M.Phil. / In the modern world maintenance organisations are exposed to rapid changes in equipment complexity and the maintenance thereof. Maintenance people have to adopt completely new ways of thinking and managing. If organisations and their management do not adapt to these changes and challenges they are destined to oblivion. Moubray (1991:1) states that: "Managers everywhere are looking for a new approach in maintenance. They want to avoid the false starts and dead ends which always accompany major upheavals. Instead they seek a strategic framework which synthesizes the new developments into a coherent pattern, so that they can evaluate them sensibly and apply those likely to be of most value to them and their companies" One of the viable alternative business strategies and maintenance approaches in dealing with equipment complexity and hence the management thereof, is by means of maintenance outsourcing and contract setting. If done correctly it reduces the risk of organisations and increases flexibility. During outsourcing initiatives organisations will look for benefits such as improvement of its profit margins by means of inventory reductions, improved reliability, maintenance efficiency and expert skills maintaining their assets. Coetzee (1997:24) explain that the task of the maintenance function is "to support the production process with adequate levels of availability, reliability and operability at an acceptable cost". The same principles apply in adherence to the maintenance contracts where the Original Equipment Manufacturer (OEM) or contractor also needs to support the customer with the adequate levels of availability, reliability and operability at defined costs. This can only be achieved by quality maintenance; "the right level of maintenance performed at the right time to the right equipment by workmen able and willing to deliver quality workmanship and using correct task specifications" (Coetzee, 2000a). The method used in maintenance outsourcing negotiation and binding agreements between the organisation and the contractor is a Repair and Olivier-2008 Department of Mechanical and Manufacturing Engineering - UJ Maintenance Contract; commonly known as R+M or MARC contracts. Essentially a Repair and Maintenance contract is the outsourcing of a long term Service Level Agreement (SLA) or maintenance project, normally to the OEM, or its authorised service organisation. "A maintenance and repair contract is a contractual agreement between the OEM (original equipment manufacturer), or contractor, and the equipment owner or user, where the OEM or contractor carries out all maintenance and repair activities at a guaranteed rate per hour" (Lugtigheid, et al. 2007). When organisations adapt outsourcing as a business strategy, it creates a framework of uncertainty and risk to Original Equipment Manufactures and/or maintenance contractors who has to perform the maintenance services. The focus of manufacturing and selling is thus disrupted by the challenge of the unknown playgrounds of competitiveness
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:uj/uj:9208 |
| Date | 14 August 2012 |
| Creators | Olivier, Jeramia Jesaja |
| Source Sets | South African National ETD Portal |
| Detected Language | English |
| Type | Thesis |
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