1 assets management at arcelormittal - french cto | operational excellence september 20 th, 2009
TRANSCRIPT
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Assets Management at ArcelorMittal - French
CTO | Operational Excellence September 20th, 2009
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CTO | Operational Excellence
Une bonne cinquantaine de sociétés autonomes il ya dix ans
La formation d’ArcelorMittal
2008
2006
2002
1999
Mi 2008:350 000 salariés100 000 ss ttsdans 60 pays
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CTO | Operational Excellence
De World Class à bon • Europe de l’ouest• Canada anglais• Brésil
Passable• Ukraine• Mexique • Argentine• Canada français• Kazakhstan • mines en général
Très dégradé • Europe de l’est en général• USA • Afrique du sud
Catastrophique • Roumanie• Algérie
Technologie: l’état des équipements
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CTO | Operational Excellence
De World Class à bon: exemple du Brésil
Timoteo Cold Rolling mill
Vega do Sul Galvanising line
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CTO | Operational Excellence
Bonne pratique: éviter de salir pour ne pas nettoyer
De World Class à bon: exemple du Brésil
Maintenance day at Vega do Sul – paper rolls covering walking lanes to avoid excess of dirt on the ground
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Passable: exemple de l’Ukraine
Kryvyi Rih roll shop
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Très dégradé: exemple des USA et de la RSA
Cleveland Blast Furnaces area
Newcastle shipping bay
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Catastrophique, ex. de la Roumanie et de l’Algérie
Annaba, sinter plant ground floor
Roman tube mill
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CTO | Operational Excellence
ComportementEnthousiastes et prêts à tout pour améliorer: les brésiliens
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CTO | Operational Excellence
ComportementTellement sûrs d’être les meilleurs… beaucoup et partout
PS : You could add on this slide: USA – management vision limited to the next 24 hours, avoiding commitment, personal tactics, and non-US processes politely disregarded… Bernard PLUMIERContinuous Improvement ManagerArcelorMittal USA Heavy PlatesCoatesville Plant
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CTO | Operational Excellence
• Commencer par un succès rapide (16 semaines) sur un sujet sensible avec une méthode très élaborée (Prong 1)
• Démarrer WCM en parallèle, de sorte qu’il y ait des équipes pour prendre le relais en fin de vagues Prong 1 et continuer à améliorer. Exemple: 2 vagues pour réduire la consommation d’huile au train à chaud de Vanderbijlpark (-50% d’avril à juillet 2009, et à nouveau -50% d’août à novembre). En //, réduction des pannes de 60% sur le dégrossisseur par la maintenance autonome.
Obtenir de la crédibilité: Prong 1 puis Prong 2
Appoint the team Communicate Data collection Plan Diagnosis Identify specificities
Vision Planning Implementation SustainabilityPreparation Diagnosis
Implement action plan according to identified levers
Ensure changes and improvements sustainability
Team building, communication, data collection
Operating SystemOperating System
Management InfrastructureManagement Infrastructure
Mindset and BehaviorMindset and Behavior
Operating System
Management Infrastructure
Mindset and Behavior
Levers Implementation
4 weeks 1 week 9 weeks 1 week1 week
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CTO | Operational Excellence
Développement de WCM
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CTO | Operational Excellence
• Etat catastrophique:– On détache des experts quelques mois pour faire apprendre les
basiques (standards de process et de maintenance p. ex.) et cela prend du temps (comportement)
• Etat très dégradé ou passable:– On démarre par du 5S, sauf en Afrique du Sud où les dirigeants ont
considéré que WCM est “must-have”. Aux USA, quelques mois après le démarrage du WCM, les dirigeants on changé pour RCM.
• Etat bon ou excellent:– Le WCM est habituellement en place. Sinon, nous proposons un
modèle de maintenance ainsi qu’un questionnaire d’auto évaluation sur 6 familles d’activité de maintenance.
