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    Chapter 19

    MaintenanceManagement

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    Mahadevan (2007), Operations Management: Theory & Practice, Pearson Education

    Maintenance ManagementDecision making context

    Maintenance management is

    A systematic approach to upkeep of resources

    Using decision making tools

    To improve the efficiency and effectiveness of the operatingSystem

    Important Decisions in Maintenance Management include:

    Should we repair a machine or replace it with a new one?

    Should we do preventive maintenance of the available resourcesas opposed to reacting to breakdowns occurring in the system?

    At what frequency should preventive maintenance be done and

    what is the cost implication of the decision? Can we assure a certain level of system availability? What factors

    influence system availability?

    Are there any lessons to be learnt from the recent success ofJapanese approaches to maintenance management?

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    Maintenance ManagementLinkages with other OM functions

    Maintenance & Aggregate Production Planning

    Scheduling of maintenance activities interacts closelywith APP exercise in an organisation

    Maintenance & Operations Scheduling One of the key assumptions in scheduling is the

    extent of availability of resources for operations .Maintenance function determines how well theassumptions about resource availability are made andhow reliable the assumptions are

    Maintenance & Quality Control

    A good maintenance management could contributesignificantly to quality assurance and vice versa

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    Vicious Cycle of Maintenance

    Multiple resources

    available centrally

    Reduced emphasis on

    maintenance due to availability of

    more than one machine

    No significant

    impact on resources

    availability initially

    Maintenanceof resources

    further neglected

    Resources availability

    begins to drop

    drastically

    Identify

    Bottleneck resources

    Build additional

    capacity in the

    system

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    Bath Tub CurveFailure rate of equipment over its life cycle

    InfantMortality

    Phase

    Wear OutPhase

    Useful Life Period (Constant failure rate)

    F

    ailureRate

    Time

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    Maintenance ManagementPerformance Metrics

    Equipment breakdowns Breakdowns can be measured in terms of the

    frequency and the severity

    Mean Time Between Failure (MTBF) MTBF is the expected time of the arrival of a

    failure

    Mean Time to Repair (MTTR) MTTR is the expected time for restoring the

    equipment back to the working condition

    Availability Availability is defined, as the fraction of the time

    the equipment is available for productive use

    (MMTB

    MTAt

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    Effective Maintenance ManagementSome requirements

    Equipment Catalogue

    Maintenance Policy & Manual

    Troubleshooting Mechanisms Fault Tree Analysis

    Maintenance Information System

    Equipment History Cards

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    Troubleshooting MechanismAn illustration using Microwave Oven

    X X X

    X

    X X

    X

    X X X X

    X

    X X X X

    X X X

    Checktoseethat ovenventilationportsarenot choked

    Usecorrect time/cookingpower level

    Donot operatewithopenempty

    Reset Clock

    Turnor stir food

    Usemicrowave-safecookwareonly

    CompletelyDefrost food

    Ovenwill not start

    Err Displays

    Arcingor sparking

    Incorrect time

    Unevenlycookedfoods

    Overcookedfoods

    Undercookedfoods

    Ispower chordplugged?

    Isdoor closed

    Cookingtimenot setPressSTOP/CLEAR

    Improper defrosting

    PossibleCause

    Problems

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    Troubleshooting MechanismAn illustration using 2-line phone

    Symptom Remedy

    You hear five short error beepswhen you press Line 1 orLine 2button.

    Make sure you set up the base phone correctly Move the handset closer to the base phone Replace the handset to the base phone for a while

    to charge the battery pack

    The telephone does not connect

    at all, even though the numberthat you have dialed is correct.

    Make sure the dialing mode is set correctly

    Before dialing, make sure that you can hear thedial tone

    You hear interference duringconversation

    Move the handset closer to the base phone PressChannelon the handset for a channel that

    gives better reception Place the base phone away from noise resources

    The Charge lamp does notlight up when you place thehandset on the base phone

    Wipe the charge terminals with a soft cloth forbetter contact of the charge terminals

    Make sure the handset is placed on the base phoneproperly

    The battery duration is short

    The battery pack was charged less than 12 hours(due to power failure etc.)

