Maintenance Leading and Lagging Key Performance Indicators (KPIs)

KEY PERFORMANCE INDICATORS
Measuring and Managing the Maintenance Function
(Taken from Chapter 6.3 “Rules of Thumb for Maintenance and Reliability Engineers Handbook”)

Maintenance Leading and Lagging Key Performance Indicators
Introduction
“It is not possible to manage what you cannot control and you cannot control what you cannot measure!”
(Peter Drucker)
Performance measurement is a fundamental principle of management. The measurement of
performance is important because it identifies current performance gaps between current and
desired performance and provides indication of progress towards closing the gaps. Carefully
selected key performance indicators identify precisely where to take action to improve
performance.
This paper deals with the identification of key performance indicators for the maintenance
function, by first looking at the ways that maintenance performance metrics relate to
manufacturing metrics. Since performance measurements for maintenance must include both
results metrics and metrics for the process that produces the results, this document presents a
representation for the business process for maintenance. The document then identifies typical
business process and results metrics that can be used as key performance indicators for the
maintenance function.
Physical Asset Management
The purpose of most equipment in manufacturing is to support the production of product destined
to downstream customers. Ultimately the focus is on meeting customer needs. This is illustrated
in Figure 1. Customer expectations are normally defined in terms of product quality, on-time
Figure 1: Managing manufacturing performance requirements to meet customer needs
delivery and competitive pricing. By reviewing the composite requirements of all current
customers and potential customers in those markets we wish to penetrate, the performance
requirements of our physical assets can be defined. Manufacturing performance requirements
can be associated with quality, availability, customer service, operating costs, safety and
environmental integrity.
To achieve this performance there are three inputs to be managed. The first requirement is
Design Practices. Design practices provide capable equipment "by design" (inherent capability),
to meet the manufacturing performance requirements.
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The second requirement is Operating Practices that make use of the inherent capability of
process equipment. The documentation of standard operating practices assures the consistent
and correct operation of equipment to maximize performance.
The third requirement is Maintenance Practices that maintain the inherent capability of the
equipment. Deterioration begins to take place as soon as equipment is commissioned. In addition
to normal wear and deterioration, other failures may also occur. This happens when equipment is
pushed beyond the limitations of its design or operational errors occur. Degradation in equipment
condition results in reduced equipment capability. Equipment downtime, quality problems or the
potential for accidents and/or environmental excursions are the visible outcome. All of these can
negatively impact operating cost.
Manufacturing key performance indicators provide information on the current state of
manufacturing. Asset capability, operating practices and the maintenance of asset condition all
contribute to the ability to meet these performance requirements.
Some typical key performance indicators for manufacturing include operating cost; asset
availability, lost time injuries, number of environmental incidents, OEE and asset utilization.
Consider asset utilization, as depicted in Figure 2. Asset utilization is a manufacturing level key
performance indicator. It is a function of many variables. For example, asset utilization is
impacted by both maintenance and non-maintenance related downtime. Non-maintenance
related downtime may be attributed to lack of demand, an interruption in raw material supply or
production scheduling delays beyond the control of the maintenance function. Asset utilization is
also a function of operating rate, quality and yield losses, etc. In each of these areas maintenance
may be a factor but it is not the only contributor. In order to maintain and improve performance
each function in the organization must focus on the portion of the indicators that they influence.
Similarly, other manufacturing level performance indicators are not only a function of
maintenance. They are affected by causes beyond the control of the maintenance function. Asset
capability, operating practices and the maintenance of asset condition all contribute to the ability
to meet performance requirements. If a manufacturing level indicator is used to measure
maintenance performance, improved maintenance may not result in a proportional improvement
in the manufacturing metric. For instance, in the asset utilization example, cited above, the
3
Figure 2: Asset Utilization is an example of a
manufacturing level key performance indicator.

maintenance contributors may all be positive and yet the resulting asset utilization may not
improve due to other causes.
A key principle of performance management is to measure what you can manage. In order to
maintain and improve manufacturing performance each function in the organization must focus
on the portion of the indicators that they influence. Maintenance performance contributes to
manufacturing performance. The key performance indicators for maintenance are children of the
manufacturing key performance indicators.
