Why Reliability Works Best When It Stops Claiming to Be Strategic

by | Articles, Maintenance and Reliability

Reliability and maintenance professionals often describe their work as ‘strategic’ to gain traction with leadership.  While the intent is understandable, it can misalign reliability and maintenance with how organizations define strategy at the enterprise level.  At the 50,000-foot corporate view, strategy is defined by mission, vision, market position, and risk posture. 

Reliability and maintenance are tactical functions – high-impact operational disciplines that protect the organization’s ability to execute strategy consistently.  When framed correctly, reliability and maintenance become more than a cost center: it becomes execution insurance for corporate promises.

Reliability is Tactical Excellence

Why Calling Reliability “Strategic” Confuses Leadership

 In many organizations, reliability and maintenance live in an uncomfortable space.  They are blamed when execution fails – but often overlooked when operations succeed.  We’ve all heard the assumptions:

  • “Maintenance costs too much.”
  • “Why do we keep breaking down?”
  • “Can’t we just do more PMs?”
  • “Downtime is a maintenance problem.”

Those questions typically come from viewing maintenance as a support expense rather than a profit-protection mechanism.  I will note that reliability and maintenance are not a ‘profit center,’ as is sometimes put forward, because they do not generate income.  This is tested by asking: if the company had zero income, would the act of performing reliability and maintenance practices generate positive, profitable cash flow from customers?  Of course not, it’s a profit enabler.

When reliability leaders and consultants push back, the concept of ‘reliability and maintenance is strategic’ is often used.  But here’s the leadership translation problem: executives already have a definition of strategy that sits above equipment health.  Corporate strategy is expressed through:

  • Mission
  • Vision
  • Market differentiation
  • Customer promises
  • Risk posture
  • Investment priorities
  • Long-term growth model

At that level, strategy answers one question: ‘What does winning look like for this company?’  The answer rarely begins with: ‘more PdM routes.’

Strategy Chooses the Destination – Reliability Keeps You Moving

The truth is simple: reliability isn’t strategy.  The clearest corporate reframing is also the most powerful:

  • Mission and vision are corporate strategy.
  • Reliability and maintenance are tactical excellence that enable strategy.

This approach is not diminishing reliability; it’s positioning it correctly inside the corporate structure.  Effectively, strategy chooses the destination, and reliability keeps the organization functioning on the way there.

Strategy is not an initiative, program, or technology deployment.  Strategy is the corporate decision about what the company will be known for, what outcomes will be delivered consistently, and what conditions must exist for success to be inevitable.  A few examples of business strategy include:

  • “We win by being the most dependable supplier.”
  • “We win by the lowest total cost to serve.”
  • “We win by guaranteed quality and repeatability.”
  • “We win by speed of response and short lead times.”
  • “We win by safety and risk elimination.”

These are enterprise identity decisions and not maintenance goals.  These define how the business will compete and how it is rewarded in the market.

The business doesn’t make money because it owns equipment and assets.  It makes money by using equipment to execute a plan, and that execution only works when the operating system stays stable.  Reliability and maintenance are tactical functions because they operate inside the layer where reality does its damage:

  • Wear
  • Misalignment
  • Process drift
  • Electrical stress
  • Lubrication failure
  • Uncontrolled startup/shutdown behavior
  • Inconsistent workmanship
  • Spare parts gaps
  • Repeat defects

Addressing these, along with the long list of additional issues, falls within the tactical purview of the reliability and maintenance function.

Reliability as Execution Insurance, Not an Internal Initiative

It’s common to view tactical as less important incorrectly.  In reality, tactics are the actions that determine whether the organization survives contact with physical (or digital) reality.  Tactical functions, along with other parts of the organization, determine whether revenue, margin, and customer confidence are preserved and whether leadership can focus on growth rather than recovery.

Excluding other functions of the company, which usually carry equal importance, executive (c-suite), operational, and reliability have distinctive responsibilities outlined as follows:

C-Suite:

  • Brand promise.
  • Market position.
  • Risk posture.
  • Growth and capital deployment.

Operations:

  • Production planning.
  • Scheduling logic.
  • Staffing and capability design.
  • Supply chain rules.
  • Performance management systems.

Reliability:

  • Defect elimination (reduction).
  • Precision maintenance.
  • PdM/CBM monitoring.
  • Spares readiness.
  • Planned work systems.
  • Safe and repeatable asset care.

When leadership adopts reliability as a tactic framing, reliability and maintenance become much easier to justify because they stop being evaluated as ‘maintenance activity.’  Instead, it becomes insurance for strategy execution.  In this case, and in financial terms, reliability and maintenance reduce uncertainty, and uncertainty is expensive.

Table 1

Executives don’t fund ‘better maintenance,’ they fund risk reduction and performance certainty.

Once reliability and maintenance are framed as tactics, leadership questions improve dramatically.  Instead of reducing headcount, asking about continuous unplanned outages, and viewing reliability and maintenance as a direct expense that needs to be reduced:

  • How much operational risk exists between strategy and execution?
  • Where can asset failures destroy customer confidence?
  • Where are we leaking capacity without realizing it?
  • What instability threatens margin and delivery?
  • What is the fastest path to predictable performance?

Corporate strategy is defined by determining the mission, vision, market identity, and risk posture.  The reliability and maintenance organization within the corporation is a tactical function from the corporate perspective, making it more essential and better positioned as execution insurance rather than an internal initiative. 

Tactical excellence in reliability and maintenance is a competitive advantage because it reduces uncertainty.  Effectively, the real goal of reliability is not better maintenance; it is predictable business outcomes.

Author

  • Howard Penrose

    Howard W. Penrose, Ph.D., CMRP, CEM, CMVP, is president of MotorDoc® LLC, a Veteran-Owned Small Business. He chairs standards at American Clean Power (2022-25), previously led SMRP (2018), and has been active with IEEE since 1993. He represents the USA for CIGRE machine standards (2024-28) and serves on NEMA rail electrification standards (2024+). A former Senior Research Engineer at the University of Chicago, he’s a 5-time UAW-GM Quality Award winner. His work spans GM and John Deere hybrids, Navy machine repair, and high-temperature motors. He holds certifications in reliability, energy, M&V, and data science from Kennedy-Western, Stanford, Michigan, AWS, and IBM.

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