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Building a Robust Global Asset Management System: People, Partners, and Processes
Dale Uitto, CMRP, REC, Global Maintenance, and Reliability Manager, Covidien LP
Track 4: Organization and Leadership
Abstract
The key to building and sustaining a Robust Global Asset Management System is through our
People, Partnerships, and robust Processes.
The foundation of our system is the Governance Structure where we align, engage, and organize
our People.
We develop strong Partnerships with our stakeholder and focus our limited resources on critical
assets.
We develop robust strategic and tactical processes and roadmaps to excellence to guide and
measure our journey to best in class performance.
The end state is a cultural transformation where the entire facility is accountable and responsible
for achieving and sustaining best in class performance.
Introduction
According to research conducted by Reliabilityweb.com and Uptime Magazine, and confirmed
by numerous other sources, over 70% of change efforts and new reliability strategies fail to
create a sustained result.
There are a number of factors that contribute to the low success rate including:
1. A lack of understanding the elements of reliability as a holistic system and the ways these
elements interact and interrelate
2. A lack of appreciation for the roles that culture and leadership play in the delivery of
performance
3. A lack of awareness of the nature of the journey from one operating domain or maturity
level to another (i.e. the transition from the reactive domain to the planned domain)
Excerpt from a paper submitted at the Oct 2013 SMRP Conference.
Integrity, By Terrence O’Hanlon, CMRP, CEO, Publisher Reliabilityweb.com/Uptime
Magazine. Used with permission May 7, 2014.
Building a risk based, Robust Global Asset Management System (Figure #1) is fundamental to
achieving and sustaining best in class maintenance and reliability performance.
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Figure #1 Robust Global Asset Management System Structure
As we transition from one stable operating domain (Figure #2) to another, we build stability by
engaging People, building Partnerships with our stakeholders, and implementing best in class,
robust and sustainable Processes.
Figure #2 Stable Operating Domains
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Building a Robust Global Asset Management System is not a program. Programs last 3-5 years,
cultural transformation last forever. Toyota has been implementing the Toyota Production
System (TPS) for over 50 years and still has not “Arrived”.
We continuously improve through an organizational structure that demands accountability and
sustainability. We target specific critical assets with aggressive deployment goals, objectives,
targets, and meet them.
Finally, we transform our culture to where best class maintenance and reliability performance is
an expectation, not the exception.
We have been building our risk based Robust Global Asset Management System for five years
and have seen a cultural shift toward an expectation of “Perfection is the Goal… but we will
settle for Excellence”.
People
People (Figure #3) are the hearts and minds of our Robust Global Asset Management System, the
implementers and sustainers.
Figure #3 People Structure
Stakeholders are People Too
The key to building a Robust Global Asset Management System is understanding the
stakeholder’s needs, desires and then defining them in terms of a Strategic Organizational Plans
and Objectives.
In many cases, our stakeholders live in a reactive world and need to be enlightened as to best in
class maintenance and reliability practices.
Our stakeholders come from across the enterprise, both internal, and external:
Stockholder
Corporate Senior Leadership
Corporate and Plant Leadership
Front line supervisors
Production planning
Process and manufacturing engineering
Maintenance and reliability engineering
Operators
Quality
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Internal and external customers
Federal, State and Local Regulators
Governance Structure
We start by creating a cross-functional Governance Structure (Figure #4) that includes corporate
and plant leadership, operations, engineering, and maintenance.
If we implement to fast, we risk becoming unable to sustain the system, and it fails. If we
implement to slow, we frustrate in the team.
Make the stakeholders part of the solution by engaging them in system development
Implementation plans must be vetted out and approved by all stakeholders
Engage the stakeholders in the system implementation
Execute a quick wins to captivate the team
Build a stability process to hold the gains
Figure #4 Cross-functional Governance Structure
Capturing the hearts and minds of the People
The Governance Structure builds a sustainable best in class maintenance and reliability
organization by answers one fundamental question.
“What’s in it for me (us)?”
