Defining a competitive strategy for the maintenance function at Eurocan pulp and paper mill

Eurocan Pulp and Paper Co., Division of West Fraser Mills, Ltd. (the Company or Eurocan), located in Kitimat, BC, operates two paper machines and manufactures unbleached linerboard and haft paper. This project defines a strategy for maintenance at Eurocan. The Company has no sustainable competitive advantage and therefore needs to be competitive based on cost. Maintenance is a significant cost and therefore is subject to analysis. After examining maintenance, this paper found that Eurocan must continue to improve its maintenance function in order to improve equipment reliability. Additionally the Company must lower the cost of maintenance without affecting the improvement in reliability. Eurocan should continue to improve the performance of its in-house crews. As higher levels of efficiency are reached, the in-house teams can be further utilized by performing some administrative duties, performing more preventative maintenance work, or by taking on work that is currently being contracted out.