Julio Nascif - Improvement on Maintenance Performance

7/28/2019 Julio Nascif - Improvement on Maintenance Performance

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TECM Tecnologia Empresarial Ltda - www.tecem.com.br - AUGUST 2011

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IMPROVEMENT ON MAINTENANCE PERFORMANCE

Jlio Nascif

1 CHANGING AND IMPROVEMENT

The words CHANGE AND IMPROVE are more and more used at organizations.To occur IMPROVEMENT, CHANGE is needed. But not always CHANGE meansIMPROVEMENT. Sometimes a change can worsen a situation or results.Throughout time, man constantly seeking an improvement. This means seeking toovercome challenges, improve quality of life, produce goods with higher technology, amongothers. Some examples illustrate the improvement obtained over time.Figures 1 and 2, shows a Ford assembly line in 1920 and Fiat's Brazil in 2011, respectively.

Figure 1 (1) Figure 2 (2)

The graph in Figure 3 shows the evolution of time to swimming freestyle 100 m for men

and women, between 1900 and 2010.

Figure 3

Jlio Nascif, mechanical engineer, CEO ofTECM TECNOLOGIA EMPRESARIAL LTDA, coauthor of Maintenancebooks (see bibliography).


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Pgina | 2In both cases it appears that a considerable improvement occurred when comparing thetwo extreme dates, i.e., a sum of improvements that occurred during the intervalconsidered.

2GLOBALIZATION, COMPETITIVENESS AND THREATS

Globalization is a process of interaction and integration among the people, companies andgovernments of different nations, focused on international trade and investment,supported by information technology. It is considered that began in the 80s, withintegration into the global economic and financial relations, with United States of Americaas the dominant polo.On the positive side, globalization has brought the commercial and cultural exchange. But ithas also brought, as a negative point, an interdependence in which developed countries arebetter served accentuating the economic "gap" between them and the poor countries.This phenomenon is irreversible and, for Brazil, had the following consequences, amongothers:

-Increased external vulnerability in the economic market-Increases in imports resulting in reduction of the balance or deficit-Threat of deindustrialization of the country

At the same time that threats are present, it is necessary to face the situation taking from itthe lessons that turn these threats into opportunities.In a country that has a considerable consumer market, natural resources and enviableweather, we must induce a culture that privileges the increased competitiveness ofdomestic enterprises aided by a more concrete support from the government in the area ofinfrastructure that currently is inadequate.

According to Porter, the competitiveness is the result of skill or knowledge acquired talentcapable of creating and sustaining superior performance developed by competitors. Also,according to Porter, the concept that underpins competitiveness is productivity, sincemarket share is the capacity that organizations must achieve higher levels of productivityand increase it over time.

The competitive advantage of any organization has its origins in basic activities, but shouldbe developed in all areas of the organization, i.e., operation, logistics, maintenance,services, management, infrastructure, technology / innovation and supply chain. However,in the most of companies, the basic is not well done.

THE BEGIN DO THE BASIC WELL DONE

Increasing competitiveness is a goal that should be part of the management process inorganizations.


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Pgina | 33 - IMPROVING PERFORMANCE

On a business level, the improvement in performance is necessary for companies to: Be more productive Be competitive

Obtain better results Remain on the market (to survive)

IMPROVE THE

PRODUCTIVITY

IMPROVE THE

COMPETITIVITY

IMPROVE THE

RESULTS

SURVIVE

Figure 4

The Performance Improvement (Business Performance Improvement), which is part of themanagement process of the organization, implies the adoption of a consistent policy thatsum the coordinated efforts of all segments and collaborators.

Such programs should be shared by service providers (third party) since its outcome willinfluence the outcome of the Organization (contractor).Moreover, this policy is a PERMANENT goal for the company. The improvement may have a

date to start but no end date.

.

Figure 5

The benchmarking practice, which consists in seeking, understanding and adapting bestpractices that exist within and outside of organizations, can ensure and sustain competitiveadvantages. This process led by senior management of the organization, requires a

MANAGEMENT

Coordinated efforts of all

segments andcollaborators.

Own staffOutsourced

staff

Permanent process


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Pgina | 4constant pro-active attitude and a systemic approach that is part of an organization'spolicy, i.e. a continuous and dynamic process of change and performance improvement.

This policy should establish business excellence as a paradigm for the organization.

The process of improving the performance aligns all segments of the organization aroundthe guidelines established by top management while allowing the treatment of theinterfaces between the various segments (areas or departments), that in many companies,constitutes an obstacle to the achievement of results. Thus, regardless of individual effortsof the Maintenance and of Supplies Chain to achieve excellence, the interface betweenthese two segments should be analyzed and treated so that significantly reduce oreliminate wear points, friction and that negatively impact the company's bottom line.