To answer this question we implement a sustainable Change Management process (Figure #5):
Case for Change, Why do we need to change
Vision, What is best in class maintenance and reliability
Skills, What are the skills gap we need to address
Incentives, Aligned and personalized goals and opportunities, “What’s in it for me?”
Resources, The right resources in the right places
Action plans, Engage our people in the system
Change, What we want to accomplish
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Figure #5 Sustainable Change Management Process
Governance Structure Accountability and Responsibility
Next, we define the team’s roles and responsibilities in the form of a RACI document (Figure
#6).
Figure #6 RACI Definitions
Stakeholders
Stakeholders are “Consulted”. Their input into the system is critical to its sustainability.
Their contribution is to endorse the system and “Lead by Example”
They are the recipients or customers of our Robust Asset Management System
Stakeholders are “What’s in it for me?”
Corporate and Plant Leadership
The leadership team is “Accountable” or Champion the system. Leadership makes the final
decisions and has ultimate ownership of the system.
Their contribution is to endorse the system and “Lead by Example”
Leadership champion “What’s in it for me?”
Frontline Supervisors
Frontline supervisors are the forgotten stakeholders. They are “Responsible” for sustaining the
process, specifically, Total Productive Maintenance (TPM). Too many times, we fail to
recognize their contributions.
Because operators will look to them for encouragement they must have a deep
understanding and be fully supported by leadership
Frontline supervisors sustain “What’s in it for me?”
Operators
Operators are “Responsible” for implementing Total Productive Maintenance (TPM). They look
to their supervisors for encouragement, and support.
Operators implement “What’s in it for me?”
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Maintenance Technicians
Maintenance technicians are “Responsible” for implementing, supporting, or participating in
many of the attributes of the Robust Maintenance System. They look to their supervisors for
encouragement, and support.
Maintenance technicians implement “What’s in it for me?”
Maintenance Leadership
Maintenance leadership is “Accountable” for the execution of the Robust Global Asset
Management System and report up progress through the Governance Structure.
Maintenance leadership own the Robust Global Asset Management System
They define the system and “Lead by Influence”
Maintenance leadership executes “What’s in it for me?”
Maintenance Engineering
Maintenance engineering ensures that assets continue to fulfill their intended function through
efficient and effective preventative, predictive, corrective, and emergency maintenance.
Maintenance engineering and their cross-functional teams of maintenance technician, and
operators are “Responsible” for the elimination or mitigation of preventable failures
utilizing Reliability Centered Maintenance, Root Cause Analysis, and Failure Reporting
Analysis and Correctives Action System (FRACAS) and other Robust Asset
Management System tools
Maintenance engineering is “Accountable” for maintaining Reliability Centered
Maintenance (RCM), Failure Mode Effects Criticality Analysis (FMECA), and Root
Cause Analysis data through the Computerized Maintenance Management System
(CMMS)
The results are a reduction of unplanned downtime, improved performance, and overall
asset heath
Maintenance engineering ensures “What’s in it for me?”
Reliability Engineering
Reliability engineering and their cross functional teams of design and project engineers are
“Responsible” for Design for Reliability, utilizing the Reliability, Availability, Maintainability,
and Safety (RAMS) process.
Reliability engineers design “What’s in it for me?”
Maintenance Planners and Schedulers
Maintenance planners and schedulers are a subset of maintenance engineering, but are extremely
critical to the maintenance organization.
Maintenance planners and schedulers are “Responsible” for managing the CMMS and
scheduling preventive, predictive and corrective maintenance, and the Implementation of
Asset Management Plan
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Planners update the CMMS to reflect the Reliability Centered Maintenance (RCM),
Failure Mode Effects Criticality Analysis worksheets (FMECA), and lock in the
continuous improvement gains
The entire Governance Structure is “Responsible” for managing “Maintenance as a
Business”.
Strategic Organizational Plans and Objectives
Through the Strategic Organizational Plans and Objectives the Governance Structure defines,
measures, analyses, improves, and controls/validates (DMAIC) the capability and sustainability
of the entire Robust Global Asset Management System.
