Manufacturers Shift to Outsourced Maintenance to Weather Economic Downturns
In a recent survey conducted by Advanced Technology Services Inc. (ATS) in partnership with Nielsen Research, 100 senior U.S. manufacturing executives— CEOs, CIOs, vice presidents, and plant managers—reported that roughly two‑thirds are willing to outsource plant maintenance as a strategic hedge against an economic downturn.
ATS, the pioneer of factory asset services launched two decades ago, has grown into the industry’s leading provider of managed services for production equipment maintenance and industrial parts repair.
Industry leaders such as Caterpillar, Eaton, and Honeywell have already adopted this approach. By delegating routine upkeep to specialists, they can concentrate on core competencies while ensuring their most valuable assets remain operational.
The cost of downtime is significant—averaging $22,000 per minute for manufacturers when production stops, according to the ATS survey—making proactive maintenance a critical factor in sustaining profitability.
“When the nation faces an economic slowdown, manufacturers seek strategies to improve productivity and profitability and turn to outsourcing non‑core functions to care for their most valuable assets. That’s where we add value and help contribute to our customers' bottom line,” says ATS President Jeffrey Owens.
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