A NEW ABB STUDY DETAILS THE BOTTOM-LINE IMPACT OF SYSTEM BREAKDOWNS
Despite growing awareness, the data highlights that 44% of leaders experience equipment-related interruptions at least monthly, with 14% reporting stoppages every single week – implying major financial and operational risks. The majority estimate these sudden disruptions cost anywhere from $10,000 up to $500,000 per hour. For 7%, the figure climbs even higher.
The report reveals key gaps between planning and execution. While 55% of industry players claim to have a proactive modernisation strategy, only one in five of those grappling with weekly interruptions actually implement such a plan. Likewise, among the 30% who are dealing with monthly issues, just one third (34%) actively manage lifecycle processes for their facilities and assets.
Communication gaps remain. Despite the strikingly high hourly cost of unplanned downtime, over a third of respondents find it somewhat difficult or very difficult to articulate the return on investment (ROI) of modernisation projects to senior leaders. Meanwhile, 17% of businesses “rarely or never” include the impact of lost productivity in their capital investment decisions. Cost remains the top barrier to modernisation for 28% of industrial players.
Among the 66% who have undertaken an upgrading and retrofitting project in the last two years, just over one quarter explicitly did so to reduce stoppage risks – highlighting that the link between continuous life-cycle management and operational reliability is still not fully understood or acted upon, even by many modernisation proponents.
The full report can be found at
Click here
------------------
This article appeared in Renew magazine. To read more or request your personal digital or print edition of Renew, click here.
