Flevy Management Insights Q&A
What role does augmented reality (AR) play in enhancing asset maintenance procedures through EAM?


This article provides a detailed response to: What role does augmented reality (AR) play in enhancing asset maintenance procedures through EAM? For a comprehensive understanding of EAM, we also include relevant case studies for further reading and links to EAM best practice resources.

TLDR AR revolutionizes EAM by improving maintenance efficiency, accuracy, safety, and enabling remote collaboration, leading to enhanced Operational Excellence.

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Before we begin, let's review some important management concepts, as they related to this question.

What does Operational Excellence mean?
What does Real-Time Data Utilization mean?
What does Safety Compliance Management mean?
What does Remote Collaboration and Expertise Sharing mean?


Augmented Reality (AR) is transforming the landscape of Enterprise Asset Management (EAM) by providing innovative solutions for maintenance procedures. This technology enhances the efficiency, accuracy, and safety of asset maintenance tasks, thereby contributing significantly to an organization's Operational Excellence. Through the overlay of digital information onto the physical world, AR equips maintenance personnel with real-time, actionable insights, leading to more informed decision-making and execution.

Improving Maintenance Accuracy and Efficiency

AR technology plays a pivotal role in improving the accuracy and efficiency of maintenance procedures. By superimposing digital images and data onto a technician's field of view, AR provides immediate access to vital information such as maintenance history, step-by-step repair instructions, and safety protocols. This instant access to information reduces the time spent on diagnosing issues and performing repairs, thereby increasing overall operational efficiency. For instance, a technician facing a complex machinery breakdown can use AR glasses to visualize the internal components and workings of the machine, receive guided instructions, and even remotely consult with experts in real-time, thus significantly reducing downtime and improving productivity.

Moreover, AR facilitates precision in maintenance tasks by ensuring that procedures are executed correctly the first time, thereby minimizing the risk of errors and rework. For example, AR can project torque sequences and specifications directly onto parts to be assembled, ensuring that technicians follow the correct sequence and apply the right amount of torque, reducing the likelihood of mechanical failures.

Organizations employing AR in their EAM strategies report substantial improvements in maintenance turnaround times and a reduction in unscheduled downtimes. According to a report by PwC, companies integrating AR for maintenance and training purposes have seen up to a 50% reduction in training time, alongside significant improvements in productivity and error reduction.

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Enhancing Safety and Compliance

AR also significantly enhances safety and compliance in maintenance operations. By providing technicians with real-time access to safety information and alerts, AR helps in identifying potential hazards before they become incidents. For example, AR can highlight energized equipment, moving parts, and other hazards within the technician's field of view, ensuring that they are aware of and can mitigate risks while performing maintenance tasks.

In addition to real-time hazard identification, AR supports compliance with safety standards and procedures by guiding technicians through the correct safety protocols. This includes the visualization of lockout-tagout procedures, ensuring that all energy sources are isolated before maintenance begins. Such AR-guided procedures help organizations adhere to stringent safety regulations and reduce the incidence of workplace accidents.

Furthermore, AR's ability to record and archive maintenance operations provides an auditable trail of compliance with safety and maintenance protocols, aiding organizations in regulatory compliance and continuous improvement initiatives.

Facilitating Remote Collaboration and Expertise Sharing

One of the most significant benefits of AR in asset maintenance is its ability to facilitate remote collaboration and expertise sharing. AR enables experienced technicians to guide on-site personnel through complex maintenance tasks in real-time, regardless of geographical boundaries. This remote assistance capability is invaluable, especially in scenarios where specialized knowledge is required or when travel restrictions prevent experts from being physically present.

For instance, a field technician facing an unfamiliar issue can share their view with a remote expert, who can then overlay instructions directly onto the technician's field of view. This collaborative approach not only speeds up the maintenance process but also serves as an on-the-job training tool, enhancing the skill set of the on-site technician.

Leading organizations have leveraged AR to maintain operations during challenging times, such as the COVID-19 pandemic, by enabling remote support and minimizing the need for physical presence. A notable example includes Siemens, which uses AR to provide remote assistance to its customers and service engineers, ensuring uninterrupted service and maintenance of critical infrastructure.

