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:

Full asset list (ready to import into CMMS)
Preventive maintenance coverage and schedule
SLA matrix (response and resolution times by priority)
Parts policy (included, excluded, billable)
Reporting requirements (PM completion %, MTTR, SLA compliance)
Vendor responsibilities for documentation
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

Central asset records with AMC coverage status
Warranty and contract expiry tracking

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

Contractor work orders
Vendor scorecards and SLA performance
Invoice and service verification

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

Import assets & vendor quotation details
Run a 60–90 day pilot on key assets.
Track PM completion, MTTR, SLA compliance, parts usage
Generate vendor scorecards & dashboards.
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

Co Founder & Chief Product Officer

Simon Spelzhausen, an engineering expert with a proven track record of driving business growth through innovative solutions, honed through his experience at Volkswagen.