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18 Νοε 2013 (πριν από 3 χρόνια και 6 μήνες)

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© Life Cycle Engineering 2011

© Life Cycle Engineering 2011


Business Excellence powered by Rx

R. Keith Mobley

Principal, SME

Life Cycle Engineering, Inc.


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© Life Cycle Engineering 2011

Reliability Myths


Reliability only applies to physical assets


Reliability is a maintenance
-
only problem


Asset reliability is dominate reason for poor
business performance


Asset reliability is dominate reason for low asset
utilization


Excessive maintenance cost limits competitive
ability


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© Life Cycle Engineering 2011

Asset Reliability Losses

Source: The Plant Performance Group 1985
-

2010

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© Life Cycle Engineering 2011

Asset Utilization

Source: The Plant Performance Group 1985
-

2010

Maintenance 7%

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© Life Cycle Engineering 2011

Reliability


The probability that a
business process
,
work
procedure
,
capital asset
and
employee

will


without exception


perform its required
function in both normal an abnormal day
-
to
-
day
operations


It is a
holistic

issue and must be resolved with a
holistic solution


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© Life Cycle Engineering 2011

World
-
Class Business

Marketing drives backlog and
determines current and future
production requirements

Production must respond to
market demands and effectively
use installed capacity

Maintenance must respond to
both market demands and
production needs, as well as
provide sustaining
maintenance that prolongs
asset useful life

Excellence in and Integration of:
:

Production

Asset Care

Marketing

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© Life Cycle Engineering 2011

The Focus of Reliability Excellence

Production

Reliability

Maintenance

EH&S

Supply Chain



Standard procedures



Waste and loss elimination



Quick changeovers



Stable, consistent processes



Risk management



Asset management



Loss, waste elimination



Performance management



Asset care



Useful life management



Supply chain management



MRO materials management



Materials handling and JIT



Inventory management

Procurement



Occupational Health & Safety



Environmental Compliance

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© Life Cycle Engineering 2011

Reliable Processes

Visionary Leadership

Marketing & Sales

Supply Chain

Logistics & Distribution

Operational Reliability


Human Resources

Business

Strategy

Asset

Management

Voice of Customer

Quality

EH&S

Capital Assets

Financial

Risk Management

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© Life Cycle Engineering 2011

EFQM Model

Leadership

Processes

Key Performance
Results

People

Policies &
Strategy

Partnerships &
Resources

People
Results

Customer
Results

Society

Results

Innovation & Learning

Enablers

Results

(European Foundation for Quality
Management)

Business Excellence Models
Stress:




Leadership



Standard Processes



KPI


Models Assume:




Asset
Reliability



Universal Best Practices



Engaged Workforce



Enabling Work Culture

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© Life Cycle Engineering 2011

Reliability Excellence Model

MATERIALS
MANAGEMENT

ASSET
CARE

WORK

SCHEDULING

WORK
MANAGEMENT

PROCESSES

FACILITIES &
EQUIPMENT

WORK
MEASUREMENT

WORK
PLANNING

WORKFORCE
DEVELOPMENT

ORGANIZATIONAL
STRUCTURE

SUPERVISION

INFORMATION
MANAGEMENT

OPTIMIZATION

MANAGEMENT
REPORTING

BUDGETING &
COST CONTROL

MANAGEMENT
OF CHANGE

EQUIPMENT
HISTORY

AUDITS &
ASSESSMENTS

RELIABILITY
ENGINEERING

SUSTAINABILITY

OPERATOR
CARE

PROCUREMENT

EQUIPMENT &
PROCESS DESIGN

FUNCTIONAL PARTNERSHIPS

MANAGEMENT COMMITMENT

PRINCIPLES

ORGANIZATIONAL
BEHAVIOR

EMPLOYEE
INVOLVEMENT

GOALS &
OBJECTIVES

GOVERNING
PRINCIPLES

OCCUPATIONAL
HEALTH & SAFETY

CULTURE

PERFORMANCE
MANAGEMENT

LOSS
ELIMINATION

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© Life Cycle Engineering 2011

Aluminum Wheels

Problem Statement


Average Production: 5,600 wheels per day


Profit:
-
$2.31
per wheel


Downtime: 1% (unscheduled)

Perception


Obsolete foundry technology


Asset reliability

Reality


Failure to adhere to standard procedures

Results


Average Production: 12,000 wheels per day


Profit: $40.63 per wheel


Downtime: 1% (unscheduled)


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© Life Cycle Engineering 2011

Standard Work Is Essential To Excellence

Mission


Actual practices
define effectiveness
and are created by
standards
and

change
management.

Why would standard
work be met with
resistance?

