Seven Ways a CMMS Can Lower Military & Defense Contractor Operation Costs

Military and defense contractors develop and support highly intricate and specialized equipment, spanning from aircraft and vehicles to cutting-edge weapon systems. 

As a result, the maintenance and repair of these assets demand both technical proficiency and access to specific tools and resources. However, these complex systems also can present challenges when it comes to diagnoses, troubleshooting, and repairs. 

The implementation of a comprehensive defense contractor maintenance software system can significantly improve the efficiency of tracking and managing operation costs for military and defense contractors. CMMS software provides the tools necessary to manage operating costs while optimizing the safety in military asset management.

Costing Saving with CMMS in the Defense Industry

Data provides the basis for balancing costs while mitigating risk. CMMS offers the best opportunities for military and defense organizations to get the data they need to make smart decisions. Here’s how.

#1: Preventive Maintenance 

Military and defense equipment often operate in demanding environments, and breakdowns can be costly and potentially dangerous. Preventive maintenance in the defense sector is crucial to ensure the reliability and readiness of military equipment and infrastructure. Additionally, fixing a small issue during scheduled maintenance is typically less expensive than dealing with a major breakdown, which may require costly repairs or replacement. 

CMMS software enables contractors to schedule and track preventive maintenance, reducing the likelihood of unexpected equipment failures and the associated repair costs. Planned maintenance also can be scheduled during periods of lower demand, minimizing disruptions to operations. Properly maintained equipment and facilities are safer for personnel. As a result, military and defense contractors can decrease the risk of accidents and associated costs, such as medical expenses, insurance claims, and legal liabilities.

#2: Asset Management

Military asset management improves strategic operations. Properly maintained assets are easier to track, manage, and plan for replacements or upgrades. Well-maintained equipment also tends to operate more efficiently, which can lead to energy savings, reduced fuel consumption, and improved overall performance. Unscheduled breakdowns, on the other hand, can lead to significant downtime and lost productivity.

Defense contractors can maximize CMMS benefits by efficiently managing their assets, including equipment, vehicles, and infrastructure. Using a CMMS can help ensure that assets are properly maintained and their lifespans are extended, reducing the need for frequent replacements or costly repairs.

#3: Work Order Management

Efficiently handling work orders is essential for ensuring seamless operations and reducing downtime. However, manual work order management procedures can prove to be time-consuming, prone to errors, and lacking in efficiency. The task of monitoring personnel, assigning tasks based on urgency and skill prerequisites, and keeping tabs on work order progress can swiftly become overwhelming.

CMMS streamlines work order management by providing a centralized system for requesting, tracking, and prioritizing maintenance tasks. This efficiency reduces downtime and ensures that maintenance personnel are deployed where and when needed, saving both time and money. CMMS provides an organized and systematic way to conduct maintenance audits, ensuring that all maintenance activities are accounted for and properly documented, which is critical for regulatory compliance and cost control.

#4: Inventory Control

Inventory management is vital in the military and defense sector to ensure that spare parts and critical supplies are available when needed. Efficiently managing parts and supplies helps to maintain uninterrupted maintenance operations and reduce costly disruptions. Yet, manual inventory tracking and restocking methods can prove time-consuming, susceptible to errors, and result in ineffective stock management. Both out-of-stock or excess inventory can result in extended downtime, resource wastage, and diminished productivity.

CMMS simplifies inventory management by keeping track of stock levels and sending automated alerts when they are low. This functionality helps you order parts and supplies in advance, reducing downtime and avoiding rushed purchases. The software also provides insights into past usage and availability, allowing you to make informed decisions about inventory levels and orders, ultimately optimizing stock management and procurement.

#5: Compliance and Documentation

Military and defense contractors must adhere to strict regulations and compliance standards that require regular maintenance and inspections. Compliance in the maintenance department requires documentation, specifically for creating procedures and recording maintenance activities. It’s also essential to avoid fines and legal consequences. Preparing for inspections and audits from regulatory agencies starts with proactive compliance procedures supported by consistent record keeping. 

Luckily, CMMS software excels at compliance documentation. CMMS data provides both the big picture and the little details, so maintenance tasks are both visible and verifiable. CMMS software provides the right tools to document important compliance information, as well as features to make reporting on that data quick and easy when inspections or audits occur. As a result, CMMS can help military and defense contractors avoid costly compliance violations and penalties.

#6: Data-Driven Decision-Making

The defense sector deals with various risks, including geopolitical, technological, and operational. As a result, military operations often involve complex logistics and resource allocation. Data-driven insights can help in more accurate forecasting and planning, ensuring that the right equipment, personnel, and materials are available when needed. Additionally, data analysis can help identify and assess these risks, allowing for better risk management and mitigation strategies.

Data-driven decision making helps in tracking costs, identifying cost-saving opportunities, and ensuring that resources are used efficiently. CMMS collects data on maintenance activities, costs, and equipment performance. This data can be analyzed to identify trends, make informed decisions, and further optimize maintenance operations for cost savings. CMMS also helps by optimizing labor, equipment, and materials, ultimately leading to cost savings.

#7: Communication

Communication is the linchpin of military and defense maintenance operations, ensuring that equipment is maintained in optimal condition, mission readiness is upheld, resources are allocated efficiently, and safety is prioritized. Effective communication ultimately contributes to the success and effectiveness of military missions and the overall security of a nation. Knowing which assets are available and in what condition helps commanders make informed decisions about deployment.

CMMS can facilitate communication with subcontractors and external maintenance providers. Efficient coordination with external partners can lead to cost-effective maintenance operations. CMMS also can integrate with remote monitoring systems, allowing contractors to monitor equipment and assets in real-time. This capability enables proactive maintenance and reduces the need for on-site inspections, saving time and travel costs. 

By reducing the frequency of emergency repairs and optimizing maintenance practices, CMMS helps contractors maintain equipment readiness while minimizing operational expenses. 

Have questions? Contact us. We’re here for you.