Reading time: 6 minutes
O&M contracts come in three shapes: fixed-price full service (OEM), time-and-materials (independent), and availability-based (penalty if uptime misses target).
Who provides
| Model | Best when |
|---|---|
| Full service (OEM) | You want uptime guaranteed |
| T&M (independent) | Mature fleet, low failure rate |
| Availability-based | Aligns incentives, higher cost |
Structuring the deal
New farms sign OEM full-service for 10-15 years. As the fleet ages and failure rates stabilise, independents become cost-effective - but you lose the software lock-in advantage.
About the Author: Arshiya Sabaghi is the founder of German Industry Hub. With an MSc in Sales Management and experience at McKinsey & Company (Industrial AI), Rolls-Royce Motor Cars, and AkkoNobel, he connects international buyers with verified German manufacturers. Based in Amsterdam. Native German, English, Dutch, and Persian.