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STRATEGY
TO ACHIEVE WORLD-CLASS PRODUCTION THROUGH RELIABILITY
John
Day, Jr., P.E.
Manager, Engineering & Maintenance (Retired)
Alumax of South
Carolina
INTRODUCTION
Alumax
of South Carolina is an aluminum smelter that produces in excess of
180,000 MT of primary aluminum each year.
It began operation in 1980 after a 2-year construction phase.
The plant is the last greenfield aluminum smelter constructed
in the U.S. Alumax of
SC is a part of Alumax, Inc., which has headquarters in Norcross,
Georgia; a suburb of Atlanta, Georgia.
Alumax, Inc. is the third largest producer of primary
aluminum in the U.S. and the fourth largest in North America.
The
vision of general management was that the new smelter located on the
Mt. Holly Plantation near Charleston, SC, would begin operations
with a planned maintenance system that could be developed into a
total proactive system. At
the time in 1978-79, there were no maintenance computer systems
available on the market with the capability to support and
accomplish the desired objectives.
Thus TSW of Atlanta, Georgia was brought on site to take not
only the Alumax of S.C. maintenance concepts and develop a computer
system, but they were to integrate all the plant business functions
into one on-line common data base system available to all employees
in their normal performance of duties.
Since
the development and initial operation of the Alumax of SC
maintenance management system, it has matured and rendered
impressive results. These
results have received extensive recognition on a national and
international level. The
first major recognition came in 1984 when Plant Engineering magazine
published a feature article about the system.
Then in 1987 A.T. Kearney, an international management
consultant headquartered in Chicago, performed a study to find the
best maintenance operations in North America.
Alumax of S.C. was selected as one of the seven "Best of
the Best". And in
1989, Maintenance Technology magazine recognized Alumax of SC as the
best maintenance operation in the U.S. within its category and also
as the best overall maintenance operation in any category.
MAINTENANCE
APPROACHES
From
a basic point of view there are two maintenance approaches.
One approach is reactive and the other is proactive. In practice there are many combinations of the basic
approaches.
The
reactive system responds to a work request or identified need,
usually production identified, and depends on rapid response
measures if effective. The
goals of this approach are to reduce response time to a minimum (the
computer helps) and to reduce equipment down time to an acceptable
level. This is the
approach used by most operations today.
It may well incorporate what is termed as a preventative
maintenance program and may use proactive technologies.
The
proactive approach responds primarily to equipment assessment and
predictive procedures. The
overwhelming majority of corrective, preventative, and modification
work is generated internally in the maintenance function as a result
of inspections and predictive procedures.
The goals of this method are continuous equipment performance
to established specifications, maintenance of productive capacity,
and continuous improvement. Alumax of SC practices the proactive
method. The comments
which follow are based upon the experience and results of pursuing
this vision of maintenance.
MAINTENANCE
MANAGEMENT PHILOSOPHY
Alumax
of SC began development of the maintenance management concept with
the idea that maintenance would be planned and managed in a way that
provides an efficient continuous operating facility at all times.
Add to this that maintenance would also be treated as an
investment rather than a cost, and you have the comprehensive
philosophy on which the maintenance management system was built.
An investment is expected to show a positive return, and so
should maintenance be expected to improve the profitability of an
operation. The management philosophy for maintenance is just as
important as the philosophy established for any business operation.
For most industry, maintenance is a supervised function at
best, with little real cost control.
But it must be a managed function employing the best methods
and systems available to produce profitable results that have a
positive effect on profitability.
The
development of a philosophy to support the concept of proactive
planned maintenance is important.
It is believed that many maintenance management deficiencies
or failures have resulted from having poorly constructed
philosophies or the reliance upon procedures, systems, or popular
programs that have no real philosophical basis.
THE
FUNCTION AND CONTROL SYSTEM
Today
there is little disagreement that the function and control system of
a good maintenance management program must be computer based.
Using
the philosophy that maintenance management is to be considered in
the same way that all other business functions are considered, it is
difficult to justify any other approach other than complete
integration of maintenance management functions with total
organizational management functions. The computer is the tool to use to accomplish this difficult
and complex task.
The
computer, in an integrated operation, must be available for use by
every member of the maintenance organization as well as all other
plant employees who have a need.
it is an essential part of the maintenance employee's
resources for accomplishing his work. It is just as important to a mechanic or electrician as the
tools in his toolbox or the analysis and measurement instruments
that he uses daily.
