Top 10 FAQs About EAM – Everything You Need to Know

Enterprise asset management (EAM) software is essential for modern manufacturing operations that rely heavily on the efficient use and maintenance of machinery. When implemented, the software can significantly enhance asset performance, reduce costs and ensure compliance with regulatory standards.

Unplanned downtime can lead to huge losses amounting to $260,000 an hour or $50 billion a year. EAM significantly reduces unplanned downtime costs. Properly functioning equipment also enhances worker safety and helps manufacturers, meet delivery deadlines, thereby maintaining customer satisfaction and competitiveness in the market.

Here are the top 10 frequently asked questions about EAM, providing answers and insights to help your manufacturing operations optimize asset management strategy and make informed decisions. Whether you’re new to EAM or looking to deepen your knowledge, we’ll cover essential topics and common concerns.

1. What is EAM Software? What is CMMS Software?

EAM is a comprehensive solution designed to manage and optimize your business assets to minimize costly downtime, prolong asset health and achieve shop floor excellence. The software helps manage and optimize your business assets, including maintenance management, asset tracking and asset lifecycle management. EAM can help maximize your production without compromising cost.

On the other hand, a computerized maintenance management system (CMMS) focuses on maintenance management, work order management, maintenance scheduling and tracking maintenance histories. The software is designed to improve maintenance operations and centralize information on one platform.

EAM and CMMS share several similarities, as both are designed to enhance the efficiency and effectiveness of maintenance operations. Both software solutions focus on managing and maintaining an organization's physical assets, aiming to reduce downtime, extend asset lifespan and optimize maintenance activities. Both provide tools for scheduling preventive maintenance, tracking work orders, managing spare parts inventory and recording detailed asset histories.

Additionally, EAM and CMMS collect and analyze data to help organizations make informed decisions about asset management, improve operational performance and ensure compliance with regulatory standards.

2. What is the Difference Between EAM and CMMS?

While EAM and CMMS are often mistaken for one another, they have unique differences. Understanding these distinctions can help you maximize the benefits that can be derived from these solutions.

CMMS is more directed towards maintenance, with primary focus on the operational aspect of maintenance management. On the other hand, EAM offers functionalities such as asset lifecycle management and strategic asset planning.

CMMS provides maintenance management at one specific location, with some limited multi-site capabilities. EAM can easily manage multiple sites and even different business models. A CMMS starts tracking only after installation of an asset, whereas with EAM, the asset is monitored throughout its lifecycle.

CMMS software is a great starting point for small businesses—however it does not scale as the business grows. With EAM, manufacturers can start with the CMMS functionality and grow into the more robust capabilities.

EAM grows with your business regardless of its size. Many smaller manufacturers start just using the CMMS functionality within EAM and grow into the more robust capabilities such as asset lifecycle management and strategic asset planning. It can scale to meet the expanding needs of your operations without requiring a complete system overhaul.

In addition, it is designed to handle varying volumes of data and complexities. As your asset base increases, EAM can seamlessly integrate new assets, processes and data points ensuring continuous and efficient asset management. EAM has all the functionalities of CMMS with the added capabilities you need to streamline maintenance processes and improve asset management.

3. What Types of Businesses Use EAM?

EAM software helps asset-heavy industries increase machinery uptime, improving asset utilization and reducing maintenance costs. As a business solution, it is used in a wide range of manufacturers, such as:

• Food and beverage: EAM helps you keep up with order volumes and changing customer demands while maximizing efficiency. It also helps maintain detailed records of maintenance activities which are crucial for quality audits.

• Cosmetics and personal care: EAM helps manage maintenance activities to lessen disruption to production processes and optimize the use of resources such as labor and materials.

• Process manufacturing: EAM provides real-time data and analytics on asset performance, helping process manufacturers make informed decisions regarding maintenance, repairs and replacements.

• Discrete manufacturing: Businesses in this sector need EAM to maintain high standards of equipment reliability, ensure product quality, enhance operational efficiency and manage costs effectively.

4. When is the Time to Move to an EAM Solution?

Implementing an EAM solution can significantly enhance the efficiency and effectiveness of managing physical assets. Here are the key indicators that it may be time to consider adopting an EAM solution:

• Your business has outgrown your current CMMS or is currently using manual, paper-based processes.

• You require better asset lifecycle management and strategic planning.

• Your business is growing a backlog of maintenance tasks.

• You face frequent unplanned downtime and high maintenance costs.

• Your business needs to comply with regulatory standards and improve audit readiness.

5. What Key Functionalities and Features Does EAM Software Offer?

Let’s look at the key features of an EAM software:

• Asset lifecycle management. EAM manages an asset throughout its lifecycle from acquisition, deployment to maintenance and disposal.

• Preventive and predictive maintenance. EAM offers preventive capabilities for equipment maintenance to ensure continuous operations.

• Service and work order management. EAM streamlines the creation, assignment and tracking of service and work orders ensuring that everything is documented and easily traceable.

