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KPI Users Group
        “Failure Reports”
                 Reports”
                        Session 2


Presented by: Ricky Smith CMRP
December 16, 2009

                                    Copyright 2009 GPAllied
                                                   GPAllied




“It Isn’t What You Know That Will Kill You,
It Is What You Don’t Know That Will”




                                    Copyright 2009 GPAllied
                                                   GPAllied




                                                              1
The PF Curve – Objective:
Identify “P” as Early as Possible




                                    Copyright 2009 GPAllied
                                                   GPAllied




The I-PF Curve – Objective:
To Eliminate Causes of Failures at Point “I”




                                    Copyright 2009 GPAllied
                                                   GPAllied




                                                              2
What Do You Need to Know About Failures?
 • What equipment is giving me the biggest
   losses and why?
 • What component is failing the most and why?
 • Where should you focus your RCA efforts?
 • Frequency of a failure mode – decrease?
  “Part”: Bearing – 27x



                          “Defect”: Misalignment



                                                   “Cause”: No Alignment Specs



                                                                 Copyright 2009 GPAllied
                                                                                GPAllied




What Is Root Cause Analysis (RCA)?
 • It’s a systematic, analytical work process that:
   – Alters manufacturing work environment to focus on
     eliminating defects rather than repairing failures
               g                       p     g
   – Engages operations workforce to incrementally and
     continuously improve plant and business
     performance
   – Enhances connections between operations
     improvements and technologies
   – Increases safety , environmental performance and
     business profits




                                                                 Copyright 2009 GPAllied
                                                                                GPAllied




                                                                                           3
What Is Root Cause Analysis (RCA)?
 • Proactive
   – Performed on processes and systems prior to a
     failure
   – Looks to identify actions that will prevent specific
     undesirable conditions or situations from ever
     happening
   – When performed on equipment (versus processes
     and systems), it’s called Reliability-Centered
     Maintenance (RCM)




                                               Copyright 2009 GPAllied
                                                              GPAllied




What Is Root Cause Failure Analysis
(RCFA)?
 • Reactive
   – A failure or incident has occurred in a process, a
     system or a machine
         t             hi
   – In the case of chronic problems, many similar
     failures have occurred
   – Looks to identify the causes and implement
     solutions that will prevent, or at least reduce,
     recurrences




                                               Copyright 2009 GPAllied
                                                              GPAllied




                                                                         4
Why Do RCA?
• To Eliminate Defects
   – Any undesirable condition
• Defects in manufacturing processes
  create:
   –   Underperforming machines
   –   Broken machines
   –   Operations bottlenecks
   –   Frustration
         ust at o
   –   Lower morale




                                       Copyright 2009 GPAllied
                                                      GPAllied




Why Do RCA?, cont’d
• Defects lead to:
   –   Lost production opportunities
   –   Product waste
   –   Lower revenues
   –   Injuries
   –   Environmental incidents




                                       Copyright 2009 GPAllied
                                                      GPAllied




                                                                 5
6 Sources Of Defects
 • Defects Come into Processes from 6 Sources
   1.   Equipment operation
   2.
   2    Equipment design
   3.   Spare/Repair parts
   4.   Maintenance workmanship
   5.   Marginal (sub-optimal) equipment
   6.   Raw materials




                                           Copyright 2009 GPAllied
                                                          GPAllied




Three Common Causes
1. Not Measuring the Right Thing
2. RCAs are executed on the “problem of the
   day
   day”
3. RCA results are not implemented




                                           Copyright 2009 GPAllied
                                                          GPAllied




                                                                     6
Not Measuring the Right Thing
 • What is the value of the RCA?
 • Did you achieve the expected results from
   RCA?
   – MTBF
   – Rework
   – Defect elimination




                                       Copyright 2009 GPAllied
                                                      GPAllied




RCAs are Executed on the
“Problem of the Day”




                                       Copyright 2009 GPAllied
                                                      GPAllied




                                                                 7
Triggers
 • There are at least 5 key areas for consideration
   when deciding to use RCA
   –   Safety (an incident or a trend)
   –   Environmental (an incident or trend)
   –   Manufacturing (yields, throughput, availability, etc.)
   –   Cost (unit cost, overshot budget, etc.)
   –   Customer satisfaction (quality, delivery, value, etc.)
   –   Other?