    The usable life of the battery has expired andneeds replacement

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    Maintenance ManagementAlternatives

    Routine Inspection

    Preventive Maintenance

    Condition Monitoring Breakdown Maintenance

    Planned Shutdown/Major Overhauls

    Equipment Replacement

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    Breakdown Vs Preventive MaintenanceTrade-offs

    Cost of

    PM

    Cost of

    BD

    Total

    Cost

    Level of PM activity

    C

    ostofMaintena

    nce

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    Maintenance AlternativesImplications

    Routine

    Inspection

    Preventive

    Maintenance

    Predictive

    Maintenance

    Breakdown

    Maintenance

    Major

    Overhaul

    Equipment

    Replacement

    Impact on the equipments working condition

    Little Substantial

    Co

    stofmaintena

    nce

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    Preventive Maintenance PolicyOptimal PM Cycle

    CPM = Average cost of preventive maintenance for one unit ofthe equipment

    CBD = Average cost of a breakdown maintenance for one unit ofthe equipment

    M = Number of units of the equipment requiring maintenance

    n = Number of periods in the planning horizonpi = Probability of breakdown in the ith period after

    preventive maintenanceBi = Number of breakdowns during a PM cycle of durationi

    B1 = M * p1

    B2

    = M * (p1

    + p2) + B

    1* p

    1

    Bi = M * (p1 + p2 + p3 + . . . + pi)+ B1 * pi-1 + B2 * pi-2 + . . . + Bi-1 * p1

    Cost of preventive maintenance for a PM cycle of i = M * CPM

    Cost of breakdown maintenance for a PM cycle of i = Bi* CBD

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    Preventive Maintenance PolicyExample 19.3.

    Monthfollowing PM

    (a)

    Probabilityof

    breakdown(b)

    (a) * (b)

    1 0.10 0.10

    2 0.15 0.30

    3 0.30 0.90

    4 0.20 0.80

    5 0.15 0.75

    6 0.10 0.60

    Sum 3.45

    MTBF for one sewing machine= 3.45 months.

    In other words, the number

    of breakdowns for onemachine per month = 1/3.45.

    For 200 machines, thenumber of breakdowns everymonth = 200/3.45 = 57.97

    The cost of pure breakdown maintenance policy = 57.97 * 950 = Rs. 55, 072/-

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    B1 = M * p1= 200 * 0.10 = 20B2 = M * (p1 + p2) + B1 * p1= 200 * (0.10 + 0.15) + 20 * 0.10 = 52

    PMCycle

    No. of BDsBD Mtce.

    costPM Mtce.

    costTotal costof Mtce.

    Cost of maintenance (per month)

    PM BDTotal ofthe two

    1 20.00 19,000.00 60,000.00 79,000.00 60,000.00 19,000.00 79,000.00

    2 52.00 49,400.00 60,000.00 109,400.00 30,000.00 24,700.00 54,700.00

    3 118.20 112,290.00 60,000.00 172,290.00 20,000.00 37,430.00 57,430.00

    4 175.62 166,839.00 60,000.00 226,839.00 15,000.00 41,709.75 56,709.75

    5 234.89 223,147.40 60,000.00 283,147.40 12,000.00 44,629.48 56,629.48

    6 298.69 283,757.59 60,000.00 343,757.59 10,000.00 47,292.93 57,292.93

    Preventive Maintenance PolicyExample 19.3.

    The optimal PM cycle for the garment manufacturer is 2 months

    Cost of preventive maintenance per sewing machine = Rs. 300/-Cost of breakdown maintenance per sewing machine = Rs. 950/-

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    Preventive Maintenance PolicyExample 19.3. Graphical Illustration

    -

    10,000.00

    20,000.00

    30,000.00

    40,000.00

    50,000.00

    60,000.00

    70,000.00

    80,000.00

    90,000.00

    0 1 2 3 4 5 6

    PM Cycle (months)

    Totalcostofmaintenance(R

    s)

    Total of the two Preventive maintenance cost Breakdown maintenance cost

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    Equipment ReplacementDecision Tree

    A

    B

    C

    1

    New After

    2 Yrs

    After

    4 Yrs

    End of

    6 Yrs

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    Spare Parts Management

    Types of Spares

    Capital Spares

    Insurance Spares

    Rotable Spares

    Maintenance Consumables

    Use of Queueing Theory models forspare parts planning

    VED Classification of spare inventory

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    Spare Parts PlanningInsurance Spares

    Cu = The per unit cost of the spareCs = The per unit cost of shortage of the spareS = The per unit salvage value of the spareN* = Optimal number of units to be stockedPi = The probability that the demand for the spare is iunits

    TC(N) = Total cost of stocking N insurance spares

    10

    (*)(**)(

    Ni

    is

    N

    i

    iuiPCiNPSNCNTC

    The optimal number of spares to be stocked can be identified by checkingthe following pair of equation for alternative values of N from 0.

