Optimizing Operating Costs
Many factories use a wide range of different lubricant products, largely due to historical purchasing practices rather than technical requirements. The longer the product list, the higher the inventory, the greater the risk of using the wrong product, and the harder it is to assess operational efficiency.
Product List Review
Techtrol technicians compare each lubricant currently in use with the actual requirements of the equipment, then consolidate equivalent products into a single product.
Product Consolidation Example
| Before | After | Notes |
|---|---|---|
| 4 different brands of ISO VG 68 hydraulic oil | 1 Techtrol oil with ISO VG 68, ISO HM | Same viscosity grade and anti-wear requirements |
| 3 brands of VG 220 gear oil | 1 Techtrol oil with ISO VG 220 | Consolidated due to the same EP requirements |
| 2 brands of ISO VG 46 compressor oil | 1 Techtrol oil with ISO VG 46 | Excluding machines with specific manufacturer requirements |
Where do the cost savings come from?
- Purchase price: consolidating volume into fewer products enables better price negotiations.
- Inventory: fewer products mean less capital tied up in stock and less expired oil.
- Downtime: more appropriate replacement cycles reduce the number of shutdowns.
- Breakdowns: reduced risk of using the wrong lubricant, a common cause of equipment failure.
Factories that have standardized their product lists with Techtrol have reported annual operating cost reductions of 10–20%.
Deliverables
- A streamlined lubricant list clearly showing which products replace which.
- An annual lubrication cost estimate based on the new product list.
- A transition plan organized by equipment group to avoid changing everything at once.