Là où on ne peut développer WCM
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CTO | Operational Excellence
Man
agem
ent &
Lea
ders
hip
Health & Safety - Environment - Competency - Discipline
Maintenance
Excellence
Strategic
Maintenance
Proactive
Maintenance
Planned
Maintenance
Reliable Assets
Risk Analysis
Certification Emerging Technology Evaluation
Equipment Standardization / Spares Strategy
Maintenance Task Analysis
TCO Analysis
Maintenance Engineering
Support
Optimum Local / Central
Resources
Strategic Use of Third Parties
Maintenance / Operation
Partnership
External Benchmarking
Training & Certification Program
Predictive Maintenance Abnormality Reporting System
Condition Monitoring (online / offline)
Professional Qualification
Equipment History
Failure Analysis &Action plans
Periodic maintenance & Inspection CMMS
Process Information Monitoring
Performance Tracking & Reporting (KPIs)
Work Identification /Prioritization
Planning &Scheduling
Work OrderExecution & Follow-up
Maintenance by Sets
Maintenance Standards
Safety Procedures
Asset Ranking
Operations Involvement
RCM
Guaranteed Performance of Repaired Equipment
Life Cycle Analysis
Role Clarity
House Keeping
Regular Review of Maintenance Plans
ArcelorMittal Asset Reliability Management System
Practices
Infrastructure
Asset Reliability Process
Implementation Approach
Practices
Infrastructure
Asset Reliability Process
Implementation Approach
Implementation Approach Sustained
CapabilityLoop
ContinuousImprovement
Loop
Planning
ExecutionFollow-up
Confirm Manufacturing
ProcessPerformance
Requirements
AssessAsset
Capability
Establish AssetReliability
Targets
Review Asset Hierarchy and
Ranking
Performance Analysis
Work Identification
Scheduling
Asset ReliabilityAsset ReliabilityProcessProcess
Sustained Capability
Loop
ContinuousImprovement
Loop
PlanningPlanning
ExecutionExecutionFollow-upFollow-up
Confirm Manufacturing
ProcessPerformance
Requirements
Confirm Manufacturing
ProcessPerformance
Requirements
AssessAsset
Capability
AssessAsset
Capability
Establish AssetReliability
Targets
Establish AssetReliability
Targets
Review Asset Hierarchy and
Ranking
Review Asset Hierarchy and
Ranking
Performance Analysis
Performance Analysis
Work Identification
Work Identification
SchedulingScheduling
Asset ReliabilityAsset ReliabilityProcessProcess
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CTO | Operational Excellence
Questionnaire d’auto évaluation PROBLEM DIAGNOSIS AND REPAIR EXECUTIONLEVER Category and scoring4 POOR: 1 AVERAGE: 4 GOOD: 7 WORLD-CLASS: 10
Problem communication
Communication between Operations and Maintenance
Little or no operations
involvement in problem
reporting
Operations usually report
problems with some
description
Operations provide f airly
detailed problem
descriptions before many
repairs (planned and
unplanned)
Operations systematically
provide detailed problem
descriptions before repairs
(planned and unplanned) and
communicate with
maintenance during and
af ter repairs
Complete instructions for craftsmen
Craf tsmen receive
incomplete job instructions
Craf tsmen receive complete
description of tasks with
little supporting detail (e.g.:
parts needed)
Craf tsmen receive complete
description of tasks and
parts
Craf tsmen receive complete
information and work order
details (estimated labour
hours, task, materials,
equipment history)
Root cause problem solving
Root cause analysis
Little or no root cause
analysis is made, and
problems reoccur.
I nformal/ ad hoc analysis on
repeat problems and
equipment.
Some countermeasures are
locked up, e.g. by Standard
Operating Procedures.
All equipment are ranked
af ter their criticality. Root
cause analysis is done on
critical equipment (all AA
and selected A machines*)
All countermeasures are
locked up.
Due to thorough root cause
analysis, zero breakdown is
achieved on all critical and
important equipment (all AA
lines and A machines*).
All countermeasures are
locked up.
