Impressions
My point of view, Outsourcing maintenance activities can be a great way to save time and money, especially for businesses with limited resources. By outsourcing, businesses can focus on core competencies and leave non-essential tasks to specialized service providers. This can also help reduce overhead costs, as businesses don’t need to hire additional personnel to handle maintenance activities. However, there are potential drawbacks to outsourcing maintenance activities. For example, depending on the provider you choose, you may not have control over the quality or speed of the services you receive. Additionally, there may be language and cultural barriers to consider when outsourcing.
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La evaluación de las necesidades de tercerización se debe realizar en base al tipo de tareas de mantenimiento que requiere el equipamiento e instalaciones y carga por tipo de especialidad a lo largo del año. Además, es conveniente analizar si se dispone de las capacidades internas para realizar las dichas tareas.
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I don’t like outsourcing, and probably nobody, but almost everyone using it. General guidance, like “keep core activities inside” and outsource the rest not really helping. I think that there are no rules here. If you find good subcontractor - keep him, this is not less important than to keep employees.
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Este apartado del artículo, menciona un aspecto sobre el que vengo advirtiendo hace más de 10 años en mis Artículos, Conferencias y Cursos, la Tercerización puede generar perjuicios operativos y económicos. La tercerización puede aportar grandes beneficios y ventajas, cuando ha sido bien definida, estructurada y gestionada. Otro punto muy relevante, es que debe existir en el mercado donde opera la Organización, proveedores idóneos y con capacidad de respuesta, en los tiempos que la Operativa lo demanda. Se debe analizar cada caso en profundidad, para tomar la mejor decisión.
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Na minha experiência profissional posso dizer que a terceirização da manutenção funciona quando o principal motivo não é o custo de manutenção. Devemos terceirizar quando o foco é ter acesso a novas tecnologias e especialistas.
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O gestor antes de pensar em terceirizar ou não o serviço, precisa entender qual é a sua realidade e colocar na ponta do lápis os pontos positivos e negativos da terceirização, e entender se de fato essa mudança vai ajudar ou atrapalhar no dia a dia.
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Externalizar actividades de #mantenimiento, son definitivamente decisiones estrategicas y por tanto deben estar alineadas con el plan de negocios de la organización. Decisiones como estas, generan una serie de riesgos que deben ser evaluados previamente y requieren se genere un plan de acción. En mi experiencia, considero no conveniente externalizar actividades medulares de las organizaciones, ya que implica depender de los contratistas de servicio. Outsourcing #maintenance activities are definitely strategic decisions and therefore must be aligned with the organization's business plan. Decisions like these generate a series of risks that must be previously evaluated and require the generation of an action plan.
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A decision to outsource is one thing, you then need to develop a contracting framework that ensures you get what you need. So many outsourced maintenance solutions fail to meet expectations and very often it is because there was gross misalignment between the company objectives and the contractor objectives. And contract incentivization using KPIs very often drives unexpected outcomes and poor behaviours. Outsourcing maintenance is an easy decision, but it is not easy to do well.
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Questions to Consider for In-House Maintenance vs. Outsourcing: ROI and Sustainability: Is in-house maintenance cost-effective when factoring in investments such as training, overhead, and benefits? How sustainable is this approach in the current market versus market changes? Response Time Requirement: Does your site demand a rapid response time that only in-house maintenance can deliver? How critical is quick maintenance response to your operations? Safety and Liability: Are there safety and liability concerns that must be taken into account? For on-site maintenance, does it necessitate additional insurance coverage? For outsourced maintenance, how will assets and personnel be safeguarded against potential risks?
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Tal como lo vengo señalando hace más de 10 años, en distintos Artículos y Conferencias sobre Tercerización, es clave alinear los objetivos con los Contratistas para evitar pérdidas y perjuicios. Tanto en nuestra Capacitación de Administración de Contratistas de Mantenimiento, como también, en el Programa de perfeccionamiento en Contratación y Tercerización de Servicios para Mantenimiento y Proyectos Industriales, abordo como los aspectos a tener en cuenta para que la Tercerización aporte a los resultados de la Organización.
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In my opinion, the decision to outsource or in-house will come back to needs and our maintenance strategy. If the task is related to core, strategic and principles, we can still use in-house team. However, if the task is general and the task can be delegated then it would be better if we could use an outsourced team. pros: flexibility, low cost, get skilled manpower, less overhead costs, less training, less staffing problems. However, with a special note, we should ensure that the agreement is made clearly regarding tasks, responsibilities, KPIs, etc. So after knowing the needs, we can more easily determine the strategy we need, whether in house, outsource or both.
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Sobre las conclusiones que ahora incluye la IA en este artículo, en el que había colaborado anteriormente, sólo en parte tratan de algunos aspectos relevantes de la tercerización, como es la construcción de relaciones de mutúo beneficio. Si bien, estos artículos colaborativos entrenan la IA. Las conclusiones muestran los sesgos, los cuales se deben tener en cuenta a la hora de su utilización en distintas aplicaciones.
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Par expérience il nous faut les deux internes et externes. L'externe permet de former et de soulager le service maintenance et l'interne permet la réactivité ainsi que le suivi
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In any case, Maintenance contracting should be in line with your business objectives. For example, you need to decide which key skills you must keep inside your organisation to make sure your are driving your Asset Management Strategy. At the same time, every organisation should make sure not to become dependent of the subcontractor.
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Eu já vivenciei as duas situações, equipes orgânicas que se tornaram terceiras, e equipes terceirizadas que vivaram orgânicas. Tecnicamente falando, essas mudanças não afetaram o dia a dia da manutenção predial, o que mudou foram as tratativas com os gestores, mas no campo não tive grandes problemas.
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Augusto Palza Bernuy
Superintendente de Mantenimiento | MBA | Máster en Gestión de Mantenimiento
(edited)He tenido la oportunidad de trabajar en operaciones donde se externalizaron gran número de servicios especializados así como en faenas que la externalización se hizo muy complicada dada la conyuntura de formación. En mi opinión la mayor ventaja de la terciarización es el control y la exigencia de entrega de resultados esperados por la organización, dado que, se establecen valores contractuales que garantizan el cumplimiento de estos, mientras que la ejecución de servicios con recursos propios facilita la desviación del enfoque de la atención específica de los activos, generando en muchos casos, caer en niveles dificiles de recuperar en el largo plazo.
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It is more scalable to outsource the maintenance especially in APAC region while it takes up a lot of attention and effort to do it by ourselves if the services relate to physical products and goods. It means you need the local team to do the ground work. Moreover, it means that there is a risk to have a variable service level to a certain extent. There has to be an effective standard training to ensure the representatives are up to the level that you would like to have.
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