How is Deferred Maintenance affecting your business?

Deferred maintenance occurs when repairs and maintenance of certain assets are delayed. While on the books, it seems like a cost-saving measure, studies show that it has detrimental effect on business in the long run.

Why do Companies Defer Maintenance?

1. Budgetary Reasons: Budgets that do not clearly identify maintenance needs and provision for the associated costs.

2. Human Resources: Companies that have high staff turnover and that are understaffed usually defer maintenance instead of outsourcing.

3. Complacency & Neglect

The Costs of Deferring Maintenance

1. Small Repairs become large & expensive repairs.

2. Devaluation of assets and properties.

3. Operations might be disrupted due to major repairs and breakdowns.

4. Safety Hazards: Ignoring repairs can create dangerous conditions, leading to liability risks.

Solutions

1. Inspections & Facilities Master plans: Inspections help identify issues early on while master plans help companies understand and organize maintenance.

2. Dedicated Budget: Budgetary funds should be allocated based on an existing facilities master plan.

3. Use Technology: Facility management software help companies track maintenance & plan preventive maintenance.

At Urbia, we help companies develop their facility master plan and deploy necessary tools to preserve their assets and avoid the pitfalls of Deferred Maintenance.