Engineering support
Maintenance has little or no
engineering support
Maintenance has occasional
engineering support
Engineers do most project
work and are regularly
involved in root cause
analysis
Engineers fully support and
contribute to root cause
analysis
Repair execution
Operation's involvement
Operators don't perform any
activity to maintain basic
conditions of their
equipment. Autonomous
maintenance** does not
exist.
Operators perform some
simple maintenance tasks and
are aware of and maintain
basic conditions of their
equipment.
Step 3 of Autonomous
maintenance** (Standards
and checking routes initial
f ormalization) in progress.
Operators assist
maintenance on major tasks
and do some minor
adjustments and repairs but
are not trained.
Autonomous maintenance**
is well implemented and step
4 achieved (Widening &
deepening checking skills,
general inspection).
Operators are trained to
assist maintenance on major
tasks and to execute simple
routine equipment
adjustments and repairs.
Autonomous maintenance**
is stable and all standards
are improved and step 6 is in
progress (I ntegration of :
machine operation, product
quality, maintenance
conditions)
Maintenance craftsmen's involvement
Craf tsmen only do assigned
tasks
Craf tsmen look at problem
and plan on the spot
Craf tsmen plan simple repair
work and participate in
planning major repair tasks.
Craf tsmen plan simple repair
work and participate in
planning major repair tasks.
They gather data to f eed
formal diagnostic post
repair.
Feedback on repairs
There is little or no log of
f eedback on repairs
Only information on repair
duration and major
incidences is recorded. No
f ormal analysis of repair
inf ormation.
Complete f eedback on
repairs is available (duration,
materials consumed,
incidences, etc.). Rough
diagnosis made on major
repair. Some modification of
SOPs.
Complete f eedback on
repairs and improvement
ideas. Systematic and
comprehensive diagnostic on
repairs is made. SOPs
modified accordingly.
Managerial issues Total points achievable: 70 Total points achieved: 43 SCORE IN %: 61,4
Technical issuesBehavioural issues AA and A machines*: see in Annex how to proceed to rank machines
Autonomous maintenance**: see in Annex what are the 7 steps of Autonomous Maintenance
INFRASTRUCTURE SUPPORTLEVER Category and scoring4 POOR: 1 AVERAGE: 4 GOOD: 7 WORLD-CLASS: 10
Catalogue
Stores catalogue is not permanently
updated, and many items are not
encoded.
Stores catalogue permanently updated
f or major items. Most items are
encoded.
Stores catalogue permanently updated
f or all items. All items are encoded.
Stores catalogue permanently updated
f or all items. Finding any part in the
catalogue is simple and quick.
Housekeeping
Stores are in a clutter. Little or no
method to store parts. Finding the
right parts require of ten time, and
some are missing.
A visible eff ort to store parts is made.
Time to fi nd parts and to physically de-
stock is still variable, and errors still
occur. Some parts are missing, and still
not all are f ound on fi rst try.
Stores are orderly. Places and storage
conditions are defi ned according to
parts and use-by dates, but there is no
f ormal and systematic method to do
that. Few parts are missing, and not
fi nding a part on fi rst try is an
exception.
Stores are orderly. A method to defi ne
places and storage conditions according
to parts nature, turnover, use-by date,
volume and weight is systematically
applied. All parts are available, and all
of them quickly f ound on fi rst try.
Storage units and boxes are adapted to
parts.
No parts mix-up, poka-yoke are of
common use.
Zero de-stocking error.
Stock management
No sound and f ormal method to decide
what to store and defi ne what are the
required levels. Stockoutages occur.
Minimum/ maximum levels set and
maintained f or some items. Practices
are based on experience, including
critical parts identifi cation. Some
stockoutages still occur.
Standards defi ne categories (normal,
critical), level of stock and restock
methods. What has to be put in store is
usually defi ned based on the
experience of suppliers or own people.
For AA and selected A machines*, their
critical parts are clearly defi ned, and
special attention is given to them.
