Vesta Partners Benchmarking Workshop

Benchmarking Maintenance Management – SMRP Terry Wireman, CMRP Vesta Partners 10/8/2013
Workshop
LESSON OUTLINE
Defining Benchmarking
Defining Core Competencies
Types of Benchmarking
BENCHMARKING- Developing a Maintenance Strategy
BEST PRACTICES Conducting a Benchmarking Project
Terry Wireman
Vesta Partners, LLC
vestapartners.com
USA
+1 203 517 0400
CANADA
+1 289 337 1793
EUROPE
+31 0 70 220 9720
AUSTRALIA
+61 3 8676 0672
SOUTHEAST ASIA
+65 6622 5643
Real. World. Experience.
BENCHMARKING BENCHMARKING...
The search for industry Best Practices which lead to Superior

Performance
An ongoing process of measuring and improving practices and
processes against the best that can be identified worldwide
Keys:
Must not accept constraints
• Best Practices
Must “Think outside the box”
• Superior Performance
The more innovative the ideas - the greater the potential
rewards
Xerox Corporation
Real. World. Experience. Real. World. Experience.
1
Workshop
Benchmarking Benchmarking
a Definition
It is the process of continuously Benchmarking,compared with
competitive analysis, provides
comparing and measuring an organization
a DEEP understanding of the
with business leaders anywhere in the processes and skills that
create superior performance.
world to gain information that will
help the organization take action to
improve its performance.

WSJ - 8/26/91
BENCHMARKING
Benchmarking
A Definition Benchmarking sources “Best Practices” to feed continuous
improvement
) The search for BEST Research findings show that major innovations in any sector
PRACTICES that will come from outside the industry sector
lead to superior
performance. The need to develop an external perspective has never been
more crucial

Robert Camp
2
Workshop
BENCHMARKING COMPETITIVE ANALYSIS
During the past decade, competitive analysis has helped

companies improve their market positions Shows how firms compare with their competitors
Benchmarking takes over where this ends
From Parity to Superiority The technique does not show HOW to improve performance
Learning from the Best can help your company
Note that there is a definite difference between a competitive
analysis and a benchmarking project…
COMPETITIVE ANALYSIS... WHAT IS YOUR GOAL???
…unlikely to lead to or highlight significant breakthrough If the goal is only to meet some industry standard, then there is
opportunities that could change long entrenched paradigms of little to gain from investing to be superior...
the vertical market
Paradigms are similar for look-alike businesses in similar

markets
3
Workshop
DOCUMENTATION... ENABLERS...
Most organizations are hesitant to document their findings

Enablers and Critical Success Factors must be understood for any
permanent improvement to be achieved Although hard processes are compared, an essential part of of the
approach is the necessity to analyze the management skills and
This requires internal data collection, as well as data collection from attitudes that combine to make the systems operate effectively.
the benchmarking partners This hidden narrative is as important during the benchmarking
exercise as are the visible factors

Best Practice Benchmarking - Codling
ENABLERS…
Enablers
These are behind the scenes or hidden factors (enablers..) that
allow the development or continuation of best practices.
Leadership – Motivated workforces – Management vision and focus
A broad set of activities or are examples of enablers.
conditions that help to enhance
the implementation of a best
practice
4
Workshop
Best Practices Best Practices
) Leadership, management, or ) They know no border of

operational methods or political, industrial,
approaches that lead to or geographical dimensions
exceptional performance
) NOTE:
Relative, not absolute
Critical Success Factors INTERNAL ANALYSIS...
You must have a thorough understanding of your internal processes

Characteristics, conditions, for it to be possible to recognize and integrate the differences and
innovations that will be found in “Best Practice” companies.
or variables that have a direct
) influence on the customer's
satisfaction with a specific
business process.
CSF's represent the few areas in

which satisfactory performance is
) essential for a business to be
successful and flourish.
5
Workshop
LESSON OUTLINE BENCHMARKING…
Defining Benchmarking Used to improve Core Competencies

