**1. Introduction**

The production system maintenance has evolved to be one of the most important areas in the business environment since few decades [1]. The growth of global competition caused remarkable changes in the way of production operation and process. These changes have been affected maintenance management and made its role even more essential in business success. Implementing maintenance management concept is one of the significant changes in production companies [2]. Consequently, maintenance management is a significant part of activities that impacts on production performance.

As automation and mechanization came into picture to change the production processes are converted from manual to machines in high end [3]. Accordingly, the global market is working in one-faced industrialization and to be competitive. Hence, every industry is striving to improve the productivity through different types of tools, techniques, systems, and philosophies. Improved maintenance management system is the best but unseen way that should be used by different manufacturing industries. The role of maintenance management must change to support the growing worldwide competition. It can no longer limit its role to immediate reaction to emergencies and overpower problems with more bodies and excessive overtime. In other words, maintenance should not always be reactive rather it should be proactive. In this regard, there is a need of executing maintenance more effectively.

that increase the reliability of the machinery and then enhance productivity. Consideration is focused like, maintenance management system to improve the output, machinery condition, operation standards, and reasons for failure, while simultaneously enhance productivity through reducing the downtime of machinery and overall maintenance cost. Hence, possible solutions have been found to resolve the maintenance system and its strategy to minimize the machine downtimes and the cost for maintenance. All these can be controlled with the preventive problems at the beginning by observing the failure root causes and also, proper leadership over the operators, testers, and helpers in the system. Moreover, the chapter tries to find the behavior of the industry to enhance the productivity by implementing smart maintenance strategy and management system, which is suitable to the factory

*Implementation of Computerized Maintenance and Management System in Wine Factory…*

Accorsi et al. [8] stated maintenance management as a business concept that describes the successful and efficient management of maintenance issues involved in the upkeep, operation and productivity of a factory, manufacturing facility or plant. Maintenance management is considered as the collective actions like administrative, managerial, and technical tools, and over the product is to be produced without failures in the factory. Also, maintenance management helps to change and understands the state of functions or combination of its actions of the product to perform effectively. Accordingly, maintenance management is regulating the objectives which are given to produce a part and makes sure that the described targets are necessary to assign carefully from the department. To fulfill the given objectives, management methods such as strategies and responsibilities are to be planned and controlled by supervising economical aspects in the factory. This is closely aligned to other such notions found in modern maintenance literature. Further definitions consider maintenance management as the management of all assets owned by a company, based on maximizing the return on investment in the

Maintenance management may be described as the function of providing policy guidance for maintenance activities, in addition to exercising technical and management control of maintenance programs [9]. Maintenance management system consists evaluation and analysis of indicative control variables such as performance, quality, equipment history and cost, and systematic implementation of programs like planned preventive maintenance, computerized maintenance management system, reliability improvement, cost reduction, and skill development schemes. An effective maintenance management might be characterized as the product of

prudence. Good maintenance programs and the efficient management systems behind them are essential for economically viable and operationally safe machinery. But most of the factories including awash wine factory lack appropriate machine/

A good maintenance management system helps to accomplish minimal downtime [10]. The management of maintenance is equally important with performing maintenance. A good maintenance management system makes equipment and facilities available. If the required equipment or service is down, or if the machine

Literature on maintenance management has so far been very limited [11]. Basic steps of maintenance management stated that are request, approval, plan, schedule, performing work, recording data accounting for costs, developing management information, updating equipment history and providing management control reports [10]. Generally, the size of the maintenance group is determined in the

equipment maintenance strategy and management system.

stops short of completing a job, time and money are wasted.

based on its objective.

asset.