The Executive Champion defines the Goals and Objectives (Policy Deployment) and
cascades them through the Governance Structure to the Corporate and Plant Maintenance
Champions
Asset Management Policy
From the Strategic Asset Management Plans and Objectives, the Governance Structure develops
and defines the Asset Management Policy.
The team develops the vision, practices, policies, standard operating procedures (SOP),
direction and actively models these values inside and outside the organization
The Asset Management Policy can be developed using the plant safety or quality
policy as a starting point
Strategic Asset Management Plans
From the Asset Management Plans and Objectives, the Governance Structure develops and
defines the Strategic Asset Management Plans (Asset Rationalization).
Defines the strategic “Change”, we want to accomplish
Defines the critical few assets (asset rationalization), money-makers and money
takers we want to focus on
Asset Management Objectives
Finally, the Governance Structure defines the Asset Management Objectives including
responsibilities, accountabilities, performance targets, asset objectives, and tactics.
The Asset Management Objectives, incentives the system to achieve the Asset Management
Plans
Defines the tactical, “What” we are going to do to move from a reactive to a continuous
improvement domain
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Partnerships
A strong partnership (Figure #7) with all stakeholders defines the Risk Framework and Risk
Tolerance.
Figure #7 Partnerships Structure
What risks are the stakeholders willing to except if a specific asset fails to perform as
expected
If an asset fails, how will it effect sales/marketing (service levels), and finance
If an environmental control fails, how will it affect the environment or operations
When/how do we engage design and project engineering in Design for Reliability to
reduce critical asset failure risk
The strong partnership with all stakeholders defines the critical assets and supports the system.
With the support from our stakeholders we move from a reactive to a continuous
improvement domain
We work together to breakdown the informational and operational silos
Together we “Manage Maintenance as a Business”
We engage the stakeholders through cross functional teams such as Total Productive
Maintenance (operations), Design for Reliability (RAMS) or TPM Early Equipment
Management (design and project engineering), continuous improvement (operational
excellence), and Environmental, Health, and Safety (EHS).
Asset Management Plans
The Asset Management Plans defines the targeted assets and scope to achieve the Asset
Management Objectives.
Defines the asset specific strategic and tactical plans to achieve and sustain best in class
maintenance, reliability, and financial performance
Asset Management Plan can include (in order):
1. Predictive and condition based maintenance
2. Precision maintenance (maintenance prevention)
3. Schedule restoration
4. Scheduled discard
5. Redesign and reliability improvement opportunities
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6. Failure finding (preventative maintenance inspections)
7. Run to failure
Based on a risk assessment matrix and criteria (likelihood, consequence, and risk tolerance)
(Figure #8):
Drives the asset management decision making process, including business continuity
planning and contingency planning (what if)
Based on cause, effect, and likelihood of adverse events (failures) occurring, critical asset
failure risk is managed at an acceptable level
Then we can define the asset management plans that are necessary to address the risks
and/or opportunities
Figure #8 Risk Exposure
Implementation of the Asset Management Plans
The Implementations of the Asset Management Plan defines the time bound activities, and
resources required to achieve the Asset Management Objectives.
Defines the activities, resources and sustainability plans we deploy
Defines the “Who”, “When”, and “How” to move from a reactive to a continuous
improvement domain
Asset Performance Monitoring, Evaluation, Analysis and Improvements
Finally, we validate performance through Asset Performance Monitoring, Evaluation, Analysis,
and Improvements.