The
computer must supply meaningful and useful information to the user
as opposed to normal computer data.
A
successful integration of data systems will tie together
maintenance, warehouse, purchasing, accounting, engineering, and
production in such a way that all parties must work together and
have the use of each other's information.
This is part of the answer to the question being asked almost
universally, how do you break down the barriers between departments
and get them to work as part of the whole or as a team. The computer
system must be on line, available, and time responsive.
A batch system or semi-batch system will not provide the
support needed for a dynamic, integrated, maintenance management
system.
In
the integrated system with a common data base, data is entered only
once and immediately updates all other files so that its use is
immediately available to all functional areas.
This means that anyone in any functional area can use or look
at data in any other area, unless it is restricted.
Some have referred to this effect as the "fish bowl
effect" since everything is visible to all.
This stimulates cooperation, in fact, it dictates
cooperation.
WHAT
IS MAINTENANCE?
Everyone
knows what maintenance is; or at least they have their own
customized definition of maintenance.
If the question is asked, words like fix, restore, replace,
recondition, patch, rebuild, and rejuvenate will be repeated.
And to some extent there is a place for these words or
functions in defining maintenance.
However, to key the definition of maintenance to these words
or functions is to miss the mark in understanding maintenance,
especially if you wish to explore the philosophical nature of the
subject. Maintenance is
the act of maintaining. The
basis for maintaining is to keep, preserve, and protect.
That is to keep in an existing state or preserve from failure
or decline. There is a
lot of difference between the thoughts contained in this
definition and the words and functions normally recalled by most
people who are "knowledgeable" of the maintenance
function; i.e., fix restore, replace, recondition, etc.
SPECIFICATION
If
we shift our defining thoughts to maintenance in the pure sense, we
force ourselves to deal with keeping, preserving, and protecting.
But what are we to keep, protect, or preserve?
You may think that it is the machine, equipment, or plant,
and that is true. But
how are you to define the level to which the machine, equipment, or
plant is to be kept. One
way would be to say - "keep it like new".
At face value the concept sounds good, but it is more
subjective than objective. The
answer to maintenance levels must be defined by a specification.
A
specification is a detailed precise presentation of that which is
required. We must have a specification for the maintenance of equipment
and plant. In actual
usage today the specification, if it exists, is not detailed or
precise. A
specification usually does exist informally in the mind of the
mechanic or management member even though they may be unable to
recite it. This
means that at best, it
is a variable, general -type specification.
This kind of specification is defined in terms of and is
dependent upon time available, personnel training level, pressure to
produce a current order now, money allocated or available, or
management opinion. Obviously,
a specification like this will not qualify as a true specification,
nor will it qualify as a supporting component of the act of
maintaining. The true
maintenance specification may be a vendor specification, a design
specification, or an internally developed specification.
The specification must be
precise and objective in its requirements.
The maintenance system and organization must be designed to
support a concept based on rational specifications.
Detailed work plans and schedules may be constructed to
provide the specification requirement at the maintenance level.
In the maintaining context, the specification is not a goal.
It is a requirement that must be met.
The maintenance system must be designed to meet this
requirement. The
specification must be accepted as the "floor" or minimum
acceptable maintenance level. Variation
that does occur should be above the specification level or floor.
The specifications will probably be stated in terms of
attributes and capacity.
In
reference to maintenance specifications, included are individual
equipment specifications, process specifications, and plant
performance specifications.
THE
MAINTENANCE FUNCTION
The
maintenance department is responsible and accountable
for maintenance. It is
responsible for the way equipment runs and looks and for the costs
to achieve the required level of performance.
This is not to say that the operator has no responsibility
for the use of equipment when in his hands - he does.
The point is that responsibility and accountability
must be assigned to a single function or person whether it be a
mechanic or operator. To
split responsibility between maintenance or any other department
where overlapping responsibility occurs is to establish an operation
where no one is accountable. Alumax
of SC considers this a fundamental principle for effective operation
of maintenance.
The
maintenance function is responsible for the frequency and level of
maintenance. They are
responsible for the costs to maintain, which requires development of
detailed budgets and control of costs to these budgets.
Just
as the quality function in an organization should report to the top
manager, so does the maintenance function for the same obvious
reasons. This allows
maintenance problems to be dealt with in the best interest of the
plant or company as a whole. Maintenance
efforts and costs must not be manipulated as a means for another
department to achieve its desired costs results.