Key performance indicators for maintenance are selected ensuring a direct correlation between
the maintenance activity and the key performance indicator measuring it. When defining a key
performance indicator for maintenance a good test of the metric validity is to seek an affirmative
response to the question; “If the maintenance function does ‘everything right’, will the suggested
metric always reflect a result proportional to the change; or are there other factors, external to
maintenance, that could mask the improvement?”
This paper focuses on defining key performance indicators for the maintenance function, not the
maintenance organization. The maintenance function can involve other departments beyond the
maintenance organization. Similarly, the maintenance department has added responsibilities
beyond the maintenance function and, as such, will have additional key performance indicators to
report. The key performance indicators for the maintenance organization may include key
performance indicators for other areas of accountability such as health and safety performance,
employee performance management, training and development, etc.
The Asset Reliability Process
The management of physical asset performance is integral to business success. What we
manage are the business processes required to produce results. One of these business
processes is responsible for the maintenance of physical asset reliability. The Asset Reliability
Process is shown in Figure 3. It is an integral part of a much larger business process responsible
for managing the total enterprise.
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Figure 3: The Asset Reliability Process identifies what's required to manage the maintenance function.
A proactive Asset Reliability Process, represented by the seven (7) elements in the model aims to
deliver the performance required by the enterprise to meet all of its corporate objectives. Each
element within the maintenance process is in itself a sub-process. A brief description of each
element follows:
Business Focus, represented by the green box on the left, focuses the maintenance of physical
asset reliability on the business goals of the company. The potential contribution of the asset
base to these goals is evaluated. The largest contributors are recognized as critical assets and
specific performance targets identified.
Work Identification, as a process, produces technically based Asset Reliability Programs.
Program activities identify and control failure modes impacting on the equipment's ability to
perform the intended function at the required performance level. Activities are evaluated to judge
if they are worth doing based on the consequences of failure.
Planning develops procedures and work orders for these work activities. The procedures identify
resource requirements, safety precautions and special work instructions required to execute the
work.
Scheduling evaluates the availability of all resources required for work "due" in a specified time
frame. Often this work requires the equipment to be shut down. A review of production schedules
is required. Resources are attached to a specific work schedule. The use of resources is
balanced out.
In the Execution process, trained, competent personnel carry out the required work.
The Follow-up process responds to information collected in the execution process. Work order
completion comments outline what was done and what was found. Actual time and manpower, to
complete the job, is documented. Job status is updated as complete or incomplete. Corrective
work requests, resulting from the analysis of inspection data, are created. Requests are made for
changes to drawings and procedures.
The process of Performance Analysis evaluates maintenance program effectiveness. Gaps
between actual process performance and the required performance are identified. Historical
maintenance data is compared to the current process performance. Maintenance activity costs
are reviewed. Significant performance gaps are addressed by revisiting the Work Identification
function.
Each element is important to provide an effective maintenance strategy. Omitting any element will
result in poor equipment performance, increased maintenance costs or both.
For example, Work Identification systematically identifies the Right Work to be performed at the
Right Time. Without proper Work Identification, maintenance resources may be wasted.
Unnecessary or incorrect work will be planned. Once executed, this work may not achieve the
desired performance results, despite significant maintenance costs. Without Planning the correct
and efficient execution of the work is left to chance. The Planned Maintenance Process is a cycle.
Maintenance work is targeted to achieve required asset performance. Its effectiveness is
reviewed and improvement opportunities identified. This guarantees continuous improvement in
process performance impacted by Maintenance.
Within the Planned Maintenance Process two internal loops exist. Planning, Scheduling,
Execution and Follow Up make up the first loop. Once maintenance activities are initially
identified, an asset maintenance program, based on current knowledge and requirements, is
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initiated. The selected maintenance activities will be enacted upon at the designed frequency and
maintenance tolerance limits. The process is self-sustaining.
The second loop consists of the Work Identification and Performance Analysis elements. This is
the continuous improvement loop. Actual asset performance is monitored relative to the required
performance (driven by business needs). Performance gaps are identified. The ‘cause’ of these
gaps is established and corrective action recommended.
Performance Metrics for the Maintenance Function
The Asset Reliability Process represents the collection of ‘all’ tasks required to support the
maintenance function. The process is a supply chain. If a step in the process is skipped, or
performed at a substandard level, the process creates defects known as failures. The output of a
healthy reliability process is optimal asset reliability at optimal cost.
