Plant and Equipment Wellness EAM Training Course Videos Session 17: Life Cycle Risk Reduction

In the plant wellness way EAM methodology you create reliable plant and equipment by doing life cycle risk reduction to guarantee endless health and wellbeing during their service lifetime

Plant Wellness Way EAM makes you identify all the ways a component can physically fail during operation from choices made across the life cycle and then lets you select the most effective life cycle risk reduction strategies for maximizing reliability

 

Life cycle risk reduction needs unacceptable risks to be eliminated and where that is not possible the risks are controlled and managed with the least number of suitable engineering, operating and maintenance strategies.

 

PEW/PWW EAM Course Day 3 – Reliability Creation Session 17 – Life Cycle Risk Reduction
Duration 1:10

Life Cycle Risk Reduction
– In Project Phase
– 8 Life Cycle Questions
– DOCTOR for Operating Profit Optimisation
– Equipment Criticality with DAFT Costs

PEW/PWW 8 Life Cycle Impact Questions
Duration 2:11

There are eight questions to be answered during the Life Cycle Impact analysis. These are listed below.

Economic Factors

1 Are the business-wide DAFT Cost consequences of an equipment failure acceptable?
2 Where failure is acceptable how frequently can it occur before it becomes unacceptable?

Physics of Failure Factors of Parts Failure

3 How can the part’s atomic/microstructure structure be overstressed?
4 How can the part’s atomic/microstructure structure be fatigued?
5 How can the part’s atomic/microstructure structure be degraded?

Organisational Factors in Parts Failure

6 Will/What human error/factors allow the part to fail?
7 Will/What business processes allow the part to fail?
8 What design issues allow the part to fail?

The answers to the economic factors determine if an analysis is required for the equipment. Where the failure of an item of equipment is unimportant the default decision is to run-to-failure and rectify the situation in a timely manner suited to the operational needs.

Improved Business-Wide Processes Arise from the 8 Life Cycle Questions Analysis
Duration 1:01

The Design Process Limits Reliability
Duration 2:17

Project groups have the power to build great businesses or just ‘also-ran’ businesses. When they design a plant, select its equipment, build and install it, the project group are creating a future successful operation, or a painfully drawn-out failure. Project groups need a financial tool to visualise the impact of their decisions on the future success of the business they are creating. One tool they can use to successfully improve operating profits is called ‘Design and Operations Cost Totally Optimised Risk’. Its acronym is DOCTOR and uses DAFT Costing to optimise the design and selection of project equipment and plant designs based on future consequential operating costs and failures.

Project Designers Need to See Operating Risk
Duration 1:00

Because DAFT Costs can be estimated, it is practical to include in the project and design phase an optimisation process to look at the impact of failure on future operating profits. Once the cost of failure is identified design decisions can be made to remove or prevent the failure. In this way the purchasing, construction and operating phases of the life cycle is designed, planned and structured to deliver maximum profits while plans are still on the drawing board.

The decisions made in the design phase stay with the operation its entire life. Hence there is great sense in putting a lot of effort into the design phase to remove future operating problems.

Manage the Plant and Equipment Life Cycle
Duration 0:36

We return to the realisation that the work done on maximising reliability during the project phase is the most important in getting high plant and equipment availability during the rest of the life cycle.

Design and Operating Cost Totally Optimised Risk (DOCTOR) | Life Cycle Risk Management Strategy (DOCTOR) Optimised Operating Profit Method
Duration 1:34

The process first entails taking each separate item of equipment in a project design and assuming its working parts will fail in the most catastrophic way possible. The costs resulting from such a failure are then compiled. Secondly, the item is assumed to fail in its more likely ways and the consequential costs calculated. The cost of repairing the failure is the DAFT Cost based on the real costs of current practices in the organisation using the equipment. The final costs are used to review the design choice and to compare it against other choices and their costs.

The second slide shows a means of selecting appropriate project, maintenance and operating strategies matched to the size of risk carried by a business. The methodology is known as the ‘Optimised Operating Profit Method’. It uses the more than 60 Defect And Failure True (DAFT) Costs that could happen from a failure, to determine the true cost of business risk and then matches risk control practices to the risk a company is willing to carry.

The plant design, the operating practices and the maintenance strategies are continually reviewed and improved until the DAFT Costs in the spreadsheet are acceptable because they are controlled by a suitable mix of good design choices, good operating practices and good maintenance practices.

DAFT Costing combined with DOCTOR is a powerful tool to make good business investment decisions. It lets you build future operating scenarios during design. It allows the project group to make sound practical choices and long-term financial judgments on capital equipment selection, project design, and operations and maintenance practices. DOCTOR reduces the chance of poor capital equipment acquisition and destructive long-term financial decisions from not knowing their operating consequences.

Determine Equipment Criticality and Mitigations
Duration 0:40

Affect of Chance Reduction and Consequence Reduction Strategies on Life Cycle Risk Reduction
Duration 0:52

 

The Industrial and Manufacturing Wellness Book explains the Plant Wellness Way EAM Life Cycle Risk Reduction methods

 

The new Industrial and Manufacturing Wellness book contains all the latest information, all the latest templates, and worked examples of how to design and build a Plant Wellness Way Enterprise Asset Management (PWWEAM) system-of-reliability. Get the book from its publisher, Industrial Press, and Amazon Books.

The PLANT WELLNESS WAY EAM TRAINING COURSE teaches you to use and master the Plant Wellness Way EAM methodology. Follow this link to read about Training for New Users in the Plant Wellness Way EAM Methodology for World Class Reliability.

You are welcome to go to the Plant Wellness Way Tutorials webpage and look at worked examples of Plant Wellness Way EAM techniques and read in-depth explanations of the latest version of many PWWEAM presentation slides.

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