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© Life Cycle Engineering 2011

The Path To Standard
Work In Production

Standard Work is
Central
to the Continuous Improvement Process

Standard Work

Standard

WIP




Available
time




Customer demand





Time Observation Form



Total work content





Load Chart



Balance work



Enable flow



Required resources



SW Combination Sheet



Content



Sequence



Timing



Outcome



Safety

Line Balance

Work Content


& Sequence

Takt Time


Location


Amount



Enable Flow

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© Life Cycle Engineering 2011

Standard Work Should be Layered and Developed
from the Bottom Up

Executives

Time on the floor to verify the chain of standard
work is upheld and production process is stable
and improving

Value Stream Managers

Monitor and support supervisors in their ability to
carry out their standard work

Supervisors

Monitor and support team leaders in their ability to
carry out their standard work


Natural Work Team Leaders


Maintain production and

ensure standard work is followed


Layers of
Standard
Work

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© Life Cycle Engineering 2011

Who Should Have Standard Work?

Role

% of Work (time) that
should be Standard

Executives

10
-
15%

Value Stream Manager

25%

Support Department
Managers

50%

Supervisors

50%

Team Leaders

80%

Operators (Associates)

95+%

Maintenance Technicians

85%
-

90%

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© Life Cycle Engineering 2011

Alumina Refinery

Problem Statement


Excessive failures of 700 Surry pumps (MTBF: 6 months)


Maintenance cost $12M per year

Perception


Poor maintenance practices

Reality


Mode of operation (control range)

Results


Failures virtually eliminated (MTBF: 36 months)


Maintenance cost less than $100K per year


Energy use reduced by $11.3M per year


Improved process performance


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© Life Cycle Engineering 2011

Conduct Problem
-
solving

EFFECT

MAN

MATERIALS

METHODS

MACHINES

Pareto Losses

Business Case

Target Condition

Current Condition

Action Plan

Metrics

Action Plan

Perfection

Seek

Target

Gap

Identify Losses

Standard Loss Elimination Process

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© Life Cycle Engineering 2011

High
-
speed Manufacturing

Problem Statement


Loss production, missed deliveries


High production costs

Perception


Maintenance deficiencies


Operators not performing

Reality


Management decisions limited utilization to 50%

Results


Restructured operating plan


Eliminated losses within OEE


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© Life Cycle Engineering 2011

Asset Utilization Losses



Installed Capacity =

58,867,200,000

5
-
Day Work Week =

16,128,000,000

3,225,600,000

Two 5
-
Day Outages =

2,520,000,000

30 Minute Cleaning/Shift =

29,615,040,000

Total AU Losses =

Available Capacity =

29,252,160,000

50%

PM
(9 Shifts) x 2 =

7,741,440,000

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© Life Cycle Engineering 2011

Operating Losses

Possible
Capacity =

29,252,160,000

Uptime (Actual) (80%) =

5,850,432,000

14,626,080,000

Production Rate (50%) =

475,292,160

Quality Rate (98%) =

20,951,804,160

Total
OEE
Losses =

Net Output =

8,300,355,840

OEE Losses

14%

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© Life Cycle Engineering 2011

7 or 8 Wastes of Lean


1. Defects

2. Overproduction

3. Transportation

4. Waiting

5. Inventory

6. Motion

7. Processing

8. Skills


Not utilizing people

s talents



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© Life Cycle Engineering 2011

High
-
speed Manufacturing

Problem Statement


Chronic failure to meet production goals


Losses in excess of 22 billion units per year

Perception


Reliability of the production modules

Reality


Modules starved for WIP materials

Results


Throughput increased by 20 billion plus units per year


Production cost per unit reduced by $0.0105


Production (operating) hours per year reduced by 120
days


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© Life Cycle Engineering 2011

A Representative
Current
State Map
for a Family of Retainers at a

Bearings Manufacturing Company

ABC
Steel Co.

ABC
Enterprises

C/T = 3 seconds

C/O = 2 hours

Uptime = 75%

21,600 secs. avail.

1 shift

C/T = 22 seconds

C/O = 30 minutes

Uptime = 100%

25,200 secs. avail.

1 shift

C/T = 35 seconds

C/O = 45 minutes

Uptime = 75%

25,200 secs. avail.

1 shift

Workbook pg. 67

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© Life Cycle Engineering 2011

Refinery

Problem Statement


Excessive maintenance cost for repair of heat exchangers


Low thermal efficiency in the slurry process

Perception


None

performance accepted as norm

Reality


Contracted maintenance services unacceptable

Results


Cleaning rather than replacing tubes


Thermal efficiency improvement of 55%


Reduced maintenance cost by $6.3M per year


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© Life Cycle Engineering 2011

Asset Management

Organizational Strategic Plan

Other Organizational
Requirements and Systems

Legal and Stakeholder Requirements and Expectations
(Customers, Shareholders, Employees, Vendors, Society


Asset Management Policy



Asset Management Strategy



Asset Management Objectives



Asset Management Plans


Portfolio of Asset Systems and Asset (Diversity
of Types, Criticalities, Condition and
Performance

Performance
and Condition
Monitoring

Acquire,
Create, Utilize
Maintain,
Review and
Dispose

Organizational
Values,
Functional
Standards,
Required
Processes

Asset Management Enablers and Controls

Continuous
Improvement

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© Life Cycle Engineering 2011