Asset Reliability Process measures are leading indicators. They monitor if the tasks are being
performed that will ‘lead to results’. For example a leading process indicator would monitor if the
planning function was taking place. If people are doing all the right things then the results will
follow. The leading ‘process’ indicators are more immediate than results measures.
Result measures monitor the products of the Asset Reliability Process. Result measures include
maintenance cost (as a contributor to total operating cost), asset downtime due to planned and
unplanned maintenance (as a contributor to availability) and number of failures on assets (the
measure of reliability: this can then be translated into mean time between failures). Results
measures lag. Failure is a good example. Typically the same piece of equipment doesn’t fail day
after day. Take a pump for example. Say the pump fails on average once every 8 months. If we
improve its reliability by 50% it will now fail every 12 months. You have to wait at least 12 months
to see the improvement.
Key performance indicators for the maintenance function need to include both leading
(maintenance process) measures and lagging (result) measures. This paper focuses on
identifying both leading and lagging measures of maintenance performance. Collectively, these
measurements are the key performance indicators for the maintenance function.
Reliability Process Key Performance Indicators – Leading Measures
The maintenance process is made up of elements. All elements are required to complete the
supply chain. Key performance indicators of the maintenance process are process assurance
measures. They answer the question ‘how do I know that this maintenance process element is
being performed well?’ The day-to-day execution of maintenance is addressed through the seven
elements of the Reliability Process; Business Focus, Work Identification, Work Planning, Work
Scheduling, Work Execution, Follow-up and Performance Analysis. Key performance indicators
for each element are recommended.
It should be noted that variations of these metrics may be defined or additional performance
metrics may be used. The metrics presented here provide a clear indication if the requirements of
each element are being satisfied and, if not, what action should be taken to correct the lack of
maintenance process adherence.
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Work Identification
The function of work identification is to identify the ‘right work at the right time.
Work Requests
Initiating a work request is one method of identifying work. Once a work request is submitted it
must be reviewed, validated and approved before it becomes an actual work order ready to be
planned. If the work request process is performing well, the validation and approval/rejection of
work requests should occur promptly.
A suggested measure for the work request process is:
♦ The percentage of work requests remaining in “Request” status for less than 5 days, over a
specified time period (for example the last 30 days). The world class maintenance
expectation is that most work (>80%) requests would be reviewed and validated within a
maximum of 5 days.
Work requests rely on the random identification of problems or potential problems and bringing
them to the attention of maintenance to address them. In a world class organization, work
identification is not left to chance.
Proactive Work
The ‘Asset Maintenance Program’ is designed to identify potential failure conditions, changes in
state of hidden functions and known age related failure causes. The development of the Asset
Maintenance Program defines the routine maintenance tasks that must be executed to achieve
the performance levels required to meet business requirements. If the ‘Asset Maintenance
Program’ is effective, it will successfully identify and address most maintenance preventable
causes of failure.
If the ‘Work Identification’ function is working well, the majority of work performed by maintenance
would consist of executing the Asset Maintenance Program (AMP) tasks and the corrective work
originating from it.
The key performance indicator for the work identification element is:
♦ The percentage of available man-hours used for proactive work (AMP + AMP initiated
corrective work) over a specified time period. The world class maintenance target for
proactive work is 75 to 80%. Recognizing that 5 -10% of available man-hours should be
attributed to improvement work (non-maintenance) this would leave approximately 10% -
15% reactive work.
Work Planning
The primary function of the Work Planning element of the maintenance process is to prepare the
work to achieve maximum efficiency in execution.
Amount of Planned Work
In general terms, planning defines how to do the job and identifies all the required resources and
any special requirements to execute the work. A properly planned work order would include all
this information. Maximizing maintenance efficiency requires a high percentage of planned work.
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A measure of whether planning is taking place is:
♦ The percentage of all work orders, over a specified time period, with all the planning fields
completed (ex. Labor assignments, task durations, work priority, required by date, etc). The
world class expectation is that >95% of all jobs should be planned.
Responsiveness of Planning
Another key performance indicator for planning is the time it takes a work order to be planned. A
suggested measure of this is:
♦ The percentage of work orders in ‘planning status’ for less than 5 days, over a specified time
period. A world class performance level of at least 80% of all work orders processed in 5 days
or less should be possible. Some work orders will require more time to plan but attention
must be paid to 'late finish or required by date'.