                                                 Copyright 2009 GPAllied
                                                                GPAllied




Reactive or Proactive Triggers
 • Triggers can be either proactive or
   reactive
 • Proactive triggers might include
   responding to leading indicators or
   conducting FMEAs




                                                 Copyright 2009 GPAllied
                                                                GPAllied




                                                                           8
Reactive Triggers
 • Reactive triggers can show up in metrics
   such as:
   – Personnel metrics
      • Recordable injury rate exceeds a predefined target
      • Lost workday injury
   – Environmental metrics
      • Environmental incident score exceeds a target number
   – Production metrics
      • Availability throughput or yields fall below target
        Availability,
      • Planning or scheduling effectiveness is below goal
      • A significant downtime incident occurs




                                                         Copyright 2009 GPAllied
                                                                        GPAllied




Proactive Triggers
 • Leading indicators
   – Investigate minor injuries to uncover
     underlying dangerous behavior patterns
            y g       g               p
   – Document and investigate ‘near misses’
   – Monitor and respond to trends in equipment
     availability, throughput and yields
   – Monitor and respond to trends in % emergency
     work, schedule compliance or rework rate




                                                         Copyright 2009 GPAllied
                                                                        GPAllied




                                                                                   9
Proactive Triggers, cont’d
 • Conduct FMEAs
     – Determine the effects of “hidden” chronic
       equipment failures
        q p
     – Identify and prevent what could go wrong but
       hasn’t yet




                                              Copyright 2009 GPAllied
                                                             GPAllied




RCA Results Not Implemented
 •   Changes to Maintenance Strategy?
 •   Changes to Operating Strategy?
 •   Training?
 •   Procedures?

 Why is it so hard?




                                              Copyright 2009 GPAllied
                                                             GPAllied




                                                                        10
Simple Steps to Success
 1. Establish quantifiable triggers
 • Potential Loss of production throughput at a cost $100,000 –
   $1,000,000
    – One Reliability Engineer to lead effort, Predictive
      Maintenance Technician, Maintenance Technician, Operator,
      and others as needed
 • Potential Loss of throughput at a cost $1,000,000 – $5,000,000
    – Two Reliability Engineers, Predictive Maintenance
      Technician, two Maintenance Technicians, Operator or
      Operators as needed
 • Potential Loss of production throughput at a cost $5,000,000
   plus
    – Two Senior Reliability Engineers Fulltime, Predictive
      Maintenance Expert (possibly a consultant), RCM Expert
      (possibly a consultant)

                                                     Copyright 2009 GPAllied
                                                                    GPAllied




Triggers
 • There are at least 5 key areas for
   consideration when deciding to use RCA
    –   Safety (an incident or a trend)
    –   Environmental (an incident or trend)
    –   Manufacturing (yields, throughput, availability, etc.)
    –   Cost (unit cost, overshot budget, etc.)
    –   Customer satisfaction (quality, delivery, value, etc.)
    –   Other?




                                                     Copyright 2009 GPAllied
                                                                    GPAllied




                                                                               11
Ensuring Success?
 2. Defining roles and responsibilities in the
     Root Cause Analysis Process




                                         Copyright 2009 GPAllied
                                                        GPAllied




Develop a Tracking System
 • Develop Leading Indicators – Execute RCA
   before a failure occurs
 • Ensure measuring success of RCA




                                         Copyright 2009 GPAllied
                                                        GPAllied




                                                                   12
Questions?




             Copyright 2009 GPAllied
                            GPAllied




                                       13

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KPI Users Group- Failure Reports, Session 2_Dec09 Ajc[1]

