Documente Academic
Documente Profesional
Documente Cultură
Maintenance Planning
15 19 December 2008
By:
Ashraf Labib
Senior Consultant
Delegates Name
E-mail: info@euromatech.com
Website: www.euromatech.com
Company Profile
About Us
EuroMaTech is an internationally acclaimed training organisation focused on helping you to improve your
business.
Our Mission
To provide professional and strategic consultancy, and training services at competitive fee levels, to a worldwide circle of clients in a way that adds long term value to their organisation.
Our Vision
To develop cutting edge training solutions that can be implemented at all levels within an organisation.
Our public and in-house courses are developed to meet the specific demands of our clients.
Values
We believe that quality comes first. We are 100% committed to providing our clients with a product of the
very highest standard as well as an uncompromising level of customer service.
Charter
Being professional & helpful to you at all times and in all situations
Listening to your needs & structuring solutions which meet them
Communicating effectively, irrespective of geography, distance, time or complexity
Establishing and maintaining a positive and rewarding client relationship
Providing a warm & friendly environment ensuring that the learning experience is first class
Our Approach
We ensure that you maximise investment in personal development and the most appropriate methods of
training and developing people are used.
EuroMaTech puts knowledge to work through an unrivalled network of consultants from all over the world.
We Offer
Our comprehensive portfolio of programmes includes more than 500 seminars in the following fields:
In order to ensure that each delegate gets the most out of the programmes, effective use is made of different
learning styles and levels of knowledge. Also, to develop their skills and performances in specific areas,
we use a range of techniques from introductory to more sophisticated levels, all of which can be used to
overcome real issues at the workplace.
EuroMaTech is associated with the following Accreditation Bodies:
In-Company Training
EuroMaTech is able to provide customised courses to meet the precise requirements of individual
clients. The advantage of personalized training is that the clients particular business environment or
management situation is specifically addressed.
Consultancy
As well as tailored training, EuroMaTech provides a consultancy service to assist you in implementing
a customer oriented business plan. By pinpointing areas of strength and improvement, our objective is
to work in association with you to integrate learning into daily work practices.
Our Consultants
All our consultants are highly qualified practitioners who are selected for their experience in their
respective fields. The expert information and advice available on a EuroMaTech programme is triedand-tested, practical and up-to-date.
Our Clients
At EuroMaTech, we take pride in the knowledge that we have a large base of satisfied clients. Since our
inception, more than 40,000 delegates have attended our training programmes, the majority of whom
have indicated that the training exceeded their expectations.
Our client base is representative of all the major oil & gas companies, government departments and
agencies, banking & financial institutions, heavy industries and corporate organisations.
Contact Us
EuroMaTech
UK Office
109 Mount Pleasant
Liverpool, L3 5TF
England U.K.
Tel.: 0044-151-709 7100
Fax: 0044-151-709-7181
E-mail: info@euromatech.com
EuroMaTech
Middle East Office
P.O. Box 28083
Dubai
United Arab Emirates
Tel.: 00971-4-2696886
Fax: 00971-4-2691308
E-mail: euromatc@emirates.net.ae
Accreditations
EuroMaTech have passed through rigorous Quality Management Systems to become associated with the following
Accreditation Bodies:
PRESENTS
Page 1
SESSION 1: INTRODUCTION
- Delegates introduce themselves, saying
what they want to achieve during the
course.
- Instructor introduces himself.
- Description of Workshop - Interactive,
participation is essential.
- Course objectives.
Page 2
Page 3
Page 3
Methodology
The course is designed to benefit
delegates through :
lectures,
discussions,
practical testing,
exercises and
case studies.
Page 4
(Day 1)
(Day 2)
(Day 3)
(Day 4)
(Day 5)
Page 7
(Day 1)
Introduction
Introduction to Maintenance (Asset) Management
Definitions of key terms
Types of Maintenance - Reactive, and Proactive
Maintenance in the Business Process
Evolution in Maintenance Management
The Principle of Prioritisation
The Concept of Best and Worst Practice
Why Systems Fail?
Cases of Failures From Different Industries
Failure Analysis and Technical Causes of Failures
Generic Lessons Learned and Improvements
Page 8
(Day 2)
WORLD - CLASS STANDARDS - COMPARING
YOUR PLANT WITH THE BEST
Benchmarking and Maintenance Performance Assessment
Maintenance Self-Assessment
Managing and Measuring progress to Excellence
Overall Equipment Effectiveness
Page 9
(Day 3)
IMPLEMENTING NEW MANAGEMENT APPROACHES
Failure Management Programme (RCM)
Total Productive Maintenance (TPM)
Life-Cycle Costing
GETTING THE BEST FROM YOUR CMMS
Computerised Maintenance Management
Why CMMS Implementation Fail
Page
10
(Day 4)
OPTIMISING MAINTENANCE ORGANISATION
Operations Excellence
Operations + Maintenance = Production
Can Operations Manage Maintenance?
A Driving Lesson for Operations and Maintenance
Maintenance Management Legends
Page
11
(Day 5)
Page
12
Day 1
Introduction to Maintenance (Asset) Management
Page
13
Fundamentals of Maintenance.
Importance of Maintenance.
Categories of Maintenance.
A Comprehensive Control System.
Approaches to Prioritisation.
Page
14
Page
15
Fundamentals of
Maintenance
Page
16
Page
17
1. .?
2. .?
3..?
4. ..?
Page
18
Maintenance Definition
.. the management, control,
execution and quality of those
activities which will ensure that
optimum levels of availability and
overall performance of plant are
achieved, in order to meet business
objectives...
Page
21
10
What is Maintenance ?
Working on something
to keep it in a working
and safe state and
preserving it from failure
or decline
The something
includes workplaces,
work equipment, or
transport (e.g. ships). It
is not exclusive.
Maintenance includes
proactive and reactive
activities:
Inspection
Testing
Measurement
Replacement
Adjustment
Repair and upkeep
Fault detection
Replacement of parts
Servicing
Page
22
Importance of Maintenance
(or lack of it!!)
Most maintenance departments in the UK, US
and Canada operate between 10%-40%
efficient.
70% of equipment failures could have been
prevented.
This means that we are 60%-90% in efficient.
In other words, there is a great room for
improvement and design plays an important
role, as we will see later.
Page
23
11
Introduction to Characteristics
of Maintenance Practice
These are unique characteristics of
the maintenance function, which
make it differs from any other
function in the
business/manufacturing
environment.
An example is given after each one
to explain each characteristic.
Page
24
Characteristics of
Maintenance Practice
Conflicting Objectives.
Group Decision Making.
Multiple Criteria.
Gaps Between
Advancements in
Technology & Maintenance
Practices.
Page
25
12
Characteristics of
Maintenance Practice
Conflicting Objectives.
Group Decision Making.
Multiple Criteria.
PM Schedules:
Gaps Between
Production Vs.
Advancements in Maintenance Personnel
Technology & Maintenance
Practices.
Page
26
Page
27
13
Conflicting Objectives
Characteristics of
Maintenance Practice
Conflicting Objectives.
Group Decision Making.
Multiple Criteria.
Gaps Between
Maintenance,
Advancements
in
Production, Finance,
Stock
TechnologyQuality,
& Maintenance
Practices. Control,
Page
29
14
Page
30
Characteristics of
Maintenance Practice
Conflicting Objectives.
Group Decision Making.
Multiple Criteria.
Gaps Between
Ten: Maintenance,
Advancements in Top
Production, Finance,
Quality, Stock
Technology & Maintenance
Control,
Practices.
Page
31
15
Multiple Criteria.
Top Ten: Maintenance, Production, Finance,
Quality, Stock Control,
An experiment was carried out in the automotive industry where
different managers in charge of the above-mentioned functions
where given the same list of 100 machines and asked to select
the 10 most critical machines from their point of view.
The results were of course different lists of worst machines.
The reasons is that each manager has a different factor of
importance. Note that no one is wrong.
Therefore, the maintenance function is a classical multiple
criteria problem.
Page
32
Characteristics of
Maintenance Practice
Self evident!!
Conflicting Objectives.
Group Decision Making.
Multiple Criteria.
Gaps Between
Advancements in
Technology & Maintenance
Practices.
Page
33
16
Self evident!!
Although technology has advanced tremendously and
innovations in technology is an every-day affair. This has not
been matched by much change in the maintenance practice
itself.
We are still responding to problems when they occur, possibly in
the same manner as the Pharaohs used to carry out
maintenance practice, many years before.!!
Why?! Because of the status of maintenance as Cinderella of
production. This is not the case now and maintenance is
currently regarded by World Class companies as the last
goldmine.
Page
34
Breakdown
Maintenance is Undertaken Routinely Based
Upon Usage or Elapsed Time
Preventative
Condition Based
Page
35
17
Maintenance
Terminology
MAINTENANCE
Preventive Maintenance
Condition Based
Maintenance
Predetermined
Maintenance
Scheduled,
continuous
or on request
Scheduled
Corrective Maintenance
Deferred
Immediate
Page
36
Maintenance Categorisation
In a simple manner, maintenance is usually
categorised on a time basis.
Emergency maintenance denotes that the
work must be done in the immediate future.
Routine maintenance normally denotes that
the work must be done in the finite,
foreseeable future.
Preventive
maintenance
denotes
maintenance that is carried out in accordance
with a planned schedule.
Page
37
18
Page
38
Pro-Active
Reactive
Time
Page
39
19
Nuclear Industry
Pro-Active
Time
Page
40
Breakdown
Event
Aircraft Industry
Pro-Active
Reactive
Time
Page
41
20
Pro-Active
Reactive
Time
Page
42
Automotive
Pro-Active
Reactive
Time
Page
43
21
Comments:
1. All the previous items are tools and
techniques that can improve the shift towards
more proactive than reactive regimes in the
maintenance function.
2. The whole course (unit) is constructed in
order to learn how we can design systems that
incorporate those techniques to improve the
maintenance function towards being more
proactive.
Exercise 1.3:
Can you add to the above-mentioned list?
Page
45
22
*/
**/*/**/**
/**/*/*/**/
**/**/**/*
*/**/**/**
/**
*/**/*/**/
**/*/*/*/*/
*
*/*/**/*/*/
*/*/
Page
47
23
30
25
20
15
Actions
10
5
0
Actions
CMMS
People
CBM
Strategy
PM
29
8
Page
48
**/*/**/*/
**/*/*
*/**/**/*/
**/**/**/*
*/**/**
*/
*/*/
*/*/
24
20
15
10
Actions
5
0
Actions
CMMS
People
CBM
Strategy
PM
10
18
2
Page
50
17 to 21 May, 2008
*/*/*/*/*/*
/**/*
**/**/**/*
*/**/**/**
/*/*/*/**/*
/*
*/**/**
**/
*/**/**/*/
**
25
17 to 21 May, 2008
25
20
15
Actions
10
5
0
Actions
CMMS
People
CBM
Strategy
PM
21
8
Page
52
24 to 28 December, 2007
*/*/*
**/**/**/*
*
**/
*/**/*
26
24 to 28 December, 2007
8
7
6
5
4
Actions
3
2
1
0
Actions
CMMS
People
CBM
Strategy
PM
4
Page
54
09 - 12 December, 2007
*/*/*/*
*/**/**/*/**
/*/*/**/*/**
/*/**/**/*/*
/**/**
**/**/**/*/*
*/**/*/**/*/
*/*/**
**/*/*/**/**
/**/*/*/**/*
*/**/**
*/**/*/*/*
Page
55
27
09 - 12 December, 2007
30
25
20
15
Actions
10
5
0
Actions
CMMS
People
CBM
Strategy
PM
27
19
20
6
Page
56
12 - 16 November, 2007
**/*/*/*/*
*/*/*/*/*
**/**/**/*
*/**/**/**
/**/**/**/
**/**/**/*
*
*/*/*/*/*/*
/*/*/*/**
*/**/*/**/
*
**/*/*/**
Page
57
28
12 - 16 November, 2007
30
25
20
15
Actions
10
5
0
Actions
CMMS
People
CBM
Strategy
PM
11
28
11
6
Page
58
9 13 July, 2007
**
**/**/**/
*/*/*/*/*
*/*/**/*
*
*/**/**/*
*/**/*/**
**/*/*/*
Page
59
29
9 13 July, 2007
16
14
12
10
8
Actions
6
4
2
0
Actions
CMMS
People
CBM
Strategy
PM
16
12
5
Page
60
30
A Comprehensive Maintenance
Control System
Plant
information
Inspection
Predictive
maintenance
Purchases
Trouble
shooting
Spare parts
materials
Skills
Matrix
Work
requirement
Preparation
planning
setting
priorities
Instructions
drawings
documentation,
photos
Work
order
Preventive
maintenance
Page
62
31
Inspection
Pred Maint
Prev Maint
Breakdown
ts
Car W
Mach ash
Air ine
CEolm
ecptrriess
Guag c Aoirr
e
All li
gh
Dispe
nsis
Auto
m
Syste ation
ms
Gene
rator
Subm
e
pump rsible
s
Page
64
ADNOC
Distribution,
Abu Dhabi
Shut down
Page
65
32
ng
Bl d
&C
ntrl
Adm
htin
Dra
inag
e
Lig
Plan
t
Aut
oma
tion
erru
pted
Pwr
Loa
.
ding
Pum
ps
Met
eri n
g Eq
pt.
Loa
ding
Arm
s
Uni
nt
Plan
t
ADNOC Distribution,
Abu Dhabi
81
72
63
54
45
36
27
18
72
64
56
48
40
32
24
16
63
56
49
42
35
28
21
14
54
48
42
36
30
24
18
12
Corrective Maintenance
45
40
35
30
25
20
15
10
Preventive
Maintenance
Preventive Maintenance
36
32
28
24
20
16
12
Efficiency
27
24
21
18
15
12
18
16
14
12
10
Plant Breakdown
Breakdown
Safety/ Regulatory
Quality
Environmental
Aesthetics
55
to
81
Immediate
37
to
54
Within 72 hrs
10
to
36
Within 2
weeks
1
to
9
Within 3
months
Page
66
33
Page
69
34
ADVANCE MAINTENANCE
PLANNING AND SCHEDULE
Page
70
Page
71
35
Page
72
Page
73
36
37
Recent Related
Publications
1. .Sudiarso, A and A.W. Labib, A Fuzzy Logic Approach to an Integrated Maintenance / Production Scheduling Algorithm, International Journal
of Production Research (IJPR), Vol 40, No 13 pp 3121-3138, 2002.
2. Exton, T. and Labib, A.W., Spare Parts Decision Analysis The Missing Link in CMMSs (Part II), Journal of Maintenance & Asset
Management, ISSN 0952-2110, Vol 17 No1, 2002..
3. Labib, A.W., and T. Exton, Spare Parts Decision Analysis The Missing Link in CMMSs (Part I), Journal of Maintenance & Asset
Management, ISSN 0952-2110, Vol 16 No 3, pp 10-17, 2001.
4. Alvi and A.W. Labib, Selecting Next Generation Manufacturing Paradigms An AHP Based Criticality Analysis, Proc. Of IMechE, Journal of
Engineering Manufacture - Part B, Vol 2 No 5, pp 1773-1786 (December), 2001.
5. .Labib, A.W., and J. Shah, Management Decisions for a Continuous Improvement Process in Industry Using the Analytical Hierarchy
Process", Journal of Work Study, ISSN 0043-8022, Vol 50, No 5, pp 189-193, 2001.
6. Labib, A.W., A Framework for Benchmarking Appropriate Productive Maintenance, Journal of Management Decisions, Vol. 37, No. 10, pp
792-800, 1999.
7. Labib, A.W.; World Class Maintenance Using a Computerised Maintenance Management System; Journal of Quality in Maintenance
Engineering (JQME); MCB Press; Vol 4, No 1.; pp 66-75; ISSN: 1355-2511; April 1998.
8. Labib, A.W., OConnor*, R.F., and Williams*, G.B.; An Effective Maintenance System Using the Analytic Hierarchy Process; Journal of
Integrated Manufacturing Systems (IMS), Vol 9; No 2.; pp 87-98; ISSN: 0957-6061; April 1998.
9. Labib, A.W., Williams*. G.B., and OConnor*, R.F.; An Intelligent Maintenance Model (System): An Application of A.H.P. and a Fuzzy Logic
Rule-Based Controller; Journal of Operational Research Society (JORS); Vol 9, No 7,pp 745-757, ISSN: 0160-5682, July, 1998.
10. Labib, A.W. A Logistic Approach to Managing the Millennium Information Systems Problem, Journal Logistics Information Management
(MCB Press), Vol 11, No 5, pp 285-384, ISSN: 0957-6053, 1998.
11. Labib, A.W., OConnor*, R.F., and Williams*, G.B.; Formulation of an appropriate maintenance strategy using multiple criteria decision
making; maintenance Journal, 11, No. 2 pp 14-21, ISSN:0952-2110; April 1996.
12. Labib, A.W., OConnor*, R.F., and Williams*, G.B.; Deriving A Maintenance Strategy Through the Application of a Multiple Criteria
Decision Making Methodology; Lecture Notes in Economics and Mathematical Systems; No. 448; Gunter Fandel, Thomas Gal (Eds.),
Springer-Verlag, pp 481-490; ISSN:0075-8442, ISBN:3-540-62097-4; 1997.
Page
76
Q&A
Page
77
38
PRESENTS
Page 1
Why Do Maintenance
Systems Fail?
Page 2
Presentation Overview
Culture: Maintenance from Design.
Fire Fighting.
Case Studies:
Piper Alpha Disaster.
Challenger Disaster.
Concorde Disaster.
Management Culture
Different cultures different results!
If it isn't broke dont fix it vs. Kaizen
Interesting Story
A driver fell asleep for eight minutes at
the controls of a Japanese bullet train
travelling at almost 300 kilometres (186
miles) an hour.
Story from BBC NEWS
Colin Broom, Mike Chandler, Toshiaki Fujii, Chris Murray, Surath Ovitigama, Nigel Wong
Page 5
JAPANESE SHINKANSEN
Japanese Bullet Train
Highest average speed
Excellent safety record
no fatal crashes in the
past.
Closed every night for
maintenance
Page 6
Fire Fighting
Frequent number of breakdowns
Few resources left for planning
Quick fixes cover underlying
problems
No time for long term planning
Page 7
Page 8
Consequences
Operator installations
Manager
Communication of
WIP
The Failure
The system had become very relaxed
and informal
Communication between different shifts
was bad
Resulted in operators on the next shift
not knowing about the missing safety
valve
Page
12
Improvements
Tiered authorization
Central organisation of permits
Computer based permit tracking system
Clear visibility of the status of work
Training for workers using the system
Page
13
Page
14
Page
15
Page
16
Page
17
Challenger Disaster
Joints in the rocket motor were not
properly sealed
Hot gases escaped
Broke up the joints
Poor sealing due to the O-rings not
being flexible enough as they were too
cold
Page
18
Challenger Disaster
Problem could be solved by
Replacing O-rings
Delay take-off to allow O-rings to get
warmer to take up their design space
Lessons Learned
Greater recognition of engineers
Safety personnel now on management
board
10
From Video
Page
21
No Blame Culture
Page
22
11
Other Examples
Page
23
Exercise 2.1: Read this Related Reading Paper Learning from Failures and summarise its main points
Abstract
The purpose of this paper is to propose a new concept of decision analysis based on a
Multiple Criteria Decision Making (MCDM) process. This is achieved through the
provision of a systematic and generic methodology for the implementation of design
improvements based on experience of past failures.
The proposed model uses the Analytic Hierarchy Process (AHP) mathematical model as
means of investigation. In this paper, the AHP method has proven to be an invaluable
tool for decision support since it allows a fully documented and transparent decision to
be made with full accountability. In addition, it facilitates the task of justifying
improvement decisions.
A case study based on the Concorde accident will concentrate on the implementation of
the model and its subsequent evaluation to ensure that the decision made is robust. In
this case it will be possible to compare the decision made from this analysis with what
has actually happened. This should prove to be the first acid test for the validation of
Page
the model.
24
12
Page
25
Page
26
13
Page
27
Page
28
14
Page
30
Page
31
15
Page
33
16
Safety
Line fuel
tank
Practicality
Change
tyres
Image
Plate
bay
Economic
No
changes
FMEA
Ground
The A/C
Page
34
Page
35
17
Page
36
Page
37
18
Page
38
Page
39
19
Feedback
iv
at
lit
a
u
Q
R&KT
Proposed
Method
Strategy
t
en
r
ffe its
D i un
Trade-off
3.
Allows
Multi
levels
of
1.
Reflects
the
8.6.
Can
include
Can
deal
with of
5. Provides
sensitivity
7.4.
Can
take
account
Consistency
criteria
and
subdifferent
2.
Allows
stakeholders
multi
actual
analysis
short
andjudgement
long term
intangibles.
and
objectives
measure.
criteria
scaling.
ortheir
value.
