Closing the Gap between Technology and Results · 2019-10-11 · First-line supervisors/managers of...

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Closing the Gap between Technology and Results Christer Idhammar Founder IDCON INC Raleigh NC USA www.idcon.com Copyright IDCON INC 1

Transcript of Closing the Gap between Technology and Results · 2019-10-11 · First-line supervisors/managers of...

Page 1: Closing the Gap between Technology and Results · 2019-10-11 · First-line supervisors/managers of mechanics, installer and repairers 27 825 6.5 Security guards & gaming surveillance

Closing the Gap between Technology and Results

Christer Idhammar

Founder

IDCON INC

Raleigh NC

USA

www.idcon.com

Copyright IDCON INC 1

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“KNOCKING BOLTS”SIX DECADES IN THE GLOBAL RELIABILITY AND

MAINTENANCE MANAGEMENT ARENA

Christer Idhammar, IDCON INC

Copyright IDCON INC 2

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3Copyright IDCON INC

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Where Christer started 1960

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Merchant navy 1961 - 1968

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Christer Idhammar

1968 – 1985 Reliability and Maintenance consultant based in Sweden.

1985 – Reliability and Maintenance consultant based in USA.

Chemical, Steel, Mining, Automotive, Power, Pulp, Paper, Food, Wood, Utilities… in 52 countries.

They all believed they were unique.

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Tom Odden - Senior Maintenance Consultant

Bsc Mech.Eng.

HIV Vestfold University

BI Norwegian Business School

Professional History

Officer , Norwegian Army

Project Engineer

Mechanical Engineer

Manager, Technology development

Task Force Manager

Project Manager

General Manager

Senior Technical Consultant

Management Consultant

Industry History:

Manufacturing company

Service Industry

Oil & Gas Rigs Offshore

Oil & Gas Tank Terminals

Drilling Rigs Offshore

Drilling Rigs Onshore

Gas Turbine Power Plants

IDCON, INC since 2011, heading IDCON Scandinavia

International Experience:

Sweden, Denmark, Netherland, Germany,

Estonia, United States, Canada, Jordan,

UK, Kazakhstan, Sierra Leone, Russia,

Turkey, South Africa

Hydro Power

Pulp & Paper

Marin Installations

Iron Mining

Gold Mining

Fertilizing Industry

Petro ChemicalThey all believed they were unique.

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IDCON INC

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Established in Sweden 1972

USA 1985.

50 Consultants and Associates

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IDCON INC – International presence

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Quebec

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What we do

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IDCON Mission

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To help our Clients improve

Overall Reliability and Lowering

Manufacturing and Maintenance Costs.

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What is new?

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Once built, aqueducts had to be maintained and protected. The city of Rome at one time employed about 700 maintenance

personnel for this purpose. The excellent planning of the old Romans ensured that maintenance requirements were incorporated into the design.For instance, underground sections of the aqueducts were made accessible by means of manholes and shafts. When major repairs were needed, engineers could temporarily divert the water awayfrom a damaged section.

Credits: Graphics by Tom Kington and Doug Stevens.

First known book on Maintenance Management.

“De Aquaeductu Urbis Romae”by

Sextius Julius Frontinus AD 97.

• Site visits• Documentation• Inspections• Daily meetings• Work preparation• Preventive Maintenance

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1975 $455,000 in 2019 $

Today $245

How to manage maintenance has not changed.

Technology has changed and is today much better

and more affordable.

MEPA 10. 1970. $34,000 in 2019 $

2019 SPM Leonova Emerald $9,300 in 2019 $

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2008 $9,800 in 2019 $

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IoT

Cognitive Maintenance

MIoT

4.0, 5.0?RIoT

IIoT

MDC Mass Data Collection

Is your organization ready?

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“The first rule of technology used in a businessis that automation (New technology) applied to an efficient

operation will; magnify efficiency.

The second is that automation (New technology) applied to aninefficient operation will magnify the inefficiency”

Bill Gates.

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Prevent Inspect Schedule Execute ImprovePlan

Implementation of better Preventive Maintenance and Work Management processes

This chain must not be broken

PreventiveMaintenance

CorrectiveMaintenance

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Results

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US Fatal Injury Rate*

Unplanned Repair(OTB)

CommentsOccupation

Total Fatal Injuries

Total hours worked

(millions)

Fatal Injury Rate

Fishers/related fishing

workers38 50 152.0

Industrial machinery

installation repair &

maintenance workers98 926 20.7

Maintenance and repair

workers (general) 68 674 19.6

Firefighters 23 801 3.2

Average 4,690 255,948 3.6

*per 200 million hours worked/ 100,000 FTE Workers

A Maintenance Worker has a 6x higher risk of fatal accident than a firefighter! And 50x higher risk than an office worker

