During a 20 year period, data from FM Global found that more than one-quarter of the company’s losses in that time related to mechanical breakdowns, while electrical breakdowns comprised a further 19 per cent. Combined, these two factors accounted for $US470 million ($581 million) over this time. Mining in particular is an industry that is exposed to such losses arising from equipment failure.
Issues arising from inadequate operating conditions and training, to environmental, maintenance and human factors can be a part of this.
When more than three of these negatives are involved, the propensity for loss increases tenfold and the severity spikes by a factor of five. To find out more about how to mitigate such risks, you can download the whitepaper below.