Defining Core Competencies So…
Types of Benchmarking Is Maintenance Considered a Core Competency?
Developing a Maintenance Strategy Is it “Core” to your business?
Conducting a Benchmarking Project
BENCHMARKING - BENCHMARKING -
CORE COMPETENCIES CORE COMPETENCIES
Core Competencies:
• Key Business outputs or processes through which an organization Key business processes represent core functional efforts and are
distinguishes itself positively usually characterized by transactions that directly or indirectly
• Distinctive - A strength that sets an organization apart from its influence the external customer’s perception of the company.
competition • Procure and Support Capital Equipment
• Examples are expert maintenance, low operating costs, and cross- • Manage and Support Facilities
trained labor
Operations Management - R. Schonberger - 1997 The Benchmarking Workbook - G. Hines - 1992

6
Workshop
BENCHMARKING -
CORE COMPETENCIES
Benchmarking Focus
Core Competencies
) Must have a wide application

Core Competencies should impact business measures:
in the company's business
• Return on Net Assets
• Customer Satisfaction
• Revenue per Employee ) Should make a significant
• Quality contribution to the benefits
• Asset Utilization perceived by the customer
• Capacity
) It should be difficult for
a competitor to quickly
imitate

The Benchmarking Management Guide - APQC - 1993
Core Competency?
I am using core competencies

to refer to any aspect of the
business operation that results
in a strategic market advantage.
Developing Performance Indicators for Managing Maintenance – 2cd ed.

Harvard Business Review (5/6- 90)
7
Workshop
Expense Reduction SAMPLE MAINTENANCE SAVINGS

Efficiency Improvement
Expenses Throughput/
Throughput/ Availability
Availability Expenses Labor Materials
• $2M per year • $4M per Year
• Reactive • No Controls
• Estimated 20% red. • Estimated 20% Red.
• Potential = $400K • Potential = $800K
But what if we could do both?
FINANCIAL OPTIMIZATION -
SAMPLE ASSET MANAGEMENT SAVINGS
THE ULTIMATE ROI
Lost Production/
Increased Uptime Increased Efficiency Availability
• $38M lost production • Compressors
• Reduction Possible o 57% & 65%
o 50% • Lost Production
Savings = $19M o $5.4M / Yr..
•
X
• Overhaul cost $450K Maintenance
• Payback 21.8 Days Cost
• Verified by accounting
8
Workshop
LESSON OUTLINE
SINCE... Defining Core Competencies
Developing a Maintenance Strategy
It is a CORE
Competency…..
TYPES OF BENCHMARKING... TYPES OF BENCHMARKING...
Internal Internal
Interplant • Data collected easily
Divisional • Similar culture
Multinational • Similar organizations+
• Unlikely to result in major breakthroughs, but, should result in quick
Similar Industry
results and adequate ROI
Competitors • Can fuel the desire for more extensive benchmarking
Best Practice
9
Workshop
Process Benchmarking
Internal Studies
Compares similar operations
Competitive Benchmarking
for different units within an
Measures organizational performance organization
Focuses on Competitors
Select set of measures
Competitive Studies
Process Benchmarking
Compares specific processes
Measures discreet process performance used by direct competitors
Focuses on "Best of Best"
Uses "Best Practice" for process
Must Understand practice Functional or Industry Studies
Must adapt and apply to organization Compares similar processes
within the same broad industry
Generic Benchmarking
Compares similar processes
independent of industry
TYPES OF BENCHMARKING... TYPES OF BENCHMARKING...
“Best Practice” Best Practice - (cont.)

• Must find the unarguable leader in the process being benchmarked • No single Best Practice company will be found
- regardless of industry sector or location
• Since reasons for benchmarking and practices being benchmarked
• Define “BEST”… will vary, “Best” companies will vary
Most Efficient?
o
• Insuring the “Best” requires systematic and thorough planning and
o Most Cost Effective? data collection
o Most Customer Service Oriented?
• Must determine criteria for “BEST”
10
Workshop
TYPES OF BENCHMARKING... BENCHMARKING - THE PROCESS
Conduct Internal Analysis