In conclusion, AR technology is revolutionizing asset maintenance procedures within EAM frameworks by enhancing efficiency, accuracy, and safety. As organizations continue to adopt and integrate AR into their maintenance strategies, they stand to gain significant competitive advantages through improved operational performance, reduced downtime, and enhanced compliance with safety and regulatory standards.

Best Practices in EAM

Here are best practices relevant to EAM from the Flevy Marketplace. View all our EAM materials here.

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Explore all of our best practices in: EAM

EAM Case Studies

For a practical understanding of EAM, take a look at these case studies.

Asset Management Optimization for Luxury Fashion Retailer

Scenario: The organization is a high-end luxury fashion retailer with a global presence, struggling to maintain the integrity and availability of its critical assets across multiple locations.

Read Full Case Study

Asset Lifecycle Enhancement for Industrial Semiconductor Firm

Scenario: The organization is a leading semiconductor manufacturer that has recently expanded its production facilities globally.

Read Full Case Study

Asset Management System Overhaul for Defense Sector Contractor

Scenario: The organization is a prominent contractor in the defense industry, grappling with an outdated Enterprise Asset Management (EAM) system that hampers operational efficiency and asset lifecycle management.

Read Full Case Study

Asset Management Advancement for Power & Utilities in North America

Scenario: A firm within the power and utilities sector in North America is facing difficulties in managing its extensive portfolio of physical assets.

Read Full Case Study

Defense Sector Asset Lifecycle Optimization Initiative

Scenario: The organization is a provider of defense technology systems, grappling with the complexity of managing its extensive portfolio of physical assets.

Read Full Case Study

Enterprise Asset Management for a Cosmetics Manufacturer in Europe

Scenario: A European cosmetics company is facing challenges in scaling its Enterprise Asset Management (EAM) to keep pace with rapid expansion and increased product demand.

Read Full Case Study

Explore all Flevy Management Case Studies

Related Questions

Here are our additional questions you may be interested in.

How does EAM contribute to sustainability and environmental goals within an organization?
EAM systems enhance sustainability by optimizing asset lifecycle management, reducing waste, ensuring regulatory compliance, and driving sustainable decision-making, significantly contributing to an organization's environmental goals. [Read full explanation]
How can EAM strategies be integrated with sustainability and environmental goals?
Learn how integrating Enterprise Asset Management (EAM) with Sustainability and Environmental Goals enhances Operational Excellence, reduces costs, and supports societal environmental efforts through Strategic Alignment, Digital Transformation, and Stakeholder Engagement. [Read full explanation]
What role does EAM play in facilitating a company's digital transformation journey?
EAM is crucial for Digital Transformation, optimizing asset lifecycle management for Operational Excellence, aligning with Strategic Planning, facilitating Change Management, enhancing Risk Management, and driving Innovation for growth and market competitiveness. [Read full explanation]
What are the key performance indicators (KPIs) for evaluating the success of an EAM system?
Evaluating an EAM system's success involves KPIs across Asset Utilization, Maintenance Management Efficiency, and Financial Optimization, focusing on metrics like Asset Utilization Rate, OEE, PMC, Maintenance Backlog, and ROA to drive Operational Excellence and Risk Management. [Read full explanation]
What metrics are most effective for measuring the success of an EAM implementation?
Effective EAM implementation success metrics include Overall Equipment Effectiveness, Mean Time Between Failure, Asset Utilization, Return on Assets, Maintenance Cost as a Percentage of Replacement Asset Value, Total Cost of Ownership, Maintenance Response Time, Work Order Completion Rate, and Compliance Metrics, driving improvements in reliability, financial health, and operational efficiency. [Read full explanation]
How are emerging technologies like blockchain influencing the future of EAM systems?
Blockchain technology is revolutionizing Enterprise Asset Management (EAM) systems by improving transparency, security, and efficiency, promising significant cost savings and Operational Excellence. [Read full explanation]

Source: Executive Q&A: EAM Questions, Flevy Management Insights, 2024


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