What-if
D
Dynamic
ea k rs
St lde
ho
im M
en ult
i
s
io
na
Page
40
07
Concluding Remarks
Not only have we captured and
simulated the decision making process,
but we were also able to predict the
next steps.
This has validated the proposed model
which gives it a generic applicability to
wide range of cases.
Page
41
20
Summary
Disasters
Lessons Learnt
Improved Maintenance
Why Maintenance Systems Fail?
The answer:
Next Lectures
Page
43
21
Page
44
22
PRESENTS
23 min
Abstract
As an employee of Union Carbide India at the Bhopal
plant, I know how the disaster happened. The merciless
cost-cutting severely affecting materials of construction,
maintenance, training, manpower and morale resulted in
the disaster that was waiting to happen.
Significant differences between the West Virginia, USA
plant and the Bhopal, India plant show the callous
disregard of the corporation for the people of the
developing countries.
The narrative below, if given a proper thought by the
management and governments, should help in
significantly reducing industrial accidents.
The toxic gas that leaked into the Bhopal atmosphere that night was due to water
(along with catalytic material :iron, rust, etc.) entering the storage tank 610 of the
Union Carbide MIC plant. The phosgenes stripping still and the quench filters
safety valves downstream (four in numbers) were connected to the relief valve
vent header (RVVH). These lines were badly choked with solid sodium salts
deposition. The exercise of washing these filters started at 8:30 PM on 2nd
December 1984. Because of the choking of these lines and malfunctioning of
RVVH isolation valve, the water entered the RVVH main header (Fig. 1).
This header was connected to the MIC storage area. The RVVH
header of storage area was also connected to the process vent
header (PVH) with a jumper line (Fig. 2 shows where the jumper
line was connected. It was removed when the remainder MIC was
utilized on December 16, 1984).
The Disaster
As the 42 tons of MIC in tank 610 got
contaminated with water and the catalytic
material, the exothermic reactions began and
within an hour, turned into violent runaway
reactions resulting in high pressure and
temperature in the tank.
The reaction products and the unreacted MIC
started coming out through PVH/Jumper
line/RVVH/VGS and finally to the atmosphere
through the atmospheric vent line and overflow
vent line of scrubber, between approximately
12:15 and 2:30 AM.
Series of failures
The safety equipment provided
for the Bhopal plant were as
follows:
6. Evacuation plan.
It was only made for the plant personal,
not for the community.
Sodium hydroxide (NaOH) solution, in the VGS unit and field storage tanks,
was insufficient for neutralization of such a large amount of gas.
The pressure control valve for the MIC storage tank (610) had not been
functioning for over a month. Water entered through this route.
The temperature sensor and alarm for the MIC storage tank had not been
working for almost 4 years. Therefore, regular recording of temperature in
the log sheets was not done. According to the officers this parameter was
not important. However, it could have warned of the runaway reaction
occurring much earlier.
The refrigeration unit (30 tons capacity) had been down for over an year,
and was totally shutdown in May 1984. As a result, the MIC tank was at
ambient temperature while the MIC manual had strongly recommended
keeping MIC below 5 C.
The vent gas scrubber was not operating at the time of the accident.
The flare tower had been under maintenance since November 25, 1984 and
maintenance was not completed until the accident. The job could have been
completed within 8 h but for the shortage of staff.
Manpower was reduced in all categories (Fig. 5)
Fire and rescue squad (emergency squad) members were not qualified and
trained to handle such an accident.
There was no maintenance supervisor for the night shift.
10
The agreement between the union and the management was completed in 1983 bypassing the safety rules.
Improper behaviour of management with the operating personnel.
Incorrect modifications of the relief valve vent header (RVVH) and process vent
header (PVH) by providing interconnection with a jumper line in the MIC storage area
(Fig. 2).
The design and technology given by the Union Carbide Corporation was not safe and
sufficient for preventing contamination and controlling runaway reaction.
The loud siren did not start at the proper time and was shut down after 5 min since
the siren policy had been modified.
There was no evacuation plan for the neighbouring area/communities. Even after the
accident the neighbouring communities were not informed.
The Plant superintendent did not inform outside agencies about the accident. Initially,
he denied the accident, and then stated that MIC gas was like a tear gas and the
effects would be temporary. No effective antidote was told.
The civic authorities did not know the treatment since they had not been informed of
the extremely hazardous nature of the material stored.
Keeping all the above developments in mind, no one should be surprised that such a
major accident took place. It was waiting to happen (Fig. 8).
11
Conclusion
My objective in this presentation is to see
that such disasters are averted all over the
world. I do hope that MNCs while investing
in such projects in developing countries
would be as concerned and careful of the
safety and wellbeing of the recipient
country people as they would be of their
own.
12
PRESENTS
15 to 19 December, 2008
Kuala Lumpur
BY
Professor Ashraf W. Labib
Senior Consultant
DAY 2
FORMAL DEFINITION
What is Benchmarking ?
HISTORY OF
BENCHMARKING
STRATEGIC
VALUE
PROCESS
BENCHMARKING
COMPETITOR
ANALYSIS
PERFORMANCE
BENCHMARKING
FINANCIAL
ANALYSIS
1960s
1970s
1980s
1990s TIME
6
DEFINITION OF
BENCHMARKING (1)
DEFINITION OF
BENCHMARKING (2)
10
Types of Benchmarking
Benchmarking
Internal
Competitive
Functional/
Generic
11
INTERNAL BENCHMARKING
Benchmarking against other units within
one large corporation.
Access to partners is easily gained and
information is readily available.
The activity can be broad or as detailed
as desired.
Less expensive to conduct than other
types of benchmarking.
12
COMPETITIVE
BENCHMARKING
An external activity that involves the
investigation of a direct competitor.
Competitive
benchmarking logically
follows an internal benchmarking
activity. This is because internal
information must be documented and
analysed before it can be compared to
external data.
13
GENERIC BENCHMARKING
Most common type, where one identifies
and learn from the best practice,
regardless of industry.
It is often a benchmarking based on
relationship such as a supplier or a
customer.
Advantageous to all parties concerned.
Difficult to standardise and manage.
14
Steps to Benchmark
Steps
Identify the
measurement.
Identify the industry
leader.
Establish exactly
how the processes
are being carried
out.
REASONS FOR
BENCHMARKING
17
Available Options
Cost-Driven Benchmarking.
Cost reductions
Process Driven Benchmarking.
Great cost reductions.
Superior performance.
18
Becoming
Competitive
Internally
focused.
Evolutionary
change.
Few solutions.
Frantic catch
up activity.
Lacking
external focus.
Reactive.
Industry best
practices
Establishing
effective goals
and objectives.
Understanding
of competition.
Ideas from
proven practices.
Many options.
Superior
performance.
Credible,
unarguable.
Proactive. 19
Company A
World Class
150 days
8 days
6 minutes
on-line
33 %
1%
400 times
4 times
34
5.3
20
10
Its Japanese rivals were selling machines for about what it cost
Xerox to make them !
The company had nine times more suppliers than its Japanese
rivals !
The company was rejecting 10 times as many machines on the
production line !
It was taking twice as long to get products to the market !
Benchmarking showed that productivity would need to grow 18 %
per year over 5 years if it was to catch up with its rivals !
Benchmarking Against
Industry Leaders
To be as good as
or
To be better than
23
11
24
12
26
13
PRESENTS
15 to 19 December, 2008
Kuala Lumpur
BY
Professor Ashraf W. Labib
Senior Consultant
Page 1
Maintenance Performance
Measures
Page 2
Challenges of
Performance
Measurement
Class of inter-dependent and
synchronised production systems.
Ex.: Reliability, Effectiveness, MTBF,
MTTRetc.
In other words:
Too general.
Too late.
Too bad.
Page 4
Performance Measures as a
Continuous Improvement
Process
Create a sense of urgency for improvement.
Help to identify weak areas and indicate the
improvement required.
Establish the need for change.
Provide realistic and achievable targets.
Create an atmosphere conductive to
continuous improvement.
Allow employees to visualise improvement
which can be a motivator for change.
Page 5
Classifying maintenance
performance measures
Page 9
Summary
EASY.
RELEVANT.
DECISION SUPPORT.
Page
11
Overall Equipment
Effectiveness
(OEE)
Page
12
What Is O.E.E.?
O.E.E. is the equivalent percentage of time
the equipment is being used to produce
saleable product at the maximum machine
rate.
O.E.E. is an all-inclusive measurement of
equipment productivity.
O.E.E. is a tool to drive equipment
performance
improvements
through
measurement and reduction of the Major
Losses of capacity.
Page
13
O.E.E. Concept
Valuable
Running
Time
Defect Losses
Net
Running
Time
Speed Losses
Running Time
Bdown Losses
Available Time
O.E.E = Valuable Running Time / Available Time
Available Time
Valuable
Running
Time
Page
14
OEE
Losses
Time
Breakdown
Availability
Available Time
Running Time
Bdown Losses
Changeover
Idling and
Minor Stoppages
Speed Losses
Productivity
Net
Running
Time
Defects in
Process
Defect Losses
Valuable
Running
Time
Reduced
Speed
Quality
Reduced
Yield
Page
15
Losses
Time
Breakdown
Available Time
Availability =
(Available Time - Downtime) * 100
Available Time
Running Time
Bdown Losses
Changeover
Idling and
Productivity =
Minor Stoppages Ideal Cycle Time *Processed Amount * 100
Defect Losses
Valuable
Running
Time
Speed Losses
Running Time
Net
Running
Time
Reduced
Speed
Defects in
Process
Quality Rate =
(Processed Amount - Defect Amount) * 100
Processed Amount
Reduced
Yield
Page
16
T.P.M. Performance
Measure: The O.E.E.
Page
17
Availability
Performance Rate
Breakdown
Losses
Setup and
adjust losses
Reduced speed
losses
SIX
BIG
Quality Rate
Quality defect
and rework
losses
Start up losses
LOSSES
Page
18
Breakdowns (Consequences)
Page
19
Reduced Speed
Page
20
10
Start up Losses
Page
21
Availability =
X 100 %
total availabletime
Performance =
X 100 %
X 100 %
Page
22
11
Example 1
A manufacturing plant is continually operated over three 8 hour
shifts. During this time, 90 minutes planned downtime is performed
and 10 minutes unscheduled stoppages occur. The ideal cycle time
for producing the product is 2 minutes per item. The actual output is
found to be 560 unit for the three shifts but 5 of these units are found
to be defective.
Calculate the OEE for this plant and make recommendations based on
your answer.
Page
23
Example 1 - Solution
A manufacturing plant is continually operated over three 8 hour shifts. During
this time, 90 minutes planned downtime is performed and 10 minutes
unscheduled stoppages occur. The ideal cycle time for producing the product
is 2 minutes per item. The actual output is found to be 560 units for the three
shifts but 5 of these units are found to be defective.
Calculate the OEE for this plant and make recommendations based on your
answer.
Total shift working time is: 3 x 8 x 60 = 1440 minutes
Total available time is: 1440 90 = 1350 minutes
Actual downtime is: 10 minutes
Actual working time is: 1350 10 = 1340 minutes
Ideal Cycle time is: 2 minutes
Total units produced: 560 units
Total time to produce these is: 560 x 2 = 1120 minutes
No. of defective units: 5
Page
24
12
Availability =
X 100 %
Performance =
1350 10
X 100 % = 99.26 %
1350
X 100 %
2 X 560
X 100 % = 83.58 %
135010
Page
25
X 100 %
13
Example 2
Performance of a plant is monitored over 4 days and the figures are tabulated as
shown below. The ideal cycle time is 0.5 min/piece. For this plant:
(i) Calculate the average OEE over the period.
(ii) Calculate the best of the best (target) OEE.
(iii) Comment on the results.
Date
Total working
time
(mins)
Planned
Downtime
(mins)
Unplanned
Stoppages
(mins)
Output
(no.)
Defects
rework &
Scrap (no.)
9/9/08
480
60
243
10/9/08
480
60
380
11/9/08
480
60
10
328
12/9/08
480
60
732
Page
27
Example 2 - Solution
Highlight the best figures and find the average figures.
Date
Total working
time
(mins)
Planned
Downtime
(mins)
Unplanned
Stoppages
(mins)
Output
(no.)
Defects
rework &
Scrap (no.)
9/9/08
480 *
60 *
243
0*
10/9/08
480
60
0*
380
11/9/08
480
60
10
328
12/9/08
480
60
732 *
Total
1920
240
20
1683
Page
28
14
Availability =
X 100 %
total availabletime
Availabili ty =
Performance =
(1920 240) 20
X 100 % = 98.81 %
(1920 240)
X 100 %
Performance =
0.5 X 1683
X 100 % = 50.69 %
(1920 240 20)
Page
29
X 100 %
Page
30
15
Availability =
X 100 %
Performance =
(480 60) 0
X 100 % = 100 %
(480 60)
X 100 %
0.5 X 732
X 100 % = 87.14 %
(480 60 0)
Page
31
X 100 %
386 0
X 100 % = 100 %
386
16
Summary
Challenges of Performance Measures.
Performance Measures as a
Continuous Improvement Process.
Maintenance Performance Measures.
Desirable Properties in Maintenance
Performance Measures.
The OEE.
Page
33
Video
Precision
Team Work.
SMED
Creativity and innovation (engine behind the driver).
Continuous improvement..
Synchronisation, and systemisation, and standardisation.
Examples:
Page
34
17
References
Nakajima, S., Total Productive Maintenance,
Productivity Press, 1988.
Pujadas, W., and Chen, F.F., A Reliability Centred
Maintenance Strategy for a Discrete Part
Manufacturing Facility, Computers Industrial
Engineering, Vol. 31, No. 1/2, pp 241-244, 1996.
Mann, L. Maintenance Management, D.C. Heath &
Co., 1982.
Priel, Y.Z., 1974, "Systematic Maintenance
Organisation.
Page
35
Page
36
18
PRESENTS
15 to 19 December, 2008
Kuala Lumpur
BY
Professor Ashraf W. Labib
Senior Consultant
Page 1
Page 2
Asset Management
Reliability
Maintenance
CMMS
RCM
CBM
FMEA
TPM
FTA
OEE
Page 3
WHAT IS TPM?
TPM is a tried and tested way of cutting waste,
saving money, and making factories better places to
work.
TPM gives operators the knowledge and confidence
to manage their own machines.
Instead of waiting for a breakdown, then calling the
maintenance engineer, they deal directly with small
problems, before they become big ones.
Operators investigate and then eliminate the root
causes of machine errors. Also, they work in small
teams to achieve continuous improvements to the
production lines.
Page 5
WHAT IS TPM?
It's a long-term program to increase
skills, raise efficiency, and achieve zero
losses.
That means:
zero stoppages.
zero quality defects.
zero waste of materials and manpower .
Page 6
Page 8
WHAT'S SO SPECIAL
ABOUT T.P.M.?
Like most good ideas, it's both very simple
and very profound.
"There is nothing inevitable about failure."
TPM refuses to accept that machines
inevitably fail. TPM reminds us that every
time a machine fails, someone could have
prevented it!
TPM shows us that the power to break the
endless circle of failure, waste and loss, lies
within our own brains and hands.
Page 9
Page
10
Page
11
T.P.M. Principles
Man to
re-model
Firm to
re-structure
Autonomous
maintenance
Company led
small group
activities
Equipment
to re-design
Maximise overall
equipment
effectiveness
Page
12
Page
13
NEW Attitude:
We are all responsible
for our equipment
Page
14
TPM Objective
(maximisation of OEE)
Downtime-related:
Equipment failure due to breakdowns.
Set-up and adjustment e.g. die exchange in injection
moulding.
Speed loss-related:
Idling and minor stoppages due to abnormal operation
of sensors, wear or blockage of chutes etc.
Reduced speed equipment will not operate at designed
speed without failure.
Defect-related
Process defects due to scrap and the need for re-work.
Reduced yield during the period between machine
start-up and stable production.
Page
15
Page
16
Losses
Time
Breakdown
Available Time
Availability =
(Available Time - Downtime) * 100
Available Time
Running Time
Bdown Losses
Changeover
Idling and
Productivity =
Minor Stoppages Ideal Cycle Time *Processed Amount * 100
Valuable
Running
Time
Defect Losses
Net
Running
Cost
Speed Losses
Running Time
Reduced
Speed
Defects in
Process
Quality Rate =
(Processed Amount - Defect Amount) * 100
Processed Amount
Reduced
Yield
Page
17
T.P.M. Performance
Measure: The O.E.E.
Page
18
TPM
TPM can be seen as the maintenance aspect of Total
Quality Management. Its defining features (the five
aims) are:
TPM is aimed at maximising equipment effectiveness
through the optimisation of equipment availability,
performance, efficiency and product quality.
TPM establishes a maintenance strategy (level and type of
PM) for life of the equipment.
TPM covers all departments such as the planning
departments, the users, and the maintenance department.
TPM involves all staff members from top management to
shop floor workers.
TPM promotes improved maintenance through small group
autonomous activities.
Page
19
Page
20
10
Page
21
Page
22
11
Page
23
Page
24
12
TPM
in
Industry
Page
25
Page
26
13
Visual Control
Page
27
Waste in
Operations
Page
28
14
Page
29
Page
30
15
Page
31
Page
32
16
Examples of Visual
Control
Page
33
Examples of Visual
Control (cont.)
Page
34
17
5S Scan
Seiri
(sort)
Goal
Keep only what you
need
Seiton
(set in order)
Seisou
(shine)
Seiketsu
(standardize)
Shisuke
(sustain)
A place for
everything and
everything in its
place
Cleaning, and
looking for ways to
keep clean and
organized
Maintaining and
monitoring the first
three categories
Sticking to the rules
Eliminate or Correct
Unneeded equipment, tools, furniture;
unneeded items on walls, bulletins; items
blocking aisles or stacked in corners;
unneeded inventory, supplies, parts; safety
hazards
Items not in their correct places; correct
places not obvious; aisles, workstations, &
equipment locations not indicated; items not
put away immediately after use
Floors, walls, stairs, equipment, & surfaces
not lines, clean; cleaning materials not easily
accessible; labels, signs broken or unclean;
other cleaning problems
Necessary information not visible; standards
not known; checklists missing; quantities and
limits not easily recognizable; items cant be
located within 30 seconds
Number of workers without 5S training;
number of daily 5S inspections not performed;
number of personal items not stored; number
of times job aids not available or up-to-date
Page
35
Westernised CAN-DO
Seiri:
sort through, sort out
Arrangement
Seiton:
Set limits in locations
Neatness
Seiso:
Shine, clean workplace and equipment
Cleaning
Seiketsu :
Standardise, share data and standards
Order
Shitsuke:
Sustain, stick to the rules
Discipline
( For ease referred to as CAN-DO )
Page
36
18
Antes
Despues
Page
37
Antes
Before
Despues
After
Page
38
19
Page
39
Page
40
20
Antes
Despues
Page
41
Antes
Despues
Page
42
21
Antes
Despues
Page
44
22
Example of the Problem solving cascade used to find the poor asset care
Page
46
23
Detect to correct
Inspect to detect
Clean to inspect
Page
47
Clean
Inspect
Detect
THE MOTTO IS.
Clean to Inspect
Inspect to Detect
Detect to Correct
Correct to
Perfect ! !
Correct
Perfect
Page
48
24
Tools
Page
49
Page
50
25
Page
52
26
Page
53
TPM in a nutshell
Total Productive Maintenance (TPM) is human based
technique in which maintainability is emphasised.
TPM is a tried and tested way of cutting waste, saving
money, and making factories better places to work.
TPM gives operators the knowledge and confidence to
manage their own machines. Instead of waiting for a
breakdown, then calling the maintenance engineer, they
deal directly with small problems, before they become big
ones.
Operators investigate and then eliminate the root causes
of machine errors. Also, they work in small teams to
achieve continuous improvements to the production lines.
Techniques allied to TPM: Overall Equipment
Effectiveness, Ask Why 5 Times.
27
Page
55
SLU/TPM techniques
1.
2.
3.
4.
16:52 min
28
Distributors
Customers
Retailers
Business
Operations
Upstream Supply Chain
Page
57
Few suppliers.
Propriety information.
Shared information.
Individual success.
Success sharing.
Page
58
29
70
60
63
40
30
20
Launch
10
50 Concept study
58
55
41 Product planning
41 Advanced engineering
Product engineering 42
19
Process engineering 37
10
Pilot run 10
34 Concept study
38
42
29 Product planning
27 Advanced engineering
Product engineering 30
Japanese companies
could develop and
introduce a new car to
market in 43 months
against 63 months in
Europe.