Source: Bureau of Labor Statistics – US Dept. of Labor

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US Fatal Injury Rate*

Planned Repair(CBM)

Unplanned Repair(OTB)

CommentsOccupation

Total Fatal Injuries

Total hours worked

(millions)

Fatal Injury Rate

First-line

supervisors/managers

of mechanics, installer

and repairers

27 825 6.5

Security guards &

gaming surveillance

officers52 1,838 5.7

First-line

supervisors/managers

of production and

operating workers

37 1,500 4.9

Average 4,690 255,948 3.6

*per 200 million hours worked/ 100,000 FTE Workers

A Maintenance Supervisor has an 80% higher risk of a fatal accident than average and 33% higher risk than Production Supervisor

Source: Bureau of Labor Statistics – US Dept. of Labor

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A Reliable Plant is Safer Plant

Inju

ry R

ate

per

100

FT

E

% Maintenance Schedule Compliance

60 70 80 90 100

Source: Ron Moore RM Group

5

4

3

2

1

0

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Reactive maintenance causes more downtime and safety incidents

Top 25% Middle 50% Bottom 25%

Reactive Maintenance 9% 30% 64%

OSHA Recordable Incident Rate.(Per 200,000 Hours)

0.11 1.16 4.36

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Reference: 2015 study of over 100 companies by University of TennesseeReliability and Maintainability Center. (UT-RMC)

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Reactive maintenance and cost as a % of Estimated Replacement Value. (ERV)

Reactive Maintenance 9% 19% 47% 64%

Maint. Cost % of ERV 2% 3,60% 9,20% 13,30%

Source Efficient Plant Magazine February 2018 University of Tennessee column

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Reactive maintenance causes more wasted time

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Reactive Maintenance

Wasted Time Total Wasted Time

70% 60% 42%

10% 60% 6%

Improvement 36%

50% success rate Improvement = 18%

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Reliability Performance examples based on 8760 available hours per year

MachineReliability

Quality x TimeLiquid packaging three layers 82% - 85%

Linerboard 92% - 96%

Tissue 94% - 96%

Ball Mill>90%

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Asset Management System Training – Performance Management – Best PracticesCopyright www.idcon.com

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Tissue Machine

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Liquid Packaging Machine

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Ball Mill (Iron Ore Processing Plant)

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Predictive

maintenance

Planned

maintenance

RCM

TPMAM

CBM

Long term consistent

implementation

of Best Practices Strategy

TPR

Break Through Results2 – 7 years

Results

Time

Lean

New Program Fatigue

Why some initiatives fail to generate achievable and sustainable results

29Copyright IDCON INC

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Predictive

maintenance

Planned

maintenance

RCM

TPMAM

CBM

Long term consistent

implementation

of Best Practices Strategy

TPR

Break Through Results2 – 7 years

Results

Time

Lean

New Program Fatigue

Why some initiatives fail to generate achievable and sustainable results

30Copyright IDCON INC

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One plant’s journey towards world class reliability and maintenance performance

0

10

20

30

40

50

60

70

80

90

100

IDC

ON

CB

P S

core

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Maintenance cost as % of Replacement Value – 25%

Reliability + 2%*

IDCON CBP score increased from 43 to 78

Ref. Fonterra Edgecumbe NZ

*$ value 5 times more than Savings in Maintenance Cost.

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0

10

20

30

40

50

60

70

80

90

IDCON. CBP Score

2016

2017

2018

Toluca, Mexico

Production increased 2% through improved reliabilityafter implementation of recommended actions During CBP audits 2016 and 2017

The biggest Food Grade PET recycling plant in the world

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Six things observed with Best Performers

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1. Long term engaged, visual and consistent leadership.

• Focusing not only on costs but more on what cost effectively drives costs.• Improved Manufacturing Reliability* improves safety, shortens and increases manufacturing throughput and lower costs.

* %Quality x % Availability x % Speed

2. Documented, Communicated and implemented Manufacturing Mission between Maintenance and Operations.

E.g. In an equal partnership between Maintenance and Operations wewill continuously improve manufacturing reliability.

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3. A clear and measurable vision of future state.

E.g. Vision for Best Practices: By the year 2024 achieve 75 CBP points

4. Best Practices documented in an auditable format. Communicated and implemented

for all maintenance processes.

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5. Do regular audits based on Best Practices document.

6. Focus on people and processes and using theTechnology they are ready for.

Dr. W.Edwards Deming “Out of the crisis “1982.

“Try as they might, People cannot be more productive than the systemthey work in allows them to be”

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What good looks like

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Courtesy SupplyBay

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38Copyright IDCON INC

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What good looks like

39Copyright IDCON INC

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What good looks like

40Copyright IDCON INC

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Thank you for listening!

On behalf of Christer Idhammar

IDCON INC

www.idcon.com

[email protected]

919 847 8764