Pillar 1: Business & Management By Ricky Smith CMRP, CMRT
OGP SIG Program 2015 2015-05-22 Body of Knowledge Pillar 1 Business & Management 2015-06-12 Body of Knowledge Pillar 2 Manufacturing Process Reliability 2015-06-24 How does Total Productive Maintenance fit in your Asset Management Strategy?» By Terry Wireman 2015-07-03 Body of Knowledge Pillar 3 Equipment Reliability 2015-07-24 Body of Knowledge Pillar 4 Organization & Leadership 2015-08-28 Body of Knowledge Pillar 5 Work Management 2015-09-18 Body of Knowledge Recap session» All by Ricky Smith 2015-10-12 SMRP Annual Conference» @ Duke Energy Center in Cincinnati, Ohio 2
SMRP Body of Knowledge Designed as a Road Map Download free at http://library.smrp.org/1koj2p/ 3
SMRP Body of Knowledge Strategic Mission To raise the prestige of SMRP and become a global authority on the Body of Knowledge for Physical Asset Management Maintenance and Reliability.
Pillar 1 Goals This subject describes the skills used to translate an organization s business goals into appropriate maintenance and reliability goals that support and contribute to the organization s business results Organization s Business Results Organization s Business Goals Maintenance and Reliability Goals 5
Pillar 1 - Roadmap 1.1 Create strategic direction and plan 1.2 Administer strategic plan 1.3 Measure Performance (select KPIs, track, and report) 1.4 Manage organization changes 1.5 Communicate with stakeholders 1.6 Manage environmental-health-safety risk 6
1.1 Create Strategic Direction and Plan Identify Key Stake Holders Create Vision Mission Strategic Plan Roles and Responsibilities Clear and Measureable Goals w/industry Benchmarks Business Case Asset Reliability and Process Reliability 7
1.2 Administer Strategic Plan Provide mission, vision, and plan Develop the business case (asset and process reliability) Develop clear and measurable goals = business case (maintenance/operations agree) Use Known Industry Benchmarks 8
1.3 Measure Performance SMRP Pillar 1 Metrics Ratio of Replacement Asset Value (RAV) to Craft-Wage Head Count Maintenance Unit Cost Stocked Maintenance, Repair, and Operating (MRO) Inventory Value as a Percent of Replacement Asset Value (RAV) Total Maintenance Cost as a Percent of Replacement Asset Value (RAV) 9
1.3 Measure Performance 1. Select Leading and Lagging KPIs 2. Develop KPI Scorecard and Scoreboard 3. Track and Report 4. Identify KPI Roles and Responsibilities (RACI)
1.3 Measure Performance (SMRP Metrics) 11
1.4 Manage Organizational Changes Change Management is critical (managing change at all levels) Communicate Benefits Requires Leadership Requires a proactive way of doing business (maintenance and operations) Use your personnel to assist in implementation Develop a Change Management Plan including the above 12
1.5 Communicate with stakeholders Create and execute a communication plan to achieve business goals Methods of sharing information Receiving feedback Provide input into decision making processes Appropriate communications with all stakeholders Multiple communications and methods to be utilized Advantages and limitations of these methods must be understood 13
1.6 Manage environmental-healthsafety risk 14
1.6 Manage environmental-healthsafety risk M&R Leaders should promote work practices that achieve excellence in EHS: (Leadership) Promote Environmental stewardship Comply with rules and regulations in occupational health, safety, security, environment, and protect resources EHS Cannot be compromised to meet production goals Train and encourage EHS Practices = Job Satisfaction Make EHS practices the new norm 15
Questions??? Ricky Smith rsmith@peopleandprocesses.com 16
If you would like to get involved with the Membership or Communications Committees of SMRP, let us know. Contact: info@smrp.org and/or vijay.mohan@bp.com 17