Process engineering 28
6
Pilot run 7
Page
59
Page
60
30
Further Readings /
References
Page
62
31
PRESENTS
15 to 19 December, 2008
Kuala Lumpur
BY
Professor Ashraf W. Labib
Senior Consultant
Page 1
Page 2
Asset Management
Reliability
Maintenance
CMMS
RCM
CBM
FMEA
TPM
FTA
OEE
Page 3
What is Reliability ?
One of the quality characteristics that
consumers
require
from
the
manufacturer of products is reliability.
But what is reliability ?
Example of starting your car.
Importance of reliability:
Examples of failure and success cases.
Page 4
Definition of Reliability
Reliability is the probability that a
product or service will operate properly
for a specified period of time(design life)
under the design operating conditions
(such as temperature or volt) without
failure.
{Elsayed, 1996}
Selected Definitions
Reliability: ..
Redundancy: ..
Failure: ..
Maintainability:
Availability:..
Page 6
Selected Definitions
Maintenance Terminology
Maintenance Terminology
Basic terms
Maintenance
Improvement
Modification
Failure
Fault
Availability
Reliability
Maintainability
Supportability
Preventive Maintenance
Corrective Maintenance
Predetermined Maintenance
Condition Based Maintenance
Immediate Corrective
Maintenance
Deferred Corrective
Maintenance
Cost Efficiency
Productivity
Asset Management
Page 9
Maintenance Terminology
Maintenance
Combination of all technical, administrative and managerial actions
during the life cycle of an item intended to retain it in, or restore it
to, a state in which it can perform the required function.
NOTE: See also the definition of improvement and modification.
Improvement
Combination of all technical, administrative and managerial actions,
intended to ameliorate the dependability of an item, without changing
its required function.
Page
10
Maintenance Terminology
Modification
Combination of all technical, administrative and managerial actions
intended to change the function of an item.
NOTE 1: Modification does not mean replacement by an equivalent item.
NOTE 2: Modification is not a maintenance action but has to do with changing
the required function of an item to a new required function.
The changes may have an influence on the dependability or on the
performance of the item or both.
NOTE 3: Modification may be allocated to the maintenance organization.
Page
11
Maintenance Terminology
Failure
Termination of the ability of an item to perform a required function.
NOTE 1: After a failure the item has a fault, which may be complete or partial.
NOTE 2: Failure is an event, as distinguished from fault, which is a state.
Fault
State of an item characterised by inability to perform a required
function, excluding the inability during preventive maintenance
or other planned actions, or due to lack of external resources.
Failure
Up state
Down state
Fault
Page
12
Page
13
Functional
reliability
measure:
MTBF
Maintainabilty
measure:
Supportability
measure:
MTTR
MWT
Influence the
maintenance
system
Page
14
Maintenance Terminology
Availability
performance
The goal for the
maintenance
activities
Seldom
a down state
of the item
Reliability
Maintainability
Maintenance
Supportability
The technical
system
The maintenance
system
Page
15
Mean
Waiting Mean
Time Time To
Repair
MWT
MTTR
Page
16
The item is
available for use
Seldom
a down state
of the item
Availability
Reliability
Maintainability
Supportability
Page
17
Availability
Maintainability
Supportability
Design
70 %
70 %
10 %
Production
20 %
10 %
20 %
Maintenance
10 %
20 %
70 %
Page
18
MWT
MTTR
Page
19
Maintenance Terminology
Availability performance
Ability of an item to be in a state to perform a required function
under given conditions at a given instant of time or during a given
time interval, assuming that the required external resources are
provided.
NOTE 1: This ability depends on the combined aspects of the reliability, the
maintainability and the maintenance supportability.
NOTE 2: Required external resources, other than maintenance resources,
do not affect the availability of the item.
Reliability
Ability of an item to perform a required function under given
conditions for a given time interval.
NOTE: The term reliability is also used as a measure of reliability
performance and may also be defined as probability.
Page
20
10
Maintenance Terminology
Maintainability
Ability of an item under given conditions of use, to be retained in,
or restored to, a state in which it can perform a required function,
when maintenance is performed under given conditions and using
stated procedures and resources.
NOTE: The term maintainability is also used as a measure of maintainability
performance.
Maintenance Supportability
Ability of a maintenance organization of having the right
maintenance support at the necessary place to perform the
required maintenance Activity at a given instant of time or
during a given time interval.
Page
21
Maintenance Terminology
MTTF
Up state
MTW
MTTR
Down state
Total time interval
Aa = MTTF / (MTTF + MTW + MTTR)
Aa = Achieved Availability
NOTE: This formula is only taking into account faults and corrective maintenance.
Page
22
11
Maintenance Terminology
MTTM
Up state
MTW
Down state
Total time interval
Ao = MTTM / (MTTM + MTW + M)
Ao = Operational Availability
Page
23
Maintenance Terminology
MAINTENANCE
Preventive Maintenance
Condition Based
Maintenance
Predetermined
Maintenance
Scheduled,
continuous
or on request
Scheduled
Corrective Maintenance
Deferred
Immediate
Page
24
12
Maintenance Terminology
Preventive Maintenance (PM)
Maintenance carried out at predetermined intervals or according
to prescribed criteria and intended to reduce the probability of
failure or the degradation of the functioning of an item.
Maintenance Terminology
Corrective Maintenance (CM)
Maintenance carried out after fault recognition and intended to
put an item into a state in which it can perform a required
function.
Page
26
13
Maintenance Terminology
COSTS
COST EFFICIENCY
Direct costs
Indirect costs
External costs
RESULTS
COSTS
ACTIVITIES
RESULTS
EFFECT
Preventive maint.
Corrective maint.
Reinvestments
AVAILABILITY
MIN. DISTURBANCES
QUALITY
RESOURCES
Direct hours
Indirect hours
Use of technical
resources
PRODUCTIVITY
RESULTS
USED
RESOURCES
Page
27
Maintenance Terminology
Company Management,
Designers
&
Project managers
Production
Management
Maintenance
Management
Right
Capacity
Right
Production
Right
Maintenance
Asset
Management
Right
Logistics
Logistics
Management
Page
28
14
Maintenance Terminology
For further information:
The European standard
Page
29
Factors of safety.
Leads to the compounding of many different safety factors.
Compensate for uncertainty.
Lead to over design(increased weight and cost).
Redundancy.
Compensate for uncertainty.
Lead to over design(increased weight and cost).
Extensive testing.
Significant increase in expenditure.
Can lead to product launch delays.
Test environment may be an inadequate simulation of the operating
environment.
Page
30
15
Conventional Reliability
Prediction Requires Data..But
A substantial number of failures need to
have already occurred for the system to
be assessed.
There is a need for reliability data at
parts level, of which there appears too
little.
Existing data sources are often not
relevant to new product designs
because of the evolution in materials
and manufacturing technology.
Page
31
Hazard function
The hazard
16
Page
33
Chance
failure
period
Wear-out
failure
period
Time
Category
Cause
Countermeasure
Start-up
failure
Design/
manufacturing
errors
Trial runs at
acceptance and
start-up control
Chance
failure
Operational
errors
Proper
operation
Wear-out
failure
Wear-out
Preventive and
maintainability
improvement
Maintenance prevention
{Robinson, 1991}
Page
34
17
Page
35
Effect of
QC and
Rel.
Program
Start-up
failure
period
Effect of
Training
Chance
failure
period
Wear-out
failure
period
Effect of
PM Depth
Effect of
PM Intensity
Time
Page
36
18
Page
37
Beta ~ 1
Random Failure
Beta > 2
Wear-Out Failure
Page
38
19
Page
45
Page
46
20
106 C
Design( L10 )hrs =
60 N P
Where:
N = speed.
P = load.
C = bearing load capacity.
X = bearing factor.
NB. In process industry L10 life is sometimes
selected to be 40,000 hours (about 4 years).
Page
47
Page
48
21
PRESENTS
15 to 19 December, 2008
Kuala Lumpur
BY
Professor Ashraf W. Labib
Senior Consultant
Page 1
Page 2
RCM Techniques
1.
2.
3.
4.
5.
6.
RPN
Iso critical curves.
FMEA.
FTA.
RBD
RCM.
Page 3
FMEA
(Failure Mode and Effect
Analysis)
Page 4
Improving
system reliability
Recovery
Page 5
Introduction
FMEA was developed in the 1950s, and was
one of the first systematic methods used to
analyse failures in technical systems.
The method appeared under different names.
Nowadays, a requirement that an FMEA be
included as part of the design process, and
that the results from the analysis be part of
the system documentation.
Page 6
FMEA: Definition
An engineering technique used to define, identify,
and eliminate known and/or potential failures,
problems, errors, and so on from the system, design,
process, and/or service before they reach the
customer.
[ASQC 1983]
[Aven, 1992]
N.B. Only one component is considered at a time, the other
components are then assumed to function perfectly. FMEA is
therefore not suitable for revealing critical combinations of
component failures.
Page 7
Page 9
Example of Equipment
Hierarchy
Source:
BS ISO 14224:1999
Page
10
Ref: http://www.mrginc.net/FMEA.html
The figure above details a sample FMEA for a single functional failure for the
class/subclass of pump/centrifugal: the pump fails to fulfill its function because it
pumps less than the required flow rate. The figure depicts multiple entries at each
level of the hierarchy, indicating that there are multiple classes, that may have
multiple subclasses, that may have multiple functions, etc.
Page
11
Normal
Operation
Failure
Probability
of failure
Severity of
consequence
Degree of
severity
Effect on
customer
Likelihood
of detection
Page
14
Prevention
Normal
Operation
Severity of
consequence
Failure
Probability of
failure
Recovery
Degree of
severity
Effect on
customer
Likelihood of
detection
Ref: MIL-STD-1629A
A Criticality Matrix
A
B
ng
asi
e
r
Inc
l
tica
cri
ity
Iso-criticality
curve
C
Minor
Marginal
Critical
Catastrophic
Ref.MIL-STD-1629A
A CRITICALITY MATRIX
In
Minor
a
cre
g
sin
Marginal
ty
ali
itic
r
C
Critical
Catastrophic
Page
18
E2
E1
And gate A
E2
E1
The AND-gate indicates that the output event occurs only if all the input faults occur at
the same time. There may be any number of input faults to an AND-gate.
The OR-gate indicates that the output event occurs only if one or more of the input
events occur. There may be any number of input events to an OR-gate.
Page
20
10
Fault tree
Top
Series structure
1
Top
2
3
Parallel structure
Page
21
FTA RBD
Page
22
11
The construction of the Fault Tree always starts from the TOP
event.
Those fault events that are the immediate, necessary, and
sufficient causes should be carefully identified and connected to
the TOP event through a logic gate.
The first level of causes under the TOP event is often referred to
as the TOP structure of the fault tree.
Then, the construction of the Fault Tree can be preceded level
by level, until all fault events have been developed to the
prescribed level of resolution.
This deductive analysis method is carried out by repeatedly
asking What are the reasons for this event?
Page
23
Page
25
12
O1
Fuel flow
failure
Carburettor
failure
O2
Fuel pump
Failure
1
Ignition
failure
A1
O3
Blocked
Filter
2
Ignition
System
2
Ignition
System
1
Blocked
Jet
3
Faulty
Adjustment
4
L.T.
Failure
5
O4
O5
H.T.
Failure
6
L.T.
Failure
7
H.T.
Failure
8Page
27
13
Fuel
pump
Fuel
filter
Jet
HT
Other
components
Carburettor
Ignition system 2
LT
HT
Page
28
14
From
source
LSH
V2
LSHH
V1
Tank
To
consumer
V3
Drain
Page
30
Fault Tree
V1 does not
close
V1 does not
function
No signal
from LSH
LSH doe not
send signal
Associated
reliability
diagram
V3 does not
open
V2 does not
close
V2 does not
function
No signal
from LSHH
LSHH doe not
send signal
V3 does not
function
No signal
from LSHH
LSHH doe not
send signal
Can you do it ?
Page
31
15
Plate
is cold
Plate warmer
malfunction
Plate taken
too early
from warmer
Oven
malfunction
Key
AND node
OR node
Cold plate
used
Timing error
by chef
Ingredients
not
defrosted
Page
33
Hidden
Reliability Block Diagram for below-temperature
food being served to customers
Plate warmer
malfunction
Plate taken
too early
from warmer
Cold plate
used
Oven
malfunction
Timing error
by chef
Ingredients
not
defrosted
Page
34
16
Hidden
Fault-tree analysis for below-temperature
food being served to customers
Food served to
customer is below
temperature
Food
is cold
Plate
is cold
Plate warmer
malfunction
Plate taken
too early
from warmer
Oven
malfunction
Key
Timing error
by chef
AND node
OR node
Ingredients
not
defrosted
Cold plate
used
Page
35
Hidden
Reliability Block Diagram for below-temperature
food being served to customers
Plate warmer
malfunction
Oven
malfunction
Plate taken
too early
from warmer
Timing error
by chef
Cold plate
used
Ingredients
not
defrosted
Page
36
17
B. Fault Tree
OR
Controller
fail
Hydraulic
power
No Electrical
power
No Actuator
AND
No standby
power
OR
Standby
Battery
fail
Power
Supply
fail
AND
Actuator 1
fail
Actuator 2
fail
Sensor &
Switch
fail
Page
38
18
(1)
Electrical
power
(2)
(3)
Standby
battery
Sensor &
switch
No electrical
power
Actuator 1
(4)
(5)
Hydraulic
power
Controller
(7)
Actuator 2
Hydraulic
power fail
No actuator
Controller fail
Page
39
Key
Turbine
AND node
Vibration
OR node
Bearing
Failure
Fatigue
Failure
Over
Salt
Speed
Deposition
Unreliable
Analyser
Loss of
Lubricant
Back
Pressure
Chemical
Over-dosage
High Steam
Flow
Page
40
19
Turbine
Vibration
Back
Pressure
Fatigue
Failure
Unreliable
Analyser
Loss of
Lubricant
Chemical
Over-dosage
High Steam
Flow
Page
41
Cement Mill
Cement
Out
Raw
Material
in
Reference:
Mr. Waleed Al Deraie - Kuwait
Page
42
20
Key
Mill
AND node
Failure
OR node
Power Out
High
Temperature
Electric
Main Source
Trip
Out
Bad
Quality
Bad material
Insufficient
water
Incorrect
ratio
Pump failure
Page
43
Mill
Failure
Bad
Quality
Power out
Insufficient
water
Electric
Trip
Bad
material
Main
Source Out
Incorrect
ratio
Pump
failure
High Temperature
Page
44
21
Page
45
Page
46
22
Titanic Disaster
What Happened
The Ship Hit The Iceberg At Such High Speed That Caused
The Resulting Failure Of The Superstructure To Be
Catastrophic
The Iceberg Caused A Rip To The Hull Of The Ship And
Damaged 5 Of 16 Watertight Compartments
Titanic Sank After 2 Hours And 40 Minutes After The Crash
On Board Was 2,228 Between Passengers And Crew
Page
47
Titanic Disaster
Technical Failure
23
Titanic Disaster
Consequences And Severity
Page
49
Titanic Disaster
Analysis
24
Titanic Disaster
Improvements
Page
51
AND = Parallel
OR = Series
AND
Inefficient
passenger
evacuation
Iceberg
Collision
OR
Insufficient
life boats
Not
enough
time
Collapsed
structure
OR
Lack of
emegency
procedure
Poor
visiblility
OR
High
speed
Innapropiate
manufacturing
process
Innapropirate
material
AND
Bad
outlook
No
binoculars
AND
Lack of
quality
control
Lack of
material
testing
Page
52
25
Bad outlook
High speed
No binoculars
Poor visibility
Insufficient
life boats
Iceberg collision
No enough
time
Lack of
emergency
procedure
Lack of Quality
Control
Inappropriate
manufacturing
process
Inappropriate
material
Lack of Material
Testing
Collapsed structure
Page
53
Page
54
26
Page
55
2.
3.
4.
5.
Page
56
27
Consequences of failure
All ICE operations were abandoned until the full scale investigation
was completed, which has caused a major disruption of the railway
transportation system in Germany, and companies going out of
business.
All trains with wheel-tire design were discontinued and was replaced
by the original mono-block wheel design.
Page
57
Wheel De-lamination
Absence of
recommended
CBM for wheel
distortion
Inefficient emergency
procedure
Design
Maintenance
Stoppage of
Ultra-Sonic
testing
Wheel size,
acceptable
limit change
No testing
Staff
Passengers
Infrastructure
adding to disaster
Track Switch
Bridge design /
location
Page
58
28
8
9
N.B: The number in the blocks is from the previous Fault Tree Diagram leafs.
Page
59
29
Analysis
Operating
1. Select equipment to be reviewed.
Context
Page
62
Page
63
30
SUMMARY
FMEA definitions.
Severity.
Occurrence.
Detection.
Performing FMEA.
Levels of Failure
Modes.
Risk Priority umber
(RPN).
4 Types of FMEA.
Other Tools
Related
to FMEA.
Practical Example.
Page
64
Further Reading(s)
Stamatis, D.H., Failure Mode and
Effect Analysis, ASQC, 1995.
Aven, T., Reliability and Risk Analysis,
Elsevier, 1992.
OConnor, P.D., Practical Reliability
Engineering, John Wiley & Sons, 1990.
Page
65
31
Page
66
32
PRESENTS
15 to 19 December, 2008
Kuala Lumpur
BY
Professor Ashraf W. Labib
Senior Consultant
Page 1
BUT...
There exists some sort of black hole
Here is the proof
Page 4
1st proof
Data Collection:
Data Analysis:
Decision Analysis:
A Black Hole
50%
48%
(Simon et.al , 1992)
Page 5
2nd proof
Data
Collection
..........
..........
..........
Maximo/ SAP
DataStream
Data
Analysis
Real Time
Network
Decision
Analysis
Price Range
..........
1K+
A Black Hole
10 K +
30 K +
..........
40 K +
Page 6
CMMS
Features As A
Function Of Price
Case Study:
Intellectual
Asset
Management
The Next
Generation
Of
Computerize
d
Maintenance
Management
Systems
(CMMS),
Wayne Grant
Reed,
SKF
Reliability
Systems
4th Annual
World Class
Best
Practices in
Maintenance
22-23
September
2003
The Westin,
Kuala
Lumpur,
Malaysia
Feature
Data
Collectio
n
Data
Analysis
Price Range
$1.5K $15k+ $45k+ $65K
+
+
YES
YES
YES
YES
NO
YES
YES
YES
Real time
NO
NO
YES
Network
NO
NO
NO
YES
Decision
Support
NO
NO
NO
NO
YES
Source: Labib A W & Exton T, "Spare Parts Decision Analysis - The Missing Link In CMMS's (Part1)",
Maintenance & Asset Management Journal, Vol. 16 No. 3, 2001
Page 7
3rd proof
A Black Hole
75
80
85
90
95
100
Adapted from Swanson, L. (1997) Computerized Maintenance Management Systems: A study of system design and use
Production and Inventory Management Journal, Second Quarter pp. 11-14
4th proof
CMMS Software
Implementation
> 20 users
< 6 users
Success.
A Black Hole
8% Success.
55%
5th proof
A Black Hole
Page
10
6th proof
6th proof
6th proof
Data
Decisions
A Black Box
Page
15
Dec
Jan
F eb
M ar
A pr
M ay
Jun
Jul
A ug
S ep
Oct
Nov
Page
16
The Decision-Making
Grid (DMG)
Background: Acts as a map where the
performances of the worst machines are
placed based on multiple criteria.
Objective: To implement appropriate
actions that will lead to the movement of
machines towards an improved state
with respect to multiple criteria.
Page
17
Frequency
Downtime
(hrs)
30
20
20
17
16
12
7
6
6
4
138
155
89%
Name
Frequency
(No. off)
Machine [G]
27
Machine [C]
16
HIGH
Machine [D]
12
Machine [A]
9
Machine [I]
8
Machine [E]
8
MEDIUM
Machine [k]
8
Machine [F]
4
Machine [B]
3
LOW
Machine [H]
2
Sum of Top 10
97
Sum of All
120
Percentage
81 %
Criteria Evaluation
Page
18
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Operate to Failure
(Favourable state)
Frequency
Low
O.T.F.
Medium
High
Page
19
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
O.T.F.
Medium
High S.L.U.
Page
20
10
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
O.T.F.
C.B.M.
Medium
High S.L.U.
Page
21
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
O.T.F.
C.B.M.
Medium
High S.L.U.
D.O.M.
Page
22
11
Decision-Making Grid
(DMG)
Downtime
Frequency
Low
O.T.F.
C.B.M.
Medium F.T.M.
High S.L.U.
D.O.M.
Page
23
Decision-Making Grid
(DMG)
Downtime
Frequency
Low
Medium F.T.M.
High S.L.U.
D.O.M.
Page
24
12
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
Medium F.T.M.
F.T.M.
High S.L.U.
D.O.M.
Page
25
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
Medium F.T.M.
F.T.M.
13
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
D.