We validate that our asset management plans are meeting the stakeholders expectation
through the Plan Do Check Adjust (PDCA) process
Near
Certainty
E=0.9
0.9 1.8 2.7 3.5 4.5 Risk Level
Risk
Exposure
Highly Likely
D=0.7
0.7 1.4 2.1 2.8 3.5
Likely
C=0.5
0.5 1.0 1.5 2.0 2.5
Unlikely
B=0.3
0.3 0.6 0.9 1.2 1.5
Remote
A=0.1
0.1 0.2 0.3 0.4 0.5
Minimal Marginal Moderate Critical Catastrophic
1 2 3 4 5
Near
Certainty
E=0.9
1 Minimal
Highly Likely
D=0.7
2 Marginal
Likely
C=0.5
3 Moderate
Unlikely
B=0.3
4 Critical
Remote
A=0.1
5 Catastrophic
Little or no cost or schedule impact
Assessment Description and
Recommended Action
High probability of failure occurrence and
unacceptable consequence. Requires risk
mitigation plan
High > 2.5
Ensure means of control acceptable and
perform risk mitigation. Evaluate benefits of
additional risk mitigation
Medium 0.9 to 2.4
Events unlikely, NO failures associated with similar equipment
No workaround exists, high cost (>10%),
unacceptable impact to safety or scheduled
Risk Exposure
Risk Exposure = (Failure Probability) x (Event Impact)
Associated equipment has frequent failures
Able to maintenance same approach, low cost (<5%)
or schedule impact
Similar equipment as experience occasional failure
Workaround exist, schedule recoverable, moderate
cost (5-7%), potential impact to personnel safety
Isolated failure associates with identical equipment
Possible workaround with high cost (7-10%),
unacceptable impact to safety or schedule
Means of control acceptable. Minimal
oversight required
Low < 0.9
Failure Probability Event Impact Descriptions
Failure likely to occur under any operating condition
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The Governance Structure is Accountable for the implementation and sustainability of
the entire Robust Global Asset Management System
o This team relentlessly drives process standardization and best practices sharing
across the enterprise
Processes
Building Strategic and Tactical Roadmaps to Excellence
The Governance Structure is accountable for the development, implementation, and
sustainability of best in class maintenance and reliability strategic and tactical roadmaps to
excellence.
We start by benchmarking best in class process. We can accomplish this by hiring a consultant,
attending conferences, or benchmarking other facilities.
To create sustainable strategic and tactical best in class processes they must be:
1. Holistic
2. Robust and sustainable
3. Assignable (accountability)
4. Interactive and interrelated
5. Measurable and quantifiable through metrics and key performance indicators
6. Cultural transformational, moves from one stable domain to another
7. Transparent
8. Trainable
Strategic Roadmap
The Strategic Roadmap (Figure #9) defines the “Change” we want to accomplish
We want to move from a reactive to a continuous improvement domain
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Figure #9 Strategic Roadmap
Strategic Plan
The Strategic Plan (Figure #10) defines the processes or the “What”, we are going to implement
to move us from a reactive to a continuous improvement domain.
Figure #10 Strategic Plan
Tactical Roadmap
Finally, we develop our Tactical Roadmap (Figure #11) or Charter (figure #12), to define the
“Who”, “When”, and “How” we are going to move from a reactive to a continuous improvement
domain. We align the tactical roadmap with our RACI document to drive accountably and
responsibility.
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Figure #11 Tactical Roadmap
Figure #12 Tactical Charter
Governance
Structure
Operations
Maintenance
Engineering
Planner and
Schedulers
Predictive Team MRO Accounting
Phase Mode Organization TPM RCM CMMS PM/PdM Inventory Finance
FMECA Process
Developed (PMO)
Certified Planners and
Schedulers
MRO management
process
Asset hierarchy in
CMMS
Asset Criticality
Developed
II Proactive
Aligned Goals,
objectives, vision
TPM Steps 1 - 5,
Cleaning to Inspect
FMECA opportunities
implemented (PMO)
CMMS used for all
PM/CM/EM - No WO,
No Work
Reliability
Improvement Teams
Inventory in CMMS,
No WO, No Parts
Managed maintenance
spend, labor and
materials
III Predictive
Individual Develop
Plans (IDP), skills
development
TPM 1-6, Autonomous
Operations
FRACAS used to
predict failures, RCA
used to eliminate
failures
All historical data input
into CMMS
Predictive
maintenance
implemented
Technology Managed
Inventory
Maintenance spend
managed to the Asset
Level
IV Precision
Total Process
Reliability owned by
process champions
TPM 1-7, Continuous
Improvement led by
process champions
Advanced FMECA,
FRACAS and RCA
integration (RCM)
Labor driven
standardized KPIs,
metrics and reports
Precision
Maintenance, and
Reliability Centered
Lubrication
Parts Kitting for PM
and CM
Proactive maintenance
budgeting process
V
Strategic,
Tactical
Total Process
Reliability owned by
entire facility
TPR, Autonomous
management
Reliability Centered
Design (RAMS/TPM)
CMMS drives
maintenance as a
business
Predictive
maintenance systems
drives maintenance as
a business
Parts cost reduction
and inventory
reduction
Proactive maintenance
budgeting process to
the asset level
Global Asset Maintenance System Tactical Roadmap
I Reactive
FMECA opportunities
Identified (PMO)
FMECA process
identifies PdM,
Precision, and
Lubrication
opportunities
Corporate and Plant
Governance Structure
TPM Steps 1- 3,
Standards and
Training
Asset bill of materials
Understand
Maintenance
budgeting process
Functional Disciplines
Accountability
LeanMaintenance
Training and Skills Development
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Conclusion
We engage our People by implementing and sustaining a Robust Global Asset Management
System through the Governance Structure.