Of the Various types of Benchmarking… Identify Areas for Improvement
Find Partners
• Best Practice is Superior Make Contact, Develop Questionnaire, Perform Site Visits
o Provides the opportunity to make the most significant improvement Compile Results
o Provides the opportunity for the highest Returns On the Investment Develop and Implement Improvements
Provides the greatest potential for major breakthroughs
o
Do it again...
BENCHMARKING EVOLUTION
Benchmarking
Step 1
• Practice with Internal Partners 4 Steps
Step 2 )
1. Plan the project
• Progress to “Better Practice” internal/external partners
Step 3 ) 2. Collect the Data
• Gradually move to benchmarking with the “Best”
) 3. Analyze the data for
performance gaps and
process enablers
) 4. Improve by adopting the

process enablers
11
Workshop
BENCHMARKING EVOLUTION... Identifying Partners

Secondary Research
Early “Best Practice” benchmarking requires finding a partner who is Reliability Web - www.reliabilityweb.com
measurably better in the process
Plant Engineering and Maintenance
Once parity is achieved, begin searching for a still “Better” partner
Plant Services
Continued Steps lead to the ultimate “Best”
THERE ARE NO SHORTCUTS!! Maintenance Technology
Society of Maintenance
and Reliability Professionals
Association for Facilities

Engineering
Plant Engineering
Society of Manufacturing
Engineers
Institute of Industrial
Engineers
Productivity Press
BENCHMARKING... LESSON OUTLINE
Successful benchmarking depends on cooperation between partners Defining Benchmarking

to be successful. Defining Core Competencies
12
Workshop
BUSINESS DEVELOPMENT CASE DEVELOPING A VISION -
Most Companies Struggle with developing a vision of what

Develop the Business maintenance is, what it should be and how it contributes to the
• Mission – Vision Statements organization.
Organize to Execute the Business Plan

• Geographical and Reporting Structures
• Roles and Responsibilities
• Determine Staffing Levels
Develop a Performance Management System
• Determine Linkage necessary to connect the
maintenance and reliability business to corporate
business objectives (Profitability)
MAINTENANCE ... LIFE CYCLE MANAGEMENT

1
Investment
2
Planning Project
Definition
What is it? Decommissioning
7 3
Supplier
Selection
Asset 8
Performance
Management
Project
4 Execution
6
MRO
Procurement 5
Asset
Real. World. Experience. Real. World. Experience. Maintenance
13
Workshop
ASSET MANAGEMENT OVERVIEW ASSET MANAGEMENT OVERVIEW
SUPPORT THE ENTIRE LIFECYCLE OF THE ASSET
HQ
Plan
V.P. Operations
Maintenance Audit/
Retire
Engineering
Design/ Operations
Engineer
Acquire Maintain
Operate
Construct
Commission
ASSET MANAGEMENT OVERVIEW
LINE OF SIGHT AND LIFE CYCLE COSTS

Determined
Incurred
$447 B
14
Workshop
Equipment
Life Cycle
Phases ASSET MANAGEMENT LINE OF SIGHT
Operations and Decommissioning

Design Phase Project Phase
Maintenance Phase and Disposal Phase
Production/ Elimination of
System/ Product
Construction Operations Equipment Specific
Management
Management Spares
Equipment
Product/ System Engineering and
Maintenance Retirement –
Design-Research Operations Analysis
Disposal
Manufacturing and
Engineering Design Spares and Regulatory
Construction
And Documentation Materials Requirements
Logistics
Documentation and
System/ Product Project Quality Final Documentation
Equipment Specific
Test and Evaluation Control And Storage
Training
Based on Life-Cycle Cost And Economic Analysis –

Benjamin S. Blanchard
(Professor of Engineering-Emeritus
at Virginia Polytechnic Institute and State University)
LIFE CYCLE DECISIONS TIMELINE STATUS
Does Finance What was it

Decommission
know that we Specify and designed to
and Disposal do? Oct/ Nov
deactivated the Design Mar 2011 Oct 2011 Feb 2012 Jun 2012 April 2013 2014 Feb 2014
equipment?
Details
on start
What are
the up issues May 2011 Sep 2011 CD2 DIS
operating Operate and Procure and Distribute WD2