Out
C.
Condition
G.
Time
Maintenance
E.
Fixed
Time
H.
Fixed
Time
A.Fixed
Operate
F. Design
Fixed
toBased
Time
Failure
B.
Skill
Level (OTF)
Maintenance
(DOM)
(FTM)
Maintenance
(CBM)
Maintenance
Maintenance
(FTM)
(FTM)
Sustain
Maintenance
the
best
practice
(FTM)
Upgrade
(SLU)
One of theFTM
worst
The
A
problematic
"difficult"
machine,
issues
in
Easy:
When?
(Favourable
state).
Easy:
It
might
Who?
be
the
case
that
Maintaining
this
machines
are
theperforming
ones
related
to
the
maintenance
words
"a
It requires
machine
is reacriteria.
the
It requires
wrong
problem
re-addressing
is
based
on
both
contents
ofdoes
the instruction
killer".
It
not
addressing
issues
A
machine
this
relatively
easy
task
being
issues
solved
regarding
orof
the
who
right
itself.
breakdown
It
might
frequently
be
the
case
(low
category
will
need
to
regarding
when
will
that
can
bethe
passed
to
one
will
is
perform
not
being
solved
that
thebe
wrong
frequency),
butproblem
whenbe
itis
structurally
the
instruction
operators
after
adequately.
instruction.
being
stops solved
itupgrading
is usually
orand
the
amajor
right
big
modified
implemented
(How
their
skill
out
projects
one
problem
is design
not
that
being
lasts
solved
for
a long
often).
levels.
need to
be considered.
adequately.
time (high
downtime).
Downtime (or MTTR)
C.
CBM
B. U
SL
R&KT
DMG
Strategy
A. OTF
G. FTM
(How?)
TM )
. F t?
H ha
(W
E.
FTM
(Who?)
F
(W FT .
he M
n?
)
D. M
DO
Low
Low
Medium
O.T.F. F.T.M.
C.B.M.
F.T.M.
(Who?)
F.T.M.
(How?)
(When?)
Medium
High
High S.L.U.
F.T.M.
(What?)
D.O.M.
Page
28
07
14
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
15
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
16
The DMG
As a
Continuous Improvement
Process.
Multiple Criteria Analysis.
[A]
[B]
DMG as a continuous
improvement process
[C]
L
L
M
H
[A]
[B]
[C]
Page
34
17
Page
35
Criterion 1
Sub-criterion 1a
Sub-criterion 1b
Alternative A
Criterion 2
Sub-criterion 1c
Alternative B
Sub-criterion 2a
Sub-criterion 2b
Alternative C
Page
36
18
Downtime
Frequency
Spare Parts
Bottlenecks
Level 2: Critical
Machines
System A
System C
System B
Level 3: Critical
Faults
Electrical
Level 4: Fault
Details
Mechanical
Motor Faults
Limit Faults
Hydraulic Pneumatic
No Power Faults
Proximity Faults
Panel Faults
Pressure Faults
Software
Switch Faults
Downtime
Low
Medium
High
CBM
OTF
Medium
High
Frequency
Low
FTM
SLU
DOM
: Machine / System
Multiple Criteria
Fixed Rules
&
Flexible Strategies
Electrical
Multiple Criteria:
Prioritised focused actions
Motor
faults
Mechanical
Panel
faults
Hydraulic
Switch
faults
Pneumatic
No power
faults
19
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
?
O.T.F. F.T.M. C.B.M.
F u z z ific a tio n
F u z z y In p u ts
R u le s
R u le E v a lu a tio n
F u z z y O u tp u ts
O u tp u t
M e m b e rs h ip
F u n c tio n s
D e f u z z if ic a t io n
C ris p O u tp u t
Membership Function
Fuzzy Process
Page
40
20
Membership Function of
Frequency
Medium
Low
High
1
0.75
0.4
10
20
30
40
50
Frequency
(No. of times)
12
Page
41
Membership Function of
Downtime
Medium
Low
High
1
0.7
0.2
0
100
200
300
400
380
500
Downtime
(hrs)
Page
42
21
Decision-Making Grid
(DMG)
Downtime
Low Medium High
Frequency
Low
DOM
CBM
SLU
FTM
OTF
380
12
Page
44
22
DOM
CBM
SLU
FT M
380
12
OTF
Page
45
Basic Data
Requirements
Asset Register (Machine
identifier).
Counter of Faults (Frequency).
Timer of Faults (Down-time).
Level of Faults (Hierarchical).
Page
46
23
Analytic
Hierarchy
Process
Maintenance Data:
- Machines
- Faults
- Spare Parts
Bottleneck Data:
- Speed
- Loading
- Quality
is
:
ve sh th
i
t
i
jec bl
Ob esta
To
k
lin
Decisions (actions)
Data
Proposed Model
Preventive
Maintenance
Instructions
Page
47
Page
48
24
Conclusion
The proposed model provides an
optimised identification of machines
characteristics based on multiple
criteria.
With the rule based approach one can
decide what actions should be carried
out to maintain the operation of the
machines in the most effective way.
The result is a flexible and effective
system in maintenance systems
domain.
Page
49
Next
Generation
Maintenance
Systems will have to be responsive
to change.
Page
50
25
Decision-Making Grid
(DMG)
Downtime
QP
Group 1
- MPGs
- UT
- Instr.
Low
Frequency
-Critical Machines
Decision-Making Grid
(DMG)
Downtime
QP
Group 1
Frequency
Low
UT
Condensate
Pump
Turbo Expander
MPG
Page
52
26
Decision-Making Grid
(DMG)
QP
Group 2
- WHJ
-Vessel
Separator
Frequency
- Pumps
Downtime
- Compressors
Decision-Making Grid
(DMG)
Downtime
QP
Group 2
Frequency
Low
C.B.M.
Compressor
KT 4201
S.L.U.
Pump
P-5376
F.T.M. D.O.M.
Page
54
27
Page
55
28
24/11/2008
PRESENTS
15 to 19 December, 2008
Kuala Lumpur
BY
Professor Ashraf W. Labib
Senior Consultant
Day 4
OPTIMISING MAINTENANCE
ORGANISATION
Operations Excellence
Operations + Maintenance = Production
Can Operations Manage Maintenance?
A Driving Lesson for Operations and
Maintenance
Maintenance Management Legends
2
24/11/2008
OPTIMISING MAINTENANCE
ORGANISATION
(The Balanced Score Card
A Maintenance Perspective)
Learning Outcomes
By the end of this session you should be
able to answer the following questions:
What is BSC?
How to apply BSC?
What are the advantages and weaknesses of
BSC?
24/11/2008
Why?
The main challenge is that:
Executives want a balanced presentation of
measures that allow them to view the company
from several perspectives simultaneously.
Why?
Income-based financial figures are lag indicators.
They are better at measuring the consequences of
yesterdays decisions than at indicating tomorrows
performance.
Managers are willing to play the earnings game.
For instance, investment in maintenance can be cut back to
boost the quarterly earnings.
The detrimental effect of the cut back will only show up as
increased operating cost in some future periods, by which
time the manager making the cut back decision may have
already been promoted because of the excellent earnings
performance.
In view of these deficiencies, customer oriented measures
such as response time, service commitments, and customer
satisfaction have been proposed to serve as lead indicators
of business success (Eccles, 1995).
6
24/11/2008
24/11/2008
Defined:
a set of measures that gives
top managers a fast but
comprehensive view of
the business
January-February 1992
Includes:
Financial Measures
Operational Measures
Customer Satisfaction
Internal Processes
Innovation and
Improvement
Activities
9
Balanced Scorecard
Methodology
The BSC is a structured approach to performance measurement and
performance management that links the organizations strategic thinking
to the activities necessary to achieve desired results
The BSC is a vehicle for communicating an organizations strategic
direction and for measuring achievements towards these predetermined
objectives
The BSC clearly establishes linkage between strategic objectives, the
measures for determining progress, the stretch targets established, and the
focused initiatives needed to move the organization forward to meet those
organizational goals
10
24/11/2008
Customer
Relations
Vision and
Strategy
Learning,
Innovation and
Growth
Internal Service
Process
12
24/11/2008
13
Strategic Approach
Customer-focus
Process Analysis
Benchmarking
Workforce Planning
14
24/11/2008
Balanced Scorecard
Performance Objectives
CUSTOMER
- Customer Satisfaction
- Effective Service/Partnership
FINANCIAL
- Optimum Cost Efficiency of
Purchasing Operations;
Cost Reasonableness of
Actions
MISSION
VISION
STRATEGY
LEARNING AND
GROWTH
INTERNAL BUSINESS
PROCESSES
- Acquisition Excellence
- Most Effective Use of
Contracting Approaches
- Streamlined Processes
- On-Time Delivery
- Supplier Satisfaction
- Socioeconomics
Balanced Scorecard
Strategic Perspectives
CUSTOMER
To Achieve Our Vision,
How Must Our
Customers View Us?
FINANCIAL
To Succeed Financially, How
Do We Contribute to the
Bottom-line?
MISSION
VISION
STRATEGY
LEARNING AND
GROWTH
To Achieve Our Vision, How
Will We Sustain Our Ability
To Change And Improve?
INTERNAL BUSINESS
PROCESSES
To Satisfy Our Stakeholders
and Customers, What Business
Processes Must We Excel At?
16
24/11/2008
Balanced Scorecard
Strategic Perspectives
CUSTOMER
To Achieve Our Vision,
How Must Our
Customers View Us?
FINANCIAL
To Succeed Financially, How
Do We Contribute to the
Bottom-line?
MISSION
VISION
STRATEGY
INTERNAL BUSINESS
PROCESSES
To Satisfy Our Stakeholders
and Customers, What Business
Processes Must We Excel At?
LEARNING AND
GROWTH
To Achieve Our Vision, How
Will We Sustain Our Ability
To Change And Improve?
17
Customer Perspective:
How Do Customers See Us?
TIME.
QUALITY.
PERFORMANCE and SERVICE.
COST.
18
24/11/2008
Customer Perspective:
Example from a company
Balanced Scorecard
Strategic Perspectives
CUSTOMER
To Achieve Our Vision,
How Must Our
Customers View Us?
FINANCIAL
To Succeed Financially, How
Do We Contribute to the
Bottom-line?
MISSION
VISION
STRATEGY
LEARNING AND
GROWTH
To Achieve Our Vision, How
Will We Sustain Our Ability
To Change And Improve?
INTERNAL BUSINESS
PROCESSES
To Satisfy Our Stakeholders
and Customers, What Business
Processes Must We Excel At?
20
24/11/2008
Cycle time.
Quality.
Employee skills.
Productivity.
Critical technologies.
21
22
24/11/2008
Balanced Scorecard
Strategic Perspectives
CUSTOMER
To Achieve Our Vision,
How Must Our
Customers View Us?
FINANCIAL
To Succeed Financially, How
Do We Contribute to the
Bottom-line?
MISSION
VISION
STRATEGY
INTERNAL BUSINESS
PROCESSES
To Satisfy Our Stakeholders
and Customers, What Business
Processes Must We Excel At?
LEARNING AND
GROWTH
To Achieve Our Vision, How
Will We Sustain Our Ability
To Change And Improve?
23
24/11/2008
25
Balanced Scorecard
Strategic Perspectives
CUSTOMER
To Achieve Our Vision,
How Must Our
Customers View Us?
FINANCIAL
To Succeed Financially, How
Do We Contribute to the
Bottom-line?
MISSION
VISION
STRATEGY
LEARNING AND
GROWTH
To Achieve Our Vision, How
Will We Sustain Our Ability
To Change And Improve?
INTERNAL BUSINESS
PROCESSES
To Satisfy Our Stakeholders
and Customers, What Business
Processes Must We Excel At?
26
24/11/2008
Financial Perspective:
How Do We Look to Shareholders?
Typical financial goals have to do
with:
Profitability.
Growth.
Shareholders value.
27
Financial Perspective:
Examples from a Company
A companys financial goals are
simply:
To survive (measured by cash flow).
To succeed (measured by quarterly sales
growth, and operating income by
division).
To prosper (by increased market share by
segment and return on equity).
28
24/11/2008
BSC Strengths
The BSC is like the dials in
an airplane cockpit: it gives
managers complex
information at a glance.
Focused
Current and future
Balanced approach
Integration and
benchmarking
29
BSC Weaknesses
The scorecard information
is not timely.
Private Sector Approach
Potentially Complex
Data Availability
Constant Alignment with
Strategy and Vision
30
24/11/2008
BSC Software
www.ergometrics .com
31
Todays Exercise
Form 4 groups- one for each perspective
Within each group:
1. Appoint a scribe/presenter
2. Brainstorm objectives
3. Record all objectives
4. Present objectives to other groups
5. Record other objectives as suggested by the
other groups
32
24/11/2008
Brainstorming Exercise
Purpose: to generate
multiple ideas, in this case
for developing BSC
objectives
33
BSC Objectives
1. Describe the activities that we must
perform well to successfully implement
strategy/goals
2. Answer the questions associated with
each perspective
3. Start with an action verb: increase,
develop, improve, lower, achieve etc.
34
24/11/2008
Brainstorming Exercise
Rules:
1.No idea is a bad idea
2.Be creative
3.Take risks
4.No criticism allowed
35
36
24/11/2008
37
Productivity Perspective.
Learning Perspective.
Safety Perspective.
Environmental Perspective.
Quality Perspective.
Cost Effectiveness Perspective.
38
24/11/2008
40
24/11/2008
41
42
24/11/2008
44
24/11/2008
45
46
24/11/2008
Safety
Cost Effectiveness
Administrative
hours per
Maintenance
tool-time
Unit
maintenance
cost
Environment
1:1,000,000
Risk of harm or
Fatal injury due
To the physical
asset base.
Measured by
incidence only
47
Learning
Data quality
Exception report
To ensure
Continuing data
Quality for
Management
Decisions
Measurement:
Data quality
Equipment
register
48
24/11/2008
49
PRESENTS
15 to 19 December, 2008
Kuala Lumpur
BY
Professor Ashraf W. Labib
Senior Consultant
Learning Outcomes
By the end of this session you should be
able to answer the following questions:
What is ERP?
How did ERP develop?
What is MRP?
What is MRPII?
How is ERP developing?
2
Types of Systems in
Organisations
Scope of Decisions
Decisions:
Low Frequency
High Significance
Co
Pla rpora
nn te
ing
10 Years
Strategic
M
Pla aster A
g
nn
ing P gre
la ga
nn te
ing
1 Year
Tactical
rm
Pla edi
nn ate
ing
1 Month
Operational
Pr
o
Co c ess Lo
wL
n tr
ol Pl
a ev e
nn
ing lIn
te
Decisions:
High Frequency
Low Significance
1 Day
Physical
Overview of Part I
History
Nature of ERP
ERP Operation
Role of the Accountant
Success and Failure
7
MRP
Closed
Loop MRP
ERP
Finite Capacity
Scheduling
MRP II
OPT
JIT
8
ERP - Evolution
1910 1920 1930 1940 1950 1960 1970 1980 1990 2000 2010
Scientific
Management
BPR
ERP
Operations
Research
MRP MRP II
Batch
Processing
WWW
On-line
Processing
PC
9
0106
Bespoke
Modified
Package
Requirement
Package +
Additions
Package
10
Advantages/Disadvantages of the
Package Approach
Maintenance Fees
Business Focus
Implementation Times
Bespoke
Approach
System Reliability
Package
Approach
ERP Characteristics
No Universal Definition and Some Re-Badging
Attempts to Integrate all Data and Processes
Commercially Orientated
Functionality
Product Families/Medium-Term Aggregate Plans
Multi-Site Reporting
Electronic Commerce Functionality
SAP - Industries
Founded in 1972
Systeme, Anwendungen und Produkte
45,000 Customers in 120 Countries
ERP Market Leader
Manufacturing
Banking
Defense & Security
Healthcare
Higher Education & Research
Insurance
Public Sector
Service
Media
Retail
Telecommunications
Travel & Logistics Services
Utilities
Wholesale Distribution
13
See http://www.sap.com/industries/index.epx
Raw
Material
Transformation
Process 1
Transformation
Process 2
End
Customer
14
0603
Invoice
Invoice
e
Issu
n
tio
era
Op
SO atc
sp
De
WO
O
W eipt
c
Re
Re PO
ce
ip
t
Payment
Operation
15
Functional Organisation/Integration
Engineering
Maintenance
HRM
Production
Sales
Quality
Accounts
Purchasing
Warehouse
Distribution
16
Functional Organisation/Integration
Engineering
Engineering
Quality
Maintenance
Maintenance
Sales
Warehouse
Quality
Accounts
Engineering
Purchasing
Production
HRM
Quality
Sales
Production
Production
Warehouse
Distribution
Distribution
Maintenance
Accounts
Accounts
Sales
Warehouse
HRM
Purchasing
HRM
Purchasing
Distribution
17
MPS
RCCP
Sales
Ledger
SOP
MRP
BOM
General
Ledger
Inventory
Control
WOP
CRP
Purchase
Ledger
POP
SFC
Routings
Distribution
Financial
Fixed
Assets
18
Integrated
database
Purchasing
and supply
applications
Delivery and
logistics
applications
Service
applications
Customers
Operations
applications
Sales and
marketing
applications
Front-office staff
Back-office staff
Suppliers
Financial
applications
Strategic
reporting
applications
HRM
applications
Employees
20
10
Demand
The informational
ability to deliver
products/services
The operation
Operations resources
Required time,
quantity and quality
of products and
services
The
market
Customer requirements
Bad (Company A)
Micro-Management of Irrelevance
11
22
Financial
Systems
Supplier
Schedules
Payments
Customer
Schedules
Purch Order
Processing
Sales Order
Processing
Company
Database
Invoices
Inventory
Control
Raw
Material
W/C
1
W/C
2
W/C
3
W/C
4
W/C
5
W/C
6
Finished
Product
Kanban Control
23
Summary
ERP Now in Common Use
Aims - a Single Common System
SAP is Dominant in the ERP Market
Effective Implementation is Vital
Accountants have a Key Role
24
12
Capacity Planning
Imagine you have decided to hold a
party in two weeks time and expect
about 40 people to attend
25
Supply of
products and
services
The
operations
resources
MRP
Deciding the
volume and
timing of
materials flow
in dependent
demand
conditions
Demand for
products and
services
The
operations
customers
26
13
Master
production
schedule
Forecast
demand
Bill of
materials
Material
requirements
planning
Inventory
records
Purchase
orders
Materials
plans
Works
orders
27
Marketing
Central
database
Operations
Design
28
14
Motor
Steel Bar
(300mm)
Rotor
End Terminal
Cover
Box
(2)
Motor
Body
Winding
Feet
(2)
Bearing
(2)
Rotor
29
Rotor Core
Shaft
Rotor
E.Cover
T.Box
(2)
Rotor
Shaft
Casting
Casting
Motor
Feet
Bearing
Body
(2)
(2)
Casting
Casting
Core
Winding
Small
Items
Winding
Core
Copper
Wire
(3Kg)
Steel
(300mm)
15
30
Use of Phantoms
A
B
X
X
G
B
B
H
I
I
B
X
E
31
Forecast
demand
Sister plant
demand
R&D
demand
Master
production
schedule
Promotion
requirements
etc.
Key
capacity
constraints
Inventory
levels
Spares
demand
Safety stock
requirements
32
16
Demand
Total
demand
Forecast element
of demand
Known orders
Time in future
33
MRP Principles
Gross
Requirements
Sales
Inventory
Balances
Order
Information
Orders
MRP
Net
Requirements
Item
Data
Bill of
Materials
Next Level
34
MRP: The planning of components based on the demand for higher-level assemblies
17
MRP - Example
Part No:
Lead Time:
Order Qty:
A0
3
60
SOH
Gross Requirements
10
20
20
20
20
20
20
20
20
25
45
25
45
Scheduled Receipts
Projected Available Balance
60
25
45
60
60
60
Product
Structure
60
A0
Part No:
F1
Lead Time:
1
Order Qty: 120
SOH
Gross Requirements
60
10
15
15
15
F1
60
Scheduled Receipts
Projected Available Balance
15
15
75
75
75
15
120
120
35
Ord No: 0025
18
Limitations
Sales
Planning
Extra Demand
Changed Due Dates
Policy Changes
Schedule Changes
Engineering
Poor Quality
Late Delivery
BOM Changes
Routing Changes
Stores
Manufacturing
Accurate Records
Damaged Items
Poor Quality
Late Delivery
37
19
20
40
MRPII
a game plan for monitoring all the
resources of a manufacturing company:
manufacturing, marketing, finance and
engineering. Technically it involves using
the closed-loop MRP system to generate the
financial figures.
[Wight, 1984]
41
ERP
a complete enterprise wide business solution.