The Governance Structure defines who we are as a maintenance organization and how we
operate
Aligns the Organizational Plans and Objectives, Asset Management Plans, and Asset
management Objectives
Defines “What’s in it for me” and incentives the system
We build a strong Partnership with our stakeholder and define our Risk Framework and Risk
Tolerance.
We identify the critical few assets, our money-makers and money-takers
With the support of our stakeholders, we move from a reactive to a continuous
improvement domain
We engage our People and Partners through Strategic and Tactical Processes
Total Productive Maintenance (operations)
Design for Reliability (RAMS), Early Equipment Management (design and project
engineering)
Continuous improvement (operational excellence)
Environmental, Health, and Safety (EHS)
Reliability Centered Maintenance (RCM)
Failure Mode Effects Criticality Analysis (FMECA)
Root Cause Analysis (RCA) and Failure Reporting and Corrective Action System
(FRACAS)
We continuously improve through the Governance Structure, and demand accountability and
sustainability.
We target specific critical asset with aggressive deployment goals, objectives, and targets and
meet them.
With the engaged people and a strong partnership, we implemented and sustained best in class
process that resulted in increase Overall Equipment Effectiveness (OEE) (Figure #13), reduced
unscheduled downtime (Figure #14), and scrap rate (figure #15).
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Finally, we transform our culture to where best in class performance is an expectation and
manage maintenance as a business, “Perfection is the Goal… but we will settle for Excellence”.
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Appendix 1 Process Strategic Plan Definitions
From the Strategic Plan (Figure #16) we define each maintenance and reliability process element
and the expected performance improvements. This standardizes the process and eliminates the
check the box mentality.
Figure #16 Strategic Plan
Level 1: Governance Structure: Organization and Leadership
The Governance Structure is accountable for the development, implementation, and
sustainability of best in class maintenance and reliability strategic and tactical processes.
Through Aligned Goals and Objectives we incentivize our People
Build Partnerships to define our critical few assets through asset rationalization, the
money-makers and money-takers
Conduct assessments and value stream mapping exercises to measure our gap to best in
class performance
Through the catch ball (feedback loop) process, optimize our system continuously
Level 2: Computerized Maintenance Management System Utilization, Optimization, and
Work Management
CMMS
Identify all assets, sub-assets, and locations in the CMMS using a standardized hierarchy (ISO
14224).
The CMMS is highly interrelated with Reliability Centered Maintenance, Root Cause
Analysis (RCA) and Failure Reporting and Corrective Action System (FRACAS)
Historical data is input, managed and Pareto’d through the CMMS (Labor, MRO, Root
Cause, and Downtime)
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The historical data is used to make replace or repair decisions (life cycle cost) and drive
asset management continuous improvement
Resources and Discipline
The maintenance leadership must be certified professionals. Externally recognized certification
brings credibility to the team.
