Attie Nieuwoudt Pragma

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Gwen Newton
7 years ago
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1 Attie Nieuwoudt Pragma Managing Director Africa The relevance of spares optimisation within the bigger picture of asset management

2 The Impact of Good Spare Parts Management on Successful Asset Management Attie Nieuwoudt Managing Director Pragma: African Region

The Challenges Facing Asset Managers Accurate asset register Asset performance Asset related costs Capital investment Optimal maintenance Do you know which assets you have, where they are, their

3 The Challenges Facing Asset Managers Accurate asset register Asset performance Asset related costs Capital investment Optimal maintenance Do you know which assets you have, where they are, their condition and value? Do you know how your assets are performing and what their ideal performance should or could be? Is the cost of operating and maintaining your assets optimal or should you spend less (or more) on them? Do you have capacity to deal with future demand? Are you making good decisions when investing in new assets? Are you doing the right maintenance on your assets to prevent breakdowns? Should you do more (or less)?

The Challenges Facing Asset Managers Risk management Safety Competent people Spare parts and material Technical information Are all your asset-related risks under control?

4 The Challenges Facing Asset Managers Risk management Safety Competent people Spare parts and material Technical information Are all your asset-related risks under control? Have they been identified, analysed and treated as far as possible? Is your plant safe for the people who work there? Could you be faced with the consequences of an accident or health problem? Are your people competent in operating and maintaining assets effectively? Should you consider outsourcing? Are you keeping the right spare parts and material in stock? Are you keeping optimal amounts of these items? Is your asset information (drawings, specifications and procedures) accurate and up to date?

5 Three Key Asset Management Documents

6 Definition: Asset An item, thing or entity that has potential or actual value to an organisation. ISO 55000: 2014 What is meant by value? Financial value if sold Enables delivery of products/services Mitigation of risks

The coordinated activities of an organisation to realise value from its assets.

7 Definition: Asset Management Asset management translates the organisation s objectives into asset-related decisions, plans and activities, using a risk based approach. The coordinated activities of an organisation to realise value from its assets. ISO 55000: 2014 Asset management is not about managing assets. It is about: assets deliver value Objectives achieved

8 Optimised Decision-Making

9 Elements of Asset Management

10 Elements of Asset Management Strategy and planning SPM strategy and objectives Responsibility for spare parts management / optimisation Process for managing rotables Computerised SPM system Criteria for ABC classification KPIs and targets (O, T, S)

11 Spare Part KPIs

12 Elements of Asset Management Asset Management Decisions Asset critical What preventive maintenance? Spare parts are required for these tasks? Stocked or direct purchasing? min/max levels? Spares critical / classifications?

13 MRO Item Classification MRO item classification code (ABC format) based on 3 criteria: criticality, availability (or lead time) and annual consumption Maintenance and Production input required for determining first criteria only

14 Elements of Asset Management Asset Acquisition Phase Part standardization After-sales spares supply Batch of spare parts in capital purchase

15 Elements of Asset Management Asset Operate/Maintain Phase Plan and reserve spare parts for all maintenance activities Manage rotable items Do regular stock takes Maintain minimum stock levels On-time and defect free

through the EAMS Items are supplied in appropriate protective packaging Technical condition assessment conducted

16 Protection, Care Considerations and 5S Warehouse conditions comply with supplier recommendations and include special storage areas to protect against heat, dust, humidity, vibration, sunlight Maintenance activities on spares managed through the EAMS Items are supplied in appropriate protective packaging Technical condition assessment conducted regularly by a multi-disciplinary team Vendor managed stores are also inspected Suppliers participate in inspections and problem solving

17 Elements of Asset Management Asset Disposal Phase Ensure no redundant stock Record keeping up to date

5. Disposal Project Management The organisation should establish a formal and systematic process for the removal of a redundant asset and its associated maintenance support elements.

18 5. Disposal Project Management The organisation should establish a formal and systematic process for the removal of a redundant asset and its associated maintenance support elements. The goal is to ensure minimum operational disruption, compliance with legal and safety requirements, as well as minimum net disposal costs. Planned as part of an acquisition Remove from engineering asset register Scheduled to minimise impact Realise residual value HSSE issues addressed Multidisciplinary project team Remove from financial asset register Material master updated Spare parts disposed of Asset care plans removed from EAMS

19 Elements of Asset Management Asset Information Accurate material master (stock / non-stock) Accurate info about spares Specifications, value, applicable asset, bin location, classification etc Maintain supplier details Maintain usage history per asset

20 Elements of Asset Management Risk and review Review spare part KPIs on a regular basis (operational, tactical and strategic) - take corrective action Regularly identify and treat spares-related risks

Annual Costs 000 (R$ ) Inventory Optimisation 12 10 8 Risk for number of

21 Annual Costs 000 (R$ ) Inventory Optimisation Risk for number of MRO items held Cost of MRO held Number of Spares

22 Elements of Asset Management Organisation and people Train in spare parts management principles, practices and procedures Train in spare parts optimisation techniques

23 Elements of Asset Management

reliability, continuous improvement) The BIG asset management picture

24 Drive for compliance (Sustainable operation) Asset performance improvement, cost reduction and risk mitigation (Availability, reliability, continuous improvement) The BIG asset management picture Build a base line for improvement (ACC) (Data integrity, PM vs BM, cost management)

Asset Register Asset Care Plan Developer On Key Analytics Maintenance Manager Planning and Scheduling On Key Interface Tool

Asset Register Asset Care Plan Developer On Key Analytics Maintenance Manager Planning and Scheduling On Key Interface Tool Are you in the market for a new enterprise asset management system? If so, make sure that you consider a system that will not only help you deliver on your asset management strategy, but that will assist