A cost of quality modelling for maintenance



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In the last 50 years, capital investment in machinery and equipment has increased. This growing use of technology has led to more complex machinery and equipment. With the variety of physical assets, companies started depending heavily upon the wealth generated by them. Therefore, in order to keep assets working at optimal conditions and anticipate equipment failures, maintenance becomes a crucial issue. The maintenance function is commonly seen as an essential but disaster repairing function. In order to change this vision, this function must be presented in terms that management can understand. The Cost of Quality Model offers a mean to translate terms such as quality, time and efficiency into the economic language: money. This economic model has gathered importance in academia and industry, and its cost categories (prevention, appraisal, failure and opportunity) are widely recognized. An economic model TMCOQ for maintenance is proposed in this research. This model is built on two things: the PAF+L categories for Cost of Quality, and the key characteristics of Total Productive Maintenance (TPM) and Reliability Centered Maintenance (RCM), which are the two most representative strategies for maintenance. The TMCOQ model is used for the cost analysis for the current transformers in the northeast transmission division of Comision Federal de Electricidad (CFE), which belongs to the energy sector in Latin America and provides electricity and light to millions of customers. With the information obtained through the TMCOQ model, five hypotheses were tested with a confidence of 95%. The three conclusions at the end of this research are: first, the TMCOQ model captures a better picture of the real maintenance costs than other maintenance cost models found in the literature. Second, the opportunity costs of the maintenance function represent a strategic cost (at least 5%) with respect to both the total maintenance costs and the overall cost of the company. Third, the infant mortality costs also represent a strategic cost compared with the total maintenance costs found in this research.



Cost of quality (COQ), Total productive maintenance (TPM), Reliability centered maintenance (RCM), Maintenance