THE MAINTENANCE POLICY

Department of Building
Faculty of Architecture, Planning & Surveying
Universiti Teknologi MARA

Prepared by:
Ani Maslina Saleh
Azizan Abdul Aziz
 THE MAINTENANCE POLICY
1. Introduction
2. Definition
3. The Maintenance Policy
 The Maintenance Policy Details
 The Maintenance Policy Process
4. Maintenance Policy Objectives
5. Maintenance Policy Characteristics
 Maintenance Performance Standards
6. Maintenance Policy Requirements
7. Maintenance Policy Format
8. Factor Influencing The Maintenance Policy
1. Introduction To Maintenance Policy

 Whatever scenario exists, in considering the

operation of maintenance management,
there are number of common areas requiring
a policy statement.

 Having an agreed operational policy within

which to operate.

 The maintenance policy is a strategic

statement of what level of maintenance is
required in order to keep the assets of an
organisation in an operational condition.
 2. Definition

“A strategy within which decisions

on maintenance are taken”.
(BS8210:1996)
3. The Maintenance Policy

The nature and scale of

the policy will depend on:

The size of the asset.

The nature of the
organisation’s business.
The environment where
the organisation works
in.
 The Maintenance Policy Details

 It is intended to set a series of long-term objectives

for maintenance provision by organisation. It
details:

 The maintenance objectives of an organisation.

 The maintenance requirements for the organisation.
 Who is responsible for maintenance and how it is
organised.
 How the maintenance policy is to be carried out.
 The Maintenance Policy Process

 The aim is to produce a strategic maintenance policy

plan which includes all assets, such that the overall
performance can be monitored against planned.

 It is important to design maintenance policies

realistically. They will be unachievable if:

 They stipulate unreasonable timescale.

 They set unrealistic budgets.
 They provide insufficient resources.

 Monitoring and feedback should highlight any

problems arise.
4. Maintenance Policy Objectives

 The maintenance policy is intended

to show the maintenance objectives
of the organisation for a given period
of time. It shows:

 How the maintenance programme

contributes to the objectives of the
overall organisation.
 What are the penalties for not carrying
out the maintenance programme.
 What resources are needed and when.
 Continue… (Maintenance Policy Objectives)

 The maintenance policy is derived from the maintenance

objectives.

 The objectives in turn are defined by the organisation.

 The objectives will be determined by a wide range of

different factors, including:

 Statutory requirements.
 Organisational requirements.
 Customer charters.
 Market requirements.
 Industry standards.
 Consequences of failure.
 Overall Organisational strategy.
 System interdependency.
5. Maintenance Policy Characteristics

 The policy should have a number of

characteristic:

 The maintenance objectives must be clearly defined.

 The maintenance objectives must be achievable.
 The maintenance objectives must match business
objectives.
 The maintenance objectives must be strategic.
 The policy must direct the maintenance plan.
 The policy must relate to maintenance and
performance standards.
Continue… (Maintenance Policy Characteristics)

 The policy must be advertised to all members

of the organisation in terms of clearly
established targets.

 The progress towards the achievement of the

targets must be monitored to established
quality.

 The objectives must also be strategic and

should form the basis of the maintenance plan.

 The plan is the mechanism by which the policy

is brought into effect.
Maintenance Performance Standards

 The policy should generally include some kind of

performance standard indicator. Typical standards would
include:

 Measurement and evaluation of condition.

 Company policy towards statutory health and safety.
 A ranking methodology.
 Identification of key objectives from the asset of facility
strategic plan.
 Outline proposals for key buildings.
 Frequencies of cyclic maintenance.
 Policy toward deferred maintenance.
 Policy for updating the maintenance programme.
 Policy on procurement.
 Maintenance and performance standards required.
Continue…(Maintenance Performance Standard)

In general, the maintenance

standards agreed will depend on:

 Technical characteristics of the building stock.

 Intended use of the building.
 Financial factors.
 Organisational factors.
 External factors.
Continue…(Maintenance Performance Standard)

While the performance standards

agreed will depend on:

 Required response times.

 Down-time of essential facilities.
 Required quality of repair.
 Required cost of repair.
 Proportion of planned to unplanned maintenance.
 6. Maintenance Policy Requirements

The maintenance policy must:

Demonstrate how the maintenance function

contributes to overall organisation objectives.
Demonstrate what the penalties are of
disregarding maintenance.
Demonstrate what resources are required, and
when.
Establish the basis for performance.
Define the proposals for monitoring and
performance.
How the maintenance function contributes to
overall organisation objectives
 The relationship between expenditure on
planned and responsive maintenance.
 There is a clear link between programmed
maintenance expenditure today and reduced
responsive maintenance tomorrow.

