What is the Difference Between EAM and CMMS?

Software system vendors are ubiquitous in today’s market. They will all tell you they are the best on the market and will provide you with the best solution.

Particularly, when it comes to asset maintenance or asset management. You will often hear the terms EAM and CMMS used interchangeably. It is important to know the difference between CMMS Software (EAM Software) and EAM Software (CMMS Software). As we have already mentioned,. Let’s get to the point!

There are hundreds of software solutions on the market today, all trying to claim that they offer the best asset management and maintenance solution. They’re all not created equal. Understanding the differences a combination of an enterprise asset management (EAM), and a computerized maintenance system(CMMS) – and knowing how to distinguish them under all the marketing hype – is key to sorting through Finding the right asset information system for your business.

To understand the differences between them, It is essential to start with the basics.

What is a computerized maintenance management system (CMMS)?

CMMS were designed to be exactly what the name says: computerized maintenance management systems. They began their lives in the 1960s as technology for managing work orders with punch cards instead of with paper and filing cabinets, and then emerged as computer software in the 1980s. As these systems evolved, they added more features to support a wider range of business needs. These days, most CMMS have some form of preventive maintenance, asset and inventory management, and mobile functionality. Many boast additional features such as project management, multi-site support, or the ability to purchase maintenance, repair, and overhaul (MRO) parts from an online catalog without leaving the CMMS.

Despite their growing range of capabilities, maintenance management remains the heart of a CMMS software package. Smaller CMMS products focus exclusively on work orders and equipment records. Even the largest aren’t designed to provide much functionality outside of maintenance and MRO materials management. This limited focus makes sense, given their history, and in some situations it can even be seen as an advantage. CMMS are dedicated, streamlined tools for managing maintenance operations. They aren’t supposed to service the asset management needs of the whole organization. This leaves gaps, but businesses can fill these by integrating their CMMS with other software systems that provide services such as scheduling, purchasing, and accounting.

CMMS are an attractive solution for small maintenance operations that need a simple way to manage work orders, equipment records, and spare parts. These systems can’t do everything, but they often have a smaller price tag than their larger and more powerful cousins—the EAM system.

What is an enterprise asset management (EAM) system?

EAM systems are unified platforms that allow an enterprise to manage its physical assets. This is why their name, “Enterprise Asset Management”, suggests they were created. EAM systems were created after network technology allowed companies to connect multiple computer systems. They arrived later than CMMS. EAM systems provide maintenance management capabilities. However, they also consider the total cost-of-ownership (TCO) of a company’s physical assets. They offer a wider range to track, manage and analyze asset performance, costs, and other information throughout the entire asset life cycle, from acquisition to decommission and everything in between.

EAM systems are specifically designed to support the enterprise and can be used in all areas of asset management. It includes maintenance and MRO inventory. However, it also covers engineering, project management, safety, compliance, accounting, operations and reliability management. Business intelligence (BI), is used to support enterprise-level strategic planning.

Aren’t CMMS and EAM the same thing?

There are two types of products that dominate the maintenance and asset software market: computerized maintenance management system (CMMS) and enterprise asset management systems (EAM). Although the terms are often used interchangeably, it can be difficult to know what the differences are. This is especially true when trying to choose which software system for your company. Many CMMS products that are actually CMMS systems have begun to advertise themselves as EAM systems or EAM/CMMS hybrids.

These products appear to have similar claims on the surface and do similar tasks. All of them are maintenance-oriented; all offer cloud-based subscriptions. Most also provide additional features such as asset tracking and inventory management. Some CMMS software packages offer features that were previously only available in EAM systems. These include multi-site management tools and purchasing modules. This begs the question: Is there a difference between an EAM and CMMS in today’s market? Mobile apps and web architecture are becoming more popular. Are we at a point when the lines between EAM and CMMS are blurred to the point that they basically look the same?

Yes, there is a difference. No, they are not the same thing. Let’s not forget that not every product that claims it is an EAM system actually has EAM functionality. Although the distinction between EAM software and CMMS may not be as clear as it used to be 20 years ago it is true that these two types of software still have significant differences in their approach and functionality.

What is the main objective of CMMS?

A CMMS’s primary purpose is to monitor equipment’s condition. It helps in obtaining precise and accurate information to aid in decision-making, especially in maintenance activities. It emphasizes preventive maintenance over other maintenance.

CMMS can play an important part in asset and inventory management. CMMS is a great tool for increasing productivity and saving money.

What is the main objective of EAM?

EAM’s main goal is to maximize asset quality and utilization while reducing costs. This allows for greater flexibility when it comes to operating and maintaining assets. It allows for efficient and effective use of assets. It tracks each asset from its purchase. It can also help you find non-performing assets.

What are the similarities between EAM and CMMS?

We have already mentioned that there are very few similarities between CMMS (and EAM) These similarities are what we will be discussing. Let’s see!

Both CMMS and EAM are umbrella terms for the maintenance management of equipment and assets.

Enterprise asset Management systems allow users to schedule preventive maintenance just like the computerized maintenance system.

They also have important features like asset tracking and inventory management.

Both EAM and CMMS offer cloud-based subscriptions

Which one is right for my business?

