Exploring BPO Solutions for Predictive Maintenance and Asset Optimization

In today's data-driven world, reliable, real-time data is crucial for informed decisions and successful predictive maintenance. This article explores outsourcing vs. in-house for predictive maintenance, discussing BPO's role, advantages, and challenges in choosing a provider.
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In today’s data-driven world, access to real-time and accurate data is crucial for facilities to make informed decisions. Having reliable data is necessary to implement a successful predictive maintenance program and optimize facility productivity and assets.

However, facility managers may debate whether to outsource or keep predictive maintenance activities in-house. Understanding key factors can help organizations decide if business process outsourcing (BPO) is the right choice.

This article explores the role of BPO solutions in predictive maintenance, its key advantages and potential challenges, and factors to consider when choosing a provider.

Why Outsourcing Makes Sense for Predictive Maintenance

Why Outsourcing Makes Sense for Predictive Maintenance

According to industry estimates, downtime costs facilities at least 5% to 20% of their production capacity. A solution to avoid this expensive problem is predictive maintenance.

Predictive maintenance programs help determine the conditions of assets and equipment to forecast when maintenance activities are necessary. This strategy results in cost savings via routine-based preventive maintenance, where maintenance is only performed when justified.

So, what is BPO? BPO solutions for predictive maintenance leverage multiple technologies, including predictive analytics, artificial intelligence (AI), and the Internet of Things (IoT). Outsourcing vendors help with the following:

  • Monitoring a network of connected assets
  • Automating parts of maintenance activities
  • Integrating maintenance management tools

Maintenance management tools include a computerized maintenance management system (CMMS), enterprise resource planning (ERP), and manufacturing execution systems (MES).

Outsourcing predictive maintenance and asset optimization can be a strategic move to improve the reliability, efficiency, and longevity of your equipment and infrastructure.

BPO Solutions for Predictive Maintenance

Here are key predictive maintenance tasks BPO providers can take on:

Outsourced ProcessFunctions
Data Collection and Monitoring
  • Install and configure sensors and data collection devices on critical equipment and assets.
  • Collect data on asset performance continuously, including temperature, pressure, and vibration.
  • Implement remote monitoring and real-time data analysis.
Data Analysis and Predictive Modeling
  • Develop predictive models and algorithms that use historical data to anticipate equipment failures.
  • Analyze data to identify patterns, anomalies, and potential issues.
  • Utilize machine learning (ML) and AI techniques to improve accuracy.
Condition Monitoring and Assessment
  • Assess the condition of assets and equipment regularly using the collected data.
  • Generate condition reports and prioritize maintenance based on the assessed conditions.
Maintenance Planning and Scheduling
  • Develop maintenance schedules and plans based on predictive insights.
  • Optimize maintenance activities to minimize downtime and reduce costs.
  • Coordinate with maintenance teams to ensure timely execution.
Inventory Management
  • Maintain an inventory of spare parts and materials needed for maintenance and repairs.
  • Ensure the availability of critical spare parts to avoid delays in asset maintenance.
Asset Performance Metrics
  • Define key performance indicators (KPIs) for assets and equipment.
  • Measure and track asset performance continuously against KPIs.
  • Provide regular reports on asset performance to stakeholders.
Root Cause Analysis
  • Investigate and identify root causes of asset failures and performance issues.
  • Implement corrective actions and process improvements to prevent future issues.
Vendor and Contractor Management
  • Manage relationships with maintenance service providers, contractors, and vendors.
  • Evaluate vendor performance and compliance with service-level agreements (SLAs).
Compliance and Regulations
  • Ensure maintenance activities comply with relevant safety and environmental regulations.
  • Stay current with regulatory changes and adjust maintenance practices as necessary.
Cost Control and Budgeting
  • Develop and manage a maintenance and asset optimization budget.
  • Implement cost-saving measures without compromising asset performance.
Technology Updates
  • Stay current with advances in predictive maintenance technologies and tools.
  • Recommend and implement upgrades to hardware and software systems.
Training and Skill Development
  • Train maintenance teams and staff on using predictive maintenance tools and techniques.
  • Promote a culture of continuous learning and skill development.
Risk Management
  • Identify potential risks and vulnerabilities in asset management.
  • Develop risk mitigation strategies and contingency plans.
Reporting and Communication
  • Communicate the results of predictive maintenance activities regularly to relevant stakeholders.
  • Ensure transparency and collaboration with management, operations, and other departments.
  • Implement a culture of continuous improvement, seeking ways to enhance asset performance and optimization over time.
Benchmarking and Best Practices
  • Benchmark asset performance and maintenance practices against industry best practices and competitors.
  • Implement improvements based on benchmarking results.
Emergency Response and Crisis Management
  • Develop plans for unexpected asset failures or critical incidents.
  • Ensure that response plans are well-documented and communicated to relevant teams.

Critical Advantages of Leveraging BPO Solutions for Predictive Maintenance

According to Plant Engineering’s 2021 Industrial Maintenance Report, 88% of facilities outsource some or all maintenance activities. The primary reasons for outsourcing include a preexisting arrangement with a manufacturer or supplier, a lack of skills within the current workforce, and the need for more time or staff resources to allocate to maintenance tasks.

