Lean Maintenance Reliability & Uptime

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Automated Factory Uptime

How To Increase Reliability & Profits in a Stagnant Economy

Which is the best way to increase profits?

Should you first focus on;

  1. Increasing your sales?  or
  2. Reducing your costs?

The table below will help you answer:

  1. What is your net profit percentage?
  2. What increase in sales is needed to increase profits by $10,000?
  3. What amount of cost reduction is required to increase profits by $10,000?

% Net Profit
from Sales

Required Sales Increase

Required
Cost Reduction

15%

12%

10%

8%

6%

5%

4%

3%

2%

1%

$66,667

$83,333

$100,000

$125,000

$166,667

$200,000

$250,000

$333,333

$500,000

$1,000,000

$10,000

$10,000

$10,000

$10,000

$10,000

$10,000

$10,000

$10,000

$10,000

$10,000

    Of course when the economy is growing or your market niche is growing, every company wants to expand sales and market share.  But, what is the most immediate and long lasting way to increase annual profits?  Reduce costs?

    Amemco will help you sharply increase profits and uptime by eliminating 70% - 92% of your unscheduled equipment downtime and related overhead – within 30 days!  A side benefit is that our process hardens your systems against terrorists attack, heat, lightning, power surges, as well as other catastrophic events and chronic stresses.  The process readies your new and old equipment for true Lean Manufacturing capability and Six Sigma reliability, uptime and increased profits.

 Why have Amemco help maximize uptime? 

    Because, Amemco has over 25 years of experience in minimizing costs by maximizing equipment and systems uptime for medium and large companies like yours, nation wide.  This expertise is needed for just a few weeks to turn things around and put you on a permanent course of increased profits with improved equipment uptime and productivity.  If you had people with this same level of expertise, they should have made these improvements already.  If they haven’t done it already, it is usually because they won’t or they don’t know how.  Being an outside consulting firm, Amemco sees no advantage or reason for frequent malfunctions, failures and downtime.   Our mission purpose is to eliminate downtime and increase client profits.

Your ROI for Engaging Amemco?

   This is a simple calculation.  Just subtract our consulting fee and the cost to install the resulting recommendations from the profits reaped by increasing uptime, productivity and eliminated downtime.  To complete this calculation you simply need to get a good handle on your “cost of downtime”:

Total Cost of Downtime  =  Repair parts & labor  +  Scrap & Error Costs  +  (Hours of DT  x  Hourly cost of $Downtime)

Compare or average this with the cost of Outsourcing:

Hourly cost of $Downtime  =  Cost of outsourcing (the hourly shop rate) - less 10%

    Calculate your Savings (increased profits) by looking at the difference between your current Total Cost of Downtime or Average $DT above and the reduced downtime costs enjoyed by other Amemco clients:

            50% reduced machine tool downtime

            80% reduced hydraulic systems repair costs & downtime

            92% reduced D.T. on electronic, computer, automation, telecom systems, etc.

  If you had done this two years ago, what would your profits have been by now?

Stop to Calculate here:

 

Downtime - Your #1 Overhead Expense

Commonly maintenance downtime is the companies largest overhead expense. Yet maintenance costs are just a fraction of the associated downtime losses. Both maintenance costs and downtime losses can be shifted to your bottom line profits, when equipment reliability and uptime are maximized.

What is it Amemco really does to boost uptime?

E-mail us to request Amemco's Free seven (7) page report:

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