 Statutory requirements.
 Maintenance is required in order to allow the
organisation to comply with minimum statutory
requirements. Failure to do so can result in
litigation.

 Optional standards.
 e.g. a charter to respond to call outs within a
certain time. Resources required for this will
depend upon the level of planned maintenance.
Continue…

 Link to revenue generation

 For leased buildings, there is a direct link between
expenditure on programmed maintenance and the
reduction in void leases.

 Link to capital generation

 There is a direct link between expenditure on programmed
maintenance today and sale value of built assets in the
future.

 Social factors
 e.g. regeneration, via effective modernisation and
maintenance, of socially deprived areas.

 Special considerations
 Additional funding and grants may be available for special
projects.
 7. Maintenance Policy Format

The policy has to show the proposals and requirements

clearly. The format would typically be:

1. Policy title and organisation name

 Name of the organisation and title of the maintenance
policy.

2. Originator and date

 The start of the audit trail. It is essential that the
originator and all contributors are clearly defined.

3. Validation
 There should be a clearly defined space for validating
signatures. It is important that the maintenance policy is
seen as a strategic document that has been authorised
by appropriate management personnel.
Continue…(Maintenance Policy Format)

4. Preambles and background information

 This should summarise the organisation and
its objectives. It should establish the
maintenance policy as part of the overall
corporate strategy of the organisation.

5. Scope and limitations

 In order to avoid any future
misunderstanding, the policy should clearly
state the scope of its operations. It should
state any items or parts of the organisation
that are specifically excluded.
Continue…(Maintenance Policy Format)

6. Objectives of maintenance policy

 This is a statement of what the policy is trying to
achieve. It should state:

 Maintenance policy success & failure criteria.

 - precise & definite measures of acceptable
 performance. This must be included if the success
 of the policy at any point is to be scrutinised.
 Demonstration of significance to organisation.
 Demonstration of consequences of non-execution.

7. Schedule of resource requirements

 This should show requirements for internal and external
staff and any other resource requirements.
Continue…(Maintenance Policy Format)

8. Procedures for performance and monitoring.

9. Proposals for execution

 This should include recommendations on forms of
contract, methods of procurement, monitoring and
control systems. The policy normally go for approval
as a technical report document with all necessary
information to allow full and informed discussion.

 It should be appreciated that the maintenance

policy is an important strategic document. Once
accepted, it becomes an important record
document that all parties can refer to if there are
any divergences on perceptions of maintenance
policy and expenditure.
 What penalty might an organisation
face if the maintenance policy is too
ambitious or not ambitious enough?

What difficulties might an organisation

face if the maintenance policy contains
too little detail?
8. Factor Influencing The Maintenance Policy

 There are large number of factors

that could have an effect on the
scope and application of a policy.

 The resolution of all these factors will

influence the extent to which the
maintenance policy is developed
and then implemented.
Continue…(Factor Influencing The Maintenance
Policy)

 The influencing factors are:

1. Technical factors
2. Corporate policy
considerations
3. Organisational considerations
4. Financial considerations
5. Economic considerations
6. Environmental considerations
 1. Technical factors
Technical factors are those which relate purely to the
performance of the component without any direct
consideration of company policy, company attitudes and
directives, for example:

 Age of  Materials
component/unit
 Statutory factors
 Cost of replacement
part/whole units  Discovered defects
 Cost of postponing  New technology
maintenance  New working practice
 History of maintenance  New user requirement
 Programming factors
 2. Corporate policy considerations

Those which affect the general corporate policy of the

organisation. Some organisations may have to maintain
a higher maintenance image than others for policy
reason. For example, hire cars always look brand new.
Typical policy considerations include:

 Public image of organisation

 Employee working conditions
 Consequences of failure
 Past & current usage
 Future strategy consideration
 3. Organisational considerations

Maintenance departments operate as part of

a larger organisation, and as such subject to
the standard organisational forces that apply
to all areas of the organisational structure
(communication, contracts, accountability, etc)

 Power based
 Position of maintenance department
 Organisation structural
 Managerial interaction
 Strategic maintenance policy
 Nature of the organisation
 4. Financial considerations

Financial considerations are one of the main group of

influencing factors on maintenance policy. Maintenance
is a life cycle cost with few immediate benefits.

 Company performance & profitability

 Cash flow
 Size of direct labour force
 Arrangements with external contractors
 Previous expenditure & effectiveness
 Inflation
 Variations in property market
 Variations in property stock
 5. Economic considerations

Typical maintenance factors include:

 Organisational perceptions
 Contribution from maintained asset
 Link between maintenance & return
 6. Environmental considerations

Environmental considerations can have a significant

impact on maintenance policy. They can also be the
most difficult of the factors to predict and evaluate.

 General economic climate

 Legislation
 Internal regulations
 Tenant & landlord arrangements
 Availability of alternatives