Pursuing Excellence in Asset Management
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1 Agenda Number 4. Pursuing Excellence in Asset Management Taking it to the next level Greg Ramon, Assistant General Manager Maintenance Administration June 5, 2014 Asset Management History 1985 to 2003: Reactive Maintenance Reactive fix it when it breaks 2003 to 2012: Maintenance Excellence Proactive fix it before it breaks 2013 and beyond: Reliability Excellence Risk Based fix critical assets before they break 1
2 14 Pump Plants, 1 Pump Generating Plant Mark Wilmer Pumping Plant Picacho Pumping Plant Waddell Dam & Lake Pleasant Waddell Pump/Generating Plant 109 Pumps (2000 HP to 66,000 HP) 2
3 Electric Power Facilities 39 Check Structures, 35 Turnouts 3
4 6 Communication and Control Facilities Reactive Maintenance 1985 to 2003 Start-up and operate the system Deliver Arizona s full Colorado River allocation Reactive Maintenance fix it when it breaks 4
5 Improve Asset Management Program Objective Reduce accidents and injuries Proactive process fix it before it breaks Organization gains control of the assets Increase Operational Availability (capacity) Manage the Maintenance Budget Maintenance Excellence 2003 Maintenance Philosophy used in manufacturing/industry Spectrum of business processes, practices, and procedures Manage the life cycle cost, and performance of infrastructure assets 5
6 Maintenance Excellence Implementation: Perform baseline audit Develop a 5 year Master Plan Design workflow processes, roles, and responsibilities Reorganize to support the new processes Evolve the workforce What s in it for me?" Develop metrics to measure performance Perform follow-up assessments to gauge progress Maintenance Excellence General 2003 Reactive Organization Structure Manager AGM Maintenance Maintenance Manager Maintenance Manager Maintenance Manager Maintenance Manager Supervisor Supervisor Supervisor Planner Planner Planner Team Lead Electrician Mechanic Maint. Wkr Electrician Mechanic Maint. Wkr 4 Electrician 6 Mechanic 4 Maint. Wkr 4 Electrician 3 Mechanic 2 Maint. Wkr Electrician Mechanic Maint. Wkr Electrician Mechanic Maint. Wkr 2 Electrician 2 Mechanic Maint. Wkr 3 Electrician 3 Mechanic 2 Maint. Wkr 4 Electrician 2 Mechanic Maint. Wkr 6
7 Maintenance Excellence General 2013 Proactive Organization Manager Structure AGM Maintenance Asset Owner West Manager Asset Owner South Manager Centralized Support Mgr. Maint. Control Manager Area Supv 4 Electrician 6 Mechanic 2 Maint. Wkr Area Supv 4 Electrician 3 Mechanic 2 Maint. Wkr Area Supv 3 Electrician 3 Mechanic 1 Maint. Wkr Area Suprv 2 Electrician 3 Mechanic 2 Maint. Wkr Heavy Overhaul Heavy Overhaul Heavy Overhaul HVAC Maint. Engineering Planning CMMS Support Fire Systems Electrical I&C Protective Coating Maintenance Excellence Assessments Evaluating Performance First external assessment completed March 2003 (baseline) Three internal assessments, 2004, 2007 and 2009 Last assessment (external) in 2011 by CH2M Hill 7
8 2011 CH2M Hill Assessment Objective a. Benchmark CAP s maintenance program b. Perform an organizational review c. Validate CAP s internal assessment process Assessment Process a. Question based survey and employee interviews b. Risk assessment of each audit category c. Risk assessment of 7 CAP facilities Maintenance Excellence 2011 Audit Category Scores 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 8
9 Maintenance Excellence Assessment History World Class Excellence 81% 82% Proactive 60% 65% Emerging 42% Reactive 2003 Life Cycle 2004 Internal 2007 Internal 2009 Internal 2011 CH2M HILL 2011 CH2M Hill Assessment Water Services Association of Australia Used to compare maintenance practices of water utilities Water utility assessment Water utilities from North America (13) Global water utilities (27) 9
10 CAP VS North America Water Utilities The United States Seattle Public Utilities Tacoma Water Tacoma Public Works Portland Water Bureau Portland BES Anchorage W/WW Philadelphia Water Dept Cincinnati MSD Toho Water Authority Los Angeles Water & Power Washington Washington Washington Oregon Oregon Alaska Pennsylvania Ohio Florida California Canada Region of York Ontario Region of Peel Ontario City of Toronto Ontario Water Services Association of Australia CAP VS Global Water Utilities Australia Sydney Catchment Authority NSW Sydney Water NSW Hunter Water NSW Gold Coast Water Queensland SEQ Water Queensland Brisbane City Council Queensland Gladstone Area Water Queensland Central Highlands Water Victoria City West Water Victoria South East Water Victoria Melbourne Water Victoria Coliban Water Victoria Goulburn Valley Water Victoria Wannon Water Victoria Hobart Water Tasmania Water Corporation Western Australia SA Water South Australia New Zealand Manukau Water Metrowater North Shore City Council Christchurch City Council Dunedin City Council Watercare New Zealand Hong Kong Hong Kong Water Supplies Department The United Arab Emirates Abu Dhabi Distribution Company Abu Dhabi Sewerage Services Company Sultanate of Oman Oman Wastewater Services Company Water Services Association of Australia 10
11 Maintenance Excellence 2011 CH2M Hill Results CAP Score = 72% North America Group Global Water Utility Group Water Services Association of Australia Maintenance Costs (Actual vs. Adjusted for CPI) $30.0 $28.0 $26.8 $27.1 $27.1 $27.6 $28.8 $28.8 $26.0 $24.0 $22.0 $20.0 $18.0 Costs in Millions of $ $25.4 General Fund $25.0 $24.7 General Fund (Adjusted for CPI) $25.5 $24.9 $16.0 $14.0 $12.0 $
12 Maintenance Excellence Reliability Excellence Fundamentals necessary for success Risk based approach Performance measurements Condition Based Monitoring (CBM) Sharing information 12
13 Reliability Excellence 2013 to 2016 Objectives: Optimize maintenance effort (continuous improvement) Establish asset criticality relative to Safety and Operations Apply Reliability Centered Maintenance (RCM) process Continue to implement Condition Based Monitoring technologies Risk based process fix or replace just before it breaks prevent failure of critical assets and allow some non-critical assets to run to fail Reliability Excellence Condition Based Monitoring Install technology to collect asset data Organize data and provide remote display Trend critical asset performance data Automate intrusive manual inspections Facilitate Predictive Maintenance (Pdm) Facilitate Run to Failure decisions 13
14 Thoughts / Questions? 14
Reliability Excellence (RE)
Reliability Excellence (RE) Taking it to the next level Greg Ramon May 1, 2014 Asset Management History 1985 to 2003: Reactive Maintenance Reactive fix it when it breaks 2003 to 2012: Maintenance Excellence
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