The ERP system consists of software support
modules such as: marketing and sales, field
service, product design, and development,
production and inventory control, procurement,
distribution, industrial facilities management,
process design and development, manufacturing,
quality, human resources, finance and accounting,
and information services. Integration the modules
is stressed without the duplication of information.
[attribute to Christopher Koch]
42
21
22
References
23
01
Summary
ERP Now in Common Use
Aims - a Single Common System
SAP is Dominant in the ERP Market
47
0148
48
24
25
11/24/2008
PRESENTS
15 to 19 December, 2008
Kuala Lumpur
BY
Professor Ashraf W. Labib
Senior Consultant
24/11/2008
1
1
24/11/2008
2
2
1<#>
11/24/2008
Preventative Maintenance
And Shutdown Planning
Implementing Proven Preventative
Maintenance Strategies and Managing
Shutdowns to Improve Overall Productivity
and Profitability
Planned preventative maintenance can cost your company thousands - if not millions of dollars every year! This lecture will cover key aspects concerning preventative
maintenance planning, from identifying core business drivers that underline
maintenance strategies to practical techniques for managing shutdowns, turnarounds,
outages and overhauls of any scale.
24/11/2008
24/11/2008
2<#>
11/24/2008
Product Design
Teams at
Chrysler and Ford
When the Ford Mustang was introduced in
1964, it was an immediate hit, with sales
more than 417,000 within 12 months.
However, annual sales, which were around
500,000 through the 1960s, had dropped to
only 86,000 by 1992. In 1989 Ford
management almost decided to discontinue
the Mustang when a study showed the cost
for redesigning it would be $1 billion.
However, a group of Ford employees and
Mustang loyalists persuaded the company to
let them take on the redesign project,
promising a lower cost. Operating with more
independence than most project teams, the
400-member group brought the car online
after three years in 1994 for $700 million, 25
percent faster and 30 percent cheaper than
any other comparable design project at Ford.
6
24/11/2008
Definition of a Project(I)
Project - unique process, consisting of
a set of co-ordinated and controlled
activities with start and finish dates,
undertaken to achieve an objective
conforming to specific requirements
including constraints of time, cost and
resources.
ISO 8402
7
24/11/2008
3<#>
11/24/2008
8
24/11/2008
4<#>
11/24/2008
24/11/2008
12
24/11/2008
5<#>
11/24/2008
Termination
Realisation
Conception
Development
13
24/11/2008
Technological
understanding.
An understanding of
project economics.
A knowledge of man
management techniques.
A competence in systems
design and maintenance.
A competence in planning
co-ordination and control.
Financial competence.
A competence in
procurement.
Good personal
communication abilities.
14
24/11/2008
6<#>
11/24/2008
15
24/11/2008
24/11/2008
16
7<#>
11/24/2008
24/11/2008
Effort:
The
8<#>
11/24/2008
19
24/11/2008
20
24/11/2008
9<#>
11/24/2008
24/11/2008
Responding to Conflict
22
24/11/2008
10<#>
11/24/2008
Team Roles
Turns Ideas Into Practical Actions
Implementer
Coordinator
Shaper
Plant
Resource Investigator
Monitor/evaluator
Teamworker
Completer
Specialist
23
24/11/2008
Gantt Charts
24
24/11/2008
11<#>
11/24/2008
Week number
1 2
4 5
9 10 11 12 13 14 15 16
25
24/11/2008
Representation of 50%
of activity complete
Week number
1 2
4 5
9 10 11 12 13 14 15 16
A
B
C
26
24/11/2008
12<#>
11/24/2008
Representation of 50%
of activity complete
Week number
1 2
4 5
9 10 11 12 13 14 15 16
A
B
C
D
27
24/11/2008
13<#>
11/24/2008
Gantt Charts
Calendars:
In
29
24/11/2008
Month
4
10
Activity
Design house
and obtain
financing
Lay foundation
Order and
receive
materials
Build house
Select paint
Select carpet
Finish work
5
Month
24/11/2008
30
14<#>
11/24/2008
Concept of:
Slack
31
24/11/2008
Gantt Chart
The project manager can use the chart to monitor the progress of the
activities and see which ones are ahead of schedule and which ones are
behind schedule.
This problem is one of the disadvantages of the Gantt chart method, and it
limits the chart's use to smaller projects with relatively few activities.
32
24/11/2008
15<#>
11/24/2008
Forward scheduling establishes a project startdate and then schedules forward from that date.
Reverse scheduling establishes a project
deadline and then schedules backward from that
date. Essentially, tasks, their duration, and
resources must be chosen to ensure that the
project can be completed by the deadline.
33
24/11/2008
24/11/2008
16<#>
11/24/2008
35
24/11/2008
Precedence relationships:
36
24/11/2008
17<#>
11/24/2008
Lay
foundation
2
3
Design house
and obtain
financing
Dummy
Build
house
0
1
Order and
receive
materials
Select
paint
Finish
work
3
1
Select
carpet
37
24/11/2008
Concurrent Activities
24/11/2008
38
18<#>
11/24/2008
Concurrent Activities
3
Lay foundation
Lay
foundation
3
2
Order material
Dummy
2
0
1
Order material
39
24/11/2008
A: 1-2-3-4-6-7.
B: 1-2-3-4-5-6-7.
C: 1-2-4-6-7.
D: 1-2-4-5-6-7.
40
24/11/2008
19<#>
11/24/2008
Build house
4
3
2
2
Start
Finish work
7
1
1
3
Design house
and obtain
financing
3
1
5
1
6
1
Select carpet
Select paint
41
24/11/2008
42
24/11/2008
20<#>
11/24/2008
Critical Path
4
3
2
2
Start
7
1
1
3
3
1
A:
B:
C:
D:
24/11/2008
6
1
5
1
1-2-4-7
3 + 2 + 3 + 1 = 9 months
1-2-5-6-7
3 + 2 + 1 + 1 + 1 = 8 months
1-3-4-7
3 + 1 + 3 + 1 = 8 months
1-3-5-6-7
3 + 1 + 1 + 1 + 1 = 7 months
Critical path
Longest path
through a network
Minimum project
completion time
43
Prof. A.W. Labib
Because path A is the longest path, it is the critical path; thus the
minimum completion time for the project is 9 months.
Activities 2-3 and 2-4 cannot start until 3 months have passed. It is
also easy to see that activity 3-4 will not start until 5 months have
passed. The start of activities 4-5 and 4-6 is dependent on two
activities leading into node 4. Activity 3-4 is completed after 5
months (which we determine by adding the dummy activity time
of zero to the time of 5 months until node 3 occurs), but activity 24 is completed at the end of 4 months. Thus, we have two possible
start times for activities 4-5 and 4-6, 5 months and 4 months.
However, since no activity starting at node 4 can occur until all
preceding activities have been finished, the soonest node 4 can be
realised is 5 months.
44
24/11/2008
21<#>
11/24/2008
24/11/2008
45
46
24/11/2008
22<#>
11/24/2008
47
24/11/2008
To Be Continued
48
24/11/2008
23<#>
11/24/2008
PRESENTS
15 to 19 December, 2008
Kuala Lumpur
BY
Professor Ashraf W. Labib
Senior Consultant
24/11/2008
1
1
24/11/2008
2
2
1<#>
11/24/2008
3
24/11/2008
Lectures OBJECTIVES
4
24/11/2008
2<#>
11/24/2008
5
24/11/2008
6
24/11/2008
3<#>
11/24/2008
Modelling
Node
N
Node
Time
Activity
N+1
(Start) ES
(Start) EF
(End) LS
(End) LF
Duration in
weeks
1
5
2
4
1
2
8
24/11/2008
4<#>
11/24/2008
ABBREV.
Duration in
weeks
1
5
2
4
1
2
9
24/11/2008
(PREPARE)
(IN
ST
(C
L
EA
N)
(0)
1
A
IS
(D
4
AL
L)
SS
E
BL
A)
(P
O
R
RY
_T
G
6
)
(TRAIN A)
10
24/11/2008
5<#>
11/24/2008
(C
L
0
1
A
IS
(D
(0)
4
TA
LL
)
SS
(PREPARE)
EA
N)
5
3
5 (INS
E
BL
A)
6
5
7
(TRAIN A)
O
PR
_
G
Y
TR
9
6
9
Earliest Start
Latest Start
N.B.
Rule 1: ES --> max
Rule 2:LS <-- min
11
24/11/2008
(0)
=
1
4
5
min
(TRAIN A)
5
- 7
Latest
Start
12
24/11/2008
6<#>
11/24/2008
5
3
(PREPARE)
Earliest
Start
max
=
N.B.
Rule 1: ES --> max
Rule 2:LS <-- min
(0)
+
5
4
13
24/11/2008
Network Example
1
Concrete foundation (A)
Complete
base
on
Di
1
Mark out
11 1
)
er (A
gf
ou
nd
at i
t tow
Erec
(A
)
10
Erect
span
Di
gf
at i
nd
ou
on
)
(B
Concrete
foundation (B)
2
Erect
plinth
ec
Er
w
to
er
)
(B
14
24/11/2008
7<#>
11/24/2008
16
24/11/2008
17
24/11/2008
8<#>
11/24/2008
18
24/11/2008
19
9<#>
11/24/2008
Path:
The
20
24/11/2008
Critical Path
The
21
24/11/2008
10<#>
11/24/2008
Both CPM and PERT are derivatives of the Gantt chart and, as a result, are
very similar.
There were originally two primary differences between CPM and PERT.
With CPM a single estimate for activity time was used that did not allow for any
variation in activity times--activity times were treated as if they were known for
certain, or "deterministic." With PERT, multiple time estimates were used for each
activity that allowed for variation in activity times--activity times were treated as
"probabilistic."
The other difference was related to the mechanics of drawing the project network.
In PERT activities were represented as arcs, or arrowed lines, between two nodes,
or circles, whereas in CPM activities were represented as the nodes or circles.
However, over time CPM and PERT have been effectively merged into a
single technique conventionally referred to as CPM/PERT.
22
24/11/2008
23
24/11/2008
11<#>
11/24/2008
24
24/11/2008
PERT Charts
24/11/2008
12<#>
11/24/2008
Charts
26
24/11/2008
PERT Charts
27
24/11/2008
13<#>
11/24/2008
PERT Charts
28
24/11/2008
PERT Charts
29
14<#>
11/24/2008
CPM/PERT Vs GANTT
24/11/2008
30
Resource Allocation
Gantt Chart
Resource
Diggers
10 11
Dig A
Dig B
Tower
B
Crane
N.B.
Economy in use of resources may require extension of project. Time (days)
To shorten time, examine critical path activities and increase
resources to reduce duration(s) of activities.
31
24/11/2008
15<#>
11/24/2008
Resources
Time is different from any other resources
in that it cannot be stored.
Skilled man-power and capital equipment,
need to be allocated most carefully.
This is because:
24/11/2008
Costs
33
24/11/2008
16<#>
11/24/2008
Number of fitters
Resource Aggregation
(histograms)
4
3
2
1
1
3 4
9 10 11 12 13
Week
Number
34
24/11/2008
Resource Levelling
Criteria for effectiveness:
Absolute upper limit to all resources.
Upper limit to be as small as possible.
4
Upper
limit
3
2
1
1
24/11/2008
3 4
9 10 11 12 13
Week
Number
35
17<#>
11/24/2008
Resource Smoothing
4
3
2
1
1
24/11/2008
3 4
9 10 11 12 13
Week
Number
36
37
24/11/2008
18<#>
11/24/2008
Project Crashing
We will assume that the times (in weeks) shown on the network activities
are the normal activity times. For example, 12 weeks are normally
required to complete activity 1-2. Further, we will assume that the cost
required to complete this activity in the time indicated is 3,000. This
cost is referred to as the normal activity cost.
Next, we will assume that the building contractor has estimated that
activity 1-2 can be completed in 7 weeks, but it will cost 5,000 instead
of 3,000 to complete the activity. This new estimated activity time is
known as the crash time, and the cost to achieve the crash time is
referred to as the crash cost.
38
24/11/2008
Month
4
10
Activity
Design house
and obtain
financing
Lay foundation
Order and
receive
materials
Build house
Select paint
Select carpet
Finish work
5
Month
24/11/2008
39
19<#>
11/24/2008
Lay
foundation
2
3
Design house
and obtain
financing
Dummy
Build
house
0
1
Order and
receive
materials
Select
paint
Finish
work
3
1
Select
carpet
40
24/11/2008
Project Crashing
Activity 1-2 can be crashed a total of 5 weeks (normal time crash time = 12-7 = 5 weeks)
at a total crash cost of 2,000 (crash cost - normal cost = 5,000-3,000 = 2,000). Dividing
the total crash cost by the total allowable crash time yields the crash cost per week:
If we assume that the relationship between crash cost and crash time is linear, then activity
1-2 can be crashed by any amount of time (not exceeding the maximum allowable crash
time) at a rate of 400 per week. For example, if the contractor decided to crash activity 1-2
by only 2 weeks (reducing activity time to 10 weeks), the crash cost would be 800 (400
per week x 2 weeks). The linear relationships between crash cost and crash time and
between normal cost and normal time are illustrated in the following figure.
The objective of project crashing is to reduce project duration while minimizing the cost of
crashing. Since the project completion time can be shortened only by crashing activities on
the critical path, it may turn out that not all activities have to be crashed. However, as
activities are crashed, the critical path may change, requiring crashing of previously
noncritical activities to reduce the project completion time even further.
41
24/11/2008
20<#>
11/24/2008
$5,000
Crashed activity
Slope = crash cost per week
$4,000
$3,000
$2,000
Normal activity
Normal cost
$1,000
Normal time
Crash time
|
2
24/11/2008
|
4
|
6
|
8
|
10
|
12
|
14
Weeks
42
Example
44
24/11/2008
21<#>
11/24/2008
45
24/11/2008
SOLUTION:
We start by looking at the critical path and seeing which activity has the minimum crash
cost per week.
Observing the preceding table and the following figure, we see activity 1-2 has the
minimum crash cost of $400 (excluding the dummy activity 3-4, which cannot be
reduced).
Activity 1-2 will be reduced as much as possible. The table shows that the maximum
allowable reduction for activity 1-2 is 5 weeks, but we can reduce activity 1-2 only to
the point where another path becomes critical. When two paths simultaneously become
critical, activities on both must be reduced by the same amount. If we reduce the activity
time beyond the point where another path becomes critical, we may be incurring an
unnecessary cost. This last stipulation means that we must keep up with all the network
paths as we reduce individual activities, a condition that makes manual crashing very
cumbersome. For that reason we normally rely on the computer for project crashing;
however, for the moment we pursue this example in order to demonstrate the logic of
project crashing.
46
24/11/2008
22<#>
11/24/2008
47
24/11/2008
48
24/11/2008
23<#>
11/24/2008
Since we have not reached our crashing goal of 30 weeks, we must continue and the process is
repeated. The critical path in the preceding figure remains the same, and the minimum activity crash
cost on the critical path is $500 for activity 2-3. Activity 2-3 can be crashed a total of 3 weeks, but
since the contractor desires to crash the network only to 30 weeks, we need to crash activity 2-3 by
only 1 week. Crashing activity 2-3 by 1 week does not result in any other path becoming critical, so
we can safely make this reduction. Crashing activity 2-3 to 7 weeks (i.e., a 1-week reduction) costs
$500 and reduces the project duration to 30 weeks.
The total cost of crashing the project to 30 weeks is $2,500. The contractor could inform the
customer that an additional cost of only $2,500 would be incurred to finish the house in 30 weeks.
Suppose we wanted to continue to crash this network, reducing the project duration down to the
minimum time possible; that is, crashing the network the maximum amount possible. We can
determine how much the network can be crashed by crashing each activity the maximum amount
possible and then determining the critical path of this completely crashed network. For example,
activity 1-2 is 7 weeks, activity 2-3 is 5 weeks, 2-4 is 3 weeks, and so on. The critical path of this
totally crashed network is 1-2-3-4-6-7 with a project duration of 24 weeks. This is the least amount of
time the project can be completed in. If we crashed all the activities by their maximum amount, the
total crashing cost is $35,700, computed by subtracting the total normal cost of $75,000 from the
total crash cost of $110,700 in the preceding table. However, if we followed the crashing procedure
outlined in this example, the network can be crashed to 24 weeks at a cost of $31,500, a savings of
$4,000.
49
24/11/2008
In our discussion of project crashing, we demonstrated how the project critical path time
could be reduced by increasing expenditures for labour and other direct resources. The
objective of crashing was to reduce the scheduled completion time to reap the results of
the project sooner. However, there may be other reasons for reducing project time. As
projects continue over time, they consume indirect costs, including the cost of facilities,
equipment, and machinery, interest on investment, utilities, labour, personnel costs, and
the loss of skills and labour from members of the project team who are not working at
their regular jobs. There also may be direct financial penalties for not completing a
project on time. For example, many construction contracts and government contracts
have penalty clauses for exceeding the project completion date.
In general, project crashing costs and indirect costs have an inverse relationship;
crashing costs are highest when the project is shortened, whereas indirect costs increase
as the project duration increases. This time-cost relationship is illustrated. The best, or
optimal, project time is at the minimum point on the total cost curve.
50
24/11/2008
24<#>
11/24/2008
51
24/11/2008
References
Lockyer, and Gordon, Project
Management, 6th Edition, 1996.
MacLachlan, Making Project Management
Work, 1996.
Haynes, M.E., Project Management, 4th
edition, 1996.
Russell, R.S., and B.W. Taylor, Operations
Management, Prentice Hall, 2000.
52
24/11/2008
25<#>
11/24/2008
Team
No. Activity
Predecessor Duration
1.
2
3.
4.
5.
6.
7.
53
24/11/2008
Team:
Abdulaziz Al-Sarami (ARAMCO)
Ebrahim Al-Qahtani (QP)
Saeed Al Suwaidi (ZADCO)
No.
Activity
Predecessor
Duration (days)
1.
Tank drainage
Cleaning
3.
Visual inspection
9,2
4.
Repairing
10
5.
Box- up
11
6.
Hydro test
Not 7 but 5
7.
Isolation
N/A
Ventilation
Radio graphic
0.5
10
Develop Contract
N/A
11
Checking
7,8,9,10
12
Despading
N/A
54
24/11/2008
26<#>
11/24/2008
Team:
Abdulaziz Al-Sarami (ARAMCO)
Ebrahim Al-Qahtani (QP)
Saeed Al Suwaidi (ZADCO)
dro
Hy
ng
Cleaning
Radio
graphic
Visual
inspection
tes
De
sp
ad
i
Ventilation
Ta
nk
dra
i na
ge
Repairing
10
11
ec
kin
g
Isolation
Ch
ac
ontr
op C
l
e
v
De
Box-
up
12
13
55
24/11/2008
Team:
Abdulaziz Al-Sarami (ARAMCO)
Ebrahim Al-Qahtani (QP)
Saeed Al Suwaidi (ZADCO)
Isolation
Ventilation
Ta
nk 1
dra
i na
ge
3
dro
Hy 1
De
sp
ad
i
2 ng
Cleaning
2
Radio
graphic
0.5
Visual
inspection
Repairing
10 7
ec
kin
g
t ra c
Con
Ch
elop
Dev
tes
Box-
8
13
up
11
1
12
56
24/11/2008
27<#>
11/24/2008
Team:
Abdulaziz Al-Sarami (ARAMCO)
Ebrahim Al-Qahtani (QP)
Saeed Al Suwaidi (ZADCO)
1
Isolation
Radio
Visual
2
4
4.5
inspection
graphic
Ventilation
Cleaning
3
4
5
Ta
1
0.5
2
nk 1
dra
i na
ge 2
3
dro
Hy 1
De
sp
ad
i
2 ng
tes
10 7
11
1
13.5
5.5Repairing12.5
Ch
ec
kin
g
ac
ontr
op C
l
e
v
1
De
15.5 Box- up
2
13
12
57
24/11/2008
Team:
Abdulaziz Al-Sarami (ARAMCO)
Ebrahim Al-Qahtani (QP)
Saeed Al Suwaidi (ZADCO)
1
1
0
Isolation
1
1
2
1
5.5
Radio
Visual
2
4
4.5
inspection
graphic
Ventilation
Cleaning
3
4 0.5 5 1
Ta
2
nk 1
2
4
4.5
dra
i na
ge 2
3
dro
Hy 1
De
sp
ad
i
2 ng
tes
t
5.5Repairing12.5
10 7
11
5.5
ec
kin
g
t ra c
Con
Ch
elop
Dev
12.5
1
13.5
4 5.5
15.5 Box- up
2
13
8
12.5
12
13.5
15.5
12.5
58
24/11/2008
28<#>
11/24/2008
Team:
Abdulaziz Al-Sarami (ARAMCO)
Ebrahim Al-Qahtani (QP)
Saeed Al Suwaidi (ZADCO)
1
Isolation
2
1
5.5
Radio
Visual
2
4
4.5
inspection
Cleaning
graphic
Ventilation
3
4
5
Ta
1
2
0.5
nk 1
2
4
4.5
dra
i na
ge 2
3
dro
Hy 1
De
sp
ad
i
2 ng
tes
t
5.5Repairing12.5
10 7
11
5.5
Ch
ec
kin
g
ac
ontr
op C
l
e
v
1
De
12.5
1
13.5
4 5.5
15.5 Box- up
2
13
8
12.5
12
13.5
15.5
12.5
59
24/11/2008
Team:
Abdulaziz Al-Sarami (ARAMCO)
Ebrahim Al-Qahtani (QP)
Saeed Al Suwaidi (ZADCO)
No.
