SAP Service And Enterprise Asset Management Processes

Gaining Competitive Advantage with Better Asset Management Processes These are challenging times for companies in capital-intensive industries like discrete and process manufacturing, chemicals, petroleum, utilities, mining, aerospace and defense, metals and metal products, forest products and paper, building materials, and facilities and infrastructure management. Experts estimate that maintenance costs in these industries – which can represent 20% to 40% of operating costs1 – have risen an average of 10% to 15% per year since 1979.2 These experts also state that up to one-third of the nearly $1T spent annually for maintenance may actually be unnecessary.3

Companies are under increasing pressure to reduce costs, meet tougher performance and production targets, comply with regulatory requirements, and maximize return on assets. Those with vision are looking for opportunities to reduce the cost of maintaining their assets, improve the performance and extend the life of those assets, speed up information and decision making, and gain competitive advantage by optimizing business processes throughout the asset life cycle. A new, more collaborative and integrated approach to enterprise asset management (EAM) can yield significant savings and improve the operational performance of your asset investments. This new approach spans all phases of the asset life cycle – investment planning, specification, design, asset construction, operations and maintenance, and, ultimately, decommissioning and disposal.