Food (Bakery Products)

Problem Statement


50% Scrap rate on baked cookie line


Missed deliveries and loss of market share


Constant jams and miss
-
feeds

Perception


Poor maintenance practices

Reality


Low bid system (inherent design deficiencies)


Poor changeover procedures

Results


Scrap rate 3%


On
-
time delivery



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© Life Cycle Engineering 2011

Asset Management Encompasses

Operations

Activities

(Operator Care)

Maintenance
Activities

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© Life Cycle Engineering 2011

Key Process Categories

Principles

and Culture

Processes

Optimization

Sustainment

Themes

Build Alignment and
Partnerships

Definition and Discipline
Key Business Processes

Proactive Management
and Planning

Enhancing Systems and
Processes

Levels

Key Process Areas (KPA)

World
Class

Excellence

Proactive

Emerging

Reactive

1

2

3

4

5


No vision of the future


Highly siloed organization


Adversarial functional relationships


Coordination poor or non
-
existent


Motivation and morale low


Absenteeism and turnover high


No
goals and objectives


Ad hoc processes and procedures


High variability in work execution


Workforce skills lacking


Ineffective performance measures


Errors and failures are norm


No leadership


Autocratic management


Budget compliance management


Limited or ad hoc planning


No continuous improvement effort


Reacting to events is the norm


None


Initial vision statement exists


Communication plan between silos


Early signs of coordination


Motivation and morale variable


Absenteeism and turnover high


Initial Strategic business plan exists


Cascading goals and objectives


Moderate to high variability in work


Skills training program evolving


Minimal performance measures


Senior leadership missing


Traditional hierarchical management


Planning is minimal and isolated


Limited efforts at problem
-
solving


Reactive events decreasing




Focus shifting from survive the day


Need for change acknowledged


Leadership becoming involved


Some employee involvement


Workers accept Vision statement


Partnership agreements established


Moderate inter
-
function coordination


Motivation and morale improving


Absenteeism and turnover moderate


Effective strategic plan used well


Cascading KPIs established & used


Work variability decreasing


Workforce skills improving


Effective performance measures


Executive sponsor committed to Rx


Management team resistance


First attempts using natural teams


Growing mutual trust at all levels


Reactive events becoming exception




Focus shifting from now to future


Leadership committed to change


Workforce involved in change


First signs of workforce ownership


Vision statement provides focus


Seamless functional coordination


Full employee involved in operations


Motivation and morale high


Absenteeism and turnover minimum


Open, honest communication


Standard processes & procedures


Non
-
value activities eliminated


Loss and waste minimized


Variability tightly controlled


Performance trends at or near goals


Workforce skills enable success


Executive team leads plant team


Management team committed to Rx


Increasing use of work teams


Mutual trust firmly established


Reactive events are rare


Performance management in place


Leadership empower workforce


Workforce embraces change


Strong, active leadership


Clear, concise vision and mission


Universally shared values


Effective, cascading goals


Full integration of business functions


Empowered, motivated workforce


Reliance on natural work teams


Proven, standard processes


Roles & responsibilities known by all


Negligible variation in work practices


Accountability is accepted part of job


Employees’ contribution rewarded


Natural work teams self
-
directed


Full integration of functional groups



Strategic business plan governs


Detailed tactical operating plan


Effective universal communications


Cascading KPIs effectively measure


Asset utilization is optimum


Risks are known and well managed


Budgets are activity
-
based


Culture of continuous improvement


All decisions are data
-
driven


Stretch model in
-
place for workforce


Executives leads CI and example


Real
-
time performance feedback


Loss elimination institutionalized


Seek perfection is workforce’s
mantra

Maturity Matrix

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© Life Cycle Engineering 2011

Educate

Involve Employees

Stabilize

Standardize

Eliminate Waste

Operations Excellence

Reliability Excellence

Integrate Value Stream

Operational Excellence

Organize

First Contact

Observe

Unaware

Prepare for
Change

Reliability Is Fundamental To Business
Excellence

Business Excellence

Assess

Best
-
in
-
Class

Integrate Supply Chain

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© Life Cycle Engineering 2011

First Steps


A journey to Business Excellence starts with:


A holistic, truthful assessment of your current state


Take nothing for granted, question everything


Develop a roadmap for the future


start with the
basics and build upon them


Have a real sense of urgency


but do not be in a
hurry


Do not forget the workforce


your real asset


Effective change management and employee
involvement is crucial to success


Remember that change cannot be mandated

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© Life Cycle Engineering 2011

Conclusion


Reliability is a fundamental requirements of
business excellence


its not optional


Business policies and practices


Work processes, procedures and practices



Workforce development and empowerment


Physical assets


Reliability is holistic. It cannot be limited to
select functions or its focus limited to a few
variables


Business Excellence powered by Reliability


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© Life Cycle Engineering 2011

© Life Cycle Engineering 2011


Thank you for your attention

Questions?