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Moving Beyond the Calendar: Usage-Based Maintenance in Dynamics 365 Field Service

Discover how usage-based maintenance in Dynamics 365 Field Service helps manufacturing service managers improve uptime, planning, and efficiency.

If you’ve ever owned a car, you’ve probably heard the classic advice: “Change your oil every three months or every 3,000 miles.” It’s a reminder that maintenance is shaped by two factors: the calendar and the actual wear from use.

For service managers in manufacturing, the same idea applies. Some equipment runs around the clock; other machines might sit idle for weeks. Treating them the same with a fixed maintenance schedule can mean wasted trips on one hand, and unexpected failures on the other.

Let’s take a closer look at the differences between time-based and usage-based maintenance.

A Real-World Example: HVAC Units

Take HVAC units. You might schedule a check-up every 45 days to make sure everything is running properly. That’s the time-based side of preventive maintenance, and Dynamics 365 Field Service handles that out of the box.

But we also have to consider the actual workload of the unit. Maybe you know that after every 50 units of airflow, certain components need attention. That’s usage-based service, and until recently it wasn’t something you could easily set up in Field Service.

Now, you can.

With extended functionality from HSO’s Advanced Field Service solution, manufacturing service managers can track asset properties—like airflow, mileage, or run-time hours—and trigger a work order when those thresholds are reached. You can set it up as recurring (every 50 airflow units) or one-time (like a major inspection at 100,000 miles). To make sure nothing slips through, you can also define a time override—for example, if usage data hasn’t been updated in 180 days, create the work order anyway.

Whether the data is coming in automatically from IoT-enabled equipment or being entered manually by technicians, you’re covered.

Take a look at this demo to see this example in action:

Why Usage-Based Maintenance Matters for Service Managers

Usage-based maintenance helps service managers:

  •  Service equipment when it actually needs it, not just because the calendar says so.
  • Reduce downtime and provide more reliable performance for customers.
  • Plan inventory effectively, knowing which parts will be needed and when.
  • Offer flexible service contracts that mix time-based and usage-based rules.
  • Balance technician schedules between predictable check-ups and variable demand.

In short, it helps service managers move from reacting to problems to staying one step ahead.

Planning for Inventory and Capacity in Field Service

Once usage-based agreements are in place, the data opens up even more value. Service managers can:

  • Forecast product demand tied directly to upcoming work orders.
  • Estimate technician hours more accurately.
  • Use Power BI dashboards to compare demand against on-hand inventory, identify shortages, calculate costs, and measure workforce capacity.

Instead of guessing at what’s coming, you have a clear picture of both inventory and resource needs.

Bringing It All Together with Dynamics 365 Field Service

This doesn’t replace the role of ERP systems for enterprise-wide demand planning. Instead, it gives service managers day-to-day visibility into maintenance schedules, parts requirements, and technician capacity—using the data that already lives in Dynamics 365 Field Service.

Final Thought

Preventive maintenance is no longer just about time on the calendar. By extending Dynamics 365 Field Service to include usage-based service agreements, manufacturers can align maintenance with how equipment is actually used. For service managers, that means better planning, more efficient operations, and customers who know their equipment is in good hands.

Want to see how usage-based maintenance could work in your organization? Talk to our team today.

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