Maintenance & Reliability

Maintenance cost as % of RAV

Annual maintenance spend against replacement asset value.

Calculating…

How it's calculated

Maintenance cost % RAV = annual maintenance cost ÷ replacement asset value × 100

RAV is what it would cost today to replace the production assets, not their book value. Benchmarks vary by industry and asset age; about 2–3% is often quoted for well-run discrete manufacturing. Very low figures can mean a plant is being run down.