Two Looks at the Importance of MaintenanceTwo ​recent Wall Street Journal​ articles cite examples of how many aspects of maintenance costs are not noted in standard accounting​ procedures. Preventive maintenance involves monitoring equipment and​ facilities, along with performing routine​ inspections, to keep them reliable.Part 2Here is the first ​(from WSJ​, August​ 26-27, ​2022): Across the​ country, transmission lines are among the oldest parts of the electrical grid. Many were constructed in the years after World War II as Americans moved from cities to​ suburbs, built homes wired with wall​ sockets, and bought electric appliances. Some transmission lines are even​ older, developed shortly after the turn of the 20th century to replace gas lamps and candles at a time when electricity was still something of an experiment. For​ example, PG&E​ Corp.'s transmission line was built in 1921 in the Sierra Nevada mountains.Part 3On November​ 8, 2018, just before​ sunrise, strong winds pummeled a power line scaling those mountains north of​ Sacramento, California. A hook hanging from a​ century-old transmission tower​ broke, dropping a​ high-voltage wire that spit a shower of sparks setting dry brush aflame. ​The Camp Fire​, named for the road near its place of​ origin, burned for 17​ days, destroying​ 150,000 acres and​ 19,000 structures. It killed 84 people.​ PG&E pled guilty in 2020 to involuntary manslaughter charges. It said that inspections revealed the need for more than​ 250,000 repairs across the system. But they had not taken place.​ PG&E's lack of preventive maintenance cost lives.Part 4The second article ​(from WSJ​, September​ 2, 2022) involves the U.S. ​Army: The Army said its maintenance personnel installed the wrong parts on some of its 400 Chinook​ helicopters, prompting military officials to ground the entire fleet. The Army experienced at least seven incidents of fuel​ leaks, four of which involved engine fires. The parts in​ question, types of seals known as​ O-rings, weren't​ faulty, just not the ones that were supposed to be installed. The Army has taken steps to correct the maintenance error and inspect helicopters suspected of having the incorrect​ O-rings, which the U.S. government purchased for 11 cents each.Part 5The helicopters have ferried American soldiers and equipment on battlefields since the​ helicopter's debut in 1961. The military had no estimate for when the aircraft would begin to return to service.​Sources: The Wall Street Journal​ (August 26, 2022 and September​ 2, 2022).Part 6Answer Critical Thinking Questions1. Preventive maintenance by​ PG&E would haveA.required​ long-term planning.B.been impossible to attempt as there was a need for a quarter million repairs.C.been easy and inexpensive to accomplish.D.cost more than it was worth.Part 72. The​ army's helicopter problem was due toA.the cost of the​ O-rings.B.faulty training.C.defective parts.D.too large a fleet to manage.

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
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Two Looks at the Importance of Maintenance
Two ​recent Wall Street Journal​ articles cite examples of how many aspects of maintenance costs are not noted in standard accounting​ procedures. Preventive maintenance involves monitoring equipment and​ facilities, along with performing routine​ inspections, to keep them reliable.
Part 2
Here is the first ​(from WSJ​, August​ 26-27, ​2022): Across the​ country, transmission lines are among the oldest parts of the electrical grid. Many were constructed in the years after World War II as Americans moved from cities to​ suburbs, built homes wired with wall​ sockets, and bought electric appliances. Some transmission lines are even​ older, developed shortly after the turn of the 20th century to replace gas lamps and candles at a time when electricity was still something of an experiment. For​ example, PG&E​ Corp.'s transmission line was built in 1921 in the Sierra Nevada mountains.
Part 3
On November​ 8, 2018, just before​ sunrise, strong winds pummeled a power line scaling those mountains north of​ Sacramento, California. A hook hanging from a​ century-old transmission tower​ broke, dropping a​ high-voltage wire that spit a shower of sparks setting dry brush aflame. ​The Camp Fire​, named for the road near its place of​ origin, burned for 17​ days, destroying​ 150,000 acres and​ 19,000 structures. It killed 84 people.​ PG&E pled guilty in 2020 to involuntary manslaughter charges. It said that inspections revealed the need for more than​ 250,000 repairs across the system. But they had not taken place.​ PG&E's lack of preventive maintenance cost lives.
Part 4
The second article ​(from WSJ​, September​ 2, 2022) involves the U.S. ​Army: The Army said its maintenance personnel installed the wrong parts on some of its 400 Chinook​ helicopters, prompting military officials to ground the entire fleet. The Army experienced at least seven incidents of fuel​ leaks, four of which involved engine fires. The parts in​ question, types of seals known as​ O-rings, weren't​ faulty, just not the ones that were supposed to be installed. The Army has taken steps to correct the maintenance error and inspect helicopters suspected of having the incorrect​ O-rings, which the U.S. government purchased for 11 cents each.
Part 5
The helicopters have ferried American soldiers and equipment on battlefields since the​ helicopter's debut in 1961. The military had no estimate for when the aircraft would begin to return to service.
​Sources: The Wall Street Journal​ (August 26, 2022 and September​ 2, 2022).
Part 6
Answer Critical Thinking Questions
1. Preventive maintenance by​ PG&E would have
A.
required​ long-term planning.
B.
been impossible to attempt as there was a need for a quarter million repairs.
C.
been easy and inexpensive to accomplish.
D.
cost more than it was worth.
Part 7
2. The​ army's helicopter problem was due to
A.
the cost of the​ O-rings.
B.
faulty training.
C.
defective parts.
D.
too large a fleet to manage.

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