[ R-03 — RESEARCH ]
Downtime Economics
What an hour of unplanned downtime really costs, industry by industry
An upcoming report building a defensible cost model for unplanned downtime across manufacturing, logistics, hospitality, healthcare facilities, and residential compounds. It gives operations leaders a method for pricing their own downtime rather than borrowing headline numbers.
What the report examines
- Develops a full-cost framework for downtime events: direct repair, expedite and overtime premiums, production or service loss, secondary damage, and reputation effects.
- Examines how downtime cost structure differs by industry — why an hour means lost throughput in a plant, missed SLAs in logistics, and guest compensation in hospitality.
- Investigates the planned-versus-unplanned cost multiple: how much the same repair costs when scheduled versus when suffered, across asset classes.
- Explores which share of historical downtime is detectable in advance by condition monitoring, and how that share should size predictive maintenance investment.
- Provides a worksheet method for organizations to compute their own downtime ledger from CMMS history in under a week.