**307**

**1.1 Maintenance management**

*DOI: http://dx.doi.org/10.5772/intechopen.93007*

The industries minimized the losses by locating right systems, infrastructure, process of the product development, and all these executed in a well manner. Hence, the operation will become stable to maximize the production output. This type of improvement is also known as maintenance excellence. It can redefine the roles, responsibilities of traditional, and even maintenance process is also necessary to improve to enhance the asset useful life and cost as well [4]. It can run like any other for-profit business and expected to meet its critical contribution to a fully integrated plant organization. All of these results are significant reductions in maintenance spending. It is not unusual for organizations to experience as much as a 50% reduction in maintenance cost as a result of moving from a reactive style of management to a preventive approach [5]. Therefore, appropriate maintenance resembles the improved management system in industries. Accordingly, preventive maintenance management has been introduced to repair or replacement of components, accomplishment of servicing with information management system. All of them are organized and implemented clearly to exploit the convenience of operational tasks in the industry.

However, productivity should be linked with maintenance management system and then only the possible improvements are occurring effectively. Productivity is associated with the outcomes established from the organization by what extent the inputs are accessing into the system [6]. The link between productivity improvement and maintenance management is well established. Proper maintenance management maximizes the performance and availability of machinery, which leads to increased productivity. Equipment effectiveness is no longer restricted to availability, but involves other factors, such as quality and efficiency. The impact of maintenance management on business performance aspect such as productivity and profitability has increased indefinitely in recent times due to its role in ensuring and improving machine availability, performance efficiency, product quality and swift delivery, environmental and safety requirements [7]. Therefore, one of the main areas for productivity improvement is maintenance management and so the research focuses on how to improve the productivity of Awash Wine Share Company through effective maintenance management system.

Awash Wine Factory is Ethiopia's longest established wine maker and supplier starting from 1936EC. Wine is the end product of the complete/partial alcoholic fermentation of grapes juice in many processes. Different machines and equipment are used in the process of wine production. In the course of time, these processing machines and equipment may fail regularly and resulted in reduction of productivity. Failures decrease production as well as erode profits off. The reduction in productivity can arise either through maintenance cost or increasing in production time. Higher plant-reliability leads to reductions in the frequency of equipment failure and wastages of energy. This study focuses on the investigation of the existing maintenance problems of the case factory and proposed the best solution

*Implementation of Computerized Maintenance and Management System in Wine Factory… DOI: http://dx.doi.org/10.5772/intechopen.93007*

that increase the reliability of the machinery and then enhance productivity. Consideration is focused like, maintenance management system to improve the output, machinery condition, operation standards, and reasons for failure, while simultaneously enhance productivity through reducing the downtime of machinery and overall maintenance cost. Hence, possible solutions have been found to resolve the maintenance system and its strategy to minimize the machine downtimes and the cost for maintenance. All these can be controlled with the preventive problems at the beginning by observing the failure root causes and also, proper leadership over the operators, testers, and helpers in the system. Moreover, the chapter tries to find the behavior of the industry to enhance the productivity by implementing smart maintenance strategy and management system, which is suitable to the factory based on its objective.

#### **1.1 Maintenance management**

As automation and mechanization came into picture to change the production processes are converted from manual to machines in high end [3]. Accordingly, the global market is working in one-faced industrialization and to be competitive. Hence, every industry is striving to improve the productivity through different types of tools, techniques, systems, and philosophies. Improved maintenance management system is the best but unseen way that should be used by different manufacturing industries. The role of maintenance management must change to support the growing worldwide competition. It can no longer limit its role to immediate reaction to emergencies and overpower problems with more bodies and excessive overtime. In other words, maintenance should not always be reactive rather it should be proactive. In this regard, there is a need of executing mainte-

*Operations Management - Emerging Trend in the Digital Era*

The industries minimized the losses by locating right systems, infrastructure, process of the product development, and all these executed in a well manner. Hence, the operation will become stable to maximize the production output. This type of improvement is also known as maintenance excellence. It can redefine the roles, responsibilities of traditional, and even maintenance process is also necessary to improve to enhance the asset useful life and cost as well [4]. It can run like any other for-profit business and expected to meet its critical contribution to a fully integrated plant organization. All of these results are significant reductions in maintenance spending. It is not unusual for organizations to experience as much as a 50% reduction in maintenance cost as a result of moving from a reactive style of management to a preventive approach [5]. Therefore, appropriate maintenance resembles the improved management system in industries. Accordingly, preventive maintenance management has been introduced to repair or replacement of components, accomplishment of servicing with information management system. All of them are organized and implemented clearly to exploit the convenience of opera-