  • 1. KPI Users Group “Failure Reports” Reports” Session 2 Presented by: Ricky Smith CMRP December 16, 2009 Copyright 2009 GPAllied GPAllied “It Isn’t What You Know That Will Kill You, It Is What You Don’t Know That Will” Copyright 2009 GPAllied GPAllied 1
  • 2. The PF Curve – Objective: Identify “P” as Early as Possible Copyright 2009 GPAllied GPAllied The I-PF Curve – Objective: To Eliminate Causes of Failures at Point “I” Copyright 2009 GPAllied GPAllied 2
  • 3. What Do You Need to Know About Failures? • What equipment is giving me the biggest losses and why? • What component is failing the most and why? • Where should you focus your RCA efforts? • Frequency of a failure mode – decrease? “Part”: Bearing – 27x “Defect”: Misalignment “Cause”: No Alignment Specs Copyright 2009 GPAllied GPAllied What Is Root Cause Analysis (RCA)? • It’s a systematic, analytical work process that: – Alters manufacturing work environment to focus on eliminating defects rather than repairing failures g p g – Engages operations workforce to incrementally and continuously improve plant and business performance – Enhances connections between operations improvements and technologies – Increases safety , environmental performance and business profits Copyright 2009 GPAllied GPAllied 3
  • 4. What Is Root Cause Analysis (RCA)? • Proactive – Performed on processes and systems prior to a failure – Looks to identify actions that will prevent specific undesirable conditions or situations from ever happening – When performed on equipment (versus processes and systems), it’s called Reliability-Centered Maintenance (RCM) Copyright 2009 GPAllied GPAllied What Is Root Cause Failure Analysis (RCFA)? • Reactive – A failure or incident has occurred in a process, a system or a machine t hi – In the case of chronic problems, many similar failures have occurred – Looks to identify the causes and implement solutions that will prevent, or at least reduce, recurrences Copyright 2009 GPAllied GPAllied 4
  • 5. Why Do RCA? • To Eliminate Defects – Any undesirable condition • Defects in manufacturing processes create: – Underperforming machines – Broken machines – Operations bottlenecks – Frustration ust at o – Lower morale Copyright 2009 GPAllied GPAllied Why Do RCA?, cont’d • Defects lead to: – Lost production opportunities – Product waste – Lower revenues – Injuries – Environmental incidents Copyright 2009 GPAllied GPAllied 5
  • 6. 6 Sources Of Defects • Defects Come into Processes from 6 Sources 1. Equipment operation 2. 2 Equipment design 3. Spare/Repair parts 4. Maintenance workmanship 5. Marginal (sub-optimal) equipment 6. Raw materials Copyright 2009 GPAllied GPAllied Three Common Causes 1. Not Measuring the Right Thing 2. RCAs are executed on the “problem of the day day” 3. RCA results are not implemented Copyright 2009 GPAllied GPAllied 6
  • 7. Not Measuring the Right Thing • What is the value of the RCA? • Did you achieve the expected results from RCA? – MTBF – Rework – Defect elimination Copyright 2009 GPAllied GPAllied RCAs are Executed on the “Problem of the Day” Copyright 2009 GPAllied GPAllied 7
  • 8. Triggers • There are at least 5 key areas for consideration when deciding to use RCA – Safety (an incident or a trend) – Environmental (an incident or trend) – Manufacturing (yields, throughput, availability, etc.) – Cost (unit cost, overshot budget, etc.) – Customer satisfaction (quality, delivery, value, etc.) – Other? Copyright 2009 GPAllied GPAllied Reactive or Proactive Triggers • Triggers can be either proactive or reactive • Proactive triggers might include responding to leading indicators or conducting FMEAs Copyright 2009 GPAllied GPAllied 8
  • 9. Reactive Triggers • Reactive triggers can show up in metrics such as: – Personnel metrics • Recordable injury rate exceeds a predefined target • Lost workday injury – Environmental metrics • Environmental incident score exceeds a target number – Production metrics • Availability throughput or yields fall below target Availability, • Planning or scheduling effectiveness is below goal • A significant downtime incident occurs Copyright 2009 GPAllied GPAllied Proactive Triggers • Leading indicators – Investigate minor injuries to uncover underlying dangerous behavior patterns y g g p – Document and investigate ‘near misses’ – Monitor and respond to trends in equipment availability, throughput and yields – Monitor and respond to trends in % emergency work, schedule compliance or rework rate Copyright 2009 GPAllied GPAllied 9
  • 10. Proactive Triggers, cont’d • Conduct FMEAs – Determine the effects of “hidden” chronic equipment failures q p – Identify and prevent what could go wrong but hasn’t yet Copyright 2009 GPAllied GPAllied RCA Results Not Implemented • Changes to Maintenance Strategy? • Changes to Operating Strategy? • Training? • Procedures? Why is it so hard? Copyright 2009 GPAllied GPAllied 10
  • 11. Simple Steps to Success 1. Establish quantifiable triggers • Potential Loss of production throughput at a cost $100,000 – $1,000,000 – One Reliability Engineer to lead effort, Predictive Maintenance Technician, Maintenance Technician, Operator, and others as needed • Potential Loss of throughput at a cost $1,000,000 – $5,000,000 – Two Reliability Engineers, Predictive Maintenance Technician, two Maintenance Technicians, Operator or Operators as needed • Potential Loss of production throughput at a cost $5,000,000 plus – Two Senior Reliability Engineers Fulltime, Predictive Maintenance Expert (possibly a consultant), RCM Expert (possibly a consultant) Copyright 2009 GPAllied GPAllied Triggers • There are at least 5 key areas for consideration when deciding to use RCA – Safety (an incident or a trend) – Environmental (an incident or trend) – Manufacturing (yields, throughput, availability, etc.) – Cost (unit cost, overshot budget, etc.) – Customer satisfaction (quality, delivery, value, etc.) – Other? Copyright 2009 GPAllied GPAllied 11
  • 12. Ensuring Success? 2. Defining roles and responsibilities in the Root Cause Analysis Process Copyright 2009 GPAllied GPAllied Develop a Tracking System • Develop Leading Indicators – Execute RCA before a failure occurs • Ensure measuring success of RCA Copyright 2009 GPAllied GPAllied 12
  • 13. Questions? Copyright 2009 GPAllied GPAllied 13