EAM systems are the best choice for large companies with many sites and assets. They are the only tool that can combine powerful maintenance and asset management with advanced features for lifecycle cost tracking and analysis, enterprise support for multiple businesses and locations, and functionality for non MRO departments such as accounting and engineering. EAM systems offer a greater range of integration options that CMMS. They connect the enterprise from BI systems to SCADA and BAS to the bottom and provide the accurate, rich information businesses need to make informed decisions about their assets.

SMBs have a more difficult choice. Many CMMS can handle the maintenance management and inventory requirements of smaller operations. CMMS is a good choice if that’s all what you want from your software system. Even for small operations, there are good reasons to consider an EAM program.

A tool that is flexible and adaptable to your growth plans is essential if you plan on growing. CMMS can be great for small businesses, but not so good for supporting growing businesses. An EAM system can provide enterprise functionality if you are considering adding another site. An EAM system will also be useful if you plan to implement reliability-centered maintenance (RCM), next year. While a CMMS might be useful for immediate needs, an EAM system can provide tools that will help you improve performance over time.

An EAM system will allow you to have a global approach to asset and financial management. It will take into account TCO and maximize the asset’s value over its life cycle. Asset management is more than just maintenance. It involves all business functions working together. A software platform must be able to support all functions of an operation. An EAM system gives you the tools to manage costs and maximize performance throughout the organization.

CMMS and EAM: What Does a CMMS Do?

CMMS Software automates maintenance management tasks for physical assets. It stands for Computerised Maintenance Management System. Manufacturing is an industry that heavily relies on a CMMS. The use of CMMS in manufacturing has changed over the years. From the mechanical boom of the 18th century, to the modern use of production lines at the beginning of the 20th century. Software systems have supported manufacturing processes for the past several decades. Software systems are used to convert raw materials into finished products. One was a CMMS.

The CMMS tools are available for over 35 years. Punch cards were the original method of managing work orders before CMMS was invented. Factory technicians are reminded to complete their tasks.

CMMS tools were introduced to mainframe computers with an emphasis on automation. These tools automate manual maintenance in core areas like work orders. In addition to inventory control and proactive maintenance. A CMMS’s primary functions are:

Keep Asset Registers

A CMMS records basic and advanced asset details, as well as maintenance records. Also called an asset register. Service management schedules, work plans, details of service engineers, and service management schedules are all included. Businesses have the opportunity to create relationships between engineers, assets and other business personnel. Also, their maintenance history.

Encourage proactive and preventive maintenance

Maintenance plans are a key feature of EAM Software and CMMS. Controlling maintenance cycles can reduce maintenance costs by as much as 12-18% CMMS gives you the platform and the workflow for managing maintenance cycles. You can choose from reactive, predictive, and preventative maintenance cycles. 91% of manufacturers that used a predictive maintenance plan saw a decrease in repair times.

Streamline Work Order Management

Maintenance management includes both internal and external work orders. These work orders can be resource-oriented or material-oriented. A CMMS allows you to track and report on all work orders. You can track the status of work orders in real time. Give visibility to inventory management.

A CMMS tracks details such as parts numbers, descriptions and suppliers. It can improve inventory management processes. It can alert you if inventory drops below a certain threshold. This automates the ordering process and ensures stock levels are maintained. This will also prevent unplanned downtime.

CMMS and EAM: What Does an EAM System Do?

When it comes to asset management, a CMMS or EAM can be different. Enterprise Asset Management Software takes a holistic approach to asset management throughout their entire lifecycle. This includes planning, procurement and operations as well as disposal. A CMMS is used primarily for the management of maintenance and equipment.

Industries that rely on their assets’ availability and use of them heavily can benefit from EAM systems. EAM systems are designed to measure and control asset performance. Businesses can increase usability and decrease expenses by using EAM. Also, it will improve maintenance processes and increase the efficiency and quality of workflows. An enterprise asset management system’s primary function is to:

Analyze and plan the asset life cycle

EAM provides a ‘financial plan to dispose’ management of assets’. It keeps information at each stage of the asset’s life cycle. This includes procurement records, maintenance management records and compliance details.

Configure Asset Workflows

Different teams view an asset differently. Production teams see assets as a way to drive production. Maintenance teams optimise asset uptime. Financial teams are essential for asset profitability. Compliance teams ensure safety. EAM provides asset perspectives based upon a role or department. You can track warranties and plan inspections. You can also note the reasons behind delays and overdue notifications, among other features.

Link Asset Uptime and Profitability

EAM provides a 360-degree view to an asset and is able to link it uptime profitability. For accounting purposes, assets must be continuously recorded and updated. EAM is a valuable framework for valuing assets throughout their useful lives.


This software is implemented in order to reduce time and cost, increase efficiency, and manage company assets. Software that is completely compatible with your company’s needs will be the best. It doesn’t matter whether it is enterprise asset management software or computerized maintenance system software.

It is not enough to just figure out the software. You must also know the answers to these questions!

  • Which assets are we required to monitor?
  • What features are actually required?
  • Are we able to modify the software according to our needs?
  • If we create, could the system adapt to our needs?
  • Are we able to make the spending plan/possibility?
  • Which issues are you trying to resolve?

Only by understanding the exact requirements of your company can you find the best software.

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