Every facility should have Certified Maintenance and Reliability Processional (CMRP),
Certified Maintenance and Reliability Technicians (CMRT), Certified Lubrication
Engineers and Technicians, Certified Professional PM Planners (UMUG), and Certified
Predictive Maintenance technicians
Planning and Scheduling
PM planners and schedulers are responsible for the preventative, autonomous, predictive, and
corrective maintenance.
All activities scheduled at least four weeks in advance
Planning and scheduling includes, estimated resources (labor and crafts), MRO parts
(kitted) and tools in advance of the maintenance activity
Metrics
The organization defines the type of behaviors and actions expected before implementing any
metrics. Metrics must be link to the Strategic Organizational objectives thereby validating the
execution of the strategy and tactical plans, “You are what you measure”.
Three key points about metrics:
1) Measure Everything
Strategic and Tactical Asset Management Plans must be measurable and quantifiable
There must be a correlation to the strategic (what), tactical (how) and the
operational results
Execution must be a priority and reviewed weekly to demonstrate criticality
o The speed at which organization executes the strategic objective is
proportional to the frequency of the reviews
Metrics are used to identify patterns, monitor system performance, and drive
continuous improvement, they are the lagging indicators of the Robust Global
Asset Management System
Process implementation is the leading indicator of the Robust Global Asset
Management System
2) Assign Everything
Use the CMMS system to assign everything and hold the owner accountable
No shared responsibilities, then “nobody” does it
Clear and consisted deliverables, fixed dates, and performance metrics to the
lowest manageable level
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3) Transparency
Review the plans, goals, objectives, metrics, and implementation progress weekly. Share
down to the maintenance technician and operator level. This support “What’s in it for
me?”
Preventative and Corrective Maintenance
All preventative workorders are compliant with NASIC standards, North American Industry
Classification System.
All work is planned at least four weeks in advance
All workorders are completed by the person(s) doing the work and historical data is
added, labor, craft, MRO, downtime
Create all corrective (repairs) workorders as related workorders.
This measures the effectiveness of the preventive maintenance system
All work is planned at least four (4) weeks in advance, where possible
All workorders are completed by the person(s) doing the work and historical data is
added, labor, craft, MRO, downtime, root cause
Corrective workorders are reviewed to determined root cause and corrective action
MRO Inventory Strategy
All MRO parts are issued and managed through the CMMS; stock, non-stock, and order on
request.
A workorder is required to obtain any MRO parts
Critical spare parts identified and managed (ABC Analysis)
Parts cost is tracked to the asset or sub-asset level.
MRO spend is review weekly
Asset (MRO) bill of materials are validated for accuracy
Management Engagement
Operations management must have a balance approach, focusing on both the inputs
(maintenance) and outputs (productivity and quality).
Focusing on one or two will result in overall poor performance. Overall Equipment
Effectiveness (OEE) is a three-legged stool, Quality, Productivity, and Availability.
A traditional manager tries to manage production by manipulating the results
o This is like driving while looking through the rearview mirror (output focused)
The lean manager, manage the means (inputs)
o The process itself actually leads the results
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Reliability Centered Maintenance (RCM)
Reliability Centered Maintenance is highly interrelated with the CMMS, Workorder Execution
and Review, Preventative Maintenance Optimization (PMO), MRO Inventory management, Root
Causes Analysis (RCA), Total Productive Maintenance (TPM), Maintenance and Reliability
Kaizens, Failure Reporting and Corrective Action System (FRACAS) and Design for Reliability
(RAMS).
Using a standardized Reliability Centered Maintenance process, review all production, auxiliary,
and facilities asset management plans.
Verify compliance with NASIC standards, North American Industry Classification
System
Increase the value add tasks, identify and eliminate non-value tasks,
Identify and eliminate or mitigate preventable failures (plan for every failure)
Identify MRO parts (plan for every part), Asset Bill of Material, Critical Spare parts
(ABC analysis), Max/Min adjustments, order on request
Identify specialized tools
Identify Predictive maintenance (PdM) opportunities
Identify schedule discard/restoration (FRACAS) opportunities
Identify redesign and reliability engineering opportunities
Defined TPM (evident failures) activities
Define run to failure components (plan for every failure)
Total Productive Maintenance
Total Productive Maintenance (TPM) is defined as focused, self-directed, cross-functional teams
working together to improve the overall equipment effectiveness (OEE) of assets and processes
within their work area.
