Saturday, July 31, 2010

Reliability Driven Maintenance--Closing the CMMS "Value Gap"? Part Two: Reliability Driven Maintenance

Reliability driven maintenance (RDM) focuses on understanding the "asset health" to determine what maintenance work should occur and when something should be done. It enables preemptive intervention before failure occurs, whereby failure would mean that equipment is not delivering required performance regardless of whether it is actually broken down or not. To reduce waste, assets must perform as expected and when expected. This means that failure must be redefined to mean an asset is unable to meet business objectives, such as running at the expected rate, producing product within the expected quality standards, and being ready when it is needed for production. If an asset does not meet these objectives, it has failed. Reliability eliminates waste, since machines that are reliable produce less scrap and rather a product that is within specification, thus eliminating the cause of defect correction, whereby equipment is ready to run as soon as the demand is presented.

The poster child for reliability driven maintenance could be Dofasco, a North American steel manufacturer with $3 billion (USD) in annual revenues and with a whopping asset replacement value of $5 billion (USD). Dofasco's motivation for maintenance practices improvement has come from its business performance reaching a plateau a few years ago, while the market was constantly changing. Dofasco identified equipment reliability as the strategy for better business performance, leading to improved product quality, increased production output, lower costs, and increased shareholder return.

Its management states that, due to improved equipment reliability, reactive maintenance practices have since been reduced from 70 percent to 20 percent (in favor of proactive maintenance and measured as a percentage of the total maintenance hours), equipment availability improved from 78 percent to 91 percent, while quality (i.e., prime yield) increased from 76 percent to 91 percent. These feats have been accomplished during a 50 percent reduction in maintenance staff through voluntary attrition. Incidentally, the fact is also that throughout many asset-intensive industries, one should expect fairly soon a large contingent of aging maintenance workers that will be eligible for retirement, which further complicates the time-based maintenance practices less feasible.

Today, Dofasco is reportedly the most profitable steel producer in North America, and it has ranked number one on the Dow Jones Sustainability Index for five years running. The company is also widely regarded as the North American benchmark for world-class maintenance practices and technologies. This brings us to Ivara (www.ivara.com), a privately-held Canadian provider of asset reliability solutions, which has more than a usual vendor-customer relationship with Dofasco. Namely, the large steel producer took an equity position in Ivara a few years ago and has since been transferring its technology, processes, and practices for RDM strategies, including an internally developed system (since rewritten) that accelerates and streamlines reliability centered maintenance (RCM) and condition monitoring (with over 200 man-years of proactive maintenance development). Dofasco also transferred five maintenance professionals to Ivara for the period of five years and has occasionally provided consultants to assist in implementations.

Ivara holds a promise to combine innovative RDM technology with solid maintenance expertise, a history of success with multiple computerized maintenance management systems (CMMS)/enterprise asset management (EAM) products, its sales and marketing expertise, and its current vision of the reliability-based maintenance market. Bill Shaw, formerly of ShawWare CMMS provider, founded Ivara (initially called ObjectQuest) in 1996, whereby most of its current staff are former ShawWare employees. For those that are less familiar with the company's genesis, former Marcam Solutions (now part of SSA Global) had built its former CMMS division Avantis (now part of Invensys), upon the acquisition of ShawWare, way back in 1991.

Thus, Ivara has lately turned into a primarily reliability driven maintenance vendor with a number of proven implementations. Part of its new identity includes a stronger focus on the company's WorkSmart implementation delivery approach, which ensures clients successfully make the transition to proactive, reliability-based maintenance. Particularly by focusing on the implementation planning phase, which consists of aligning reliability strategy with business goals, an elaborate business case development, identification of physical assets contributing to these goals and their prioritization by criticality or relative risk, and establishing targeted performance requirements, Ivara helps customers move to the next level in maintenance effectiveness (i.e., doing the right work at the right time on the right equipment).

Ivara's principal software offering, Ivara EXP, which is a RDM software that has resulted from the Dofasco's stint and has been written from scratch on contemporary Microsoft-centric technologies to feature asset prioritization, condition-based management, rules-based diagnostic engine, indicator-based job triggers, performance analysis and tracking, and applied RCM capabilities.

Ivara EXP accepts data from on-line sources, predictive maintenance technologies, RCM findings and visual (or other sensory) inspections collected from operator rounds or routine inspections. It analyzes the data and presents the results visually in many forms, making the data fairly easy to understand—and easy for maintenance personnel to use, such as trending graphs and flashing alarms. Ivara EXP then triggers the appropriate maintenance work in the user company's CMMS modules, while key performance indicators (KPI) provide metrics and tangible evidence on how the reliability of equipment improves business performance.

Recently, in November 2004, Ivara announced the release of Ivara EXP 4.0, a new and enhanced asset reliability software that should help customers gain new insights and better manage their asset performance challenges. New to version 4.0 are enhanced analytical capabilities, more sophisticated calculations and algorithms to allow the complex analyses customers demand, and the incorporation of more KPIs and dashboards that constantly measure the effect of asset reliability on business performance.

SOURCE:http://www.technologyevaluation.com/research/articles/reliability-driven-maintenance-closing-the-cmms-value-gap-part-two-reliability-driven-maintenance-17731/

2 comments:

  1. Hi there! glad to drop by your page and found these very interesting and informative stuff. Thanks for sharing, keep it up!

    - reliability centered maintenance

    ReplyDelete
  2. Great post. I hope you can write more good stuff like this article.

    maintenance reliability training

    ReplyDelete