James, you hit the nail on the head! Your passion for reliability is truly inspiring. We could use more individuals like you to support the advancement of cloning technology. Let's band together in this important cause!
James, I completely agree with your point about integrating asset management into daily operations. Just like safety protocols, asset management should be seamlessly woven into the fabric of our day-to-day activities. Ideally, when processes are running smoothly, the need for a separate asset management department should be obsolete. Regards.
Is my mechanic accountable for the dependability of my vehicle? Terry O
Improved and SEO-friendly version:
Is my mechanic responsible for the reliability of my car? Terry O. Car reliability concerns and responsibility of mechanics.
Every individual involved in a project shares responsibility for its reliability, with one person possibly holding ultimate accountability. It is important for each person to take ownership for their role and the overall impact it has on the project's success. The reliability of a project is influenced by the collective efforts of all stakeholders.
Terrence, I'm eager to hear your thoughts on the topic you initiated in this discussion. Feel free to share your feedback or respond to others who have already commented. I'm curious to hear your perspective.
Who benefits the most from effective life cycle asset management? The primary beneficiary is the asset owner, with private planes, yachts, and mansions being examples of potential assets. For your car, proper management can extend its reliability and defer the need for costly investments in the future. Additionally, skilled maintainers who excel in their roles will soon be in high demand due to a shortage of qualified personnel. Asset owners who fail to implement best practices may find maintenance professionals seeking opportunities elsewhere, as skilled individuals become increasingly sought after. In the business world, leaders who understand the importance of integrating maintenance with economic strategies will attract top talent, while those who lag behind may struggle to retain qualified staff. Choosing to rely on an asset owner with subpar maintenance support could ultimately result in high costs, low production volume, and potentially, acquisition or bankruptcy. It is important to consider these risks and plan accordingly to safeguard your family's future. Share your thoughts on this perspective. - Terry O
Responsibility for availability lies with both the Operator and the Asset Owner. Just like with your car, it is important to determine the level of availability you desire. Operating your vehicle responsibly involves scheduling maintenance and adhering to inspection and detection protocols. The Asset Owner must establish availability standards, while the Operator must ensure the system is accessible for the necessary inspections and detections to achieve those goals. The Maintainer is then responsible for meeting these requirements. Stay tuned for more information in the upcoming discussion. Share your thoughts in the comments below! Terry O.
quote: 8) Want to know who's accountable for reliability? Everyone plays a crucial role in maintaining reliability. Imagine having a banner at the plant floor that emphasizes this concept! But when I, as the Asset Owner, find myself stranded in the desert on Route 66 with a broken water pump V Belt and a steaming radiator due to neglecting maintenance, it's hard to blame my maintainer for the lack of reliability. Should I really be disappointed in them? This brings up a recurring theme - feel free to critique my thoughts as I try to articulate them coherently. Your feedback is valuable. Terry O
- 23-09-2024
- Shawn Thompson
When it comes to ensuring safety, everyone has a role to play. Unlike reliability, where extensive explanations may be needed, safety is something that all individuals are already familiar with. Asset owners make it clear that safety is a top priority, and everyone is expected to adhere to safety measures. This strong emphasis on safety by leadership ensures that safety protocols are followed diligently, even when it may be challenging. - Terry O.
I truly appreciate the feedback, Terrence. It is crucial to understand that when I emphasize the importance of everyone being accountable for reliability, it is not simply about providing training and expecting success. What I mean is that instilling a culture of reliability across all employees, whether salaried or hourly, leads to better decision-making processes. This culture should be driven from top management down to ensure success.
For example, as a maintenance mechanic, I understand that a small adjustment can have a significant impact on the reliability of an asset. If I am aware that the reliability of the assets I maintain directly affects my raises, I am more likely to take ownership and care for them properly. In order to foster a sense of ownership in the maintenance department, several components are essential:
1. Responsibility for a specific area or asset base, providing a clear "playing field" for work.
2. Accountability for performance in that area, encouraging individuals to strive for excellence.
3. Access to appropriate tools to perform the job effectively.
4. Adequate time to maintain equipment properly, without being rushed by production demands.
This is not an exhaustive list, as training, team building, and a clear understanding of the plant's goals also play a crucial role in fostering reliability. Every role within an organization, whether it be maintenance, operations, management, or supervision, plays a part in maintaining reliability. It is essential for everyone to understand that reliability is a collective responsibility.