• Inventory and procurement management. EAM’s configurable dashboards keep you updated about critical asset data points such as predictive maintenance, compliance rate, open work orders, downtime hours and inventory status, preventing overstocking or understocking of equipment components.

• Real-time analytics and reporting. EAM gives you access to detailed reports on asset performance, maintenance activities and costs to gain insights into operational efficiency.

• Mobile access and functionality. With EAM you can access essential information from any location if your device is connected to the internet, allowing managers to send reviews or approvals directly from their phones or tablets.

• Compliance and audit management. An EAM automatically schedules regular inspections and maintenance tasks to help ensure that equipment is in compliance with industry standards.

6. What Are the Key Benefits of EAM Software?

By leveraging EAM software, organizations can enhance operational efficiency, extend asset lifespans, improve compliance and ultimately drive better business outcomes. Here are some of the benefits of EAM software:

1. Reduced unplanned downtime

Downtimes can impact your business from top to bottom. EAM is designed to minimize costly downtime, prolong the lifespan of your assets and achieve shop floor excellence.

2. Improved maintenance efficiency

EAM streamlines maintenance processes through proactive planning, scheduling and execution of maintenance tasks. The software enables real-time monitoring of asset conditions, predictive maintenance and efficient resource allocation.

3. Enhanced asset performance and lifespan

EAM increases the lifespan of your assets because you are notified about maintenance issues before they arise. EAM systems bring enhanced asset performance and lifespan through comprehensive preventive and predictive maintenance, efficient resource management, detailed asset tracking and documentation, improved compliance and safety, performance monitoring and analysis, strategic asset management and cost reduction.

4. Better decision-making with real-time data

With EAM, all asset information, including maintenance planning, history and spare parts inventory information are kept in one system. With consolidated records in a unified platform, maintenance managers can immediately see asset location, evaluate condition and check maintenance schedules to resolve issues.

5. Streamlined compliance and audit processes

EAM can consolidate asset data into a single platform ensuring that all information is up-to-date and accessible. It can be configured to monitor and track compliance with regulatory requirements.

6. Increased overall profitability and productivity

EAM helps optimize the use and maintenance of assets to ensure they operate at peak efficiency—thereby reducing downtime and operational disruptions. This results in smoother production processes, faster turnaround times and a higher output of goods or services.

Additionally, by extending the lifespan of assets and minimizing maintenance costs through predictive and preventive maintenance strategies, businesses can achieve significant cost savings. These efficiencies lower operational expenses and boost overall profitability.

7. What Are the Challenges or Risks of Implementing an EAM Solution?

Implementing EAM can provide substantial benefits, but the process has notable challenges. Here are the key risks during EAM implementation:

• Employee resistance to change: Employees may resist adopting new systems and processes, leading to lower user acceptance and engagement.

• Data migration complexities: Transferring data from legacy systems to the new EAM system can be fraught with risks, including data loss or inaccuracies.

• Training and system adoption: Ensuring that all users are adequately trained to use the new system effectively can be a significant undertaking.

• Downtime Risk: The implementation process may cause disruptions to normal business operations, leading to potential downtime.

• Employee adoption: User-friendly interface and comprehensive change management support.

• Seamless integration: Robust integration capabilities and API support ensure compatibility.

• Simplified data migration: Specialized tools and expert support ensure accurate data transfer.

• Effective training: Tailored training sessions and ongoing support.

Although the last four are possible ways businesses mitigate the risks associated with EAM implementation, they can also prove to be a challenge themselves.

8. What Does the EAM Selection and Implementation Process Look Like?

The EAM selection and implementation process helps ensure the EAM system you select delivers full benefits, including optimizing asset management, cost efficiency, meeting regulatory compliance and preventative maintenance. The process typically involves:

• Assessing business needs and defining requirements

• Researching and shortlisting vendors

• Conducting demos and evaluating features

• Making a decision and negotiating terms

• Planning and executing the implementation

• Training staff and ensuring user adoption

• Monitoring performance and continuously making improvements

Software integration is essential for optimizing business processes, enhancing productivity and driving growth. Leveraging integrated systems allows businesses to quickly respond to market changes and innovate faster.

Combining EAM and ERP systems provides a robust framework for enhancing effectiveness and increasing productivity. It helps ensure that different applications work seamlessly for greater operational harmony and strategic alignment.

9. What Are the Best Practices for Implementing an EAM Solution?

Implementing an EAM system requires adherence to best practices that ensure the system delivers maximum value and efficiency. Here are the best practices you should consider:

• Involving all stakeholders from the beginning. Company stakeholders include employees across key departments, such as operations, IT, finance, accounting, quality and supply chain, along with the project managers, business analysts and sometimes consultants. Their involvement in the project ranges from project planning and execution, providing input, monitoring project cost and budget planning and identifying needs and requirements.

• Setting clear goals and expectations. Working with key stakeholders, it’s important to define the objective, outcomes and goals that can be measured throughout implementation as well as establish an implementation timeline with milestones and expectations.

• Ensuring thorough training and support. EAM can be challenging so training and support is vital to success.

