HOW EFFECTIVE LUBRICATION CAN SAVE YOU LAKHS!!!

Sunil Newatia
Dr. Digger
Published in
5 min readJun 5, 2018

Lubricant related breakdowns have cost the construction companies in lakhs. They are missing out on potential cost savings by underestimating the equipment productivity that effective lubrication can bring about.

Construction companies across the globe have started employing Total Lifecycle Cost estimation OR Total cost of ownership (TCO) evaluations to measure operational performance and efficiency. Reducing TCO over the lifetime of machinery’ enables them to extract the best possible value from the asset, yet the impact of lubrication on TCO is highly underestimated. To stay competitive, construction companies are now looking to innovative programs to increase productivity, efficiency and performance applying Total cost of ownership (TCO) evaluations.

The below pie-chart gives and indicative breakdown of total costs incurred during a life of a construction equipment:

A construction company spends appx 15–17% in the acquisition of the asset and 55–60% in fuel over the total life of the equipment. A fuel efficient equipment can thus have a significant impact on overall operating costs. Even a 2 litre / hour saving can bring down the overall impact of fuel cost to less than 50%!! You can thus imagine the savings you can have if you have a hungry machine than a thirsty one!

Maintenance cost, which involves lube and filter changes, costs only 5% during the entire life cycle of the equipment but most of the procurement managers and cost control enthusiasts struggle and strive to bring it further down and in turn hike the repairs and maintenance costs. Efficient lube maintenance program can significantly bring down the repairs and breakdown costs from 13% to less than 10%.

Proper lubricant management can help deliver cost savings through wear protection. Further, unplanned downtime can be significantly influenced by how you apply and manage lubricantion of your machineries. Effective lubrication can deliver significant business value by contributing to improved productivity and reduced costs.

Selecting the right lubricant is a critical first step in improving productivity and realizing significant cost savings. The equipment’s design characteristics, operational parameters and operating environment must all be considered when selecting the lubricant. Working conditions in the construction industry are often severe; factors like temperature, humidity, dust and location all pose different challenges for lubrication.

Each piece of construction equipment made by different original equipment manufacturers (OEMs) have its own specific lubricant requirements. Equipment OEMs define theses specific requirements for lubricants, and not all products in the market meet these requirements, nor will they deliver the same level of performance or align with specific ambient factors like fluctuating temperatures, humidity levels and dusty environment.By selecting the right lubricant for their operation, construction companies can eliminate costly seasonal oil changes and increased productivity through less equipment downtime and improved maintenance costs.

Hydraulic oils are also an excellent example of how selection of the right lubricant can be crucial to unlocking the lubricant savings opportunity. The hydraulic system is at the heart of many critical pieces of construction equipment, but the impact of the hydraulic oil on operational efficiency and maintenance costs is often underestimated. Construction companies often select their equipment’s hydraulic oil without reviewing the OEM requirements or considering operating conditions.

SpecificOEM requirements should be thoroughly reviewed and understood to ensure that the proper type and grade of hydraulic oil is selected to help maximize equipment life and limit equipment downtime. While selecting the incorrect / cheap hydraulic oil may not result in immediate equipment failure, it can affect daily operational efficiency and can lead to increased maintenance expenses and productivity losses over time.

It’s important for companies to think about lubrication selection holistically, recognizing that short-term cost savings may lead to bigger, preventable expenses over the long term.

Lubrication Management

Even the best lubricants cannot perform effectively if not applied and managed correctly. Effective lubrication management helps deliver value from improved productivity and reductions in lubricant consumption, maintenance and operating costs.

One common issue we come across when visiting customer sites is contamination of the lubricant as a result of the way it is stored, handled, and applied. If the lubricant is contaminated before it even enters the equipment, its performance can be severely impacted. Seemingly small improvements in lubricant storage and handling can realize savings of thousands of rupees from reduced equipment downtime.

For example, the team at a big Construction often worked quickly to change oils and greases to reduce downtime. However, employees were often unclear as to which lubricant corresponded to which compartment, resulting in cross contamination. Most equipment manufacturers provide easy guides and pocket handbooks for staff. These handbooks can provide heightened awareness to lubricant servicing, clearly outlining the correct lubricant for each individual compartment. Simple adherence to the specified procedure can save you millions.

Lethargy and unskilled workers who might skip lubrication to some components can cost very dear! To eliminate this element of chance from regular lubrication, companies are opting for Auto centralized lubrication system. A grease pump is installed and connected to all greasing locations and a timer delivers right quantity of grease at the appropriate time every day. This system is getting very popular across the globe and is a good investment, which can significantly reduce your breakdown and maintenance costs eliminating wastage and contamination due to repeated manual handling and environmental factors.

Dealer / distributor support therefore plays a valuable role in educating staff and optimizing lubrication as they works with customers to help coach their staff in effective lubrication management techniques and conduct site surveys to help identify areas for improvement in lubrication. In doing so, these technical experts can help companies achieve millions of rupees in saving

Credits: The above article owes most of the information and inspiration from an article written by Mr. Scott Kwas, Shell Canada

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Sunil Newatia
Dr. Digger

I do not have any claim to fame. I am just one amongst the billions inhabiting our great planet. I am just a spiritual being having a human experience