Activity
Normal
Time
1.
Tank drainage
Cleaning
3.
Visual inspection
4.
Repairing
5.
Box- up
6.
Hydro test
7.
Isolation
8.
Ventilation
9.
Radio graphic
0.5
10.
Develop Contract
11.
Checking
12.
Despading
24/11/2008
60
Prof. A.W. Labib
29<#>
11/24/2008
Team:
Abdulaziz Al-Sarami (ARAMCO)
Ebrahim Al-Qahtani (QP)
Saeed Al Suwaidi (ZADCO)
No.
Activity
Normal
Time
1.
Tank drainage
Cleaning
3.
Visual inspection
4.
Repairing
5.
Box- up
6.
Hydro test
7.
Isolation
8.
Ventilation
9.
Radio graphic
0.5
10.
Develop Contract
11.
Checking
12.
Despading
24/11/2008
B
Crash
Time
C
Normal
Cost
Crash
Cost
E (A-B) F (D-C/E)
Allowa
ble
Time
Crash
Cost
per day
61
Prof. A.W. Labib
Team:
Abdulaziz Al-Sarami (ARAMCO)
Ebrahim Al-Qahtani (QP)
A
B
C
Saeed Al Suwaidi (ZADCO)
No.
Activity
Normal
Time
3
1.
Tank drainage
Cleaning
3.
Visual inspection
1
7
4.
Repairing
5.
Box- up
6.
Hydro test
7.
Isolation
8.
Ventilation
9.
Radio graphic
0.5
1
10.
Develop Contract
11.
Checking
12.
Despading
24/11/2008
Crash
Time
Normal
Cost
D
Crash
Cost
E (A-B) F (D-C/E)
Allowa
ble
Time
Crash
Cost
per day
62
Prof. A.W. Labib
30<#>
11/24/2008
24/11/2008
63
63
31<#>
207
Abstract: This paper proposes a new concept of decision analysis based on a multiple criteria
decision making (MCDM) process. This is achieved through the provision of a systematic and generic
methodology for the implementation of design improvements based on experience of past failures.
This is illustrated in the form of a case study identifying the changes made to Concorde after the 2000
accident.
The proposed model uses the analytic hierarchy process (AHP) mathematical model as a backbone
and integrates elements of a modied failure modes and effects analysis (FMEA). The AHP has
proven to be an invaluable tool for decision support since it allows a fully documented and
transparent decision to be made with full accountability. In addition, it facilitates the task of justifying
improvement decisions.
The paper is divided as follows: the rst section presents an outline of the background to the
Concorde accident and its history of related (non-catastrophic) malfunctions. The AHP methodology
and its mathematical representation are then presented with the integrated FMEA applied to the
Concorde accident. The case study arrives at the same conclusion as engineers working on Concorde
after the accident: that the aircraft may y again if the lining of the fuel tanks are modied.
Keywords:
design for maintenance, analytic hierarchy process, multiple criteria decision making
NOTATION
a
aav
g
INTRODUCTION
entered directly into the AHP through pairwise comparisons while qualitative inputs are rst acquired through
the use of a modied failure modes and effects analysis
(FMEA), known here as the g analysis.
Traditional FMEA [1, 2] has been criticized as having
several drawbacks: it concentrates on the analysis of
existing systems rather than proposing ways of designing-in system excellence. These drawbacks are addressed
in several papers [35]. Other conventional reliability
analysis such as fault tree analysis (FTA) and overall
equipment effectiveness (OEE) are based on an analysis
of plant details in a rigid and static environment. They
have been successful to a degree but the volume and
quality of data involved render them expensive and
ineffective solutions to design problems.
The model proposed in this paper acts as an
alternative, offering a exible and intelligent approach
using criticality analysis on a multi-level and multi-axis
view to focus on appropriate improvements and to select
appropriate design policies. In previous work [68]
multiple criteria decision making has been applied to
maintenance problems. Application of FMEA to feedback into design has been addressed by others [9, 10].
Proc. Instn Mech. Engrs Vol. 217 Part G:
J. Aerospace Engineering
208
THE ACCIDENT
J. Aerospace Engineering
Fig. 1
There are four main steps in using the model. The rst is
to perform the modied FMEA to gain a g rating for
each modication. The second is to construct a
hierarchy for use with the AHP which includes g as a
criterion. The third is to make judgements to add to the
AHP and the fourth is to run the AHP mathematical
program to synthesize the result of the analysis. The
process is adaptable in its nature and each task need not
be done concurrently so, for example, the g analysis may
be completed before the construction of the hierarchy
takes place or vice versa (Fig. 2).
The principle of the FMEA remains the same [12, 13]
when used in the model as when used normally: to nd
the RPN (risk priority number) for a given component
G00903 # IMechE 2003
209
J. Aerospace Engineering
210
Fig. 2
Model ow chart
J. Aerospace Engineering
211
Fig. 3
J. Aerospace Engineering
212
Fig. 4
Proc. Instn Mech. Engrs Vol. 217 Part G:
Hierarchy of AHP showing the goal and the child nodes of the goal
J. Aerospace Engineering
Fig. 5
Results of the analysis showing lining of the fuel tanks as the most preferable alternative
ANALYSIS OF RESULTS
It can easily be seen that lining the fuel tanks is the most
preferable option, followed by permanently grounding
the aircraft (note that both decisions were made in the
same sequence). This is after all the criteria have been
assessed, including the g rating. The sensitivity of these
results was then analysed using the following graphs.
Figure 6 shows a sensitivity graph with the safety
criterion on the horizontal axis. Sensitivity graphs allow
the effect of changing the importance of one particular
criterion to be studied while the importance of all other
Fig. 6
G00903 # IMechE 2003
213
J. Aerospace Engineering
214
Fig. 7
Fig. 8
Proc. Instn Mech. Engrs Vol. 217 Part G:
J. Aerospace Engineering
Fig. 9
Fig. 10
G00903 # IMechE 2003
215
CONCLUSION
J. Aerospace Engineering
216
ACKNOWLEDGEMENT
The authors are indebted to an anonymous referee for
detailed and powerful comments on an earlier version of
this paper.
REFERENCES
1 OConnor, P. D. Practical Reliability Engineering, 1990
(John Wiley, Chichester).
J. Aerospace Engineering
Abstract
As an employee of Union Carbide India at the Bhopal plant, I know how the disaster happened. The merciless cost-cutting severely
affecting materials of construction, maintenance, training, manpower and morale resulted in the disaster that was waiting to happen.
Significant differences between the West Virginia, USA plant and the Bhopal, India plant show the callous disregard of the corporation for
the people of the developing countries. The narrative below, if given a proper thought by the management and governments, should help in
significantly reducing industrial accidents.
q 2005 Published by Elsevier Ltd.
Keywords: Bhopal gas tragedy; Safety; Industrial accidents; Methyl isocyanate; MIC
1. The details
Since I was an employee of the Union Carbide India
before and also when the tragic event took place on the night
of December 23, 1984 in Bhopal, I am aware of the
sequence of events that led to it. I am here today to share my
experience with you.
To begin with, I would like to state that the disaster was not
merely an accident! Extensive details are given in (Chouhan,
2004). The points that I would highlight subsequently will
prove how such a big multi-national corporation (like Union
Carbide) had little concern about the safety and well-being of
people in a developing country like ours. Not just that, even
the technology they used was unproven and faulty. For
instance: emergency procedure for MIC storage tanks for
Bhopal plant as per the MIC operating manual reads: If a leak
develops in a tank that cannot be stopped or isolated, the
material in the tank may be pumped to another tank. There
will be exceptions to all these guidelines. We will learn
more and more as we gain actual experience. It implies that
they did not know the process well enough to advise the
emergency procedure in many situations.
The toxic gas that leaked into the Bhopal atmosphere
that night was due to water (along with catalytic material:
* Corresponding author. Tel.: C91 755 2600732; fax: C91 9302370740.
E-mail address: trbhopal@rediffmail.com
iron, rust, etc.) entering the storage tank 610 of the Union
Carbide MIC plant. The phosgenes stripping still and the
quench filters safety valves downstream (four in
numbers) were connected to the relief valve vent header
(RVVH). These lines were badly choked with solid
sodium salts deposition. The exercise of washing these
filters started at 8:30 PM on 2nd December 1984. Because
of the choking of these lines and malfunctioning of
RVVH isolation valve, the water entered the RVVH main
header (Fig. 1). This header was connected to the MIC
storage area. The RVVH header of storage area was also
connected to the process vent header (PVH) with a jumper
line (Fig. 2 shows where the jumper line was connected. It
was removed when the remainder MIC was utilized on
December 16, 1984). The blow down valve of the MIC
tank 610 was malfunctioning and was in an open position.
(The tank had been unable to maintain pressure when
pressurized using nitrogen a few days earlier.) The water
along with the catalytic material entered the tank. Other
MIC storage tanks, numbered 611 and 619, were holding
pressure so that they were not contaminated.
As the 42 tons of MIC in tank 610 got contaminated with
water and the catalytic material, the exothermic reactions
began and within an hour, turned into violent runaway
reactions resulting in high pressure and temperature in the
tank. The reaction products and the unreacted MIC started
coming out through PVH/Jumper line/RVVH/VGS
and finally to the atmosphere through the atmospheric vent
line and overflow vent line of scrubber, between approximately 12:15 and 2:30 AM.
206
T.R. Chouhan / Journal of Loss Prevention in the Process Industries 18 (2005) 205208
Table 1
Comparative designs of Union Carbide MIC production plants in West
Virginia, USA and Bhopal, India
West Virginia plant
Bhopal plant
Fig. 2. Jumper line was connected to PVH line (left) and RVVH line (right,
larger diameter).
No computerized control
C-Steel (although prohibited due
to safety considerations)
No such tank
T.R. Chouhan / Journal of Loss Prevention in the Process Industries 18 (2005) 205208
16
14
Number of Persons
207
Operators BSC/Diploma
12
Maintenance Supervisors
10
Shift Spervisors
Plant Suptd.
8
6
4
2
0
Fig. 3. Vent Gas Scrubber. MIC came out from the tall pipe left of centre.
1981-82
1984
1984 Nov
1979-80
20
18
16
14
12
10
8
6
4
2
0
1975
1977
1978
1984
Nov-Dec
208
T.R. Chouhan / Journal of Loss Prevention in the Process Industries 18 (2005) 205208
100
90
80
70
60
50
40
30
20
10
0
Percentage
% Operating Staff
Fully Trained
Transferred
1980
1981
1982
Year
1983
100
90
80
70
60
50
40
30
20
10
0
1979-81
1984
1984
Nov- Dec
1984
Fig. 8. Relative safety of MIC plant based on its design, operation,
maintenance, number of staff and their training.
1982-83
The agreement between the union and the management was completed in 1983 by-passing the safety
rules.
Improper behavior of management with the operating
personnel.
Incorrect modifications of the relief valve vent header
(RVVH) and process vent header (PVH) by providing
interconnection with a jumper line in the MIC storage
area (Fig. 2).
The design and technology given by the Union
Carbide Corporation was not safe and sufficient for
preventing contamination and controlling runaway
reaction.
The loud siren did not start at the proper time and was
shut down after 5 min since the siren policy had been
modified.
There was no evacuation plan for the neighboring
area/communities. Even after the accident the
neighboring communities were not informed.
The Plant superintendent did not inform outside
agencies about the accident. Initially, he denied the
accident, and then stated that MIC gas was like a tear
gas and the effects would be temporary. No effective
antidote was told.
The civic authorities did not know the treatment since
they had not been informed of the extremely
hazardous nature of the material stored.
Keeping all the above developments in mind, no one
should be surprised that such a major accident took
place. It was waiting to happen (Fig. 8).
References
Chouhan, T.R. (2004), Bhopal - The Inside Story, 2nd edition, Goa, India:
Other India Press; New York, USA: The Apex Press.
Introduction
A decision analysis
model for maintenance
policy selection using a
CMMS
Ashraf W. Labib
The author
Ashraf W. Labib is based in the Department of Mechanical,
Aerospace and Manufacturing Engineering, University of
Manchester Institute of Science and Technology (UMIST),
Manchester, UK.
Keywords
Fuzzy logic, Analytical hierarchy process,
Maintenance programmes
Abstract
In this paper, an investigation of the characteristics of
computerised maintenance management systems (CMMSs) is
carried out to highlight the need for them in industry and identify
their current deficiencies. A proposed model provides a decision
analysis capability that is often missing in existing CMMSs.
The proposed model employs a hybrid of intelligent approaches.
This hybrid system is analogous to the Holonic concept.
The distinction between these two features is important.
The rules function automatically. Practical implications. The main
practical implication of this paper is the proposal of an intelligent
model that can be linked to CMMSs to add value to data
collected in the form of provision of decision support capabilities.
A further implication is to identify the need for information to aid
maintenance, followed by the provision of reasons for current
deficiencies in existing off-the-shelf CMMSs.
Electronic access
The Emerald Research Register for this journal is
available at
www.emeraldinsight.com/researchregister
The current issue and full text archive of this journal is
available at
www.emeraldinsight.com/1355-2511.htm
191
Ashraf W. Labib
192
Ashraf W. Labib
193
Ashraf W. Labib
Holonic systems
This concept is based on theory developed by
Koestler (1989). He defined the word holon as a
combination of the Greek word holos meaning
whole and the suffix on, suggesting a
particle or part (as in proton and electron, etc.),
because of the following observations. First, he
noticed that the complex adaptive systems will
evolve from simple systems much more rapidly if
there are stable intermediate forms than if there are
not; the resulting complex system in the former
case being hierarchic. Secondly, while Koestler
was analysing hierarchy and stable intermediate
forms in living organism and social organisation,
he noticed that although it is easy to identify subwholes or parts- wholes and parts in an
absolute sense do not exist anywhere. This made
Koestler propose the word holon to describe the
hybrid nature of sub-wholes or parts in real-life
systems; holons being simultaneously are
self-contained wholes with respect to their
subordinated parts, and dependent parts when
regarded from the inverse direction.
The sub-wholes or holons are autonomous
self-reliant units, which have a degree of
independence and handle contingencies without
asking higher authorities for instructions.
Simultaneously, holons are subject to control form
(multiple) higher authorities. The first property
ensures that the holons are stable forms, which
survive disturbances. The later property signifies
that they are intermediate forms, which provide
the proper functionality for the bigger whole
(Christensen, 1994). Applying this concept to
194
Ashraf W. Labib
Maintenance policies
Maintenance policies can be broadly categorised
as being either technology (systems, or
engineering) oriented, human factors
management oriented or monitoring and
inspection oriented, reliability centered
maintenance (RCM) where reliability of
machines is emphasised failing in the first
category, total productive maintenance (TPM) a
human factors based technique in which
maintainability is emphasised failing the second,
and condition based maintenance (CBM) in
which availability based on inspection and followup is emphasised failing in the third. The
proposed approach here is different from the above
in that it offers a decision map adaptive to the
collected data, which suggests the appropriate use
of RCM, TPM, and CBM.
195
Ashraf W. Labib
196
Ashraf W. Labib
197
Ashraf W. Labib
198
Ashraf W. Labib
Discussion
10 to 40 and its scope is 30 (40-10), whereas the
domain of the fuzzy set high downtime is from 300
to 500 and its scope is 200 (500-300) and so on.
The basis for the ranges in Figures 10(a), (b) can
be derived as estimates from the scale values of the
ones obtained from the decision making grids over
a period of time, an example could be the one
shown in Figure 7.
The output strategies have a membership
function and we have assumed a cost (or benefit)
function that is linear and follows the relationship
DOM . CBM . SLU . FTM . OTF:
As shown in Figure 11(a). The rules are then
constructed based on the DMG where there will
be nine rules (Figure 11(b)), examples of which
are as follows:
.
if frequency is high and downtime is low then
maintenance strategy is SLU; and
.
if frequency is low and downtime is high then
maintenance strategy is CBM.
The fuzzy decision surface is shown in Figure 12,
from which, any combination of frequency
and downtime (indicated on the x and y axes,
199
Ashraf W. Labib
Figure 11 (a) Output (strategies) membership function; and (b) the nine rules of the DMG
200
Ashraf W. Labib
Figure 13 The fuzzy decision surface showing the regions of different strategies
Conclusion
The main idea is based on the fact that the black
hole or missing functionality in conventional
CMMSs is the lack of intelligent decision analysis
tools. A model has been proposed based on
201
Ashraf W. Labib
Note
1 Received the Highly Commended Award 1999 from the
Literati Club, MCB Press (a publisher of 140 journals), for a
paper entitled A Logistics Approach to Managing the
Millennium Information Systems Problem (Labib, 1998b),
Journal of Logistics Information Management, MCB Press,
1998.
References
Ben-Daya, M., Duffuaa, S.O. and Raouf, A. (Eds) (2001),
Maintenance Modelling and Optimisation, Kluwer
Academic Publishers, Dordrecht.
Bongaerts, L., Monostori, L., McFarlane, D. and Kadar, B. (2000),
Hierarchy in distributed shop floor control, Computers
in Industry, Vol. 43, pp. 123-137.
Boznos, D. (1998), The use of CMMSs to support team-based
maintenance, MPhil thesis, Cranfield University,
Cranfield.
Further reading
Lau, R.S.M. (1999), Critical factors for achieving manufacturing
flexibility, International Journal of Operations and
Production Management, Vol. 19 No. 3, pp. 328-41.
202
Plant Maintenance
Ashraf W Labib
Professor of Operations and Decision Analysis, Portsmouth Business School, University of Portsmouth
function and the rest are nice objectives (or byproducts). This is a fundamental issue as some system
developers and vendors as well as some users lose
focus and compromise reduction of breakdowns in
order to maintain standardisation and integration
objectives, thus confusing aim with objectives. This
has led to the fact that the majority of CMMSs in the
market suffer from serious drawbacks, as will be
shown in the following section.
Evidence of Black Holes
39
Plant Maintenance
Data collection
Data analysis
Realtime
Network
Decision analysis
1,000 +
10,000 +
30,000 +
40,000+
A black hole
40
unavailability of data;
lack of awareness about these models; and
restrictive assumptions of some of these models.
Plant Maintenance
42
Further Discussion
maintenance,
999
1193
Abstract: The term world-class maintenance (WCMt) is being used frequently nowadays
and refers to the collection of best practices in maintenance. Different researchers and
consultants have proposed several frameworks of WCMt representing these best practices.
If an organization or a maintenance manager wants to implement a framework, it may not
be easy for him or her to identify a single framework from a variety of frameworks that are
reported in the literature. Thus the task of choosing a particular framework has become a
major issue for the managers. Hence in this paper, an attempt has been made to perform
an analysis for comparing different WCMt frameworks based on their strengths, weaknesses, opportunities, and threats (SWOT). In addition to this, a comparative study of WCMt
with other maintenance systems has been carried out to understand the similarities and
differences. The SWOT analysis of frameworks revealed a list of best practices in maintenance
to be considered by an organization, when it attempts to achieve a world-class status in
maintenance apart from the weaknesses and threats associated with each framework. Such
an analysis can prove valuable as a decision aid for the operations or maintenance manager
while making a decision of choosing a suitable framework of WCMt.
Keywords: comparative study, maintenance systems, best practices, total productive
maintenance, world-class maintenance, strengthsweaknessesopportunitiesthreats analysis
INTRODUCTION
1194
2. A comparative study of WCMt with other maintenance systems such as PM, PRM, and TPM was
performed to understand the similarities and
differences.
3. In addition to this, an analysis was carried out
to compare different WCMt frameworks based
on the strengths, weaknesses, opportunities, and
threats (SWOT) of each framework.
The paper is arranged as follows: section 2 provides
a literature survey, while section 3 describes briefly
the types of maintenance system. It also provides a
comparative analysis of WCMt with various maintenance systems. Section 4 lists the frameworks of
WCMt, while section 5 explains the SWOT analysis,
which is used to compare various WCMt frameworks.
Section 6 ends with the conclusions.