Stockoutages are unusual. Stocks are
optimized, including working capital
considerations.
Standards defi ne what has to be put in
store, categories (normal, critical) and
what is the required level. A standard
defi nes how to restock according to
consumption and stock level. This
system is reviewed on a yearly basis at
minimum. Zero stockoutage is
maintained. Stocks are systematically
optimized, including working capital
considerations.
Under supervision of an ad hoc
committee, some parts are managed in
common with other plants with the
same above procedures.
Spares quality
During the past year, some problems
occurred due to spares quality and/ or
usability in whole plant.
There is no systematic incoming
inspection of spares.
A f ew problems still occurred during
the past year involving AA and selected
A machines.
I ncoming inspection of spares is
systematic f or the above machines.
Not a single problem with spares
quality and/ or usability f or the past
year involving AA and selected A
machines.
Systematic incoming inspection f or all
parts.
Not a single problem with spares
quality and/ or usability f or the past 2
years involving AA lines and all A
machines.
Inventory control
I nventories are not made on a regular
(yearly) basis. Signifi cant discrepancies
between real and expected occur.
Periodic inventory system. Signifi cant
discrepancies still occur in some cases.
Periodic or rolling inventory system
according to parts. Some discrepancies
still occur, with no major consequences.
Rolling inventories show that there is
no diff erence between real and
expected.
Contractor strategy
There is no f ormal strategy. Some
orders are made made orally and
settled af terwards.
There is some f ormal strategy. Open
orders are quite common.
There is a f ormal and agreed upon
strategy. All subcontracted activities
have written orders or contract. Most
contracts are quantifi ed in terms of
results to achieve, or improvement to
be made ("Progress contracts").
Activities to be subcontracted are
defi ned based on defi ned criteria, in
line with company Policy and Strategy.
Choice of contractors is transparent
and made based upon multi criteria
requirements. All subcontracted
activities have written and quantifi ed
requirements.
Trade-off evaluation
Trade-off between internal and
contract resources are not evaluated
Trade-off evaluated f or some jobs
based on price only
Trade-off between internal and
contract resources only done f or major
jobs based on quality, availability,
perf ormance, pricing, and internal
resource constraints
Continued use of contractors is
evaluated based on quality, availability,
perf ormance, pricing, and internal
resource constrains
Managerial issues Total points achievable:
Contractor management
Stores
0
20
40
60
80
100
EQUIPMENT STRATEGY AND MAINTENANCEAPPROACHES
PROBLEM DIAGNOSTIC AND REPAIR EXECUTION
ORGANIZATIONAL CAPABILITIES
PLANNING AND SCHEDULING
INFRASTRUCTURE SUPPORT
SYSTEM SUPPORT
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CTO | Operational Excellence
• Europe de l’Ouest, Brésil, Canada: participatifs ou neutres.• Ukraine: le bon coté du système soviétique s’applique.• USA: vivement pour dans les usines qui sont passées par Chapter 11,
méfiants dans celles qui n’ont connu que Chapter 7 • Afrique du Sud, réticents au départ, en progrès. Communication
particulière pour tuer le mythe que WCM consiste à transférer des activités de maintenance aux opérateurs à court terme, voir p. suivante.
Attitude des syndicats face au WCM
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CTO | Operational Excellence
Content Usual duration Who was in charge of it previously?
Step 1
Initial cleaning, anomalies identification and eliminationCleaning of dirt, dust and stains, mainly on machines. Lubricating, retightening loose bolts. Identifying dirt sources and hard to access areas. Put tags where anomalies are detected (blue or red). Blue tags: no need of special skills, the operator can correct himself; red tag: maintenance skills are needed and the tag is transferred to Maintenance. Example of anomalies: scrap and rubbish, abandoned parts, leaks, spatter, machine deterioration, overheating, vibrations, loose parts, poor fittings, missing parts, bent parts, rust, strange noise, strange smell, off centre, poor alignment...The deliverable of this step is a list of pollution and dirt sources, and of hard to access areas. Also, a
On the model machines, 1 to 2 months. On a whole plant of ~1000 people, 15 months for most AA (super critical) machines.
