The right choice of lubricant can deliver significant business value by contributing to improved productivity and reduced costs. However, the potential impact of lubricants is often significantly underestimated. Understanding how lubricants contribute to Total Cost of Ownership (TCO) is the first step to realising potential savings.

Total cost of ownership

When evaluating the effect of lubricants on TCO, we consider the end to end impact on maintenance budget and processes, but also any costs related to lost production during equipment downtime. Optimising lubrication can have a significant impact on component life, maintenance costs, and unplanned downtime so can contribute to cost savings far higher than the price of the lubricant itself.

Delivering savings with high quality lubricants

A high quality lubricant or grease that keeps equipment clean of deposits and effectively protects against wear and corrosion can help extend equipment life, reduce frequency of breakdowns and increase the machine’s availability. This can significantly decrease spend on spare parts and maintenance.

How the impact of lubricants has been underrated

Lubricants impact product costs. Poor lubricants can stall production, increase maintenance, or decrease the life of a component.

Lubricants impact product costs. Poor lubricants can stall production, increase maintenance, or decrease the life of a component.

  1. This study commissioned by Shell Lubricants and conducted by research firm Edelman Intelligence, polled 493 decision-makers in the manufacturing industry in eight countries (Brazil, Canada, China, Germany, India, Russia, the UK and the US) from November to December 2015.
  2. Total Cost of Ownership (TCO) is defined by Shell Lubricants as the total amount spent on industrial equipment, including cost of acquisition and operation over its entire working life, including costs of lost production during equipment downtime.

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