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Weathering Economic Uncertainty with Condition Monitoring and Predictive Maintenance

May 13, 2025

Are your maintenance practices suitable for today’s manufacturing climate? Here’s how predictive maintenance can safeguard your operations at all times.

These days, manufacturers are feeling intense pressure to do more with less. Rising labor costs, supply chain volatility, and trade uncertainties aren’t just making headlines—they’re cutting into margins and disrupting even the most well-run operations.

Add to all that the high costs of unplanned downtime. When equipment goes down or gets pulled offline for unnecessary maintenance, that’s time and money you don’t have to spare.

The reality is, traditional maintenance strategies like reactive maintenance and preventive maintenance just aren’t built for this moment. They’re costly, inefficient, and, in a lot of cases, completely blind to real-time risk.

Before we get to cutting-edge solutions, let’s talk about economic and market factors that are forcing manufacturers to change the way they operate.

The Economic Pressures That Make Traditional Maintenance Practices Unsustainable

Let’s start with the big picture in manufacturing. Companies are scrambling to adjust as operating costs climb and revenues dip:

  • According to the National Association of Manufacturers' Q1 2025 Outlook Survey, 76.2% of respondents cited trade uncertainties, including tariffs, as a primary challenge, marking a 20 percentage point increase from the previous quarter. Additionally, 62.3% reported increased raw material costs as a significant concern.
  • The Institute for Supply Management reported that 82% of manufacturers mentioned tariffs as a concern in their April 2025 survey responses. Many companies are experiencing "tariff whiplash," leading to adjustments in pricing strategies and supply chain management to mitigate the impact of rapidly changing trade policies.
  • U.S. manufacturing slipped into contraction in March 2025, with the ISM Purchasing Managers’ Index falling to 49.0, citing tariff-related pressures and a pullback in output.

All of this spells tighter budgets, higher stakes, and less tolerance for inefficiency—which brings us to the mission-critical importance of choosing the right maintenance strategy.

Why Reactive and Preventive Maintenance Are Breaking the Bank

Both reactive and preventive maintenance strategies incur unnecessary costs, as neither is condition based. There’s no real-time condition monitoring to properly gauge asset health and detect issues that could wreak havoc on production lines. Day in and day out, teams waste resources performing unnecessary routine tasks, scramble to put out fires when equipment fails, or both.

Reactive Maintenance: Always Too Late, Always Too Costly

Asset failures cause of 80% of all unplanned downtime, which costs manufacturers an average of $260,000 per hour due in part to production losses (from material waste to lost revenue), emergency repairs, and labor. Emergency repairs typically involve overtime, expedited shipping, and external contractors—not to mention safety risks and liability exposure when things fail without warning.

Preventive Maintenance: Overservice That Underdelivers

Where preventive maintenance is the standard, overservicing is the reality. A study by the National Institute of Standards and Technology (NIST) found that preventive maintenance is applied unnecessarily up to 50% of the time in manufacturing.

In addition, “random” failures—which account for about 85% of all component failures—only seem random. In fact, every failure has early warning signs. When issues emerge suddenly in the gaps between routine scheduled maintenance, they often go undetected until it’s too late.

The Predictive Advantage: Built for Economic Uncertainty

Predictive maintenance, which combines condition monitoring techniques and tools with AI-powered predictive analytics, flips the script. Instead of hoping your schedule aligns with reality, it lets you listen to what your equipment is telling you—every day, in real time.

✅ Less Downtime, More Control

By implementing a predictive maintenance program, you don’t have to guess when to act. You only act when it matters. Instead of spending their workdays overservicing equipment or managing chaos, your team can reduce unplanned downtime by up to 50%.

✅ Smarter Use of Labor and Inventory

A predictive maintenance strategy means fewer rush orders, less overtime, and less overhead collecting dust in your storeroom. The result is a 25–35% reduction in maintenance costs—a significant boost for the bottom line, given that maintenance costs can account for up to 70% of the cost of goods produced.

✅ More Output, Less Stress

By addressing issues early, you’ll limit mechanical stress caused by wear and tear. As your assets continue operating in peak health, you’ll not only see reliability gains, but also performance and production gains. Lower energy consumption and reduced emissions will help advance your sustainability goals as well.

Where the Rubber Meets the Floor

Let’s bring this back to your plant floor. What is your maintenance strategy costing you? Can you afford the status quo, given the current array of market forces and pressures?

If you’re reacting to failure, you’re:

  • Putting your team in emergency mode (amid growing workforce challenges)
  • Paying a premium for last-minute parts and labor, unnecessarily
  • Risking brand-damaging delays, safety events, and regulatory compliance issues

If you’re running preventive maintenance, you’re:

  • Paying for parts you don’t need
  • Pulling machines offline before they’re ready
  • Risking missed issues that fall between service intervals

When you move to predictive maintenance, you get:

  • Real-time visibility with holistic views of asset health
  • Expert-validated alerts from a dedicated partner (no alert fatigue)
  • Actionable insights that plug directly into your CMMS
  • A more resilient operation, ready to handle whatever comes next

Bottom Line: Predictive Maintenance Isn’t a Luxury—It’s a Lifeline

If the last few years have taught us anything, it’s this: manufacturers need to be agile, efficient, and proactive to stay competitive.

You know how much is on the line when a line goes down. But today, it’s easy to shift from defensive plays to strategic offense. Predictive maintenance enabled by condition monitoring gives you the visibility, confidence, and flexibility to weather whatever comes next—without sacrificing throughput, team morale, or the bottom line.

You don’t have to overhaul everything overnight. Start with your most critical assets. Prove the ROI to your team through a no-risk trial—no CapEx, installation cost, or IT involvement. Get prescriptive recommendations from a condition monitoring expert dedicated to your facility. Then scale what works.

Ready to learn more? Schedule a free consultation with an expert. Let’s talk about your facility needs and how a predictive maintenance program can help you build a more resilient operation.

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