Repair or replace?
By Jim Thompson
Sometimes capital project engineers are called to repair an exisiting asset. You know, that 10" elbow in the pulp mill that has three patches on it already?
When do you throw in the towel and replace it? It is a judgement call, but to me it is when the cost of the labor to repair exceeds the cost of the new item.
Don't forget in the cost calculation the cost of downtime and the cost of product being lost.
Many items are repaired that should be replaced. This is due to the bias in your accounting system, which is rewarding you for repairing in the short term vs. taking a long term view.
What is your opinion? Drop me a line at jim.thompson@ipulpmedia.com. I would like to hear from you.
And further by the way, I come to mills and talk to various departments about many subjects. To arrange my custom visit to your mill, just email me at jim.thompson@ipulpmedia.com or call me at 678-206-6010.
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