Soft Dollar Savings of CMMS

By Robin Wilding
Updated: September 08, 2011

Computerized Maintenance Management Software (CMMS) systems are becoming increasingly popular, primarily due to the organization and savings that they bring a company. The easily quantifiable savings like staff reduction and higher production volumes are tangible benefits delivered almost immediately to companies. But, are there savings beyond the easily visible?
Beyond the hard-dollar savings (quantifiable savings) there is a wealth of intangible soft-dollar benefits and savings as well. Traditional soft-dollar benefits include improved customer retention levels and lower employee turnover. Often overlooked soft-dollar benefits and savings lead to:

• Higher employee morale
• Decrease employee turnover
• Better team collaboration and communication
• Increased corporate compliance
• Better overall customer experiences and higher satisfaction
• Reinforced information flow and retrieval
• Soft Dollar Benefits and Savings
• Regulatory Compliance

Most industries have specific rules for regulatory compliance; and these rules are the bane of most companies' existence. Employing a CMMS ensures that you r company complies to pesky compliance regulations. Being compliant will ensure that you avoid penalties and possibly even win additional contracts, clients or bonuses.

Quicker Response

When you have a system in place to ensure certain standards are in place it is significantly easier to approve new regulations. For example if a major on-the-job accident happens companies focus their attention on preventing such accidents in the future and often have to rush through approval processes. CMMS systems ensure that regulations can be put in place and can pass through approval processes with lightening speed.

Greater Employee Acceptance

Creating new rules, regulations and processes is easy. Getting your employees to follow them, not quite so simple. CMMS systems ensure that all processes, old and new, must be followed to the letter. Without a CMMS system your rules may not be followed by your employees, which leads to wasted time by management creating new solutions and lower productivity by staff who are employing a patchwork of rules.
Reduced Breakdowns and Increased Up-Time

Fewer Breakdowns and Increased Up-Time

CMMS systems ensure that all machines and equipment are properly cared for with scheduled maintenance plans, that must be followed to the letter. Without a CMMS system in place scheduled maintenance is often overlooked in times of busy output (when machines need maintenance the most) and breakdowns occur. To calculate to real savings by reduced breakdowns just think of the cost of your production being put out of commission for an hour? A day? A week?

Increased Asset Life

Scheduled maintenance not only assures that you have fewer breakdowns and reduced productivity but also that you get the most out of your assets and machines. Proper maintenance ensures that you get the longest life cycle possible, which cuts down on the exorbitant costs of buying new machines sooner than necessary.