TPM teams with the support of the front line supervisor, maintenance, and engineering,
independently (autonomous) maximize the asset reliability through data collection and
continuous improvement that eliminate or manage the seven (7) major losses
TPM teams are engaged in advance asset care, cleaning and housekeeping, lubrication,
basic troubleshooting setup and adjustment, changeover (SMED) and basic repairs. The
team require minimal support from maintenance and other team members (true
autonomous)
Frontline Supervisors supports the team and are “Accountable” for sustainability and
team performance
An audit process validates process compliance and sustainability
Total Productive Maintenance 7 Steps
1. Develop and train cleaning, lubrication, repairs, troubleshooting, workplace
organization, housekeeping and visual factory standards
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Team developed, Rules Before Tools
2. Train and implement autonomous workplace organization and housekeeping practices
and standards
3. Advance training for preventative maintenance, inspections and CMMS
4. Implement standardized deep cleaning to inspection
5. Eliminate sources of contamination and inaccessible areas
6. Implement advanced autonomous maintenance (AM), inspections and repairs (basic
repairs. trouble shooting, lubrication, setup, adjustments and changeovers)
standardized through the CMMS
7. Conducts advance continuous improvement kaizens (Operator Led Reliability, OLR)
Workorder Execution Review
Conduct weekly preventive, predictive, corrective, and emergency maintenance post mortems
with the objective to determine the effectiveness and efficiency of the asset management plans,
frequency, and resources (labor).
Identify maintenance and reliability continuous improvement opportunities
Optimize and improve the Asset Management Plans, Plan, Do, Check, Adjust (PDCA)
Preventable failures identified and elimination/mitigation action plans put in place
through the Reliability Centered Maintenance (RCM) and Management of Change
(MOC) processes.
Level 3: Asset Maintenance and Reliability Engineering
Predictive Maintenance
Predictive (PdM) maintenance is the integration of technology and tools to measure the health of
the assets. Predictive maintenance tools can identify potential failures before they occur (ISO
13372).
Related corrective maintenance workorders, observational workorders written and
tracked to rapid completion
Reliability Improvement Team (Reliability Kaizens)
Through the Robust Global Asset Management System toolset, we identify maintenance and
reliability continuous improvement opportunities and quickly complete Kiazen events to
eliminate or mitigate the risk of failure.
Root Cause Analysis (RCA)
Root cause analysis is the immediate reaction to a preventable failure occurrence that meets the
trigger (Figure #17).
Using standardized root cause analysis processes, we identify the failures latent root
cause and implement elimination/mitigation action plans through the Management of
Change (MOC) process
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Figure #17 Root Cause Analysis Reaction Tree
Root Cause analysis is highly interrelated with the Computerized Maintenance Management
System (CMMS), Reliability Centered Maintenance, Preventative Maintenance Optimization,
Reliability Kaizens, and Failure Reporting and Corrective Action System (FRACAS).
If we fail to conduct thorough failure root cause analysis, corrective maintenance
becomes a simply a parts changing exercises, and preventable failures occur and reoccur
(run to failure)
We cannot simply install new components; we must identify and implement the
appropriate countermeasure to prevent reoccurrence
Precision Maintenance
Precision maintenance is the integration of technology and tools to optimize component life,
maintenance prevention. Utilize precision maintenance tools where appropriate to eliminate
potential failures.
Precision lubrication includes calculated volume, frequency, and lubricant type
o Each point has visual factory labels in place to drive error proofing
Precision maintenance includes shaft/pulley/coupling alignment, precision measurement,
and precision leveling
Root Cause Failure Analysis (Advanced RCM)
Reliability Centered Maintenance (RCM) (Figure #18) is the cultural transformation where we
will not accept preventable failures.