James, I hope my straightforward approach doesn't come off as disrespectful. It can be challenging to convey nuances through written posts, unlike in face-to-face conversations. As I write this, I want to emphasize that I am approaching this discussion with utmost respect. I am seeking to spark a conversation to shed light on some recent reflections I've had, and your feedback will help me organize my thoughts. I welcome opposing viewpoints.
I agree that everyone involved should take responsibility for reliability in the chain. The issue in our conversation lies in determining who has the authority or control. While I acknowledge my responsibility in addressing World Hunger, my individual actions may have limited impact on those suffering today. Ideally, if every person took accountability for world hunger, the problem could be solved. However, the government, with its custodial authority, plays a larger role in daily hunger conditions than I do. They possess the power to either perpetuate or eliminate the issue.
In my perspective, the Asset Owner plays a crucial role in setting the standard for reliability, even if they may not realize it. Maintainers then respond within the framework of that standard. Your insights on achieving reliability where you have influence are commendable. The key phrase here is "where you can have influence." I maintain that Asset Owners, Designers, and Operators collectively impact 70%-90% of factors affecting reliability. While maintainers contribute around 10%-30% of the potential impact, a collaborative effort is essential for reliability. Does this reasoning resonate with you? Terry O
Terrence O'Hanlon expressed himself directly, emphasizing the challenges of conveying nuances in written communication compared to verbal interaction. Just like smiley icons were created to add tone to text, dramatic dialogue can effectively convey the message. His examples serve to deepen our understanding of industry concepts, but they only scratch the surface of the vast scope of the industry. Our familiarity with certain aspects is influenced by what we are exposed to and what we have learned. This reflective dialogue signifies the importance of continuous learning and dialogue in the industry.
In his Theory of Constraints, Eli Goldratt emphasizes the importance of every link in the chain, a concept that can be applied to Safety and Reliability. Each contributor in the process, whether it be the designer, operator, maintainer, vendor, or asset owner, plays a crucial role in achieving optimal reliability. While everyone is responsible, ultimate accountability lies with the Asset Owner. The traditional salami-slicing approach to management, as seen in Taylor's Scientific Management and Henry Ford's methods, has been proven ineffective by Toyota's holistic approach. Setting clear goals and providing proper training and motivation is key to success, with the Asset Owner taking charge of these responsibilities. The shift towards goal-setting regulations in the UK after the Piper Alpha incident reflects the importance of this approach in achieving sustainable results.
- 23-09-2024
- Wesley Jenkins
I thoroughly enjoyed reading this thread as it sparked engaging conversations. Many thanks to Mike for initiating such a thought-provoking discussion.
The concept of constraints theory highlights the crucial need for organizations at all levels to recognize the significance of maintenance reliability. In today's competitive landscape, companies cannot afford to view maintenance solely as a necessary expense or a necessary evil. It is essential for businesses to move away from viewing maintenance as a yearly budget item and instead focus on building a long-term strategy for maintenance processes. By constantly changing direction and prioritizing short-term goals over long-term reliability objectives, organizations risk losing focus and decreasing productivity. It is imperative for reliability goals to remain consistent and not be swayed by fleeting trends or quick fixes, as this can hinder progress and lead to ongoing challenges within reliability groups.
I recently had the opportunity to speak with a renowned expert in reliability culture transformation, and I couldn't help but admire his organized and structured approach to driving change. However, I was disheartened to learn that even the most effective strategies can falter without the support of upper management. It became clear to me that in order to truly succeed in improving reliability, we must shift our focus towards securing the backing of key decision-makers within the organization. As someone who is passionate about this topic, I recently attended a training session on reliability and I am eager to continue driving this important conversation forward.