• Continuously monitoring and optimizing the system. Establish clear and measurable KPIs that are aligned with your business goals, conduct regular reporting and analysis and collect user feedback. Set and adhere to service level agreements (SLAs) with the vendor and utilize vendor support channels for resolving issues.

• Keeping communication open and addressing feedback. Make sure that you establish a clear communication channel and designate someone in your organization to liaise with the vendor. Set a regular meeting schedule and create an escalation path for handling issues.

• Integration with other software. One advantage of EAM is that it can be integrated with other software like ERP and Overall equipment effectiveness to create a unified and integrated ecosystem.

• Look for industry expertise. A vendor with decades of industry experience in the manufacturing industry that can offer industry best practices and recommendations.

10. What Are the Key Use Cases for EAM Software?

EAM plays a crucial role in the effective management of an organization's physical assets, ensuring their optimal performance and longevity. Understanding the key use cases of EAM is essential for organizations looking to maximize the value of their assets and improve overall business outcomes.

When done right, EAM can do wonders for your business. Here are three use cases manufacturing businesses could benefit from using EAM software.

Greater Transparency and Visibility

In most businesses, there are data silos that isolate the information within different departments which prevents a holistic view of asset performance. As a result, there is limited data sharing that leads to inefficiencies, inconsistencies and delays in decision-making.

Implementing EAM can lead to greater transparency and visibility by consolidating data from various sources into a single centralized platform. It offers robust reporting tools that generate detailed reports on asset performance, maintenance activities and overall operational efficiency. Metal fabrication company, Anderson Dahlen, benefited from implementing Aptean’s EAM. When they implemented EAM, they gained visibility into their maintenance operations and leveraged accurate data to implement impactful changes.

Improved Safety and Easy Scheduling

Manual processes often lead to inconsistent application of safety standards and procedures making it difficult to ensure that all equipment and processes meet the required safety regulations. Without EAM, manual scheduling of maintenance tasks and safety inspections can lead to poor allocation of resources.

EAM systems provide predictive maintenance which can help with early detection of potential issues that could lead to equipment failure or safety hazards. With early detection, you can minimize unplanned downtime allowing more efficient scheduling of maintenance activities. CoreFX was able to leverage EAM to improve safety and achieve easy scheduling.

Safety and scheduling were critical to CoreFX operations. CoreFX’s Director of Operations said, “For me, it’s important to measure how many safety items have been checked off. I’ve seen that if you can get more of those safety items taken cared of, it shows a reduction in overall accidents and helps with keeping the whole workplace safer so there’s less lost time.” With greater assuredness and control, CoreFX is primed to succeed and continually improve their workplace safety and scheduling efforts as familiarity with their new system grows.

Increased Productivity

Manufacturers often have data silos and inefficient workflows that can hinder production efficiency and productivity. Any delays or stoppage in production could have a huge impact on your business. Implementing EAM provides real-time visibility into asset performance, location and usage allowing you to identify underutilized assets, optimize their deployment and maximize productivity.

One company that witnessed increased productivity using EAM is UFP Industries. After implementing the modern EAM, it became easier for users to find the data they need and locate the features and modules required for their tasks in a straightforward and natural manner. Employees at UFP are far happier now that they have an EAM system in place.

Reducing Maintenance Costs

Many organizations operate on a reactive maintenance culture, addressing issues only after they arise resulting in unplanned downtime, emergency repairs and higher costs. Transitioning to a preventive maintenance approach requires significant changes in mindset and practices, which can be challenging to implement.

It is also worth noting that older assets are more prone to breakdowns and require more frequent maintenance, driving up costs. EAM helps facilitate regular maintenance schedules reducing the likelihood of unexpected equipment failures and uses historical and real-time data to predict when an asset is likely to fail so that maintenance can be accurately determined and performed.

One company that has effectively reduced maintenance costs with EAM is Sterling Steel Company. After implementing Aptean’s modern EAM, an informal analysis revealed that Sterling Steel reduced their annual maintenance costs by approximately $70,000 a year. In addition, consolidating to a single server also reduced IT costs.

Experience The Aptean Advantage

EAM software is crucial for manufacturing companies looking to enhance their maintenance operations and asset management. Aptean EAM offers advanced and industry-specific solutions designed to help businesses master and overcome their challenges. It combines the functionality of both CMSS and EAM, scaling as your business grows.

Aptean stands out as a software provider by delivering industry-specific solutions that are meticulously tailored to address the unique challenges and requirements of various sectors. Its commitment to innovation ensures that our technology remains at the cutting edge, incorporating the latest advancements to provide superior performance and functionality.

Additionally, Aptean excels in customer support, offering personalized assistance and expertise to ensure successful implementation and ongoing optimization of our software solutions.

Want to learn how to increase your profitability using Aptean EAM? Check out our whitepaper entitled 10 Ways to Increase Your Profitability with a Best-in-Class CMMS/EAM Solution or visit our Aptean EAM solutions page to discover how our solution can drive benefits for your manufacturing business.