a b s t r a c tThe purpose of this paper is to investigate the maintenance practices that are used in Swedish industry. The study was performed by conducting a cross-sectional survey within Swedish firms that have at least 100 employees. The main results achieved from the study show that the role of maintenance is not highly recognised. There is a need to spend and invest more in maintenance, which is considered by the majority of Swedish industries as a necessary expense. Although about 13% of the maintenance department time is spent on planning maintenance tasks, nevertheless, about one third of the time is spent on unplanned tasks. There is a need for more adoption of maintenance concepts such as total productive maintenance (TPM) and reliability-centred maintenance (RCM). The lack or ineffectiveness of planning and scheduling can significantly restrict the maintenance department in achieving its objectives and can thus prevent the company from maximising business profits and offering competitive advantages.
Purpose -The purpose of this paper is to develop a strategic maintenance performance measurement system. Design/methodology/approach -In response to this purpose, a balanced scorecard framework was adopted to assess the contribution of support functions (such as maintenance) to strategic business objectives. A case study approach was used to test the suggested framework at a Swedish paper mill. Findings -It was found that by using the suggested framework it was possible to measure and identify the cause-and-effect relationship of using an effective maintenance strategy, and assess its impact on the company's competitive advantages. For example, it was found that there is potential to, ideally, improve the company's return on investment (ROI) by 9 per cent. This figure represents a projected US$8.4 million in lost profits, which are caused by planned inoperative time and overall equipment effectiveness (OEE) elements. At least 14 per cent of the ROI potential improvements are directly related to the maintenance function as lost profit, which is due to unplanned stoppages and bad quality caused by maintenance-related problems. Practical implications -Using the modified BSC provides a framework whereby the contribution of support functions (for example, maintenance) to the strategic business objectives can be assessed. The modified BSC makes it easier for the maintenance and production staff who are technically oriented to communicate with top management in terms that managers understand, i.e. in terms of money. Furthermore, this approach facilitates the making of cost-effective decisions. Originality/value -The present study contributes to our knowledge of this process by changing the status of the "maintenance function". This is done by showing that maintenance is no longer a cost centre, but should be regarded as a profit generating function.
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