Reliability and Cost Leadership
(Room 103C)
09 May 17
2:00 PM
-
2:30 PM
Tracks:
Lowering the Cost of Maintenance & Reliability
Cost leadership is a concept developed by Michael Porter and utilized in business strategy development. It describes a way to establish a competitive advantage by achieving the lowest operating costs in a particular industry. A key component of any business strategy is the reliability of the assets. Focusing on reliability lowers the cost of maintenance, which, in turn, lowers the overall operating cost of the plant. This lower operating cost increases the profit margin on the steel produced and provides a competitive advantage. This session will point out the direct correlation between reliability, cost leadership and competitive advantage.