For Ballot
February
WD2 Comments
conditions? Maintain
Build RCVD
2014?
CD1
For Comment
Real. World. Experience. Real. World. Experience. 60
15
Workshop
STRATEGY PYRAMID
Vision
Mission
Goals
Strategies
Tactics
Action Plans

62
DISCUSSION POINTS
VISION
How do you challenge a maintenance/ reliability organization?

A Vision must be compelling to the employees.
• How to challenge the employees??
• It should be “worthy”
Management speaking the vision
• It should challenge them to grow
• How?
Management must not only speak the vision, but must also live the
Maintenance
vision. o
o Operations
• Communicate it
o Executives
• Nurture and support it
• Empower employees to fulfill it Management living the vision
• How?
o Maintenance
o Operations
o Executives
Strategic Thinking – a Four Piece Puzzle

63 64
16
Workshop
VISION VS. MISSION – STRATEGY PYRAMID

THE DIFFERENCE
Vision:
• Vision is the big picture statement. It must be
powerful, summarized in one memorable or motivating Vision
sentence or phrase. It should be general in scope, not
Mission
restricting
Mission: Goals
• Mission is the answer to “What an I going to do about
my vision?” This is more general than specific. The Strategies
mission must inspire you and your customers. It
Tactics
points to the direction you are heading. It is not the
map, just the compass heading
Action Plans
Secrets of Power
Real. World. Experience. Marketing – George Torok Real. World. Experience.
65 66
BEST PRACTICES
WHAT ARE “BEST PRACTICES” IN MAINTENANCE? EVOLUTIONARY - NOT REVOLUTIONARY
Best Practices are critical success factors that enable a
company to achieve an optimum and effective Asset
Care Management process focusing on their Return on
Investment. Reactive
Preventive
Operator
Best Practices include, but are not limited to, areas such as Involved
Preventive Maintenance
Predictive
Inventory and Purchasing
Work Management T.P.M.
Predictive Technologies
Reliability Techniques
Total Productive Maintenance
17
Workshop
WE ARE SO DIFFERENT: BEST PRACTICES IN MAINTENANCE MANAGEMENT
Conventional Techniques don’t Apply to US!

Why Do Companies have Problems
Translation: Understanding Maintenance?
• NOT INVENTED HERE! They don’t see the value of the maintenance function due
to the fact they have never learned to measure it.
Since they don’t measure it, they can not manage it.
Without this understanding, they can not comprehend
how their future hinges on maintenance / asset
management
BEST PRACTICES IN MAINTENANCE MANAGEMENT BEST PRACTICES IN MAINTENANCE MANAGEMENT
Past Attempts… Atrocities…

Many of these attempts to improve were
Changing Organizational Structures
unsuccessful, simply because they were more of a
Changing Reporting Structures
knee-jerk reaction to a problem.
Upsizing
Downsizing They were never implemented as part of a long
Contracting Out range strategic plan.
Centralization How to Start Developing a Strategic Plan??
Decentralization
Team structures
18
Workshop
Strategic Business Planning Equipment or Asset

Primary Steps for Maintenance Management:
Maintenance Management
The Goals and Objectives are set A typical definition of Maintenance (Asset)
The organizational structure is implemented Management is “the management of all assets
The roles and responsibilities are defined owned by a company, based on maximizing
The staffing and skill requirements are determined the return on investment in the asset”.
Develop Performance Indicators
This encompasses the philosophies contained in
many of the more popular techniques currently
being utilized by companies today.
The Maintenance Management Pyramid

Continuous
Improvement
Total
Financial
Productive
Optimization
Maintenance
Reliability
Predictive Operations
Centered
Maintenance Involvement
Maintenance
Technical and
Stores and Work Flow
CMMS Interpersonal
Procurement System
Training
19
Workshop
P.M. PROGRAMS
Preventive
Maintenance EFFECTIVE
is the heart of TPM
and the core of
every maintenance
strategy.
TPM for America, page 95 NOT EFFECTIVE
PM Program Development The Maintenance Management Pyramid
Basics - Inspections, Lubrications, & Adjustments

