{"id":29820,"date":"2017-11-20T14:55:39","date_gmt":"2017-11-20T13:55:39","guid":{"rendered":"https://www.istec.com/fr/financiele-rechtvaardiging-condition-monitoring-deel-1-4/"},"modified":"2026-07-28T16:12:17","modified_gmt":"2026-07-28T14:12:17","slug":"financial-justification-of-condition-monitoring-part-1-4","status":"publish","type":"post","link":"https://www.istec.com/fr/financial-justification-of-condition-monitoring-part-1-4/","title":{"rendered":"Financial justification of condition monitoring (part 1/4)"},"content":{"rendered":"

This article consists of four chapters consecutively;

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1. Problems regarding the financial justification for investing in a condition monitoring system.

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Normally, the financial justification of an investment is easy to ascertain through a simple calculation comparing the initial costs and expenditures with the benefits of the investment; cost savings and increased profits. From this, it is then determined whether the investment can be paid off within a reasonable time through the benefits it provides. However, purchasing and implementing a condition monitoring system is much more difficult to justify financially.

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In summary, a condition monitoring system is used to predict machine behavior, enabling predictive maintenance. By accurately monitoring machine behavior, simple maintenance needs can be performed to prevent major maintenance. This means costly machine parts or entire machines need to be replaced much less frequently. The lifespan of the machine is maximized, thus saving a lot on maintenance costs.

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Several factors together form the basis for acquiring a condition monitoring system:

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The cost benefit provided by a condition monitoring system is difficult to determine because the variables that influence it are hard to measure. It is impossible to determine exactly how much damage, maintenance, or replacement has been prevented by condition monitoring. From the engineer’s perspective, it is a logical choice to implement a condition monitoring system. Insight into the machine data helps them in their work. Moreover, it may be that the sudden failure of a bearing or gearbox is so catastrophic for the machine that an unexpected stop occurs, with enormous financial consequences. The question remains how can you financially justify the relatively large investment required for the condition monitoring system?

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Continue with part 2 of this series:
\nFinancial argumentation and the consequences of a maintenance policy without a condition monitoring system »

\n","protected":false},"excerpt":{"rendered":"

This article consists of four chapters consecutively; Problems regarding financial justification for investing in a condition monitoring system (current chapter) Financial argumentation and the consequences of a maintenance policy without a condition monitoring system Financial argumentation and the consequences of a maintenance policy with a condition monitoring system Financial justification for investing in a condition …

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