Plant Services - October 2007 - (Page 82)

BOILER ROOM Illuminating maintenance Keep your KPI dashboard front and center D o you have a key performance indicator (KPI) that you’ll never solve it. Stop the losses. Call someone from dashboard to help you manage? They can indicate the outside to fix things. any relevant, user-defined variables you find necesQuality only counts “first-pass” quality. Plant managers sary. The dashboard shows, in clear terms, the status of syshave told me they can sell “non-first-pass quality” or they tems under your control. Good KPIs can save a plant and a merely recycle the parts. Wake up. You must accept only career. If upper management truly understood the power of first-pass quality. Anything less translates to financial loss. KPI dashboards, the plant-floor situation would quickly imIt should be possible to drill down on the aggregate KPI prove. Without an effective dashboard, you have little hope to see which production line has the problem and to identify of escaping a reactive environment. You don’t know if you’re whether it’s related to availability, performance or quality. doing well until it’s too late and lack of control The plant manager takes no action unless the annually costs industry billions of dollars. responsible person can’t provide the three The plant manager, like a ship’s captain, timely answers. This approach manages beIf upper wants to see the gauges but expects the crew havior and doesn’t punish for not performing management to keep the vessel on an even keel. Your dashto a specific level. board is a distillation of all the plant’s KPIs. truly understood A production line’s OEE might go red the power of Color your KPIs as red (bad), amber (headed because of unscheduled downtime. The perfor trouble) and green (on target). Your team KPI dashboards, son responsible for the line should work with should develop the color guidelines based on the situation on maintenance to raise availability. This might information provided by senior management. reveal a conveyor gearbox problem caused by the plant floor A color-coded output should represent each an ineffective PM, a point noted on the mainwould improve tenance dashboard, which tracks PM labor functional area and reflect the worst-case scenario: If some maintenance KPI is red, the hours against emergency labor hours. The quickly. plant manager’s dashboard should show red in gearbox is replaced, a PM program revised the maintenance area. and the P-F interval adjusted to make availIf a KPI toggles to amber or red, the person responsible ability go green within 24 hours. This information is passed for that metric must report to the plant manager within a to the plant manager via e-mail and isn’t mentioned in a fixed time frame to explain, first, the nature of the problem; meeting in front of peers. second, what’s being done to correct it and, third, when it This example is a small part of the entire KPI dashboard will go green. If these questions aren’t answered in the allotprocess. Take it one step at a time. Contact me if you’d like ted time, the red signal automatically rolls up to the dashmore information about KPI dashboards. Also, I’ll offer my board for the next higher level of management. time for free to two plants (via e-mail and the telephone) Overall equipment effectiveness, the number one driver to help them develop successful KPI dashboards. Selection of plant capacity, cost and success, should be on every plant will be based, among other factors, on the degree to which manager’s KPI dashboard. That number is a function of the plant leadership is committed to the project. availability, performance and quality. All personnel must be involved and a dashboard that exAvailability shows how closely the plant maintains a 24/7 tends from the plant manager’s desk to the lowest level is a production schedule. It identifies the “hidden plant.” Overkey element. If you would like more information about OEE, time can never make up for downtime loss. refer to my book “Lean Maintenance,” especially the sections Performance rate is either the best rate ever sustained or on the “11 Major Losses” and OEE. If you follow my advice, the design rate, whichever is greater. If equipment isn’t runI’d like your feedback to help me better help others. ning at that rate, identify the problem and formulate a solution. If you can’t resolve it in-house within three days, admit E-mail Ricky Smith at askrickysmith@gmail.com. 82 www.PLANTSERVICES.com October 2007 http://www.plantservices.com/voices/boiler_room.html http://www.PLANTSERVICES.com

Table of Contents Feed for the Digital Edition of Plant Services - October 2007

Plant Services - October 2007 Contents Monetize It Letters Step into the Blogosphere What it Takes to be a Leader Up and Running Crisis Corner What Works From the Summit Treat Them Right Access Control Out of the Woods Show Me, Don't Guess Condition Assessment Made Easy The Air Above the Floor Power to the Prime Movers In the Trenches Illuminating Maintenance

Plant Services - October 2007

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