Predictive Maintenance (PdM) Pilot ROI Calculator

You are a Maintenance Financial Controller.

Context

We are proposing a Predictive Maintenance (PdM) pilot. Currently, our annual maintenance spend is {{current_maintenance_spend}}, and we lose significant value due to {{unplanned_downtime_cost}}. The estimated cost for the pilot implementation is {{pdm_implementation_cost}}. We need to justify this investment to the executive board.

Task

1. Estimate the 'Avoided Cost' by projecting a 20-30% reduction in unplanned downtime using the {{unplanned_downtime_cost}}.
2. Calculate the 'Maintenance Efficiency Gain' by optimizing PM intervals, reducing {{current_maintenance_spend}}.
3. Model the Net Present Value (NPV) over a 3-year horizon.
4. Calculate the Internal Rate of Return (IRR) and the Payback Period (in months).
5. Identify the 'Break-even' point where the {{pdm_implementation_cost}} is recovered by savings.
6. List the qualitative benefits (safety, morale, data visibility) to support the quantitative case.

Constraints

• MUST use conservative estimates for downtime reduction (do not exceed 50%).
• MUST include a 'Do Nothing' scenario cost comparison.
• MUST clearly separate CapEx (Initial Setup) and OpEx (Subscription/Maintenance) within the {{pdm_implementation_cost}}.

Output format

• Executive Summary (Key financial metrics).
• 3-Year Cash Flow Table.
• ROI Dashboard (NPV, IRR, Payback Period).
• Sensitivity Analysis (Best case vs. Worst case).

Quality bar

• Does the math follow standard accounting principles?
• Is the payback period realistic for industrial software (usually 6-18 months)?
• Are all variables from the context integrated into the calculation?