Must be “Owned” by the maintenance, operations,facilities,
& engineering departments
PM Program must be flexible
All data must be recorded
Stores and
Procurement
20
Workshop
Current Conditions
Best Practices
Poor Service Levels 95 - 97% Service Levels
100% accuracy of data
Results in “Hoarding & Pirating”
> 1 turn per year on inventory value
Inaccuracies in Stock Counts Elimination of non-moving spares
Delays in Work Execution
Reduction of slow moving spares
Controlled Access
No Tracking of Remote Stores Consignment arrangements
Results in excessive inventory Strategic Partnering with suppliers
The Maintenance Management Pyramid Work Order System Analysis
NOT SATISFIED
NOT USING W.O.

Procurement System
Preventive Maintenance SATISFIED
21
Workshop
Maintenance Planners Craft Backlogs
USE PLANNERS KNOW BY CRAFT

“Correctly”
NO PLANNERS DON'T KNOW BY CRAFT

Or “Incorrectly”
The Maintenance Management Pyramid Percent of CMMS Usage
160
140
120
100
% Utilization
80
60

CMMS
Procurement System 40
20
Preventive Maintenance 0
22
Workshop
BEST PRACTICES IN MAINTENANCE MANAGEMENT SERVICE LIFE VS. DESIGN LIFE
Why is this important to a Maintenance Professional?
Without Data:
Everything is just
someone else’s
opinion.
Discussions are
when people have
facts.
Arguments are
when emotions
and opinions are
involved. ISO 15686
The Maintenance Management Pyramid Education
If you think education is expensive;
Try to count the cost of ignorance.
Technical and
CMMS Interpersonal
Procurement System
Training
23
Workshop
Importance of Training Training Value
80% of the skills of those With a good crew one would make
now working in technical the inspections; with a poor crew,
one would rather take a calculated
areas will be obsolete in risk of a failure up to a certain
three to five years. level of severity.
TPM for America, page 52

Training Statistics
Expenditures per employee - $649.00
$607 – Low to $1,956.00 – High
Percentage of payroll – 1.81%

1.65% - Low to 4.39% High
Employees per Trainer – 312 Operations

Involvement
97 to 1 – Low to 396 to 1 – High
Percentage of Expenditures to Outside Firms Stores and Work Flow

Technical and
CMMS Interpersonal
25% was average – 31% was high
Procurement System
Training
Classroom Training – 60% of time
Technology Training vs. Total – 22% Preventive Maintenance
24
Workshop
Operations Involvement The Maintenance Management Pyramid

This aspect varies dramatically between companies
Union Agreements, Skill Levels, Types of Industry, Age of
Equipment, and Staffing all impact the level of involvement
Facilities will utilize “Occupant Involvement”
Motive should not be “Downsizing”
Focus on relieving maintenance personnel to perform higher Predictive Operations
level activities Maintenance Involvement
Technical and
CMMS Interpersonal
Procurement System
Training
Predictive Maintenance Cost of Maintenance

Focus on eliminating all Breakdown Maintenance
critical equipment
breakdowns $17 - $18 per installed HP / YR
Use the right techniques and Preventive Maintenance
tools for the right equipment
$11 - $13 per installed HP / YR
Common tools include:
Predictive / Condition Monitoring
Vibration Analysis
$7 - $9 per installed HP /YR
Oil Analysis
Thermography
Must capture data in CMMS
25
Workshop
The Maintenance Management Pyramid RCM Consists of …

Functions
Identify the potential
Functional failures problems
Root causes
Failure effects
Reliability
Centered
Maintenance
Based on the type of failure
Technical and Apply the
CMMS Interpersonal Develop an appropriate
Procurement System RCM
Training maintenance strategy
decision process
RCM The Maintenance Management Pyramid
RCM will help optimize the preventive and predictive

maintenance programs Total
This insures companies optimize their investment in the Productive
Maintenance
PM/PDM programs
Reliability
In addition to optimizing the maintenance resources, the Predictive Operations
Centered
equipment uptime increases and a corresponding increase Maintenance
in production occurs Technical and
CMMS Interpersonal
Procurement System
Training
26
Workshop
Total Productive Maintenance TPM Definition
Operations Maintenance Design TPM merges total employee

