It’s not surprise that facility managers are involved in many levels of operational tasks that affect the future cash flow of the organization. In fact, managers are gaining new insights into the significance of their duties in terms of delivering Value Driven maintenance (VDM) strategies to the organization, notes the Plant Services website.
What is VDM exactly? It is not about finding the least expensive products, or replacement parts to keep down costs. It is a process that computes future annual cash flow from the following factors:
* asset utilization
* overall cost controls
* resource allocation
By identifying areas that will return the best in future cash flows for the company, supervisors may consider how effective their preventive maintenance strategies have been, for example; the latter may fall under the category of ‘resource allocation,’ where by certain personnel are involved with repetitive maintenance processes.
Doubling up on time could be eliminated by using technology, such as remote sensing devices and computer software to monitor inventory control (asset utilization) procedures; this, to reduce downtime by ‘knowing’ the life cycle of parts and equipment.
In short, a dollar’s value today will be worth more than, say, a year from now; consequently, by getting the most value out of the entire maintenance program will assure better cash flow in the future.
A lack of set maintenance procedures can contribute to huge repair costs (cost control!), which impacts cash flows and reducing competitive advantages.
As noted in the Plant Services overview:
“...maintenance can help to increase a company’s economic value…greater machine availability results in more products, more income, and thus higher value. On the other hand, lower maintenance costs produce higher value by avoiding expenditure. The same applies to resource allocation. One example is a technical storeroom. Smarter inventory management of spare parts can enormously increase value for a company.”
When you’re making plans to hire an employee-or-two, or looking for that career change, be sure to contact us. Our web portal is one of the most comprehensive sites for facility maintenance positions on the Internet today.