Actually nobody was clearly in charge, otherwise the situation would not have been like the one we usually find. It is nobody's fault, just the result of years of familiarization to rampant degradation and poor working environment. Normally, everyone should having been taking care of its own area, including Maintenance tidying up after intervention. It is hardly the case.
Step 2
Countermeasures against sources of dirt and improvement of poor access areas.Poor access areas are time consuming places to clean or inspect, tasks are difficult to carry out and safety issues are plenty.Improvement proposals come either from Autonomous Maintenance teams or from Focused Improvement working groups, depending the difficulty. During this step, first elements for provisional inspection standards and standard operating procedures improvements are gathered.Visible impact on people's safety and health.The deliverable of this step is a shop where pollution sources are either eliminated or contained, and
On the model machines, 1 to 2 months. On a whole plant of ~1000 people, 15 months for most AA (super critical) machines.
Usually, same as above. In some countries, the safety side (related to difficult to access areas for instance) in partially in charge of Safety Commissions, with participation of Unions'reps.
Step 3
Standards and checking routes initial formalizationThe operators establish which standards they must comply with in order to achieve and maintain line basic conditions: cleanliness, integrity, lubrication… They develop inspection standards to check that everything is as it should be ("agreed basic standard condition") and they regularly apply them. It is during this step that Visual Management is being developed (cf. ArcelorMittal Visual Management Handbook).The deliverable of this step is to permanently ensure good line basic conditions.A valuable side effect is a far better knowledge of line machines, functions, cinematics etc. that has a clear impact on safety conditions.
On the model machines, it starts 3 to 4 months after the beginning of AM and may last 1 to 3 years.
In some cases, lubrification inspection was more or less done by maintenance people, in the general frame of preventive maintenance activities. But there are few examples where it was systematically done to such an extent. It could compare to checking you car monthly in a garage, and checking all levels (gas, oil, tyre pressure...) every time before driving it. Until step 3 is completed, there is no real or significant transfer of tasks systematically performed by maintenance professionals.
Step 4
Widening & deepening checking skills, general inspectionThe purpose of this step is:- to achieve a deep understanding of structures, functions, operating principles;- to acquire proper skills to inspect main functions and parts of the lines;- to identify and repair latent and hidden defects.During the development of Step 4, a comprehensive lists of maintenance task will be drawn up. All the tasks that are transferable to production people will be listed. Among this list, the ones that are desirable to really tranfer will be extracted.This final list is highly variable. It actually depends on the skills acquisition potential of the local team of production people. The ideal is to transfer as much as possible, for the most skilled people are, the more the company is able to ensure reliability and productivity. Then, a training plan is set up at individual level, and tasks are gradually transferred after thorough checking that operational skills are in place. Following that, all inspection standards are reviewed according to new knowledge, and teams enter a virtuous circle Inspection / result analysis / training
Some plants are happy with good Step 3 activities and never implement Step 4. Some other want to go further. In this case, to fully implement this step takes usually 1 to 2 additional years. It may substantially vary depending on the initial education of the workforce. The depth may also greatly vary for the same reasons.
The content of tranferred task is usually made of first level maintenance activities:- inspections, - small repair,- parts replacements- participation to overhauls under supervision of professionals.
The main effect of good AM practices is that breakdowns due to lack of basic conditions have virtually disappeared. Usually, Maintenance department has implemented in parallel a zero breakdown approach on critical and important machines. There is no significant reduction of maintenance workforce, but a radical change of work content: most activities are preventive (time-based or condition-based) and targeted at improvement.
Maintenance professionals keep specialised task: as incidents are now unusual, only skilled professionals have the proper background and experience to act, it is kind of a paradox.
AUTONOMOUS MAINTENANCE, THE 4 FIRST STEPS
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CTO | Operational Excellence
Thanks for attention!