A new global report from ABB, developed in partnership with Sapio Research and based on a survey of 3600 senior decision-makers across multiple sectors, finds that just over half of respondents (55%) have a strategic and proactive plan to modernise facilities and manage out obsolete components like old motors and drives.
Despite growing awareness, the data highlights that 44% of leaders experience equipment-related interruptions at least monthly, with 14 percent reporting stop-pages every single week – implying major financial and operational risks. The majority estimate these sudden disruptions cost anywhere from US$10 000 up to US$500 000/h. For 7%, the figure climbs even higher.
The report reveals key gaps between planning and execution. While 55% of industry players claim to have a proactive modernisation strategy, only one in five of those grappling with weekly interruptions actually implement such a plan. Likewise, among the 30% who are dealing with monthly issues, just one third (34%) actively manage life-cycle processes for their facilities and assets.
“Unplanned downtime is costing industry up to half a million dollars per hour – yet one in three businesses hasn’t modernised their motor-driven systems in the last two years. That’s more than a missed opportunity, it’s a silent crisis,” comments Oswald Deuchar, Global Head of Modernization Program, ABB Motion Services. “Our research shows that those who shift from reactive fire-fighting to forward-looking life-cycle strategies experience fewer failures and greater resilience. A key challenge, though, remains in justifying the up-front in-vestment. With some applications, upgrading obsolete, inefficient equipment can generate return on investment in less than two years, but leadership buy-in is often hard-won.”
Communication gaps remain. Despite the strikingly high hourly cost of un-planned downtime, over a third of respondents find it somewhat difficult or very difficult to articulate the return on investment (ROI) of modernisation projects to senior leaders. Meanwhile, 17% of businesses “rarely or never” include the impact of lost productivity in their capital investment decisions.
Cost remains the top barrier to modernisation for 28% of industrial players. Among the 66% who have undertaken an upgrading and retrofitting project in the last two years, just over one quarter explicitly did so to reduce stoppage risks – highlighting that the link between continuous life-cycle management and operational reliability is still not fully understood or acted upon, even by many modernisation proponents.
“We’re hoping this report opens some eyes. Modernisation isn’t just about re-placing old parts, it’s about rethinking performance. With 44% of industrial players facing monthly setbacks, the case for smarter asset management has never been more urgent,” continues Deuchar. “ABB’s approach combines digital intelligence, modular retrofits, and circularity principles to turn yesterday’s equipment into tomorrow’s high performers. This is how we enable clients to trade last-minute fixes for long-term foresight. Because today uptime is a man-date for a more competitive future.”
The full report is available here.