Sunday, April 14, 2019

Maintenance training demonstration and training budget

Facility and factory management maintenance training demonstration and training budget

Motorola's president told his management team that all employees are required to complete no less than 40 hours of training each year. A senior manager raised his hand and asked, "But what if we train them and leave the company?"

In response, the president replied: "What if we don't train them and stay?"

For many managers, this often cited statement quickly demonstrates the importance of training a workforce. Without any scientific support, managers can quickly run this through their minds and propose huge differences between teams that work with continuous improvement and those that are destined to never improve, and make it over and over again. The same mistake.

Although training is clearly needed, many companies and organizations are still struggling to train their teams. In each job, appropriate training can help the company increase profits or improve operational efficiency, but this is more evident in training technicians [including facilities and plant maintenance technicians].

Training needs evidence

Well-trained personnel are at the heart of safe and reliable plant maintenance and operations. But as operating and maintenance costs continue to increase and there is a continuing need to reduce costs, it is difficult for facilities and plant management to justify the need to maintain or increase training budgets. While reducing training can quickly reduce budgets, there is a need to consider reducing the full consequences of training.

cost

Dozens of major studies from multiple industries have identified human error as the main cause of equipment downtime. For power distribution equipment, 70%-80% of unplanned downtime is expected to be due to human error.1 Although some human error is just an accidental "error," many human errors can be traced directly to lack of knowledge or proper training. Continued reductions in training will result in increased equipment failures, resulting in downtime costs and increased labor required to service equipment. These costs are usually much higher than investments in training costs.

Conversely, while training investment is an upfront cost, it can reduce unknown and unexpected downtime costs and ultimately save money. In order to increase the effectiveness of the factory training program, available resources should be applied to areas that can control plant operations and maintenance costs as quickly as possible.

Most companies find that collecting and maintaining data that helps prove the cost of a training program is worthwhile. Information about human error, repair or maintenance time, and duration of interruptions to reduce certain tasks can easily prove that a large investment in personnel training is justified.

Companies and organizations that monitor their training results find a direct link to business performance, and each employee's training costs are 31% more than regular companies or organizations.

Safety + cost

Safety should be at the heart of every maintenance management plan, and the best way to ensure a safe working environment through continuous training.

Lack of knowledge of safety requirements can lead to injury, death and huge economic losses. On average, nearly 11,000 workers are treated in the emergency room every day in the United States, and about 200 of them are hospitalized. 3 When these incidents occur, financial considerations may include regulatory fines, medical expenses, and insurance rates. Increases, equipment or facility downtime, equipment replacement, worker losses and third party legal suites. According to the National Security Council's 2000 report, the average cost of industrial accidents involving death was $940,000, and the average cost of accidents involving disability was $28,000. Although these are averages, many accidents in an industrial environment can be much higher. The Electric Power Research Institute estimates that the direct and indirect costs of major electrical accidents in the US dollar in 2003 totaled $17.4 million.

Aging labor crisis

For most organizations, because they know, people are considered the biggest asset. In some industries, up to 40% of skilled labor will retire in the next decade4, carrying their skills and knowledge with them. In the maintenance industry, the loss of people and information coupled with the aging of infrastructure has been identified as an impending crisis called "maintenance crisis".

In an online survey conducted by ASTD between December 2005 and January 2006, 96% of the 396 respondents indicated that they had skill gaps within the organization or that there was a skill gap within one year. This gap is expected to increase significantly in the coming years as a large number of baby boomers retire.

The influx of a large number of skilled maintenance workers has provided the United States with the challenge of maintaining its factories and facilities. Organizations must not only be able to attract new workforces, but must also be able to quickly transfer knowledge of the old workforce to the new workforce.

The inspection of your current maintenance personnel should be assessed to include the worker's retirement rate. In the next few years, finding skilled maintenance technicians will be a very difficult task and the cost will be higher. The best strategy today is to identify and train young workers before they retire.

Retraining needs proof

Industrial and technological progress - Training experienced service technicians seems to be a waste of time and money, but the reality is that even the most experienced service technicians can increase their value through frequent training. In particular, the rapid development of technology and computers has greatly affected the tools and equipment used in factories and facilities. As this transition continues, your employees must receive appropriate training to understand and utilize these technologies. As with technology, rules, standards, and best practices are constantly changing. Understanding how to comply with the latest regulations or how to apply modern processes and practices is critical to maintaining a safe workplace and a competitive workplace.

Remember what you forgot - For those who have received training but are not immediately using or practicing what they have learned, the memory retention rate will vary between 5% and 50%, depending on how the information is learned. 5 Although there are many tasks that require maintenance technicians Executed over and over again, they still have many tasks that are only performed occasionally, with a long time in between. Memories based on a training session will be difficult for most people, so even the most basic topics of repetitive training can help improve worker efficiency and safety.

Underperforming employees - Even if employees do not perform well, many organizations have learned to make it cheaper by keeping and retraining than firing and rehiring. Investments in employees who perform additional training or retraining can often lead to substantial improvements.

Establish training budget

For those who are committed to training, the next question is "How much training should I do for my budget?"

In the past few years, employees have received an average of 31.9 to 36.3 hours of formal training, while top manufacturing companies receive an average of 40 hours of training per employee per year, and only 11% of training is used for mandatory compliance training. 6 It should be noted that these figures cover organizations. All employees in the company, not just maintenance personnel. The difference in average training time between jobs can be large. For some skilled labor experts, training can reach 80-120 hours per year.

It is estimated that US companies spend more than 2.5% on training. It is estimated that companies that "train investment leaders" spend up to 4.1% on training programs.6 Based on this, a good tool for setting budgets for those who want "better than average" is about 2.5% – maintenance staff 4% of salary. For a $40,000 paid employee, this is equivalent to an annual training budget of $1,000 to $1,600. Despite the tight budget recession, the average annual learning expenditure per employee in all companies surveyed increased from $1,068 in 2008 to $1,081 in 2009 - an increase of 1.2%.6

Depending on the amount of training funds spent, $1,000 - $1,600 is sufficient, and each employee is trained for about 30-40 hours per year. A typical 2-day maintenance training program will cost approximately $1,000, which will take up a lot of budget, but with on-site training, online training and other options, the cost per person for training is much lower. A typical 2-day maintenance technician on-site training program will cost between $6,000 and $7,000, but if there are 20 people in the class, the cost per person is only $300 to $400. Online training is especially effective for soft skills and compliance training, but not all compliance training can or should be done online. Manufacturers and suppliers offer less expensive training. This type of training is good for learning a particular product or device and is most effective when basic or general skills are reached. Community colleges also offer some low-cost training options that can be utilized. The shortcoming of some training may be the time to complete the training, which is often a less practical and more theoretical approach.


  • 1 Electrical Construction and Maintenance [EC&M] Magazine, 2004, Practical Guide to Electrical Reliability

  • 2 ASTD American Training Association &...




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