Maintenance Technology April 2016 - (Page 6)
Asset Reliability and Costs:
Take a Life-Cycle Approach
undamental, early-design-phase decisions
set the stage for life-cycle asset reliability
and costs in plants. How new physical
assets, i.e., equipment, systems, and facilities, are designed can be a testament to engineering
prowess and/or observing the awesome, life-long
performance of other assets-or neither. In many
cases, though, budgetary constraints and construction/installation shortcuts can limit reliability and
increase life-cycle costs. The result is high periods
of unreliable operation, added maintenance, and
modifications and workarounds to make the assets
perform as needed.
What if the elements of life-cycle asset reliability
and costs are unknown, not addressed, or ignored
in initial-project conceptual definition and design?
Chances are pretty good that reliability, operating
and maintenance budgets, and planned asset life
would all be a huge gamble. While the project
could come in on schedule and under budget, is
that what defines business success?
Conversely, what if there were an overall
template or a management system that outlined
and specified all elements important to the
business, short- and long-term, over an asset's life
cycle? Chances are pretty good that the reliability,
operating and maintenance costs, and planned
life of the equipment, system, or facility would
contribute, by any measure, to business success.
Here are five big questions to help us begin
thinking about establishing a life-cycle physicalasset management system. Use them with your
site's top-management team, engineering group,
and/or operations and maintenance leadership.
1. What are your physical assets supposed to do in
support of the organization's goals?
2. What physical assets put the achievement of the
organization's goals most at risk?
3. What processes are in place to assure that these
physical assets perform as expected throughout
their planned life cycle?
4. What processes are missing that may be
preventing these physical assets from
performing as expected throughout their
planned life cycle?
5. What are the life-cycle physical-asset manage-
ment processes that should be established
to guarantee the answer to the first question
("organization's goals") is predictably and
This is exactly what the ISO 55000:2014 Asset
Management Standard is asking organizations to
define: an asset-management system that covers the
entire life cycle of physical assets.
According to ISO 55000:2014, "An assetmanagement system is a set of interrelated and
interacting elements of an organization, whose
function is to establish the asset-management
policy and asset-management objectives, and the
processes, needed to achieve those objectives.
An asset-management system is used by the
organization to direct, coordinate and control
asset-management activities." (ISO 55000:2008,
2.4.3 & 2.5.1)
With such a system in place, a project team
would be responsible for executing and held
accountable each step of the way for assuring that
the organization's goals are met-even with regard
to its most-at-risk physical assets.
From a reliability and cost perspective, the life cycle
of a physical asset can be divided and sub-divided
into numerous phases and activities. For purposes
of simplicity and brevity, let's highlight four major
ones and look at elements of each that have a direct
impact on cost and reliability.
Project Design Phase. Management of a new
physical-asset project, be it related to equipment,
systems, or facilities, requires a team of highly
qualified and specialized thinkers to focus on the
foundations for life-cycle reliability and costs. The
project-team leadership must understand and
internalize "life-cycle thinking" throughout the
Project-Design phase. Remember, 95% of life-cycle
costs are determined during this phase ("Uptime,"
March 2016 MT).
In this phase, life-cycle reliability- and costcritical elements required to assure the new design
will perform as expected include:
■ goals of the organization, i.e., financial (P&L),
longevity of the assets, go/no-go criteria
Table of Contents for the Digital Edition of Maintenance Technology April 2016
On The Floor
Culture Changed At This Indiana Refinery
She Ignores The Glass Ceiling
Loadability Studies Aid PRC-025-1 Compliance
Look System-Wide For Cost Savings
Reliable Pumping Supplement
Fund Lubrication Program With Energy Savings
Infrared Safety Tips
Internet Of Things
Motor-Testing Tools Expand Services
Maintenance Technology April 2016