Quality of Planning
These key performance indicators for planning do not reflect the quality of the planning being
done. A critical aspect of planning is estimating resources. The quality of planning can be
measured by monitoring the accuracy of estimating. Labor and material resources are the
dominant resources specified on a work order.
The accuracy of estimating labor can be measured by:
♦ The percentage of work orders with man-hour estimates within 10% of actual over the
specified time period. Estimating accuracy of greater than 90% would be the expected level
of world class maintenance performance.
A second metric of planning quality, addressing material estimates, would be:
♦ The percentage of planned, scheduled and assigned work orders, where execution is delayed
due to the need for materials (spare parts) over the specified time period. The world class
maintenance expectation is that less than 2% of all work assigned will have a material
deficiency (due to planning).Note: this assumes the job should not have been scheduled if
the materials were not available. Therefore, the problem is that the work order did not
account for all the required materials.
Work Scheduling
Good planning is a prerequisite to scheduling. The primary function of scheduling is to coordinate
the availability of the asset(s) to be maintained with all the required resources; labor, material and
services creating a schedule to execute ‘the right work at the right time’. The schedule is a
contract between operations and maintenance. The ‘right work at the right time’ implies that this
work must be executed within the specified time period to achieve the desired level of
performance. Failure to execute within the schedule period will increase the risk of failure.
With good work identification, planning and scheduling in place, the weekly maintenance
schedule should be produced several days in advance of the beginning of the schedule period.
There should be confidence that this schedule reflects the work that will be completed through the
schedule period.
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Quality of Scheduling
A key performance indicator for the scheduling function is:
♦ The percentage of work orders, over the specified time period, that have a scheduled date
earlier or equal to the ‘late finish or required by date’. A world class maintenance target of
>95% should be expected in order to ensure the majority of the work orders are completed
before their 'late finish or required-by date.'
A second measure of the quality of scheduling is:
♦ The percentage of work orders assigned “Delay” status due to unavailability of manpower,
equipment, space or services over the specified time period.
Volume of Scheduled Work
The scheduling of properly planned work is also important to maximize maintenance efficiency.
We would anticipate that a high percentage of the available maintenance man-hours would be
committed to a schedule. A second scheduling key performance indicator measures:
♦ The percentage of scheduled available man-hours to total available man-hours over the
specified time period. A world class target of >80% of man-hours should be applied to
scheduled work.
It is not desirable to schedule 100% of available man-hours within a schedule period, because we
recognize that additional work will arise after the schedule has been cast. This includes both
emergency work and other schedule write-ins that must be accommodated during the schedule
period.
Work Execution
Work execution begins with the assignment of work to the people responsible for executing it and
ends when the individuals charged with responsibility for execution provide feedback on the
completed work.
Schedule Compliance
With a high quality of work identification, planning and scheduling, maintenance resources should
execute according to the plan and schedule. Therefore, a key performance indicator of execution
is schedule compliance. Schedule compliance is defined as:
♦ The percentage of work orders completed during the schedule period before the late finish or
required by date. World class maintenance should achieve >90% schedule compliance
during execution.
Quality of Work Execution
Work execution quality is measured by:
♦ The percentage of rework. World class levels of maintenance rework are less than 3%.
Work Order Completion
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The purpose of identifying maintenance process key performance indicators is to help manage
the maintenance process. The ability to successfully monitor and manage the process and
measure the results of the process is highly dependent on gathering correct information during
work execution. The vehicle for collecting this information is the work order. Work orders should
account for ‘all’ work performed on assets. This is necessary to gather accurate maintenance cost
and history data, enabling the management of the physical asset through its life cycle.
A returned work order should indicate the status of the job (complete, incomplete), the actual
labor and material consumed, an indication of what was done and/or what was found and
recommendations for additional work. In addition, information about process and equipment
downtime and an indication of whether the maintenance conducted was in response to a failure
should be provided.
The idea that the job is not done until the work order is completed and returned is a significant
challenge to many organizations. For this reason it is also important to have a key performance
indicator on work order completion. This metric should look at:
♦ The percentage of work orders turned in with all the data fields completed. World class
maintenance organizations achieve 95% compliance.
Follow-up
In the Follow-up element of the maintenance process, actions are initiated to address the
information identified during execution. Some key follow-up tasks include reviewing work order
comments and closing out completed work orders, initiating corrective work and initiating part and
procedural updates as required.