    )()1( NTCNTC

    )()1( NTCNTC

    The optimal number of spares to stock is given by:

    **

    0

    1

    0

    N

    i

    i

    s

    us

    N

    i

    iSC

    CCP

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    Rotable Spares Parts PlanningA queueing theory representation

    Maintenanceof spares

    ReconditionedSpare ready

    for use

    Spares in usein equipment

    Failed spareswaiting for

    Maintenance

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    Maintenance ConsumablesService Level

    A B C

    V 95% 97% 99%

    E 90% 92% 95%

    D 85% 90% 95%

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    Total Productive Maintenance(TPM)

    Total Productive Maintenance (TPM) An alternative approach to equipment

    maintenance that seeks to achieve zerobreakdowns and zero defects

    A successful blend of preventive maintenanceideas with the philosophy of TQM

    Based on the three ideas Yaruki Motivation Yarude Competency

    Yaruba Work Environment As of 2004, 65 PM prizes have been

    awarded to various divisions of Indiancompanies for excellence in TPM practice

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    TPM Prize winnersIndian Scenario

    Source: http://www.tpmclubindia.org/awards.htm

    http://www.tpmclubindia.org/awards.htmhttp://www.tpmclubindia.org/awards.htm
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    Overall Equipment Effectiveness(OEE): Performance Metric for TPM

    *

    TiOpe

    OAcTiCyclTheorEfficienePerforma

    *OutActu

    DeOutActuaRateQuality

    Overall Equipment Effectiveness =

    Availability * Performance Efficiency * Quality Rate

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    OEE & Six big losses

    Equipment

    Operating Time (A)

    Loading

    Time (B)

    Net Operating

    Time (C)

    Valuable

    Operating

    Time (D)

    1. Breakdown

    2. Setup & Adjustment

    3. Idling & Minor Stoppage

    4. Reduced Speed

    5. Defect & Rework

    6. Startup

    Six big losses

    Downtime

    Losses

    Speed

    Losses

    Quality

    Losses

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    Mahadevan (2007), Operations Management: Theory & Practice, Pearson Education

    TPM Methodology

    Establishing a thorough system of preventivemaintenance for the equipments entire life span

    Implementation of TPM by various departmentsincluding Engineering, Operations and Maintenance

    Involvement of every single employee from topmanagement to workers on the shop floor

    Promoting preventive maintenance through asystem of motivation management by creating

    autonomous small group activities for maintenance

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    Steps for AutonomousMaintenance

    Sl. No. Step Activities&Objectives

    1 Initial CleaningCleantoeliminatedust anddirt; Lubricate, Discoverproblems andcorrect them

    2Countermeasures at thesourc

    of problems

    Prevent causeof dust &dirt, Improveparts that arehard

    toclean; Reducetimefor cleaning

    3CleaningandLubricationStandards

    Establishstandards for cleaning, lubricationetc.

    4 General Inspection Discover andcorrect minor equipment defects

    5 Autonomous Inspection Developanduseautonomous inspectioncheck sheet

    6 Organisation&TidinessStandardiseindividual workplacecontrol methods,Developsystematic maintenancecontrol

    7 Full autonomous maintenanceDevelopcompanypolicyandgoals further, Increaseregularityof maintenanceactivities

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    Maintenance ManagementChapter Highlights

    Maintenance management is linked to otheroperations management functions such as qualitymanagement, scheduling and aggregate productionplanning

    Several performance measures are available toassess maintenance management. These includeavailability, MTBF, MTTR and overall equipmenteffectiveness.

    Use of troubleshooting mechanisms, fault treeanalyses and a good maintenance managementinformation system results in effective maintenance

    Several alternatives are available for maintenancemanagement. These range from simple routine

    inspection to equipment replacement.

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    Maintenance ManagementChapter Highlights

    There are four type of spare parts in organisations.These include capital spares, insurance spares,rotable spares and maintenance consumables. Themethod of inventory planning vastly differ among

    these.

    Total Productive Maintenance (TPM) is a newerapproach to maintenance management that seeksto achieve zero breakdowns and zero defects. It is

    based on the premise that production operatorsplay a crucial role in maintenance.

    Overall Equipment Effectiveness (OEE) is used toassess the performance of TPM. By eliminating sixbig losses OEE of equipment could be improved.