Case Study: How DVA Can Have a
Positive Impact
Increased Up-Time
A customer had a given application in which
an expensive mechanical seal was being used. The
mechanical seal in question needed to be
replaced in an emergency breakdown. The customer
phoned a Bearing & Transmission technical
service representative to find out how quickly
that mechanical seal could be delivered in order
to get their operation up and running. The
representative checked the customers stock to
see if they had any available for replacement
and followed that up by checking Bearing &
Transmission stock. The search yielded no
results.
The appropriate mechanical seal
had a 3 day lead time that would have caused the
customers operation to be shut down for that
period, resulting in a substantial amount of
lost production income. Instead of accepting the
circumstances, ordering the product, and moving
on, the Bearing & Transmission representative
visited the maintenance point to personally
inspect the application.
As it turns out,
the mechanical seal that was originally put in
place of a traditional oil seal was not
accomplishing the task for which it was intended
to do. The Bearing & Transmission representative
informed the customer that a traditional oil
seal would perform almost identically to the
mechanical seal, and could be provided in a
matter of hours at a fraction of the cost of the
mechanical seal.
Cost
of Mechanical Seal:
$9000
Cost
of Standard Lip Seal:
$23
DVA
Savings:
$8,977
The customer in this instance
experienced a hard cost savings of the
difference between the expensive mechanical seal
versus the traditional oil seal,
$8,977, as well
as soft cost savings on decreased down time. The
DVA value was the total of both the hard cost
and soft cost savings.
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