Work Order Closure
Timely follow-up and closure of completed work orders is essential to maintenance success. A
key performance indicator for follow-up is:
♦ The percentage of work orders closed within a maximum of 3 days, over the specified time
period. The expectation is that >95% of all completed work orders should be reviewed and
closed within 3 days.
Performance Analysis
The performance analysis element of the maintenance process evaluates maintenance
effectiveness by focusing on key performance indicators of maintenance results. Gaps between
the actual and required performance of the maintained asset are identified. Significant
performance gaps are addressed by initiating work identification improvement actions to close the
performance gap.
Presence of Performance Analysis
One indication that performance analysis is being executed is the existence of the maintenance
result metrics described under the next section of this paper entitled key performance indicators
of maintenance effectiveness (result measures).
Quality of Performance Analysis
From a maintenance process perspective it is important that these results are driving action.
Therefore, a key performance indicator for performance analysis is a measure of:
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♦ The number of reliability improvement actions initiated through performance analysis during
the specified period. No absolute number is correct but no number suggests inaction.
♦ A second measure is the number of asset reliability actions resolved over the last month. In
other words, a measure of how successful the organization is in performance gap closure.
Key Performance Indicators of Maintenance Effectiveness (Result Measures)
The product of maintenance is reliability. A reliable asset is an asset that functions at the level of
performance that satisfies the needs of the user. Reliability is assessed by measuring failure.
Failures
The primary function of maintenance is to reduce or eliminate the consequences of physical asset
failures. The definition of functional failure is anytime that asset performance falls below its
required performance. Therefore a key performance indicator for maintenance effectiveness is
some measurement of failure on the asset(s). If the maintenance function is effective, failures on
critical assets and thus their consequences should be reduced or eliminated.
Failure consequence impacts manufacturing level key performance indicators. Failure
classification by consequence identifies the contribution of maintenance function to manufacturing
level performance.
Failure consequences are classified into the following categories:
1. Hidden Consequence – there is no direct consequence of a single point failure other than
exposure to the increased risk of a multiple failure (a second failure has to occur to
experience a consequence).
2. Safety Consequence – a single point failure results in a loss of function or other damage
which could injure or kill someone.
3. Environmental Consequence –a single point failure results in a loss of function or other
damage which breaches any known environmental standard or regulation;
4. Operational Consequence – a single point failure has a direct adverse effect on operational
capability (output, product quality, customer service or operating costs in addition to the direct
cost of repair).
5. Non-Operational Consequence – a single point failure involving only the cost of repair.
Therefore, it is important to track:
♦ The number and frequency of asset failures by area of consequence. There is no universal
standard for this metric because of the diversity of industries and even plants within industry
segments. It is however reasonable to expect a downward trend and to set reduction targets
based on current performance levels and business needs.
Maintenance Costs
Maintenance costs are another direct measure of maintenance performance. Maintenance costs
are impacted by both maintenance effectiveness and the efficiency with which maintenance is
performed.
Maintenance maximizes its effectiveness by ensuring that it performs “The Right Work at the
Right Time”. Proactive maintenance means intervening before the failure event occurs. The
impact of proactive maintenance is not only to minimize the safety, environmental and operational
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consequences of failure but also to reduce the cost of maintenance by reducing secondary
damage. For example, if the potential failure of a pump bearing was detected proactively, the
catastrophic failure of the bearing could be prevented. The catastrophic failure of the pump
bearing would likely result in damage to the casing, wear rings, impeller, mechanical seals, etc.
The corrective repair would require an extensive pump rebuild. Utilizing a proactive task such as
vibration monitoring to detect the bearing deterioration permits the scheduled replacement of the
bearing prior to the occurrence of secondary damage. Less secondary damage means that it
takes less time to repair (labor savings) and consumes fewer parts (material savings). The overall
effect is the repair costs much less.
Maintenance costs are also impacted by increasing the efficiency of maintenance. These
efficiency gains are achieved through improved planning and scheduling of “the right work at the
right time”. Published data suggests that companies with estimated wrench times of 25% to 30%
can increase wrench time to between 40% and 60% through better planning and scheduling.
There are several useful maintenance cost related measures:
♦ Maintenance Cost: The target maintenance cost depends on the asset and its operating
context (how the asset is applied and used).
♦ Maintenance Cost / Unit Output: The target maintenance cost depends on the asset and its
operating context (how the asset is applied and used).