However, productivity should be linked with maintenance management system and then only the possible improvements are occurring effectively. Productivity is associated with the outcomes established from the organization by what extent the inputs are accessing into the system [6]. The link between productivity improvement and maintenance management is well established. Proper maintenance management maximizes the performance and availability of machinery, which leads to increased productivity. Equipment effectiveness is no longer restricted to availability, but involves other factors, such as quality and efficiency. The impact of maintenance management on business performance aspect such as productivity and profitability has increased indefinitely in recent times due to its role in ensuring and improving machine availability, performance efficiency, product quality and swift delivery, environmental and safety requirements [7]. Therefore, one of the main areas for productivity improvement is maintenance management and so the research focuses on how to improve the productivity of Awash Wine Share Com-

Awash Wine Factory is Ethiopia's longest established wine maker and supplier starting from 1936EC. Wine is the end product of the complete/partial alcoholic fermentation of grapes juice in many processes. Different machines and equipment are used in the process of wine production. In the course of time, these processing machines and equipment may fail regularly and resulted in reduction of productivity. Failures decrease production as well as erode profits off. The reduction in productivity can arise either through maintenance cost or increasing in production time. Higher plant-reliability leads to reductions in the frequency of equipment failure and wastages of energy. This study focuses on the investigation of the existing maintenance problems of the case factory and proposed the best solution

pany through effective maintenance management system.

nance more effectively.

tional tasks in the industry.

**306**

Accorsi et al. [8] stated maintenance management as a business concept that describes the successful and efficient management of maintenance issues involved in the upkeep, operation and productivity of a factory, manufacturing facility or plant.

Maintenance management is considered as the collective actions like administrative, managerial, and technical tools, and over the product is to be produced without failures in the factory. Also, maintenance management helps to change and understands the state of functions or combination of its actions of the product to perform effectively. Accordingly, maintenance management is regulating the objectives which are given to produce a part and makes sure that the described targets are necessary to assign carefully from the department. To fulfill the given objectives, management methods such as strategies and responsibilities are to be planned and controlled by supervising economical aspects in the factory. This is closely aligned to other such notions found in modern maintenance literature. Further definitions consider maintenance management as the management of all assets owned by a company, based on maximizing the return on investment in the asset.

Maintenance management may be described as the function of providing policy guidance for maintenance activities, in addition to exercising technical and management control of maintenance programs [9]. Maintenance management system consists evaluation and analysis of indicative control variables such as performance, quality, equipment history and cost, and systematic implementation of programs like planned preventive maintenance, computerized maintenance management system, reliability improvement, cost reduction, and skill development schemes.

An effective maintenance management might be characterized as the product of prudence. Good maintenance programs and the efficient management systems behind them are essential for economically viable and operationally safe machinery. But most of the factories including awash wine factory lack appropriate machine/ equipment maintenance strategy and management system.

A good maintenance management system helps to accomplish minimal downtime [10]. The management of maintenance is equally important with performing maintenance. A good maintenance management system makes equipment and facilities available. If the required equipment or service is down, or if the machine stops short of completing a job, time and money are wasted.

Literature on maintenance management has so far been very limited [11]. Basic steps of maintenance management stated that are request, approval, plan, schedule, performing work, recording data accounting for costs, developing management information, updating equipment history and providing management control reports [10]. Generally, the size of the maintenance group is determined in the

company for achieving superior management and their control. Previously, the size could be varied 5–10% to the operating force. Whereas, now the trend has been changed like the size of the maintenance efforts that are increased significantly when compared with operating force. The increment of the size is because of advanced technologies introducing in all companies. It shows the maintenance requirements are greater than the necessity of manual operators.