Reliability Centered Maintenances is not “set it and forget it”, it is evergreen
When failures occur, we complete a Kiazen to quickly (nimble process) adjust the asset
management plans to eliminate the failure (PDCA)
We complete yearly failure reviews to identify and eliminate preventable failures that
have occurred
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Figure #18 Reliability Centered Maintenance Process Flow
FRACAS (Failure Prediction)
FRACAS (Failure Reporting and Corrective Action System) is highly interrelated with the
Computerized Maintenance Management System (CMMS), Root Cause Analysis, and Reliability
Centered Maintenance.
The CMMS records all asset component failures and their root cause. Over time, normal
wear failures can be tracked and trended
Once failures are predictable, we move to scheduled replacement, scheduled repair
maintenance
Level 4: Resource Effectiveness and Efficiency
Wrench Time Analysis (Labor Utilization)
Wrench time analysis is a Kiazen event focused on measuring and improving maintenance
wrench time or labor utilization.
Using the CMMS to measure labor utilization can be deceiving since non-value activities
are included
Visual observations and discussion is the best method for measuring wrench time
o Take care to avoid the Hawthorn Effect
Craft Skill Enhancement
The maintenance and reliability organization must map its available resources to the planned
activities to determine the skills gaps.
Use the gap analysis to develop Individual Development Plans (IDP) for the affected
maintenance team members, hourly and salary
The entire organization must have appropriate awareness of the Robust Global Asset
Management System
o Tailor the awareness training to the role and relationship to the organization
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Optimized Work Flow (Future State Value Stream Map)
Implement the future state value stream processes. Develop a new future state map.
The process results in improved maintenance process flow and reduction in Mean Time
to Repair (MTTR)
Life Cycle Analysis
Understanding the Life Cycle Cost or Total Cost of Ownership (TCO) is critical to all phases of
an assets life.
Acquisition and Creation
We engage our reliability engineers and cross-functional team of design and project
engineers in the Reliability, Availability, Maintainability, and Safety (RAMS) process
The objective is to acquire and install long-term cost effective assets
o It may not be the lowest initial cost
Utilization and Performance
We engage our process engineers and operators (TPM) to optimize performance of the
asset throughout its life cycle
Maintenance
We engage our maintenance engineers and operators (TPM) to ensure that assets continue
to fulfill their intended function through efficient and effective preventative, predictive,
autonomous, corrective, and emergency maintenance
Disposal and Replacement
Finally, we dispose of an assets once the cost of operations and maintenance exceeds its
replacement asset value (RAV), deprecation value or its useful life is reached
At each stage of the process, we make informed asset investment decisions based on data;
balancing risk, opportunity, performance, and life cycle cost.
Level 5: Reliability Centered Design
Engineered Reliability, Design for Reliability (TPM - Early Equipment Management)
Reliability, Availability, Maintainability, and Safety (RAMS) is a symbiotic relationship
between the OEM supplier and the facility. Build the process on proven best in class practices,
failure data sharing, and trust. Design and install assets for ease of maintenance and reliability.
Level 6: Total Process Reliability, Maintenance as a Business, Performance Culture
Total Process Reliability is the effective control and governance of physical assets through a
managed risk and opportunity maintenance structure resulting in:
Improved financial performance – ROI and cost reduction without sacrificing short or
long-term performance
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Informed asset investment decisions – informed investment decisions that balances cost,
risk, opportunity, performance and life cycle cost
Managed risk – Reduced financial losses, improved safety, good will and reputation,
minimized environmental impact (RCM and Risk Based Maintenance)
Engagement - Aligned and engaged people, and partnerships to support and sustained
best in class processes
The end state is a cultural transformation where the entire enterprise is accountable and
responsible to achieve best in class maintenance and reliability performance.
Contact information
Dale Uitto, CMRP, REC, Dale.uitto@yahoo.com
Andrei Dynnik, CMRP, dag959@yahoo.com
Key Words: asset management, autonomous maintenance, culture change, critical equipment,
partnerships, process, people, governance structure, TPM, critical assets, culture, definitions,
roadmap, tactical, strategic, maintenance strategy, maintenance vision, maintenance
management, maintenance process, reliability centered maintenance, risk based maintenance