Engineering
involvement, quality
improvement, and state of the
art maintenance technology to
Production
improve the equipment
Purchasing Equipment capacity utilization of a plant
Engineering
and the quality of the product.
Project
Inventory Management Engineering
TPM for America, Herb Stienbecker
The Maintenance Management Pyramid Financial Optimization

Once the maintenance and production
components of the organization are controlled
Total
Productive
Financial and focused, the next step is to optimize the
Optimization
Maintenance financial impact on all parts of the company.
Reliability Since the data is available, the consideration of
Centered
Maintenance
all of the costs allow for an optimal financial
decision to be derived.
Technical and
CMMS Interpersonal
Procurement System
Training
27
Workshop
Quality Costs MAXIMUM PROFITS

How Can Total Costs Assist in Maximizing Profits?
Costs Consider the Following Areas:

1. Whether to Perform PM or Run to Failure
Total Cost Energy Costs 2. When to Perform Maintenance on Equipment
3. Whether to use Predictive Maintenance on Equipment
and How Much to Invest
4. Whether to Replace or Repair Capital Assets
Lost Per. Cost 5. Which Type of Equipment to Purchase
6. How Many Units of a Critical Spare to Keep in Stock
Maint. Cost 7. How to Set the Reorder Level and Reorder Quantities
for a Stock Item
Real. World. Experience. Time Real. World. Experience.
The Maintenance Management Pyramid Continuous Improvement –

Continuous
The Key to Competitiveness
Improvement
Total
Productive
Maintenance
Financial
Optimization
“Best is the
Reliability
Predictive
Maintenance
Operations
Involvement
Centered
Maintenance enemy of
Better”
Technical and
CMMS Interpersonal
Procurement System
Training
28
Workshop
Benchmarking Definition Types of Benchmarking…

Of the Types of Benchmarking…
“It is the process of continuously comparing and
measuring and organization with business leaders Best Practice is Superior
anywhere in the world to gain information that will Provides the opportunity to make the most
help the organization take action to improve it’s
significant improvement
performance.”
Provides the opportunity for the highest
Returns On the Investment

Provides the greatest potential for major
breakthroughs
Attitude? Approach #1
It appears that each refinery’s performance reflects Repair Focused Organizations
the collective attitude and spirit of the refinery
This organizational style embraces the
personnel more than any other single factor examined.
philosophy that equipment will fail and the
mission of the maintenance force is to
respond quickly to equipment in distress.
No opportunity to examine failure causes
When not fire fighting, focus on low priority
work to stay busy.
29
Workshop
Approach #2 Hierarchical Performance Indicators

Corporate
Reliability Focused Organizations Indicators
Maintenance repairs in this style are viewed
Financial
differently. They are not expected to happen Performance Indicators
but viewed rather as exceptional and resulting Efficiency and Effectiveness
from some flaw of maintenance policy and Performance Indicators
management focus. Tactical
Performance Indicators
The specter of a recurring failure and its
incumbent cost is unacceptable. Functional

BEST PRACTICES IN MAINTENANCE MANAGEMENT BUSINESS DEVELOPMENT CASE
Conclusion
Develop the Business
Achieving “Best Practice” is being the best in your • Mission – Vision Statements
business. Organize to Execute the Business Plan
• Geographical and Reporting Structures
It is the ability to compete with any other company in
• Roles and Responsibilities
your business in product/service price, quality, and • Determine Staffing Levels
timeliness of service. Develop a Performance Management System
It is an attitude accompanied by business results. • Determine Linkage necessary to connect the maintenance and
reliability business to corporate business objectives (Profitability)
Maintenance is a big business –
Are you striving for “Best Practice” Status???
30
Workshop
OPTIMIZED BUSINESS ORGANIZATIONS BUSINESS DEVELOPMENT - STEP 1
To properly enable an organization, all of the following must be Determining what the organization has for goals and objectives
understood:
• Business Objectives
• Organizational structures
• Roles and responsibilities
• Staffing levels
This methodology will insure an organization will be optimized
GOALS & OBJECTIVES WHAT IS THE OBJECTIVE FOR THE

