Hi Mzu.

Usually the best source of cost drivers comes from within…from the maintenance stakeholders who have all the past maintenance records. It is best to source the capital equipment at the same time the maintenance is sourced. The bidders can bid on the equipment, or the maintenance, or both. Failure to do so will probably lead to a cheap price on the equipment, but high prices on the services. Both the equipment agreement and the maintenance agreement templates usually come from the customer to ensure the total contracting coverage is integrated.

My experience is this equipment requirements need to be clearly defined with specifications to be sure of getting what is needed.

In terms of loopholes - the biggest concern here is when the maitenance agreement is poorly constructed in that it does not cover all the various facets (parituclarly cost drivers) concerning maintenance of the equipment over the course of its lifecycle. Failure to define and analyse these specifications usually will result in unforseen costs.

Of course drafting a wonderful maintenance agreement is one thing, it is then critical to manage according to the agreement, which is where many organisations then start to fall short.

Hopefully this helps.