Figure 6

4 IMPROVEMENT ON MAINTENANCE PERFORMANCE

Ensure the availability and reliability of assets to meet a production program or service withSafety, Environmental Preservation and Appropriate Costs is the mission of Maintenance.Maintenance is a strategic role in organizations provided that:

There is no production without maintenance The performance of maintenance directly impacts costs and profits The performance of maintenance can impact the environment and safety

Thus, as the better the performance of maintenance better will be the results of theOrganization.In the process of improving performance in maintenance it is necessary:

Develop an Action Plan aligned Organization guidelinesP Implement the Action Plan acting according to the best practicesD Make periodic internal and external checks (audits) for analysis of compliance and the

adequacy of the plan of action.C Make corrections detected in the verification phase.A

The application of best practices is the natural way to achieve excellence or World ClassMaintenance. Companies where there is a structured program of maintenance, set goals

MAINTENANCE

HUMAN

RESOURCESFINANCIAL

ENGINEERING

ADMINISTRATION

SUPPLY CHAIN

OPERATION

GOAL

COMPANY


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Pgina | 5for improving the utilization of assets grounded in the application of best practices andcontrolled by (few) representative indicators.

Figure 7

4.1 BEST PRACTICES

Best practices are those chosen as those that produce the best results if properly applied.Some of the best practices in the management of routine maintenance are: Failure Analysis Integrated action with Operation and Engineering Emphasis on Predictive Maintenance and Inspection Applying the technique Preliminary Analysis of Risk (safety services)

Critical analysis of service requests prioritizing services that impact the availability andreliability of assets

Critical analysis of annual maintenance plans (predictive, preventive, lubrication,inspection)

Practice of multifunctionality and versatility, adding tasks that add productivity to theservice (for its own personnel and contractors)

Outsourcing, whenever possible, by results Application systematized (and enforcement) training programs for staff Implementation of programs for internal and external audit as a tool for assessment and

dissemination of best practices Adoption of the practice of TPM - Total Productive Maintenance with emphasis on

Autonomous Maintenance. Development and use of procedures for key jobs Integration between Maintenance and Supply Chain

The best practices are widely known by maintenance personnel; everyone agrees that yourapplication is factor in improving outcomes and that companies that apply are better off inthe market. However, a significant number of professionals or businesses do not applythem.

BEST PRACTICES Not enough to know. We have to apply them.

Current

Situation

DesiredSituation

Action

Plan

Best Pratices

Auditing

P

DC

A

TIME

RES

ULTS


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4.2 A CRITICAL ANALYSIS OF PROCESS

Figure 7 shows that the improvement process includes turning the PDCA which is nothing

more than the fulfillment of four phases - P, D, C, A.

To improve, not enough plan and execute. We have to make CRITICAL ANALYSIS process

comprising the steps of CHECK (C) and ACT (A).

While in phase C analysis is done, in phase A are proposed improvements (or ACT).

A process or an activity / service may remain unchanged for 30 years, always being planned

and carried out the same way. This can happen in the review of equipment, maintenance

shutdowns or turnarounds, in a particular operation or implementation of preventive plans for

a press, for example. If there is no questioning the results will be the same, always.

The question of how it is done and if you can improve them, is carried out in the verification

phase (C). Once established new way (better) a service is planned and / or executed, we get an

improvement.

The improvement can occur:

At runtime service

In order to provide the service

In personal safety

In the previous planning service

In staff training, among other

Improvements may include also several factors simultaneously. That is, there may be

improvement in runtime, personal security and advance planning, for example.

The application of critical analysis (C + A) will not be made for all maintenance services, but

should focus on those considered most important, most critical or have greater impact on the

results. The important thing is to adopt this procedure.

While in phase C is analyzed, in phase A are proposed improvements (or fixes).

A process or an activity / service may remain unchanged for 30 years, always being planned

and carried out the same way. This can happen in the review of equipment, maintenanceshutdowns in a particular operation or implementation of preventive plans a press, for

example.

If there is no questioning the results will be the same, always.

The question how it is done and if you can improve, is carried out in the verification phase

(C). Once established new way (better) a service is planned and / or executed, we get an

improvement.


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Pgina | 7The improvement can occur:

At runtime service

In the way to or perform the service

In personal safety

In the previous planning of service In staff training, among other

Improvements may include, also, several factors simultaneously. That is, there may be

improvement in runtime, personal security and advance planning, for example.

The application of critical analysis (C + A) will not be made for all maintenance services, but

should focus on those considered most important, most critical or have greater impact on the

results. The important thing is to adopt this procedure.

The improvement occurs in steps. Every time you complete the rotation of PDCA climbed arung on the ladder of improvement.

Figure 8

The following example illustrates what was written above:Be a tower in a chemical plant during a maintenance shutdown, which occurs every threeyears, should be inspected and undergo repairs in both - the internal and external sides.