LITERATURE SURVEY
Maintenance excellence
work processes. He stated that most manufacturing environments are far from optimized and are
actually in a conflicting state of planned manufacturing and reactive maintenance (REM). He criticized
that typically resources and funding are provided to
ensure that production is planned and scheduled
with great care, but, in the same operations department, maintenance is put into a position to only react
and asserts that this reactive state exists because of
the lack of understanding, organization, leadership,
resources, and funding to plan and schedule maintenance activities. He commented that the manufacturing industry has made incredible productivity
improvements over the century through many different optimization initiatives such as assembly line
or mass production, materials requirement planning, total quality management (TQM) and production,
statistical process control, just-in-time (JIT) initiatives, ISO 9000 quality standards, finite production
scheduling techniques and algorithms, supply chain
management, and six sigma. In the case of maintenance, no such optimization initiatives exist and thus
the concept of maintenance optimization is called
maintenance excellence or world-class maintenance.
In summary, a simple definition for world-class
maintenance systems (WMSs) can be given as the
collection of best practices in maintenance that are
followed and adopted by various organizations to
transform themselves into a world-class manufacturer. It intends to make maintenance resources
more productive through the implementation of
appropriate planning methods, organizational structures, measurement, and control techniques together
with a computer-integrated maintenance management system (CIMMS) so as to manage and control
optimally the maintenance process in terms of its
direction, quality, quantity, standards of performance, economy, and efficiency. Thus the objective
of a WMS is as follows:
(a) to construct competitive capacities for production that are key for the company by means of
best practices in maintenance;
(b) to provide a systematic approach for improving
the efficiency of the production system by eliminating all losses;
(c) to maintain the highest standards of productivity through an increase in overall equipment
effectiveness;
(d) to reduce overall equipment emergencies;
(e) to reduce maintenance purchasing;
(f) to develop equipment, which is designed for
maintainability and reliability to realize reduced
life-cycle cost;
(g) to assure a good product quality through investigation, analysis, and improvement of process,
material, and equipment conditions;
JEM810 IMechE 2007
1195
Reactive maintenance
1196
3.2
Proactive maintenance
1197
FRAMEWORKS OF WORLD-CLASS
MAINTENANCE
Blann [7] has used the term WCMt and he described the three steps to achieve world-class status
in maintenance. Wireman [22] stated that achieving
world-class status involves quality, attitude, and
automation and has examined it in detail with respect to the maintenance department of an organization. Similarly many researchers and consultants
have proposed different frameworks for WCMt describing its contents. They have identified and
reported different criteria and attributes in their framework to define WCMt or maintenance excellence.
Aalbregtse et al. [23] defined a framework as a clear
picture of the leadership goal for the organization
which should present key characteristics of the tobe style of business operations, i.e. a framework
represents the modus operandi, the systems to be
developed, the activities to be carried out, and the
ultimate vision of the new style of management in
the organization. A framework may consist of various
elements or blocks, which an organization needs to
follow or adopt, when it tries to implement a change
in the current way of functioning. The purpose of a
framework is as follows.
(a) To illustrate an overview of a philosophy or
change process to be adopted so as to communicate a new vision of the organization.
(b) To force the management to address a substantial list of key issues which otherwise might not
be addressed.
Proc. IMechE Vol. 221 Part B: J. Engineering Manufacture
No
consideration
for losses
Losses
No
consideration
for losses
Check, clean,
lubricate,
tighten,
adjustment
Repair,
replacement,
lubrication,
and minor
adjustment
Techniques
Regular
maintenance
job at frequent
intervals
reduces
breakdown
Same as
previous and
frequency of
maintenance
Machine can
run until
failure and
maintenance
will bring it
back to the
original
condition
Theory
followed
Done routinely
between
every shift,
every day or
every week
irrespective of
wear and tear
of parts or
machines
Routine
maintenance
(RM)
Performance Frequency of
measures
breakdown,
cost of
breakdown
Repair is
undertaken
only after the
failure of the
equipment,
which may be
temporary
Factor
Core focus
Breakdown or
run-to-failure
maintenance
(BM)
Measured in
terms of cost
Follows
checklist for
inspection,
repair,
replacement,
etc.
Number of
machines
under
schedule,
percentage
of backlog
Measured in
terms of idle
hours, time,
and cost for
maintenance
Reconditioning
or redesign of
machines,
cause-andeffect
analysis
Frequency of
breakdown,
number of
failures,
number of
corrective
measures
Correcting a
failed unit, but
ensuring a
permanent
measure that
breakdown will
not repeat
again
Eliminate or
reduce
repetitive
breakdowns
Done as per
schedule
every 3 or 6
months based
on wear and
tear and vary
for different
machines
A type of
maintenance
based on past
failure trend,
machine needs,
and
requirements
Corrective
maintenance
(CM)
Scheduled
maintenance
(SM)
Measured in
terms of idle
hours, time,
and cost for
maintenance
Daily
maintenance,
inspection,
making
preventive
repair
Number of
machines
under PM,
reduction in
breakdown,
maintenance
cost reduction
Taking
proactive
actions for
correcting a
unit before it
fails or to
prevent failure
To prevent
and eliminate
failure
Preventive
maintenance
(PM)
Measured in
terms of idle
hours, time,
and cost for
maintenance
Vibration,
lubrication,
thermographic
and other
testing
techniques
Number of
parameters
monitored,
uptime, mean
time between
failures, mean
time to repair,
availability
Prevent failure
through fixing
condition
parameters,
measurement
and prediction
To prevent and
eliminate
failure by
intervening and
to do
maintenance
only when
needed
Predictive or
conditionbased
maintenance
(CBM)
While
maintaining or
replacing
worn-out
components,
opportunity is
used for
changing other
wearing-out
components
although they
have not failed
Assumption of
other parts that
are wearing out
may fail in the
near future
Opportunitybased
maintenance
(OM)
Chronic loss
and sporadic
loss
Failure mode
effect analysis,
industrial
engineering,
value analysis
Reliability,
availability,
maintainability,
mean time
between failures,
mean time to
failure, failure
rate, etc.
Follows basic
reliability
theory of
series, parallel
and standby
systems and it
is based on
theories of
failure such as
cracks, fatigue,
and burn in
Focus on
equipment
reliability.
It clearly
identifies the
PM tasks
based on
failure
monitoring
Reliabilitycentred
maintenance
(RCM)
No loss
consideration
Focus is on
breakdown
losses
Reduction in
Reduction in
different types
maintenance
of failure,
time
economical lifecycle span
To eliminate
the
maintenance
on machine
through better
design of
machines
To rectify
design defects
due to improper
installation or
poor material
choice, etc.
Design-out
maintenance
(DOM)
16 major
loss factors
have been
considered
Autonomous
maintenance,
training, audit,
small group
activities
Productivity,
quality,
morale, safety,
cost, 5S
score, etc.
Behavioural
sciences,
system
engineering,
ecology,
terotechnology,
continuous
improvement
of process,
equipment, and
procedures
Achieves PM
through a
comprehensive
system based
on respect for
individuals and
total employee
participation
Total
productive
maintenance
(TPM)
23 losses
have been
considered
Benchmarking,
computerized
maintenance
management,
human
management
Productivity,
cost, quality,
delivery,
inventory,
flexibility,
safety, etc.
Based on best
practices in
maintenance,
small group
activity, and
performance
measures
Achieves PM
through a CMMS
with respect for
individuals
World-class
maintenance
(WCMt)
1198
R Prasad Mishra, G Anand, and R Kodali
Maintenance Low
cost
High
Breakdown
cost
Less
Financial
implication
Less
Staffing
Ease and
time to
implement
Data
required
Slightly higher
Slightly less
Slightly higher
than BM
More than BM
Suitable for
all types of
company
All industries
except
industries
having large
amount of
equipment
such as
process
industries
Type of
industry
following
Dependent on
the number
of machines,
existing status
of machines.
Done at the
start and
end or every
hour, shift, day,
or week
It can start
during the
production setup, i.e. during
changeover
from one
product to
another
When it is
performed
Slightly higher
than RM
Slightly less
than RM
Depends
upon the
equipment,
time, cost, etc.
Slightly higher
than RM
May be the
same as RM
More
compared with
previous, as a
schedule has
to be
established
Suitable for
all types of
company
Dependent on
the number
of machines,
existing status
of machines.
Done as per
predetermined
plan
Slightly higher
than SM
Slightly less
than SM
Depends
upon the
equipment,
failure, cost, etc.
Slightly higher
than SM
May be the
same as SM
More
compared with
previous owing
to reconditioning
and redesign
Suitable for
all types of
company
Dependent on
the number
of machines,
type of failure,
existing status
of machines,
spares
availability, etc.
Slightly higher
than CM
Slightly less
than CM
Needs
training and
scheduling and
hence takes
more time
Slightly higher
than SM
Slightly higher
More
compared with
previous
because of
monitoring
Suitable for
batch
production,
where the
volume is
relatively less
Dependent on
the number of
machines, type
of failure,
existing status
of machines,
spares
availability, etc.
Same as PM
or CBM
More owing to
monitoring of
failure and
design
specification,
etc.
Suitable for
all types of
company
having poorly
designed
machines
Performed,
when there are
repeated
failure, which
is due to poor
design of
machines
Higher than
PM
Less than PM
Needs
training,
installation, and
stabilization
and hence
takes more
time
High
Depends on
the type of
machine, and
nature of
problem.
Takes a long
time as
the design
process is
longer
Slightly higher
More because
of monitoring
and
instruments
Suitable for
continuous
production,
where the
volume is high
Performed,
when there are
signs of failure
from noise, oil,
observation,
etc.,
irrespective of
wear,
operations, etc.,
and it depends
on the criticality
of machines
Suitable for
continuous
production,
where the
volume is
high and
critical
processes are
involved
Dependent on
the number
of machines,
existing status
of machines,
frequency of
failures,
criticality of
failures, etc. It
is performed
throughout the
life cycle
Higher
Less
Might be
costlier
than BM
Same as
BM
Higher
Less
Needs
training,
installation, and
stabilization
and hence
takes more
time
Higher than
PM
Same as PM
or CBM
Suitable for
all types of
company
Dependent on
the complexity
of the
machines and
problems and it
is generally
performed
during
breakdown or
scheduled
maintenance
Higher
Less
Tough and
requires
commitment
and needs
training,
stabilization,
and culture
change, which
takes time
More because
of training and
organization
changes
Higher
More as it is
based on OEE
and 16 losses
Applicable to
large industries
such as process
industries and
to industries
where
Japanese
working culture
prevails
Usually takes
35 years to
give a notable
change over the
maintenance
process
Higher
Less
Tough and
requires
commitment
and needs
training,
stabilization,
and culture
change, which
takes time
More because
of training and
organization
changes
Higher
More as it is
based on a
computerized
maintenance
system and
23 losses
Applicable to
large industries
such as process
industries and
can be
customized to
small
industries
Usually takes
35 years to
give a notable
change over the
maintenance
process
1200
Ingallss framework
It consists of
12 elements [9]:
1. Leadership and policy
deployment
2. Organizational structure
3. Inventory control
4. CMMS
5. PM
6.
7.
8.
9.
10.
PRM
Planning and scheduling
Work flow
Financial control
Operational
involvement
11. Staffing and
development
12. Continuous
improvement
Heislers framework
It consists of eight
elements [25]:
1. Maintenance planners
2. CMMS
3. Spare parts
management
4. Work management
process
5. PM programmes
Hiatts framework
It consists of
13 elements [4]:
1. Philosophical and
theoretical shifts
2. Understanding change
3. Teamwork
4. Training
5. Asset management
6. Warehouse and
inventory control
7. CM
8. PM
9. PRM
10. Purchasing
11. PAM
Table 2 Continued
6. PRM programmes
7. Training
8. Performance tracking
2.
3.
4.
5.
Idhammars framework
It consists of nine
elements [26]:
1. Leadership and
organization
2. Planning and scheduling
of operations and
maintenance
3. Maintenance prevention
and preventive
maintenance
4. Technical database
5. Root cause problem
elimination
Saunders framework
It consists of 13
elements [28]:
1. Strategy management
2. Performance measures
3. Continuous improvement
4. Information management
5. Work planning and control
6. Organization and
manpower
7. Autonomous maintenance
8. Contractor management
9. Maintenance tactics
10. Spares and materials
11. Tools and workshops
12. Financial management
13. Asset acquisition and
disposal
Welchs framework
It consists of eight
elements [29]:
1. Maintenance leadership
12. Accountability
13. RCM
2. Inventory and
procurement
3. Work flow and controls
4. Enterprise asset
management system
usage
5. Operational
involvement
6. PRM
7. RCM
8. TPM
9. Financial optimization
10. Continuous
improvement
6. Stores management
interface with maintenance
7. Facilities, tools, and
workshops
8. Engineering interface with
maintenance
9. Skills development
6.
7.
8.
Murrays framework
It consists of nine
elements [30]:
1. RCM, equipment condition
survey
Planned and scheduled
2. Maintenance process
maintenance
evaluation
PM and PRM
3. Develop solution panels
Reliability improvement
4. Level of awareness training
Maintenance materials
5. Implementation of RCM
management
results
Contractor relations
6. Work process design
Human resource
7. Implementation of
development
maintenance based on
RCM and condition
Maintenance technologies 8. Planning and scheduling
9. Living programme
Armys framework
Condition monitoring
Failure analysis
Asset healthcare
PRM
Organizational process
management
External benchmarking
Maintenance and
operations integration
Craft flexibility
RCM
16 processes
9. Delivering assurance
10. Performance targets
11. Reliability management
12. CMMS
13. Equipment ownership
14. Equipment improvement
teams
15. Root cause failure analysis
16. Early equipment
management
17. REM to PAM
Table 2 Continued
20. Life-cycle analysis
18.
21. Equipment standardization 19.
22. Reliability asset
20.
management
23. Asset management
21.
22.
Turnaround processes
Equipment inspection and
integrity
23. Knowledge management
24. Maintenance tool box
Paaschs framework
It consists of ten elements [33]:
1. Maintenance engineering
McKays framework
It consists of ten elements [34]:
1. Management support and
measures of effectiveness
2. Supply chain management 2. Shop stores inventory
3. Personnel development
3. Work control
4. Organization structure
4. Maintenance organization
and structure
5. Equipment database
5. Personnel skills and training
6. Computer information
6. Failure evaluation,
system
continuous improvement,
and reliability engineering
7. Safety
7. CMMS
8. Planning and scheduling
8. Maintenance planning
scheduling
9. Job plans and procedures 9. Maintenance task and
procedures
10. Score keeping
10. Equipment database
Life Cycle Engineering Inc.
model
Tompkins Associates
scoreboard for maintenance
excellence
It consists of 23 elements [35]: It consists of 17 elements [36]:
1. Management commitment 1. Work authorization and
work control
2. Cooperative maintenance 2. Budget and cost control
and production partnership
3. Governing principles and
3. Maintenance planning and
concepts
scheduling
4. Work order systems
4. Maintenance storeroom
5. Cost distribution
5. PM and PRM
6. Computer support
6. Lubrication programme
7. Scheduling and
7. Overall equipment
coordination
effectiveness (OEE)
8. Work and job planning
8. Operator-based
maintenance
9. Work measurement
9. Engineering support
10. Material support and
10. Craft skill development
control
11. Equipment history
11. Safety housekeeping and
regulatory compliance
12. Maintenance engineering 12. Maintenance performance
measurement
13. PM and PRM
13. Maintenance supervision
and leadership
14. Pride quality and
14. CMMS
workmanship
JEM810 IMechE 2007
1201
Table 2 Continued
15. Facilities and equipment
16. Training
17. Supervision and practices
18. Organization
19. Management reporting and
control
20. Budgetary control
21. Master plan
22. Objectives, goals, and targets
23. Status assessment
Elliss framework
It consists of ten elements [37]:
1. Maintenance administration
2. Manpower
3. Tools
4. Spares
5. Planning
6. Scheduling
7. Controlling
8. Culture
9. Marketing (of maintenance)
10. Budget
To compare these frameworks, a strategic management tool called SWOT analysis was used to analyse
the strengths, weaknesses, opportunities, and threats
of each framework. Before the SWOT analysis and its
application in WCMt are discussed, it is necessary to answer some of the most commonly asked
questions.
1. A general question which is frequently asked is:
which framework will be applied for what types
of industry? It must be noted here that the identified frameworks are assumed to be more generic
in nature because researchers or consultants will
be providing maintenance consultancy based on
their framework to various industries (be it a largeor medium- or small-scale industry or it might
be industries in different sectors such as automobile, electronics, or machineries) in different parts
of the world. If it is not generic in nature, it cannot
be applied uniformly across a vast spectrum of
industries. Based on this reasoning, the discussion
on the context of use for each framework was
avoided.
2. Another question of interest to be addressed is:
are the identified frameworks dependent on the
operational environment or not? It is a known
fact that any change management programme
needs to be adapted to the situation prevailing in
an organization. For example, the JIT production
system, which was successful in Toyota cannot
be exactly replicated in another auto industry.
Many companies which have implemented such
a system would have customized and implemented those elements based on the prevailing
Proc. IMechE Vol. 221 Part B: J. Engineering Manufacture
1202
Weaknesses
Opportunity
Threat
refers to an unfavourable
refers to any favourable
situation in the
situation in the organizations
organizations environment
environment that is
potentially damaging
to its strategy
Table
SWOT ANALYSIS
4 Adaptation of
frameworks
SWOT
analysis
for
WCMt
Strengths
Weaknesses
Opportunity
Threat
In a WCMt framework,
If
if an element, which may not
be an important element for
WCMt implementation or if it
is not directly related to WCMt,
but if incorporated can
provide significant competitive
advantage to the organization,
then it is considered as the
opportunity for other
frameworks
5.1
1203
Strengths
Weaknesses
Group
Remarks
Authors, consultants,
or practitioners
Wireman [22];
Invensys Avantis [24]
Opportunities
Threats
Should be implemented in
many companies for gaining
acceptance
Should be updated regularly
based on best practices
obtained from other worldclass maintenance
frameworks and
organizations
Should be integrated with
corporate and business goals
Should be integrated with
other continuous
improvement programmes
Should facilitate intraorganizational interfaces
Maintenance
excellence models of
Alcoa [32] and Rohm
and Hass [32]
Hiatt [4]; Ingalls [9],
Idhammar [26];
Saunders [28]; Welch
[29]; Murray [30]; Army
[31]; Amoco [32];
Paasch [33]; McKay
[34]; Life Cycle
Engineering Inc. [35];
Tompkins Associates
[36]; Ellis [37]
PM;
inventory control or spare parts management;
work flow and control or work order systems;
CMMS;
training and personnel development;
RCM;
planning and scheduling.