MAINTENANCE/ RELIABILITY BUSINESS?
“FIX IT When It Breaks” - - Is not a goal for the maintenance

department
“If it Ain’t Broke Don’t Fix It” is not the Departmental Philosophy for The objective is to maintain the capability of the
Maintenance. company’s assets to perform their designed function
thereby maximizing the Company’s Return on
Investment in the asset(s)
With this in mind, “Who is the “Real Customer” for the

Maintenance Business within any Company?
31
Workshop
WHAT IS THE OBJECTIVE FOR THE MAINTENANCE/ WHAT IS THE OBJECTIVE FOR THE MAINTENANCE/
RELIABILITY BUSINESS? RELIABILITY BUSINESS?
2. Maintenance should be performed utilizing methodologies that 3. Reduce energy consumption to as low as level as possible.
make it as efficient and effective as possible.
• Lean
• Low Cost
OBJECTIVES FOR THE

MAINTENANCE/ RELIABILITY BUSINESS
Maximum throughput/ availability at the lowest cost, the highest quality, and
the optimum safety standards
Identify and implement cost reductions
Provide accurate equipment maintenance records
Collect necessary maintenance cost information
Optimize maintenance resources
Optimize capital equipment life
Minimize energy usage
Minimize inventory on hand
Responsibility for Environmental, Safety and Health.
32
Workshop
BUSINESS DEVELOPMENT -STEP 2 MAINTENANCE ORGANIZATIONS
Determine the correct organizational structure for the function

Geographical and Functional
Centralized Area Combination
Higher Lower Optimum

Utilization Utilization Utilization
Slower More Rapid Optimum
Response Response Response
Labor Pool Equipment Optimized
Ownership Resources
WHEN TO USE??? TYPICAL PRODUCTION

CENTRIC ORGANIZATIONAL STRUCTURE
Central - Geographically compact sites

Area - Geographically dispersed
Combination - Large sites where areas cannot cost effectively utilize
all skilled labor resources required
33
Workshop
TYPICAL ENGINEERING THE “SHOT GUN” ORGANIZATION (SBU)

CENTRIC ORGANIZATIONAL STRUCTURE
BUSINESS DEVELOPMENT -STEP 3

TYPICAL
MAINTENANCE CENTRIC ORGANIZATIONAL STRUCTURE
Determine the roles and responsibilities that must be developed to
meet the goals and objectives based on the organizational structure.
34
Workshop
MAINTENANCE SUPERVISOR OR COACH MAINTENANCE PLANNER
Directs maintenance work force providing on-site expertise Plans, Schedules and Coordinates corrective and preventive maintenance
activities by studying and managing work requests, analyzing job
Ensures work is accomplished in safe, efficient manner requirements, and determining materials, equipment and labor needs (i.e.
Coordinates work planning and scheduling with the planner blueprints, tools, parts, craftsmen) in order to complete maintenance
ensures quality assurance of work economically and efficiently.
Develops a weekly maintenance schedule and ASSISTS the Maintenance
Ensures equipment availability is adequate to meet profit plan
Foreman in determining job priorities. Makes changes and adjustments to the
Works with Plant/Production foreman to ensure first line maintenance is schedule and work plans after a review with the Foreman. Maintains a
being done by operators complete and current backlog of work orders.
Verifies the qualifications of hourly personnel and recommends training Assures CMMS software data files are complete and current by gathering
as needed equipment and associated stores information of the entire Plant/Lease and
developing standardized codes for equipment, stores, and task/craft
Enforces Environmental Convenant
assignments for all maintenance activities.
Focuses downward and is highly visible in the field Controls inventory by ordering, issuing, returning, adjusting, and receiving
Champions proactive maintenance verses reactive maintenance stores.
Administers the Union Collective Bargaining Agreement Identifies, analyzes, and reviews maintenance problems with Maintenance
Engineering and revises the maintenance management program as necessary
Monitors CMMS to improve and enhance plant and field operations. Assists in the education
Implements P.M. & P.D.M. Programs of maintenance management to operations personnel.
THE MAINTENANCE BUSINESS