Where
the maintenance department or group is held responsible and
accountable for maintenance, the relationship with other departments
takes on new meaning. The
maintenance department can't afford to have adversary relationships
with others. They must
have credibility and trust as the basis of interdepartmental
relationships. This is
an essential element for the successful operation of a maintenance
management system.
THE
MAINTENANCE ORGANIZATION
The
organization is constructed on the basis that the central functional
element for core maintenance is the Technical team.
Technical
Teams - Core Maintenance
- These teams perform core maintenance for the plant. They are composed of qualified electricians, mechanics, and
technicians. The teams
are assigned based on a functional requirement plant wide or on the
basis of a geographic area of responsibility.
The focus, direction of the team, and individual team member
needs are provided by an assigned member of the facilitator and
directional control team.
Facilitator
and Directional Control Team
- Members of this team have been trained and qualified to
provide team organizational dynamics and traditional supervisory
functions as required. With
the facilitator, the team must address work performance by
categories, administrating, training/safety/housekeeping, budgeting
and cost control and information reporting as well as the technical
requirements of the team. These
members perform the necessary traditional supervisory functions,
especially related to personnel functions, for the technical teams.
Work
Distribution and Project Coordination Team
- This team works with the Facilitator, Planning and Engineering
teams to staff technical teams to meet work load requests, inventory
requirements, contractor support, and field superintendence of
engineering projects.
Job
Planning Team
- This team works closely with the Technical teams and the
Facilitator team to plan and schedule maintenance, overhaul, and
contractor work. Where
operators are doing maintenance functions, the same applies.
In
addition, information and reports are prepared by this team for all
other teams as required or requested.
Quality control of the data input is a responsibility of this
team. Coordination of
production requirements must also be performed.
Technical
Assistance Team - This team is a resource to
the Technical teams and Facilitator team for continuous
improvements, modifications, trouble shooting, and corrective
action.
Materials
Support Team
- This team works with the Planning team, Facilitator team, and the
Technical teams to meet planned job requirements and emergency
material requirements.
Maintenance
Management Team
- This team provides overall coordination of maintenance and
material functions to meet the plant capacity requirement.
Overview of budget and cost control is also provided.
User/Operator
Maintenance Team - This is a team of designated operators who perform assigned
and scheduled maintenance work.
They must be selected, trained and qualified prior to being
assigned to this team.
Plant
Engineering Team
- This team provides projected management for the Plant capital
budget program. They provide consulting and trouble shooting to the Technical
Teams on an as requested basis.
Other
teams must be specifically defined.
For
each of the above teams, a detailed performance requirement document
must be developed. Individual
team members are guided by a specific job performance document.
These documents detail the vision, mission, processes used,
and strategies employed.
SERVICE
vs.. PRODUCT
Does
the maintenance function provide a service or produce a product?
Again, definition is important in the development of this
part of the philosophy. Service
is defined as a useful labor that does not produce a tangible
commodity. A product is
something that is produced, usually tangible, but definitely
measurable. In
the case of the maintenance function and the development of this
philosophy, both a service and a product are considered as an output
of maintenance. The
current thinking which is related to traditional maintenance
(reactive maintenance) suggests that the maintenance function is for
the most part a service function.
But the philosophy being developed here considers the
maintenance function as the provider of a product with a small but
limited service component. Consider
the product produced by maintenance to be capacity (Production/Plant
capacity). Writers on
the subject of maintenance have suggested this concept in the past,
but little has been made of developing the idea to date.
A predominate
service approach to maintenance, as is currently practiced,
is a reactive mode of operation, and is typical of most t
maintenance operations today.
React means response to stimulus.
Most maintenance operations today are designed to respond to
the stimulus of breakdown and the work order request, except for
small efforts related to preventative maintenance and predictive
maintenance, usually less than 25% of man-hours worked.
This simply means that the maintenance function must be
notified (stimulated) of a problem or
service requirement by some means , usually by someone
outside of the maintenance organization, then maintenance reacts.
Rapid response is the "score card" of this system.
It
is being suggested by this proactive philosophy that the maintenance
function be addressed as the producer of the product- capacity.
Capacity is measured in
units of production or output (or up time).
A total proactive system must specifically be designed to
produce capacity (product).
If the maintenance function is to be classified as proactive,
it cannot stand by and wait for someone to call or make a request.
In a total proactive approach, maintenance must be
responsible and accountable for the capacity and capability of all
equipment and facilities. The
function must provide a facility and equipment that performs to
specification and produces the product (capacity). Stated again, the maintenance function is a process that
produces capacity which
is the product.