Facility management teams like outsourcing maintenance tasks since many view maintenance as an overhead. Outsourcing minimizes overhead and improves the bottom line. Outsourcing predictive maintenance and asset optimization services can offer significant short- and long-term benefits to facility management teams.

The cost advantages mentioned earlier are applicable in both time frames, as outsourcing maintenance can yield immediate cost savings compared to hiring full-time internal staff. Over the long term, these benefits manifest in reduced overhead costs and a streamlined operational structure.

Here are some key advantages of utilizing BPO solutions for predictive maintenance and asset optimization:

  • Gain real-time, valuable insights from your business operations through advanced software and analytics algorithms.
  • Utilize various predictive tools and statistical techniques to make precise business forecasts without substantial financial and resource investments.
  • Receive assistance in analyzing available data to comprehend the current situation and anticipate future maintenance scenarios.
  • Enjoy access to faster and more cost-effective services that increase efficiency as the third-party team handles maintenance and repairs.
  • Rely on the specialized expertise of the BPO provider’s technical team whenever and wherever needed.
  • Reduce the necessity of managing personnel, allowing you to concentrate on your core competencies instead of training and supervising technicians.
  • Increase uptime and machine availability while reducing material costs and maintenance labor.
  • Move the ownership, leadership, hiring, training, and workforce responsibilities off your plate to minimize the total cost of ownership.

Potential Challenges of Predictive Maintenance Outsourcing

Potential Challenges of Predictive Maintenance Outsourcing

While BPO opportunities offer many benefits, facility managers may encounter potential challenges when implementing BPO solutions for predictive maintenance.

Outsourced predictive maintenance comes with upfront costs. The exact cost of the BPO solutions depends on various factors, such as the complexity of the tools used, the type of facility asset being monitored, and the amount of data analysis needed.

Although outsourcing requires an initial investment, it can ultimately cut facility expenses by lowering overall repair costs and minimizing downtime.

Other potential challenges include:

  • The BPO team can misinterpret data, resulting in false maintenance requests.
  • Timelines may trigger preventative maintenance activities instead of genuine asset and machine conditions.
  • The third-party team’s predictive maintenance approach may not consider contextual information such as weather and asset age.
  • The internal team may be discouraged from conducting proactive asset maintenance and physical inspections.

Considerations When Choosing a BPO Partner for Predictive Maintenance

When leveraging BPO solutions for predictive maintenance and asset optimization, selecting a reliable service provider with a strong track record of implementing similar programs is crucial. Clear communication and a well-defined SLA ensure the outsourced provider aligns with your organization’s goals and expectations.

A reliable predictive maintenance outsourcing vendor follows best practices such as:

  • Utilizing and leveraging essential technologies such as ML, sentiment analysis, big data, and analytics
  • Examining historical data to assist clients in identifying crucial maintenance issues within established patterns
  • Predicting potential future challenges based on identified patterns and developing plans to either prevent or address them if prevention is no longer possible
  • Employing ML algorithms and regression techniques extensively to enhance the accuracy of all predictions
  • Monitoring maintenance and asset data along with log files to obtain the latest insights for informed decision-making
  • Leveraging client intelligence to enhance strategic decision-making and cultivate deep and meaningful client relationships
  • Identifying and comprehending specific client needs and tailoring experiences for them using the power of data
  • Providing access to detailed insights from business operations to facilitate more informed decision-making

Real-life Example of Successful Predictive Maintenance Outsourcing

Real-life Example of Successful Predictive Maintenance Outsourcing

Walkers Deli and Sausage Co., a prominent deli meat producer in the UK, operates a facility with four refrigeration compressors dedicated to cooling multiple blast chillers. In cases where all chillers are in operation, three compressors are required. Recognizing the critical role of chilling in production, the site maintains an additional fourth compressor as a backup in case of failure.

When one of the compressors malfunctioned and the replacement took two months, the remaining three were in continuous use.

To address this challenge, BPO engineers collaborated closely with Walkers’ site team to devise an optimal strategy. Vibration sensors were strategically placed on the compressor heads and drive motors, providing detailed vibration information related to bearings and drive shafts.

This data empowered the site’s engineering team to monitor performance in real time, allowing them to plan for condition-based maintenance proactively.

Shortly after installation, abnormal vibration levels were detected on the drive motor of one compressor. Although this did not immediately lead to a failure, engineers could closely monitor the compressor for further degradation while awaiting the delivery of the new compressor.

The Bottom Line

Different facilities outsource predictive maintenance and asset optimization for various reasons.

Consider outsourcing now if tasks need rechecking and redoing, your internal teams are overworked, you cannot find the technical talent for maintenance roles, and hiring or training technicians takes too much time.

Let’s connect if you want to learn more about how BPO solutions can empower your predictive maintenance tasks.

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Allie Delos Santos is an experienced content writer who graduated cum laude with a degree in mass communications. She specializes in writing blog posts and feature articles. Her passion is making drab blog articles sparkle. Allie is an avid reader—with a strong interest in magical realism and contemporary fiction. When she is not working, she enjoys yoga and cooking.
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Allie Delos Santos

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