♦ Maintenance Cost / Replacement Asset Value of Plant and Equipment: This metric is a useful
benchmark at a plant and corporate level. The world class benchmark is between 2% and
3%.
♦ Total Maintenance Cost / Total Manufacturing Cost: This metric is a useful benchmark at a
plant and corporate level. The world class benchmark is <10% to 15%.
♦ Total Maintenance Cost /Total Sales: This metric is a useful benchmark at a plant and
corporate level. The world class benchmark is between 6% and 8%.
Maintenance Related Downtime
The maintenance function’s impact on asset availability is through minimizing downtime attributed
to maintenance. This includes both scheduled and unscheduled maintenance related downtime.
A key objective of proactive maintenance is to identify potential failures with sufficient lead-time to
plan and schedule the corrective work before actual failure occurs. If the maintenance function is
successful unscheduled maintenance related downtime will be reduced.
It is equally important to measure scheduled downtime. The work identification element of the
maintenance process strives to eliminate unnecessary scheduled maintenance by focusing on
only performing the ‘right work at right time’.
Through more formal work identification and enhanced planning and scheduling shutdown
overruns should be minimized.
Useful key performance indicators associated with asset downtime attributable to maintenance
are:
♦ Unscheduled downtime (hours)
♦ Scheduled downtime (hours)
♦ Shutdown overrun (hours)
Note: It is useful to distinguish between ‘equipment down’ where a specific piece of equipment is unavailable and ‘process
down’ where production has stopped.
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The Importance of the Work Order
Implementation of the suggested key performance indicators for the maintenance function
requires a reliable source of data on asset failures, maintenance costs and downtime. Any time
maintenance is performed on an asset a record should be kept. The vehicle for collecting this
data is the maintenance work order.
Whenever maintenance is performed against an asset, work order completion data should
include the following information:
♦ Identification of the asset at the level in the asset hierarchy where the work was performed.
♦ Date, time and duration of the maintenance event.
♦ An indication if failure has occurred: yes or no (no if proactive)
♦ When failure has occurred, identification of the failure consequence: {hidden, safety,
environment, operational (product quality, throughput, customer service, operating costs) or
non-operational involving only the cost of repair only}
♦ actual costs (labor, materials, services, etc)
♦ process downtime (loss of production)
♦ asset downtime (equipment out of service but process still able to produce)
Queries in your computerized maintenance management system can then be developed to track
and report key performance indicators for asset failure, maintenance costs and downtime.
Reporting and Use of Key Performance Indicators
Key performance indicators should be aligned with defined roles and responsibilities for the
maintenance function against the assets for which they apply. For example, a planner responsible
for ‘Area A’ would be responsible for the planning function key performance indicators for the
‘Area A’ assets.
The manager responsible for ‘Area A’ assets would monitor all process and result metrics for
Area A. Each metric should roll up the asset hierarchy, in alignment with individual responsibility
for the assets. Management action is directed at improving compliance with the requirements of
Work Identification, Planning, Scheduling, Execution and Follow-up. In this way, the process is
managed leading to world class results. This logic is repeated at each level of management in the
organization. At the plant and/or corporate level, management is exercising accountability for
plant-wide maintenance metrics, both process and results.
Conclusion
Maintenance and reliability business process metrics (leading indicators) provide a clear
indication of compliance to the maintenance business process. They indicate where to take
specific action because of a gap in the way maintenance is being performed.
This gap in the execution of the maintenance process will ‘eventually’ lead to asset failure(s). The
consequence of these failures translates into poor manufacturing performance.
Therefore, maintenance, reliability, engineering and operations need to work together to define
and measure the leading indicators for the Asset Reliability Process (the seven elements required
to support the maintenance function). The result will be optimal asset reliability at optimal cost –
the output of a healthy Asset Reliability Process.