THE
CUSTOMER
Since
the comparison of service vs.. product (capacity) has been
introduced, it is now time to look at the customer relationship, a
current "buzz word" program in industry, but a valid
consideration. In
either the case of service or capacity the maintenance function has
customers. Customer
satisfaction will be very different depending upon the selection of
the one concept vs. the other; that is, service vs. product or,
stated another way, reactive vs. proactive.
The service relationship by necessity is a highly reactive
customer interface.
The customer demands a maintenance function that rapidly
responds to their request and provides near zero down-time in order
to achieve customer satisfaction. Just a superficial analysis of this relationship is enough to
see that it is potentially explosive in the terms of plant intra-relationships.
In the reactive/service case, the maintenance function must
develop a rapid response, "SWAT TEAM" mentality, to cope
with this requirement. It
is highly unlikely that many maintenance operations will or can
achieve the customer's expected
degree of performance even if cost is of no concern.
In
the case where maintenance provides a product (capacity) to the
customer, a totally proactive approach must be specifically
designed. It is
essential that the customer not be
burdened with routine problems of quality or up-time related
to the performance of the equipment and facility.
The customer must have the specified capacity at all times
unless otherwise agreed. This
means the maintenance function must be held responsible and
accountable for the capacity capability of the equipment and plant.
Systems must be designed and developed to utilize trained
personnel and use work plans and specifications that will result in
assessment and evaluation so that a course of action for maintaining
the current and future capacity of the plant is assured.
The actions necessary to assure capacity must be taken by the
maintenance function without stimulus from the customer.
Customer satisfaction is much easier to determine and achieve
with the proactive mode of operation because the parties are dealing
with a product (capacity) which is objectively specified and agreed
to in advance.
HUMAN
FACTORS
In
the final analysis of maintenance management at Alumax of SC, it
must be concluded that the absolute key factor in the success
achieved is the individual.
The
culture that has been created at Alumax allows for individual and
collective success. It
also allows recognition and reward for these successes.
A
culture which produces above normal results must be built on good
qualified people. The
people must have the training and capability of doing an above
average job. They must
be given information about the work they are to do and the company
they are a part of. They
must be trusted with information, any and all information that is
not of a highly confidential nature.
They must be allowed to evaluate, select, and use information
they deem best for doing their job or providing the answers to their
questions and concerns.
In
a proactive environment, the employee must have or be given a reason
to feel good about himself and his accomplishments.
A planned environment takes away the one thing that most
mechanics and electricians have or have been taught to use to
express their self worth -THE BREAKDOWN-! If this is taken away, what is left?
At Alumax the maintenance employees have learned to take
pride in clean, well operating equipment - not the heroics of
recovering from a breakdown. They
have learned that in a planned environment they can organize their
lives. They know when
they will come to work, when they will leave, and they know that
their personal time will not be violated by overtime except in
unusual circumstances. They
can plan their own time with little fear of interruption.
Trust
is placed in Alumax employees.
They are allowed and encouraged to solve problems, not just
fix things. Their ideas and efforts are valued and they are allowed to
make equipment modifications within established guidelines without
the delays and tedious help of engineering.
The trust of the hourly employee is demonstrated by allowing
participation in meetings and seminars at other plants, schools, and
by making formal presentations at Alumax or other plants.
MAINTENANCE
MANAGEMENT
Certainly
the fundamentals of team activity and traditional TPM (The Program
Approach) are used throughout our organization where positive
results can be obtained, but keep in mind that total proactive
maintenance is not a program - it is a philosophy - an
industrial way of life reflected by its culture.
Total proactive maintenance requires a new mindset and a
management approach that is compatible with the philosophy.
RESULTS
Some
of the results achieved by the Alumax of SC maintenance management
system are a proactive approach to maintenance, where 90%
planned work is achieved, impacts many areas of the business other
than pure maintenance functions. The functions related to warehousing, purchasing, expediting,
shipping and capital equipment replacement, are all improved by the
achievement of a high level of proactive maintenance.
CONCLUSION
1.
Maintenance is a process.
2.
The maintenance process produces capacity.
3.
The maintenance process is information driven.
4.
Maintenance is not a services organization.
In order to contact
John Day please contact:
Ricky Smith
President / Technical Training Division
Life Cycle Engineering, Inc.
843-744-7110, ext. 350
Richard.A.Smith@LCE.com
Website:
www.LCE.com
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