Figure 9 shows the assembly of scaffolding inside the tower so that the service is performedfrom top to bottom. Only a front of service is possible in this configuration. Suppose thetime to perform the maintenance, according this procedure, is 15 days.

Actual performance level

results

time

CONTINUOUS IMPROVEMENT PROCESS


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TECM Tecnologia Empresarial Ltda - www.tecem.com.br - august 2011

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Figure 9 Figure 10

Figure 10 shows a change in the way you perform the service, applied after critical analysisconducted by the Planning and Specialists.Now, three separated ambient have been created in which different services can bedeveloped simultaneously. The steel plate, supported on brackets that remain on the towerto be used in the next stops, ensures that objects do not fall on workers below it.Thus, three fronts for the service may occur simultaneously, safely and time spent will be 5days.The Gain in 10 days on the equipment delivery, contributes to increase plant availability.

Figure 11

This type of solution, derived from critical analysis by maintenance professionals, adoptedfor service in the tower, can be applied to other types of equipment keeping thecharacteristics and circumstances in each case.

Chapa separadora

de ambientes

steel plate to create

two separate ambients


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Pgina | 94.4 INDICATORS

The essence of process benchmarking is the comparison of the indicators and theimplementation of best practices.The indicators enable the company to monitoring the progress of their improvement

process at the same time, comparing with excellent companies; establish the goals neededfor market share.

In Maintenance, some key indicators of the process should be permanently controlled andcompared with other excellent companies.Among other highlights are: Availability Maintenance Cost / Gross Sales Maintenance Cost / Estimated Replacement Value (E R V) Backlog Rate of rework

Productivity of Maintenance Labor Rates of compliance with maintenance scheduling Maintenance percent of corrective, preventive and predictive.

The table in figure 12 shows some indicators of maintenance with the average valuesconsidered benchmark.

Figure 12

Indicator (Metric) medium values

Availability (continuous processes) 98%

O E E (continuous processes) 95%

Scrap rate 50 - 100 ppm

Unavailability due to maintenance < 5%

Maintenance costs / E R V 2-3%

Inventory cost / E R V 1 - 2%

Maintenance costs / Production Costs 7 - 30%

Worker per Supervisor 8 to 12

Workers per Planner 20 to 30

Maintenance costs / gross sales $ 2 - 8%

Labor Cost / Gross sales $ 0,5 - 2,5%

Maintenane inventory cost / gross sales $ 0,8 - 1,6%

Planned work > 80%

Preventive Maintenane plan compliance > 90%

Maintenance Schedulling compliance > 90%

PM + PdM hours / Total of hours > 55%

Emergencial (Corrective) Maintenance/Total of hours < 10%

Absence < 2%

Overtime < 5%

Backlog 2-5 weeks

Training spend / worker 1 - 3 K$

Training hours by worker by year 60 - 90 h

Worker turn over < 2%

Manufacturing Performance

Based on actives value

Staff

Based on sales

Maintenance Performance


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5 CONCLUSION

The improvement on Maintenance Performance is part of the company's overall

improvement in the pursuit of excellence.

What is sought in this process?

Eliminate activities that do not add value to the company's results.

Work in a structured joining effort of all

Work in a coordinated way to obtain the best result

To ensure repeatability and sustainability

Go beyond the indices (results) international

Using all this as a competitive advantage

But to achieve improved performance requires some assumptions:

PERSEVERANCE

DISCIPLINE

FOCUS, because

Figura 13 (3)

THIS DISPUTE is PERMANENT!


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Bibliografia:1 Manuteno Orientada para Resultados Julio Nascif e Luiz Dorigo. Editora Qualitymark, Rio de Janeiro, 2009.2 Manuteno Funo Estratgica Alan Kardec e Julio Nascif Ed. Qualitymark, Rio de Janeiro, 3 edio, 20093 Petrobras Regap Planejamento de Paradas de Manuteno. 20054 Competitividade Michael Porter, 1979 /2001 diversos.

Photos credits:(1) Ford Model A Assembly Line, 1928, source Wikimedia Commons- File:Literary Digest 1928-01-07 Henry Ford Interview 2.jpg

(2) 11/04/2012 Carros do lvaro - Montadoras investiro US$ 22 bilhes at 2015, segundo presidente da Anfavea(3) 22 de Julho 2011, 13:12 SAPO.MZ Jogos Africanos - http://jogosafricanos.sapo.mz/noticias/atletismo/
http://carrosdoalvaro.blogspot.com.br/2012/04/montadoras-investirao-us-22-bilhoes-ate.htmlhttp://carrosdoalvaro.blogspot.com.br/2012/04/montadoras-investirao-us-22-bilhoes-ate.htmlhttp://carrosdoalvaro.blogspot.com.br/2012/04/montadoras-investirao-us-22-bilhoes-ate.html

Julio Nascif - Improvement on Maintenance Performance

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