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If you would like a copy of this paper please send your request to
rsmith@peopleandprocesses.com
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Appendix 1: Summary of Maintenance Key Performance Indicators
Type of
Measure
Measuring Key Performance Indicator World Class Target Level
1
Result
Lagging
Cost Maintenance Cost Context specific
2
Result
Lagging
Cost
Maintenance Cost / Replacement
Asset Value of Plant and Equipment
2 - 3%
3
Result
Lagging
Cost
Maintenance Cost / Manufacturing
Cost
< 10 – 15%
4
Result
Lagging
Cost Maintenance Cost / Unit Output Context specific
5
Result
Lagging
Cost Maintenance Cost / Total Sales 6 - 8%
6
Result
Lagging
Failures Mean Time Between Failure (MTBF) Context specific
7
Result
Lagging
Failures Failure Frequency Context specific
8
Result
Lagging
Downtime
Unscheduled Maintenance Related
Downtime (hours)
Context specific
9
Result
Lagging
Downtime
Scheduled Maintenance Related
Downtime (hours)
Context specific
10
Result
Lagging
Downtime
Maintenance Related Shutdown
Overrun (hours)
Context specific
11
Process
Leading
Work
Identification
Percentage of work requests remaining
in “Request” status for less than 5
days, over the specified time period.
80% of all work requests should be
processed in 5 days or less. Some
work requests will require more time
to review but attention must be paid to
'late finish date' or required by date.
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Process
Leading
Work
Identification
Percentage of available man-hours
used for proactive work (AMP + AMP
initiated corrective work) over a
specified time period.
Target for proactive work is 75 to
80%. Recognizing 5 -10% of available
man-hours attributed to redesign or
modification (improvement work) this
would leave approximately 10% - 15%
reactive.
13
Process
Leading
Work
Identification
Percentage of available man-hours
used on modifications over the
specified time period.
Expect a level of 5 to 10% of man-
hours spent on modification work.
14
Process
Leading
Work Planning
Percentage of work orders with man-
hour estimates within 10% of actual
over the specified time period.
Estimating accuracy of greater than
90% would be the expected level of
performance.
15
Process
Leading
Work Planning
Percentage of work orders, over the
specified time period, with all planning
fields completed.
95% + should be expected. Expect a
high level of compliance for these
fields to enable the scheduling
function to work.
16
Process,
Leading
Work Planning
Percentage of Work Orders assigned
“Rework” status (Due to a need for
additional Planning) over the last
month.
This level should not exceed 2 to 3%.
17
Process,
Leading
Work Planning
Percentage of Work Orders in “New” or
“Planning” status less than 5 days,
over the last month.
80% of all work orders should be
possible to process in 5 days or less.
Some work orders will require more
time to plan but attention must be paid
to 'late finish date'.
18
Process,
Leading
Work
Scheduling
Percentage of work orders, over the
specified time period, having a
scheduled date earlier or equal to the
late finish or required by date.
95%+ should be expected in order to
ensure the majority of the work orders
are completed before their 'late finish
date.'
19
Process,
Leading
Work
Scheduling
Percentage of scheduled available
man-hours to total available man-hours
over the specified time period.
Target 80% of man-hours applied to
scheduled work.
20
Process,
Leading
Work
Scheduling
Percentage of Work Orders assigned
“Delay” status due to unavailability of
manpower, equipment, space or
services over the specified time period.
This number should not exceed 3 to
5%.
21 Process, Work Percentage of Work Orders completed Schedule compliance of 90%+ should
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Type of
Measure
Measuring Key Performance Indicator World Class Target Level
Leading Execution
during the schedule period before the
late finish or required by date.
be achieved.
22
Process,
Leading
Work
Execution
Percentage of maintenance work
orders requiring rework.
Rework should be less than 3%.
23
Process,
Leading
Work
Execution
Percentage of work orders with all data
fields completed over the specified
time period.
Should achieve 95%+. Expectation is
that work orders are completed
properly.
24
Process,
Leading
Work
Follow-up
Percentage of work orders closed
within 3 days, over the specified time
period.
Should achieve 95%+. Expectation is
that work orders are reviewed and
closed promptly.
25
Process,
Leading
Performance
Analysis
Number of asset reliability
improvement actions initiated by the
performance analysis function, over
the specified time period.
No number is correct but level of
relative activity is important. No
actions being initiated when lots of
performance gaps exist is
inappropriate.
26
Process,
Leading
Performance
Analysis
Number of equipment reliability
improvement actions resolved, over
the specified time period. (Did we
achieve performance gap closure)
This is a measure of project success.
16

Appendix 2: Example of How Maintenance KPI’s Are Used
17

Maintenance Leading and Lagging Key Performance Indicators (KPIs)

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Maintenance Leading and Lagging Key Performance Indicators (KPIs)