Dear James, I understand and agree with the sentiment you are expressing. It is important to note that senior management should not be blamed for not supporting reliability or risk management strategies. It is our responsibility to communicate these concepts in a way that resonates with them. For instance, instead of focusing on reliability improvement, we should highlight the potential for increased productivity. Rather than discussing cost effectiveness, we should emphasize the impact on net present value. Senior management may not grasp the significance of safety measures, but they are likely to be more receptive to the financial consequences of overlooking them. By framing our discussions in terms of their priorities, such as forecasting capital maintenance expenses for the future, we can bridge the communication gap. It is crucial for us to approach these conversations with empathy and understanding, as many individuals often feel frustrated by their management's lack of comprehension. By tailoring our explanations to their perspective, we can build a more collaborative relationship and ensure that our ideas are effectively conveyed. Warm regards,
- 23-09-2024
- Jasmine Howard
At our university, the majority of first-year students from various disciplines are required to enroll in a foundational chemistry course. Within the Chemistry Department, there are two main courses available: General Chemistry and General Chemistry for students in non-science majors. While the former is tailored for students pursuing degrees in Chemistry or Chemical Engineering, the latter is designed for those in Engineering, Business Administration, Social Sciences, and Education programs. Despite our diverse backgrounds, we all took the same General Chemistry course, affectionately dubbed as the "poets" course by Chemistry and Chemical Engineering students. Now, as graduates with technical degrees and industry experience, we understand the importance of financial literacy in order to effectively communicate with finance professionals.
After hearing about Darth Eugene's idea of "bean counting for poets," I believe there is potential for exploring this concept further. Cheers!
When it comes to training opportunities, organizations such as the American Management Association (AMA) and consulting firms like Fred Pryor Seminars and CareerTrack regularly promote seminars on various subjects. However, the challenge lies in prioritizing these opportunities. Many individuals are only able to participate in one external training session per year. When faced with options like attending the Next International Maintenance Conference, preparing for the CMRP exam, or taking a finance and accounting seminar designed for non-business professionals, decision-making can become difficult.
Dear Eugene, Recently, I enrolled in a course hosted by a leading economics firm in the UK called Oxera to delve deeper into financial strategies within the regulated utilities sector. This course provided insights into the intricacies of finance, profitability, and income generation specific to this sector. Personally, I found immense value in this experience and consider it a worthwhile investment in my future. Surprisingly, it has sparked a newfound interest in economics for me, a subject I never imagined exploring just a year ago. Warm regards,
Daryl, you hit the nail on the head with this quote: The key is to explain concepts like NPV, ROI, DCF, Depreciation, and Taxation in a way that resonates with the audience, rather than using jargon. While understanding financial terms doesn't require excessive bean-counting, poets can easily grasp these concepts if they have the motivation to learn the language. It's essential to have the willingness to understand these concepts, rather than just playing around with tools and technology.
When it comes to reliability, the level of responsibility varies depending on the country and specific contract terms. In the UK, companies like Rail track implemented extensive outsourced maintenance programs worth billions of pounds, with firms such as Balfour Beatty likely involved. This set-up follows the Asset Owner / Asset Manager model, which aims to separate responsibilities. Contracts often assign reliability duties to the asset manager, with penalties for failing to meet Service Level Agreements. Following the Hatfield disaster, legal action was taken against Railtrack's Chairman and contractor representatives for corporate killings, though charges were eventually dropped. This incident prompted revisions to UK laws on Corporate Killing. Regardless of contractual agreements, both the asset owner and manager share responsibility for reliability, necessitating stricter maintenance controls, collaborative contract deployment, and improved monitoring of SLAs. Ultimately, the law dictates that accountability for operating, maintaining, or owning physical assets falls on all parties involved.
As we delve into discussions about assets, an important aspect to consider is their reliability. When discussing assets, the concept of assurance naturally comes to mind. How do these elements tie together in the realm of asset management, specifically in terms of ensuring smooth operations and managing costs effectively? Let's explore the correlation between assets, reliability, and assurance in the context of asset management's impact on operational efficiency and financial implications.
