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A new study by Schneider Electric has found that 98% of businesses operate with electrical safety risks and 79% are currently operating with obsolete equipment.
These are some of the findings released in the latest report from Schneider Electric, spurring the call for organisations to address what they refer to as the “silent saboteur” undermining business operations.
The report draws on insights from audits of over 400 customer sites worldwide and reveals many of the operational threats that can have catastrophic financial and reputational consequences.
Main risks facing organisations include safety and compliance gaps, obsolete equipment, lack of critical spare parts, poor maintenance practices and limited operational visibility.
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Key findings of the report include:
- 98% of sites had electrical safety risks, and 93% had not conducted recent protection coordination studies, leaving them vulnerable to safety incidents and regulatory non-compliance.
- 79% of audited sites were found to be running outdated electrical equipment, increasing the risk of unexpected failures and costly downtime.
- 71% of sites lacked essential spare parts, putting business continuity at risk and extending recovery times in the event of a breakdown.
- Nearly a third of sites had damaged or poorly maintained capacitor banks, compounding power quality and stability issues.
- Many organisations still rely on manual processes and siloed data, making it difficult to detect inefficiencies or anticipate failures before they escalate.
Kas Mohammed, Schneider Electric’s vice president for Services UK&I, said: “Too often, organisations focus on headline investments while overlooking the operational fundamentals that keep their business running.
“The real risk lies in the hidden faults – those silent saboteurs – that quietly erode efficiency and resilience. The good news is increased monitoring and digitalisation of assets stops the saboteur lurking in the shadows, and organisations can be on the front foot when it comes to managing their operations.”
According to the report, in this volatile operating landscape marked by external pressures and high costs, business often focus on the elements they can control such as machinery. However, “control isn’t always
synonymous with attention,” with critical crucial admin, oversight, and maintenance tasks not receiving the emphasis they require.
The report recommends organisations map critical assets and identify where failure or inefficiencies would have the greatest impact. Establishing a baseline of criticality and life-cycle status and taking stock of operations will make it easier to plan.
Another recommendation is to ensure assets can communicate through sensors, data, and analytics. Digitalisation can assist fault identification and prediction, as well as optimise performance.
Schneider Electric also highlights the importance of training and upskilling to ensure people can get the most out of the digital tools.