Various types of inventory management systems incorporate different decision rules toward inventory. Some are dependent on time and others on the levels of

*Implementation of Computerized Maintenance and Management System in Wine Factory…*

All inventory systems can be classified as one of the three varieties based on the

Steps such as job planning, coordinating with purchasing, coordinating with stores, coordination of issuance of materials, and reviewing the completed job can

In the middle of the nights cannot be able to check the spare parts following an urgent call from the operating manager. However, many large companies have been

warehousing. But, there is no alternative to check spare parts by individual knowledge like what computer can do regularly. Also, the spare parts are necessary to check whenever it is necessary to reduce the time and cost. For this, large companies have special arrangements to major equipment spare parts storage. The boxes have all the spare parts in an arrangement with size and stock numbers to make easy process. It will be consumed wherever the work has been carried out and then it will

This is also the time to check on the availability of special tools. These should be kept in a separate box, inventoried at regular intervals, and generally treated as a

To facilitate the setting of inventory control policies, spare parts can be classified according to their usage rates into fast moving (where the demand is greater than, three items per year) and slow moving (demand less than three times per year).

The main aim of the spare part administration activities is to control the holding stock cost against the running out cost. Inventory techniques are used to control the procedures which will reduce the cost of the following stocks such as running stock, replenishing stock, and holding stock. Two basic levels are considered to control the

i. Re-order level: replenishment has been driven by the stock falling to fix the

ii. Re-order cycle: stocks are reviewed and replenishment has been allowed.

In the re-order level policy, the so-called "two-bin" system (**Figure 1**): the inventory policy is set in terms of a re-order level M and a re-order quantity q. Continuous monitor has been done over the stocks, and replenishment order to a fixed size q is ordered when the stock is on-hand falls to or below a fixed re-order

level M. Hence, re-order levels are used as reservoir which can reduce the

arranged few sort of computers to control the spare parts ordering and

be returned with all lists of consumed parts to the warehouse.

inventory, but the essential decisions are the same.

*DOI: http://dx.doi.org/10.5772/intechopen.93007*

• Material requirement planning system

help reduce material related problems [13].

valuable spare part or essential resource.

**1.4 Principles of spare part inventory**

policies for enhancing the spares:

re-order levels;

**309**

**1.5 Spare part inventory for fast moving parts**

above basic concept:

• Reorder point system

• Periodic review system

The main goal of the maintenance management is to increase productivity and also profits from the effective operations by which many areas are to be considered and focused in the organization. It is very important to maintain the equipment over a prescribed schedule and plan in a company. In addition, practice of preventive maintenance guidelines and warranties enhances the productivity by saving company's budget in maintenance costs and acquired the overall safety of the crews.

Besides, inventory management is also necessary to control the effective business in the organization. It reduces the overhead and physical space on the stock parts and goods for better utilization. Definitely, the company's efficiency is increased professionally by managing the inventory. However, maintenance department acts at where the company is consuming bulk of its overhead costs. Consequently, business philosophy and approaches have been adjusting according to the management costs. Recent trends that have been developed in maintenance technology would convince to enhance the company's margins.

In other side, maintenance system could be seen as input to the output. Here, manpower, equipment, management, etc. are considered as input. Whereas in output, well equipment configuration and working conditions to operate effectively. Similarly, approaches and philosophies are to be maintained when the company needs to enhance its profit margins.

A good maintenance management system makes equipment and facilities available. If the required equipment, machineries or service is down, or if the machine stops short of completing a job, time and money are wasted. A good maintenance management system helps to accomplish minimal downtime [9].

An effective maintenance management encompasses the following:

#### **1.2 Maintenance policy**

These are rules or set of rules describing the triggering mechanism for the different maintenance actions. It is a question of what triggers maintenance actions. The common maintenance policies are: failure-based maintenance (FBM), condition-based maintenance (CBM), opportunity-based maintenance (OBM), can be sorted in this category.

#### **1.3 Maintenance inventory/material control**

Inventory is stores of goods and stocks kept to meet future demand. In manufacturing industries, items in inventory are called stock keeping items that are held at a stock (storage) point. Usually, the stock keeping items are raw materials, work-in-process, finished products, purchased parts, and supplies.

There are two types of inventories; independent and dependent demand inventories. Independent demand inventories are finished products inventory, while dependent demand inventories are inventories of raw materials and in process goods. The demand for independent items is forecasted, while the demand for dependent items should be calculated from the production requirements for independent demand items [12].