- 23-09-2024
- Rebecca Murphy
When considering reliability, it's crucial to shift perspective from equipment to process reliability. This approach may differ from Moubray's philosophy, but it's important to remember that equipment exists to support the overall process. In the event of equipment failure, the impact on the process must be taken into account to determine the criticality of the asset. For example, if a piece of equipment fails but has minimal impact on the process, its importance is less than something that would shut down the entire operation. It's important to consider various factors in such extreme cases. Just a thought to spark discussion.
Ravi, your inquiry is important as reliability plays a crucial role in achieving organizational objectives. Our discussions focus on specific topics that forum members are interested in, with the ultimate goal of contributing to business success. By addressing various aspects related to safety, availability, and cost-effectiveness, we are ensuring that our efforts align with key business goals.
Can you provide information on the key components of operational assurance and associated cost impacts?
- 23-09-2024
- Yvonne Mitchell
I recently returned and am delighted with the discussions happening here. Daryl, I am not suggesting that maintenance and reliability professionals should blame the lack of involvement or support from asset owners as justification. The language shifts I use come from my Solution-Oriented Asset Reliability presentations, inspired by brief therapy techniques. It is important for us as professionals to effectively communicate the importance of asset management in a language that asset owners can grasp.
As maintenance and reliability professionals, we must focus on what we can control and do our best, even if it may not be everything we desire. However, this does not absolve asset owners of their ultimate responsibility to establish the framework for asset management. Without clear leadership from asset owners, our efforts feel like pushing a rope uphill.
It is possible that asset owners are unaware of their lack of knowledge in this area or they may not fully understand the importance of asset management. They could also be preoccupied with other matters that they deem more critical to cost and uptime. It may be beneficial to start a discussion on the impact maintenance can have on cost and uptime.
In order to effectively convey our message about asset management to asset owners, we need to find new ways to communicate and engage with them. Business case presentations have been made, but they may not be resonating with asset owners who are constantly presented with similar scenarios. Perhaps focusing on quicker returns on investment and providing financial training to maintenance and reliability professionals can improve our approach. Ravi, the end goal of maintenance is ensuring capacity assurance or simply maintaining capacity. Terry O.
Shareholders are holding BP accountable for their management practices at Prudhoe Bay. The lawsuit serves as a wake-up call for global management to prioritize a strong asset management strategy. Shareholders are emphasizing the importance of generating long-term value rather than just focusing on quarterly profits. This case highlights the need for companies to pay closer attention to their management practices to ensure a sustainable return on investment. Terry O.
When it comes to ensuring reliability, the responsibility lies with no one else but me, Mark from alertanalytical.com. It may sound straightforward, but it's the truth.
Terry, I understand your point about reaching out to asset owners and grabbing their attention through more immediate methods that affect their financial performance. However, I am uncertain about this statement: "Daryl - I am not enabling maintenance and reliability professionals to blame the lack of involvement or support from asset owners. I do not support the idea of asset owner disengagement, nor do I consider it an excuse for failing in asset management duties. Asset owners can take on various roles, such as the production or operations department in a non-outsourced setting. In contrast, in outsourced arrangements like those within the Highways Agency or Local Council PFI initiatives in the UK, the contractor becomes the asset manager while the institute remains the asset owner. Responsibilities for each party are typically outlined in extensive legal documents, where terms like "good industry practice" are vaguely defined. Despite contractual involvement, asset owners may argue that they are highly engaged but not on a daily basis. In my experience with BP, I can attest that their senior management is acutely aware of the significance of asset management for their financial success and reputation. Best regards,
In his recent book, "The Maintenance Scorecard," Terry emphasizes the increasing importance of considering factors beyond quarterly profit when evaluating investment returns. Shareholders are now seeking to minimize risks associated with their investments to ensure a sustainable value-based return. The focus on safety, environmental impact, and risk reduction is becoming a central aspect of asset strategies for companies with a significant asset base. Legal changes, shareholder activism, and industry frameworks like PAS-55 are all driving a shift towards proactive risk management in asset planning. This shift is gaining momentum at the board level, as companies recognize the benefits of integrating risk management into their overall asset management approach. As a result, advocating for robust asset management practices is becoming increasingly effective.