5.2
1204
Strengths
Weaknesses
Strengths
Weaknesses
No importance given to
cultural change or
change management
Less importance given to
organizational structure
No importance given to
planning and scheduling
No importance given to
performance
measurement
No importance given to
management support and
leadership
No focus on quality
No focus on workplace
health and safety risks
Other weaknesses are
more or less similar to
the weaknesses listed
in Table 5
Organization structure is
emphasized (Rock
Products)
Highlights the role of
reporting and
performance evaluation
(Heisler)
Use of automation and
latest technologies in
maintenance (Rock
Products)
Other strengths are more
or less similar to the
strengths listed in
Table 5
Opportunities
Threats
Opportunities for
improvement can be
obtained from best
practices of other
frameworks, which
are as follows:
asset management
should be given
importance;
strategic direction
should be provided
through leadership,
management
involvement, and
commitment;
good performance
measures and feedback
system should be
established;
maintenance tools,
workshops, and facilities
should be stressed;
accountability should
be given
Other opportunities are
more or less similar to
the opportunities listed
in Table 5
No stress on operational
involvement
RCM is missing
Lack of focus on all TPM
activities and elements
Financial focus is missing
No importance given to
cultural change or change
management
No emphasis on
intra-organizational
interface such as
cooperation between
maintenance and
production
No consistency in the
quality, as it is not
emphasized
No importance given to
management support and
leadership
No focus on workplace
health and safety risks
Other weaknesses are
more or less similar to
the weaknesses listed in
Table 5
Opportunities
Threats
Opportunities for
improvement can be
obtained from best
practices of other
frameworks, which
are as follows:
asset management
should be given
importance;
strategic direction
should be provided
through leadership,
management
involvement, and
commitment;
maintenance tools,
workshops, and facilities
should be stressed;
there should be a focus
on cost minimization;
accountability should
be ensured for employees
with well-defined
organization structure,
roles, and responsibilities
Other opportunities are
more or less similar to
the opportunities listed
in Table 5
5.3
5.4
1205
Table 10
Strengths
Weaknesses
Strengths
Weaknesses
Provides strategic
direction through
leadership, management
involvement, and
commitment
Highlights the role of
contractor relations and
contracted maintenance
Highlights the role of
reporting and
performance evaluation
(Rohm and Haas)
Focus on developing
human resources and
people
Highlights the role of
assessment (Rohm
and Hass)
Other strengths are more
or less similar to the
strengths listed in Table 5
Opportunities
Threats
Opportunities
Threats
Opportunities for
improvement can be
obtained from best
practices of other
frameworks, which
are as follows:
asset management
should be given
importance;
good performance
measures and feedback
system should be
developed;
maintenance tools,
workshops, and facilities
should be stressed
there should be a focus
on cost minimization;
there should be a focus
on the basic activities
of TPM;
accountability for
employees should be
ensured
Other opportunities are
more or less similar to
the opportunities listed
in Table 5
Non-compliance with
regulatory requirements
Other threats are more or
less similar to the threats
listed in Table 5
Opportunities for
Lack of focus on contractor
improvement can be
relations and contracted
obtained from best practices
maintenance which builds
of other frameworks, which
core competency
are as follows:
Non-compliance with
asset management should
regulatory requirements
be given importance;
Inaccuracy or unreliability of
good performance
maintenance data and
measures and feedback
information and hence
system can be developed;
inadequate feedback to
importance can be given to
planners, designers, and
status assessment and
management
equipment condition survey Other threats are more or less
Technical database can be
similar to the threats listed
extended to a fully fledged
in Table 5
CMMS
Consistency in the reliability
of equipment can be
maintained, as RCM is not
directly mentioned
A platform for making
changes in the design of
equipment to eliminate
maintenance can be provided
Other opportunities are more
or less similar to the
opportunities listed
in Table 5
1206
Table 11
SWOT analysis for the sample group D maintenance excellence framework of Amoco [32]
Strengths
Weaknesses
Suboptimal maintenance
practices
Lack of focus on work flow
activities or work order
system
No importance given to
training or personnel
development
Lack of focus on all TPM
activities and elements
Financial focus is missing
Lack of continuous
improvement activities
Other weaknesses are more
or less similar to the
weaknesses listed in Table 5
Opportunities
Threats
CONCLUSIONS
Opportunities for
Complexity strangles
improvement can be
performance as it is
obtained from best practices
hierarchical
of other frameworks, which
Lack of importance to basic
are as follows:
activities such as training and
Asset management should
continuous improvement
be given importance
Other threats are more or less
Importance can be given to
similar to the threats listed in
status assessment and
Table 5
equipment condition
survey;
The remaining aspects of
TPM such as process
quality, and support
systems can be covered
Other opportunities are more
or less similar to the
opportunities listed in Table 5
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
ceroaverias.com/wcm/article%2030wcmpdf, accessed on
3 June 2003.
Smith, R. Assessing your maintenance training needs:
ensuring that training fulfils your requirements is
critical to success, 2002. www.plantmaintenance.
com/articles/Assessing Maintenance Training Needs.pdf,
accessed on 3 June 2003.
Ingalls, P. World class maintenance, 2000. http://www.
zie.pg.gda.pl/odo/best.html, accessed on 3 June 2003.
Ingalls, P. Just what is world class maintenance? 2002.
http://www.mt-online.com/articles/0205viewpoint.cfm,
accessed on 10 March 2005.
Ingalls, P. Changing maintenance practices, 2000. www.
tpmonline.com/articles on total productive maintenance/
tpm/newpractices.htm, accessed on 3 June 2003.
Swanson, L. Linking maintenance strategies to performance. Int. J. Prod. Econ., 2001, 70(3), 327344.
Gallimore, K. and Penlesky, R. A framework for
developing maintenance strategies. Prod. Inventory
Mgmt J., 1988, 29(1), 1622.
Mostafa, S. I. Implementation of proactive maintenance in the Egyptian glass company. J. Qual. Maintenance Engng, 2004, 10(2), 107122.
Bevilacqua, M. and Braglia, M. The analytic hierarchy
process applied to maintenance strategy selection.
Reliability Engng System Safety, 2000, 70(1), 7183.
Nagarrur, N. N. An object-oriented decision support
system for maintenance management. J. Qual. Maintenance Engng, 1999, 5(3), 248257.
Eade, R. The importance of predictive maintenance.
Iron Age New Steel, 1997, 13(9), 6872.
Oyebisi, T. O. On reliability and maintenance management of electronic equipment in the tropics. Technovation, 2000, 20(9), 517522.
Jones, R. B. Risk-based management, 1997 (Jaico
Publishing House, Mumbai).
Ireland, F. and Dale, B. G. A study of total productive
maintenance implementation. J. Qual. Maintenance
Engng, 2001, 7(3), 183191.
Chan, F. T. S., Lau, H. C. W., Ip, R. W. L., Chan, H. K.,
and Kong, S. Implementation of total productive
maintenance: a case study. Int. J. Prod. Econ., 2005,
95(1), 7194.
Wireman, T. Developing performance indicators for managing maintenance, 1998 (Industrial Press, New York).
Aalbregtse, R. J., Hejka, J. A., and McNeley, P. K. TQM:
how do you do it? Automation, August 1991, 3032.
Invensys Avantis, World-class status with best practices
in maintenance management, 2002. http://www.avantis.
net/NR/rdonlyres/world-class%20status%20with%20best
%20practices.pdf, accessed on 3 June 2003.
Heisler, R. Communication is the mortar of maintenance
excellence, 2002. http://www.mt-online.com/articles/
0702 maintexcel.cfm, accessed on 3 June 2003.
Idhammar, C. Improving reliability/maintenance
Step II, 2003. http://www.paperloop.com/db area/
archive/p p mag/2003/0009/maintenance.html, accessed
on 3 June 2003.
Rock Products, Climbing the ladder to world class
maintenance status, 2001. http://rockproducts.com/
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
1207
1208
APPENDIX
Notation
BM
CBM
CIMMS
CM
CMMS
DOM
JIT
OEE
OM
breakdown maintenance
condition-based maintenance
computer-integrated maintenance management system
corrective maintenance
computerized maintenance management
system
design-out maintenance
just-in-time
overall equipment effectiveness
opportunity-based maintenance
PAM
PM
PRM
RCM
REM
RM
SM
SWOT
TPM
TQM
WCM
WCMt
WMS
proactive maintenance
preventive maintenance
predictive maintenance
reliability-centred maintenance
reactive maintenance
routine maintenance
scheduled maintenance
strengths, weaknesses, opportunities, and
threats
total productive maintenance
total quality management
world-class manufacturing
world-class maintenance
world-class maintenance system
2007 Operational Research Society Ltd. All rights reserved. 0160-5682/07 $30.00
www.palgrave-journals.com/jors
Maintenance scheduling of cogeneration plants, which produce both electric power and desalinated water, is a
typical complex process with long-term operations and planning problems. The plants maintenance scheduling
process has to determine the appropriate schedule for preventive maintenance, while satisfying all the system
constraints and maintaining adequate system availability. It is an optimization problem and the maintenance and
system constraints include the crew constraint, maintenance window constraint and time limitation constraint.
In this paper, an integer linear-programming model, which has been developed, is described which schedules
the preventive maintenance tasks in a multi-cogeneration plant. Results of a test example of such a plant
situated in Kuwait are presented to show the applicability of the approach.
Journal of the Operational Research Society advance online publication, 11 April 2007
doi:10.1057/palgrave.jors.2602386
Keywords: cogeneration plant; maintenace scheduling; zero-one integer programming; preventive maintenance
Introduction
Desalting/desalination/desalinization mean the same thing,
that is the removal of salts from seawater or brackish water.
Over three quarters of the earths surface is covered with salt
water. This water is too salty to sustain human life, farming
or industry. The importance of salt removal from ocean water
or other saline water resources reaches far beyond its mere
technological aspects, because the availability of fresh water
has a decisive effect on the pattern of human development.
The growth in world population and increased industrialization coupled with global warming have intensified the quest
for fresh water. Control of water supplies can be a potential
source of conflict among nations. Recent fresh water shortages in Kuwait and in many parts of the world have cast a
spotlight on the problem and led to a greatly increased interest
in it. Cogeneration plants are the main source of fresh water
in many regions of the world and are now used in about 120
countries. Of this total, approximately 50% of this desalting
capacity is used to desalt seawater, mainly in the Middle East
(Klaus, 1990).
Kuwait is an arid country, situated in the north-western
corner of the Arabian Gulf. The Government, through the
Ministry of Electricity and Water (MEW) is responsible for
supplying water to the population. The MEW has met 700%
growth of demand for electricity and water in the last 25
years by the construction of a system of cogeneration plants
Correspondence: M Alardhi, School of Mechanical, Aerospace and Civil
Engineering, P.O. Box 88, University of Manchester, Manchester M60
1QD, UK.
E-mail: mohsen.alardhi@postgrad.manchester.ac.uk
BOILER
Production Electricity
(MW)
Steam
TURBINE
Production Water
(MIG/Day)
DISTILLER
Figure 1
Maximum
RESERVOIR
Minimum
Mathematical formulation
Problem formulation
Decision variables
1 if the equipment j in unit i in plant r
xri jk =
during period k in operational status
0 otherwise
(1)
Also define
1 if the equipment j in unit i in plant r is not in
yri jk =
preventing maintenance during period k (2)
0 otherwise
where r represents the plant number. r = 1, 2, 3, . . . , g; i
represents the unit number. i =1, 2, 3, . . . , m; j represents the
equipment type. j = 1, 2, 3, . . . , n; k represents the number
of maintenance period. k = 1, 2, 3, . . . , h.
The decision variable xri jk is set to 0 for two reasons:
either the equipment j in unit i in plant r is down for
preventive maintenance during period k, that is yri jk = 0, or
if the equipment is not on preventive maintenance but idle,
that is yri jk = 1. This implies that equipment might not be
on maintenance (yri jk = 1), but does not necessarily imply
that the equipment is in operation (xri jk = 1). The equipment
could simply be idle. Therefore, the following constraints are
needed to link variables xri jk with variables yri jk .
xri jk yri jk for all r, i, j and k
(3)
Maintenance completion
This constraint will ensure that the maintenance time for each
equipment must occupy the required time duration without
interruption. This means that once the maintenance of equipment has begun we cannot move the maintenance tools and
manpower or other resources to other equipment. For example, if equipment t in unit i in plant r starts maintenance on
week 6, and the maintenance duration for equipment t is 4
weeks, this implies that yrit6 = yrit7 = yrit8 = yrit9 = 0. To
model this constraint mathematically, we introduce another
zero-one decision variable that will represent the equipment
starting maintenance period.
Let
0 if equipment j in unit i in plant r starts its
sri jk =
1
maintenance window,
maintenance completion,
logical constraints,
resource constraints,
maintenance crew.
Maintenance window
It is a requirement that each equipment must be maintained
regularly. This is necessary to keep its efficiency at a reasonable level, to keep the incidence of forced outages low and
to prolong the life of the equipment. This can be achieved by
specifying a latest time that the equipment can be operating
without maintenance and the earliest time it can be put on
(5)
Set of constraints
The MS problem is a constraints optimization problem, where
we have quantities to be maximized or minimized according
to certain constraints. In this model, the following constraints
are taken into account:
yri jk =
1 Dri j
k
Sri jq
(7)
q=k=1Dri j
L ri j Dri j +1
sri jk = L ri j Dri j
(8)
k=1
L ri j
sri jk = L ri j Eri j
(9)
k=1
Erijk Erij+Drij1
Erij
Erij+Drij
Lrij Drij
Lrij
Erij+Drij k Lrij
Figure 2
i=1
xri jk m u
(10)
i=1
j = 1, 2, 3, . . . , n
(k runs over all time intervals) k = 1, 2, 3, . . . , h
(u is input data which indicate the number of maximum
unit that are allowed for maintenance in period k)
Since both decision variables are binary (0 or 1), the above
constraint assures that in any time interval at most u units in
each plant could be under maintenance.
The other logical constraints are the required (must) relationship between equipment. Most relationship constraints
for any equipment specify the other equipment that must be
concurrently operational. For example, if one of the turbines
in unit i is operational, then the boiler in the same unit i must
also be operational. This is modelled as follows:
xritk xribk ; r = 1, 2, 3, . . . , g, i = 1, 2, 3, . . . , m
(11)
yritk yribk ; r = 1, 2, 3, . . . , g, i = 1, 2, 3, . . . , m
(12)
r = 1, 2, 3, . . . , g
k = 1, 2, 3, . . . , h
p = 1, 2, 3, . . . , f
j = 1, 2, 3, . . . , n
(13)
(1 yri jk )Cr jk T C r jk
i=1
r = 1, 2, 3, . . . , g
k = 1, 2, 3, . . . , h
j = 1, 2, 3, . . . , n
(14)
g
m
n
h
r =1 i=1 j=1 k=1
xri jk
(15)
where xri jk represents the available number of all equipments j in all units i in all plants r through the studied period k. So the mathematical formulation of the preventive
maintenance scheduling for the desalination plants takes the
following form:
Max
g
m
n
h
xri jk yri jk
1k
+
S
q=1 ri jq
yri jk =
1Dri j
q=K =1+Dri j
i = 1, 2, 3, . . . , m
j = 1, 2, 3, . . . , n
for Eri j k Eri j +Dri j 1
sri jk = L ri j Dri j
k=1
L ri j
k=1
m
sri jk = L ri j Eri j
xri jk m u
i=1
xritk xribk
yritk yribk
m
(1 yr jk )Rr jkp T R r jkp
i=1
m
(1 yri jk )Cr jk T C r jk
i=1
k = 1, 2, 3, . . . , h
p = 1, 2, 3, . . . , f
L ri j Dri j +1
xri jk
subject to :
and
Table 1
Equipment
Plant Unit type
1
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Boiler
Turbine
Distiller
Conclusion
This paper presents a method for solving MS problem and
the method has been illustrated for a cogeneration plant in
Kuwait. The basic idea of the method is to model the problem
as zero-one integer problem. Mixed integer programming has
been shown to be a useful model for scheduling maintenance
tasks. An illustrative example shows the applicability of the
method, making its application for use in the cogeneration
plants.
The objective function of the model was to maximize the
available number of operational units in each plant. This objective function can be extended to include the cost for maintenance and also it can be extended to solve the MS and the
production of the units simultaneously by adding more system
constraints that deal with the demand of electricity and water,
since this will help both structure problem as well as facilitate decision-making process. Also, fuzzy parameters can be
studied to cover any variation in the input data.
Benefits of the model are that it will help the people working in maintenance to have an estimated scheduling for there
process and it will also aid people who work in OR to understand the relationship among different processes in order to
work with this kind of issues.
Acknowledgements The authors would like to thank the two anonymous
referees for their valuable feedback and constructive criticism.
References
Alardhi M and Price J (2004). An integer programming model
for scheduling preventive maintenance task in complex plants.
International Conference of Maintenance Societies: Sydney,
Australia.
Baughman ML, Eisner NA and Merrill PS (1989). Optimizing
combined cogeneration and thermal storage systems: An
engineering economics approach. IEEE Trans Power Sys 4:
974980.
Bos MFJ, Beune RJL and van Amerongen RAM (1996). On the
incorporation of a heat storage device in Lagrangian relaxation
based algorithms for unit commitment. Int J Elec Power Energy
Sys 18: 207214.
Dopazo JF and Merrill HM (1975). Optimal generator maintenance
scheduling using integer programming. IEEE Trans Power Ap Sys
PAS-94: 15371545.
Edwin KW and Curtius F (1990). New maintenance-scheduling
method with production cost minimization via integer linear
programming. Elec Power Energy Sys 12: 165170.
El-nashar AM and Khan MS (1991). Economic scheduling of the UAN
cogeneration plant. A preliminary optimization study. Desalination
85: 93127.
El-Sharh MY, Yaser R and El-Keib AA (1998). Optimal maintenance
scheduling for power generation systems a literature review.
In: Proceedings of the Maintenance and Reliability Conference,
Knoxville, TN, USA, pp 20.120.10.
Kent Coleman A (1971). Optimization of a single effect, multi-stage
flash distillation desalination system. Desalination 9: 315331.
Klaus W (1990). IDA Report No.11. International Desalination
Association, Wangnick Consulting.
Leou R-C and Yih S-A (2000). A flexible unit maintenance scheduling
using fuzzy 0-1 integer programming. Proceedings of the 2000
WHAT IS AMPS?
AMPS is a systematic approach for implementing
a planning and scheduling capability focused on a
system mission context. Planning is the function
of defining how to do the job, while scheduling is
the function of determining when to do the job.
INTRODUCTION
Many programs are actively pursuing sensor
technology that will provide useful failure
information for the maintenance planner. The
main opportunity provided by early failure
detection is the ability to plan and schedule
maintenance in order to increase maintenance
In order to
efficiency and effectiveness.
investigate the process of maintenance planning
and scheduling, this paper initially defines
maintenance planning and scheduling. Next, the
importance of system operational context on the
maintenance approach is addressed. The role the
maintenance planner has in facilitating
maintenance planning and scheduling and his
utilization of the work order system is investigated.
The benefits and keys to implementation success
are presented to complete the investigation.
341
BENEFITS
The following adaptation of Doc Palmer's "What's
in it for me?" [1], provides a concise view of the
benefits of maintenance planning. Technicians
benefit from a continuously improving process that
is committed to avoiding maintenance
The
interruptions identified on past work.
maintenance planner provides technicians a head
start on the task as well as data on anticipated
problems that may be encountered. Planning and
scheduling gives the supervisors more control
over work by knowing how many jobs they can
The
assign to which skilled technicians.
supervisors have the confidence of knowing that
the schedule includes both proactive and reactive
tasks.
With the implementation of the
maintenance planner, management has the
means to increase productivity by knowing how
much work a maintenance crew should execute
and how to allocate it. The organization realizes
increased availability of the assets required to
complete missions.
*
*
*
*
*
*
*
*
*
*
*
*
O Requesting resources
Work Scheduling
O Monitoring requests
o Identifying tasks as ready
o Scheduling tasks
Work Controlling
O Documentation of status
o Sign-off of trackable events
o Closure
Work History
Work Metrics
0
0
0
0
0
0
0
0
344
Status
Outage/downtime requirement
Work type (proactive or reactive)
Department or crew
How found
Unit
Equipment group and system
Equipment type
*
*
Action taken
Reason, cause, and failure
Work Scheduling
The scheduling function tracks the status codes in
order to determine jobs ready for scheduling. As
the jobs are ready for scheduling, personnel and
resources are allocated to them and put on a
calendar. Scheduling success is measured in
terms of:
345
Work History
*
*
*
*
Work Controlling
Controlling applies to planned and scheduled
work. The crew chief or maintenance supervisor
is in charge of the performance of work. They
have the responsibility to keep the schedule and
"When jobs go awry,
prepare the aircraft.
materials, parts and tools are the most common
culprits. Obviously, there were shortfalls in the
planned job package, provide feedback to the
planner." [4]. The planner reschedules tasks that
are not completed in the timeframe, into the next
schedule.
It is essential to collect job close-out feedback.
Simple, direct, and easy-to-input data collection
screens designed to improve the planning,
scheduling and maintenance process need to be
part of the closeout process. The basic elements
are labor hours charged and additional/excess
parts or material needed per job. Feedback on
the work order, such as expanded or corrected
description and job steps, additional special tools
required, and interruptions encountered is also
valuable. "Upon job closure, planners have an
opportunity to acquire an excellent snapshot of
what it takes to perform a given job and to add
that knowledge to the building of a valuable library
of planned job packages." [4]
Work Metrics
"The purpose of an index [metrics] is to help
predict future activity or to compare current
activity to a standard. Indices can help identify
negative trends before they become too costly."
[5] Metrics should be traceable to mission
346
SUMMARY
Maintenance productivity enhancement is an
effective utilization of real-time interpretation of
health and status information. However, it is
possible to achieve significant enhancements in
maintenance productivity with a maintenance
planner. A well thought out maintenance planner
implementation, focused on the system mission,
will increase the availability of the assets
supporting the mission.
REFERENCES
[1] Doc Palmer, Maintenance Planning and Scheduling
Handbook. New York: McGraw Hill, 2006.
[2] Keith Mobley, Barriers to Plant Performance: Real or
Imagined? Plant Services 18(7), 1997.
[3] Terry Wireman, Developing Performance Indicators
in Managing Maintenance. New York: Industrial Press,
1998.
[4] Don Nyman and Joel Levitt, Maintenance Planning,
Scheduling, and Coordination. New York: Industrial
Press, 2001.
[5] Michael Brown, Managing Maintenance Planning
and Scheduling. Wiley Publishing, 2004.
KEYS TO SUCCESS
One main key to success is organizational
commitment to the value of implementing both the
systems that detect and identify failures during
missions and the maintenance planner that
utilizes this information to improve maintenance
efficiency.
An analysis of the existing system to initially focus
on issues that this capability can impact will aid in
the success of the implementation effort. This
process could identify candidate systems, or
processes that adversely effect maintenance
turnaround.
maintainers.
347