Reliability Improvement Strategies
Tim Thompson TapRoot Summit October, 2009
Biography
Graduated from the University of Michigan with a BSME in 1979 1979 – Present, Marathon Petroleum Company Engineering, Operations, and Maintenance Primary focus, since 2002 has been Reliability Improvement
Agenda
Selling Reliability
Traditional Wisdom Enlightened Approach
Process Safety Information Mechanical Integrity Incident Investigation
Process Safety Strategy
Selling Reliability
Traditional Wisdom
Improved reliability lowers maintenance costs Lower maintenance costs improves profitability
Theoretical Refinery Cost - Base Case 6.9% 3.4% 3.4% 6.9%
79.3%
Crude
Energy
Fixed Labor
Maintenance
Profit
5% Maintenance Reduction = .05 X 3.4 = .17 Less than 2% Profit Improvement
Selling Reliability
Enlightened Approach
Improved reliability increases production Profit improvement is leveraged as fixed costs are distributed over more units
Theoretical Refinery Cost - 5% Production Improvement
3.3% 3.3% 6.9%
7.2%
79.3%
Crude
Energy
Fixed Labor
Maintenance
Profit
Profit Improvement (7.2-6.9)/6.9 = 4%
Selling Reliability
To get management support, focus on production improvement first, then maintenance expense Include production losses in justification for maintenance projects
Process Safety Strategy for Reliability Programs
OSHA Process Safety Management Standard was enacted in 1992 to protect employees and the public from releases of hazardous chemicals. PSM is an excellent foundation for a plant reliability program. Three key elements that apply to reliability are:
Process Safety Information Mechanical Integrity Incident Investigation
Process Safety Information
Process Safety Information refers to information about hazards, design, and equipment. An effective reliability program provides accurate information to employees and contractors who maintain the equipment. The goal is for any craftsman to find the right information in the middle of the night. Repeat failures decrease when the correct information is readily available.
Mechanical Integrity
MI is the foundation of an effective maintenance program. The six sub-elements of MI are: Application Procedures Training Inspection, Testing, and Preventative Maintenance Equipment Deficiencies Quality Assurance
Incident Investigation
OSHA requires an investigation of all incidents that caused or could have caused a release of highly hazardous chemicals. TapRoot is used to investigate incidents to identify the root causes.
TapRoot Investigation
TapRoot is a systematic approach to identifying root causes and can be effective in identifying reliability improvement opportunities. The focus on root cause leverages the lessons learned and moves the organization from reactive to proactive. The Root Cause Tree aligns well with Mechanical Integrity
Procedures Training Quality Control
TapRoot Investigation
The other Root Cause Categories: Communications Management Systems Human Engineering Work Direction Often lead to improvements in the remaining MI subelements ITPM Deficiencies Application
Conclusion
Mechanical Integrity is an excellent foundation for a reliability program. Incident investigations identify improvement areas in management systems. Production losses, as well as maintenance costs, are used to sell improvement opportunities.