The objective of inventory management system is to make decisions regarding the approved level of inventory and changes in the level of inventory.

### *Implementation of Computerized Maintenance and Management System in Wine Factory… DOI: http://dx.doi.org/10.5772/intechopen.93007*

Various types of inventory management systems incorporate different decision rules toward inventory. Some are dependent on time and others on the levels of inventory, but the essential decisions are the same.

All inventory systems can be classified as one of the three varieties based on the above basic concept:

• Reorder point system

company for achieving superior management and their control. Previously, the size could be varied 5–10% to the operating force. Whereas, now the trend has been changed like the size of the maintenance efforts that are increased significantly when compared with operating force. The increment of the size is because of advanced technologies introducing in all companies. It shows the maintenance

The main goal of the maintenance management is to increase productivity and also profits from the effective operations by which many areas are to be considered and focused in the organization. It is very important to maintain the equipment over a prescribed schedule and plan in a company. In addition, practice of preventive maintenance guidelines and warranties enhances the productivity by saving company's budget in maintenance costs and acquired the overall safety of the crews. Besides, inventory management is also necessary to control the effective business in the organization. It reduces the overhead and physical space on the stock parts and goods for better utilization. Definitely, the company's efficiency is increased professionally by managing the inventory. However, maintenance department acts at where the company is consuming bulk of its overhead costs. Consequently, business philosophy and approaches have been adjusting according to the management costs. Recent trends that have been developed in maintenance

In other side, maintenance system could be seen as input to the output. Here, manpower, equipment, management, etc. are considered as input. Whereas in output, well equipment configuration and working conditions to operate effectively. Similarly, approaches and philosophies are to be maintained when the com-

A good maintenance management system makes equipment and facilities available. If the required equipment, machineries or service is down, or if the machine stops short of completing a job, time and money are wasted. A good maintenance

requirements are greater than the necessity of manual operators.

*Operations Management - Emerging Trend in the Digital Era*

technology would convince to enhance the company's margins.

management system helps to accomplish minimal downtime [9].

An effective maintenance management encompasses the following:

The common maintenance policies are: failure-based maintenance (FBM),

Inventory is stores of goods and stocks kept to meet future demand. In manufacturing industries, items in inventory are called stock keeping items that are held at a stock (storage) point. Usually, the stock keeping items are raw materials,

work-in-process, finished products, purchased parts, and supplies.

the approved level of inventory and changes in the level of inventory.

These are rules or set of rules describing the triggering mechanism for the different maintenance actions. It is a question of what triggers maintenance actions.

condition-based maintenance (CBM), opportunity-based maintenance (OBM), can

There are two types of inventories; independent and dependent demand inventories. Independent demand inventories are finished products inventory, while dependent demand inventories are inventories of raw materials and in process goods. The demand for independent items is forecasted, while the demand for dependent items should be calculated from the production requirements for

The objective of inventory management system is to make decisions regarding

pany needs to enhance its profit margins.

**1.3 Maintenance inventory/material control**

**1.2 Maintenance policy**

be sorted in this category.

independent demand items [12].

**308**


Steps such as job planning, coordinating with purchasing, coordinating with stores, coordination of issuance of materials, and reviewing the completed job can help reduce material related problems [13].

In the middle of the nights cannot be able to check the spare parts following an urgent call from the operating manager. However, many large companies have been arranged few sort of computers to control the spare parts ordering and warehousing. But, there is no alternative to check spare parts by individual knowledge like what computer can do regularly. Also, the spare parts are necessary to check whenever it is necessary to reduce the time and cost. For this, large companies have special arrangements to major equipment spare parts storage. The boxes have all the spare parts in an arrangement with size and stock numbers to make easy process. It will be consumed wherever the work has been carried out and then it will be returned with all lists of consumed parts to the warehouse.

This is also the time to check on the availability of special tools. These should be kept in a separate box, inventoried at regular intervals, and generally treated as a valuable spare part or essential resource.
