Annual Maintenance Contract (AMC): How CMMS Users Can Define, Execute, and Measure AMCs

January 5, 2026
Dr.-Ing. Simon Spelzhausen

This article is written for maintenance and reliability teams who already operate a CMMS and need to manage Annual Maintenance Contracts (AMCs) in a structured, auditable, and data-driven way.

It focuses on how AMCs work in real maintenance operations, not legal theory. Every section ties AMC concepts to day-to-day CMMS workflows: asset registers, PM schedules, work orders, spare parts, SLAs, and reporting.

What is an AMC?

An Annual Maintenance Contract (AMC) is a time-bound agreement (typically 12 months) that defines how maintenance work is delivered, measured, and reported for assets, equipment, or systems.

For CMMS users, an AMC is not just a contract document — it is a set of operational rules that must be executed through:

  • Scheduled preventive maintenance
  • Incident and breakdown work orders
  • SLA-based response and resolution
  • Spare parts usage and costing
  • Vendor performance reporting

This is why AMCs are most effective when managed inside a CMMS.

AMC vs Maintenance Agreement vs Maintenance Support Agreement

In operational maintenance environments, these terms are often used interchangeably. What matters for CMMS buyers is not the label, but what must be tracked and enforced.

Term CMMS-focused Perspective
Maintenance Agreement Scheduled preventive maintenance tasks executed through recurring work orders and planned schedules.
Maintenance Support Agreement Incident-driven maintenance with SLA tracking, response times, and service request management.
AMC (Annual Maintenance Contract) A comprehensive maintenance model combining preventive, reactive, spare parts tracking, and performance reporting — all fully managed and auditable within a CMMS.
Tip for all roles: If your AMC can’t be mapped to work orders, SLA timers, and asset histories in CMMS, it won’t deliver measurable outcomes.

IT AMC & Computer AMC Services

IT AMCs cover the maintenance and support of IT assets such as:

  • Servers, desktops, and laptops
  • Network equipment and peripherals
  • Operating systems and business-critical software

From a CMMS perspective, an IT AMC must clearly define:

  • Remote vs on-site response times
  • Patch and update responsibilities
  • Backup and restore verification
  • Asset replacement and warranty handling
  • Incident categorisation and escalation paths

Makula allows IT and maintenance teams to log IT assets alongside physical assets, ensuring AMC activities are tracked, reported, and auditable like any other maintenance work.

Multi-site AMC management

Many organisations operate across multiple locations, which complicates AMC oversight.

Challenges CMMS teams face:

  • Inconsistent SLA tracking across sites
  • Vendor performance visibility gaps
  • No central asset or incident record

Makula solution:

  • Configure site-specific SLA timers
  • Centralised vendor work orders and scorecards
  • Cross-site reporting dashboards

Facilities Manager perspective: “I can see all my buildings in one dashboard, know which vendors are performing, and identify assets at risk.”

AMC quotation checklist

A CMMS-ready quotation ensures you can implement the contract operationally.

What to include:

  1. Full asset list (ready to import into CMMS)
  2. Preventive maintenance coverage and schedule
  3. SLA matrix (response and resolution times by priority)
  4. Parts policy (included, excluded, billable)
  5. Reporting requirements (PM completion %, MTTR, SLA compliance)
  6. Vendor responsibilities for documentation
  7. Pilot period with KPI acceptance criteria

Reliability Engineer tip: “By importing asset lists and SLA matrices into Makula, I can instantly track performance from day one.”

How Makula CMMS operationalises AMCs

Asset & contract visibility

Preventive maintenance execution

  • Automated PM generation
  • Task-level instructions and checklists
  • Missed PM alerts and compliance reporting

Work orders & SLA enforcement

  • Priority-based SLAs
  • Time-stamped response and resolution tracking
  • Automated escalation workflows

Spare parts & cost control

  • Parts consumption tied to AMC work
  • Inventory forecasting and reorder alerts

Vendor management

Reporting & audits

  • MTTR, MTBF, SLA compliance dashboards
  • Exportable reports for procurement and audits

This is how Makula turns AMCs from static documents into living operational systems.

Maintenance Manager focus: “I can see which PMs are overdue and which vendor met SLA targets without chasing spreadsheets.”
Reliability Engineer focus: “I get actionable MTTR data to improve asset reliability and predict failures.”

Recommended items in a CMMS-driven annual maintenance program

For operational teams:

  • Digitised asset register with condition and warranty data
  • Automated PM schedules with digital checklists
  • Incident & SLA tracking
  • Spare parts & inventory control
  • Vendor performance monitoring
  • Monthly/quarterly reports for procurement & audits
Facilities Manager takeaway: Centralising all AMCs in Makula simplifies audits and compliance reporting.

How Makula CMMS operationalises AMCs

Contract Element Makula Feature Value
Asset register Centralized asset & warranty records Accurate coverage, easier audits
PM execution Automated recurring work orders Higher PM compliance, fewer emergency repairs
SLA enforcement Priority-based timers & automated escalations Measure vendor performance objectively
Spare parts Linked to assets and work orders Reduce downtime, control costs
Vendor management Work orders, scorecards, and invoice tracking Compare vendors, enforce contracts
Reporting & dashboards MTTR, MTBF, PM completion, SLA compliance Data-driven renewal and scaling decisions
Mobile inspections Digital checklists, photos, and timestamps Compliance-ready, audit-proof evidence

All roles benefit: Each CMMS user sees the data they need in their context — from work orders to dashboards.

Pilot workflow — how to validate AMCs in Makula

  1. Import assets & vendor quotation details
  2. Run a 60–90 day pilot on key assets.
  3. Track PM completion, MTTR, SLA compliance, parts usage
  4. Generate vendor scorecards & dashboards.
  5. Decide: scale, renegotiate, or terminate.
Procurement/IT focus: “Pilots give evidence for vendor decisions instead of relying on subjective evaluation.”

FAQs

What is an AMC in maintenance management?

An Annual Maintenance Contract (AMC) is a yearly agreement that defines maintenance scope, SLAs, and responsibilities. In a CMMS, it is operationalised through preventive maintenance schedules, reactive work orders, SLA tracking, and performance reports.

Can AMCs be managed across multiple sites in a CMMS?

Yes. A CMMS like Makula centralises assets, vendors, SLAs, and work orders across all locations, allowing teams to monitor AMC performance site by site or through consolidated dashboards.

How do I track SLA compliance for an AMC?

CMMS platforms timestamp work order creation, response, and completion. SLA timers and automated alerts highlight breaches, while dashboards report SLA compliance by vendor, asset, or site.

Should spare parts be included in an AMC price?

This depends on cost history and risk. CMMS parts usage and failure data help model scenarios where parts are included, excluded, or partially billable, enabling data-backed AMC negotiations.

Why should AMCs be managed inside a CMMS?

Managing AMCs inside a CMMS ensures all maintenance activity is auditable and measurable. It links contracts directly to assets, work orders, SLAs, parts usage, and reports, enabling objective vendor evaluation and reliable renewal decisions.

Dr.-Ing. Simon Spelzhausen
Mitbegründer und Chief Product Officer

Dr.-Ing. Simon Spelzhausen, ein Engineering-Experte mit einer nachgewiesenen Erfolgsbilanz bei der Förderung des Geschäftswachstums durch innovative Lösungen, hat sich durch seine Erfahrung bei Volkswagen weiter verbessert.