MAINTENANCE/ RELIABILITY ENGINEER
These two pages of bullet items are required to start a maintenance

business
However, to fully develop the business more is required Insures that equipment is properly designed, selected and installed
based on life cycle philosophy.
The following is required to develop a competitive maintenance
business-- Ensures that equipment is performing effectively and efficiently.
Establishes and monitors programs for engine/compressor analysis and
vibration and other condition monitoring techniques.
Reviews deficiencies noted during corrective maintenance.
Provides technical guidance for CMMS.
Maintains and advises on use and disposition of stock, surplus, and/or
rental rotating equipment.
Promotes equipment standardization, recommends spare parts levels
and coordinates sharing of spare parts with other asset teams.
Available for consultation with maintenance technicians.
Monitors new technology and keeps management/staff appraised on the
new developments.
35
Workshop
MAINTENANCE/ RELIABILITY ENGINEER-2 MAINTENANCE MANAGER
Champions quality assurance services including shop qualifications

for outside services.
Responsible for the entire maintenance function, including the
Develops standards and procedures for major maintenance jobs. planning, supervising, and engineering staffs.
Periodically makes cost/benefit review of maintenance Coordinates closely with counterparts in other in-house
management programs for areas of responsibility and exchanges organizations.
information across asset teams.
Promotes proper understanding of the maintenance function to
Provides technical guidance for PM and PDM programs. other organizations.
Monitors competitors activities in the field of Maintenance Ensures that all supervisors, planners, technicians, and
Management. maintenance engineers are properly educated and trained.
Focal point for monitoring performance indicators for maintenance Takes responsibility for planning, cost control, union activities,
management program. vacation planning, etc.
Optimizes maintenance strategies. Has responsibility for delegating assignments to the appropriate
Focal point for analyzing equipment operating data. personnel.
GOLDSMITH’S LAW BUSINESS DEVELOPMENT - STEP 4
Silence gives consent Building a business ultimately must address the issue of number
of employees in the organization.
However, this is a later event - after the other decisions are
made….
36
Workshop
MAINTENANCE STAFFING HISTORY…
Levels of skills required are also a deciding factor.

Traditional craft skills For the past decade, American business has been in denial about long term
Multi-craft skills workforce development and instead, has fixated on short term profit strategies such
as global repositioning, outsourcing, or importing temporary workers.
Super Craft Skills
Operator Based Maintenance
Maintenance Based Operations
The 2010 Meltdown - Gordon
MAINTENANCE STAFFING
TRAINING
OPTIONS
“Training less to save money is like stopping the clock to save time.”
Complete In-House Staff

John Tobin
CEO
Siemens Corporation
Combined In-House/Contract Staff
Contract Maintenance Staff
Complete Contracting Maintenance Staff
37
Workshop
MAINTENANCE STAFFING TANK ILLUSTRATION
Maintenance staffing levels should

be determined by craft backlogs using
the following formula. In
Open work orders ready to schedule 4 Weeks

Craft backlog = (total hours)
(in weeks) ----------------------------------
Craft Capacity
(weekly) 2 Weeks
Out
BUSINESS DEVELOPMENT STEP 5

BACKLOGS AND TEAMS
- PERFORMANCE INDICATORS
Teams still have a maintenance workload for their equipment.
They must allocate enough team resources to accomplish their work After:
in a timely fashion. • The goals and Objectives are set
Team backlogs should also be in a two to four week window… • The organizational structure is implemented
Resource allocation • The roles and responsibilities are defined
• The staffing and skill requirements are determined
Performance Measures are developed that deal with the
functions, the tactics, the efficiency and effectiveness, and
the financial metrics to insure the organization is managed
correctly.
38
Workshop
Performance Management and KPI’s
Total Cost to Produce

Corporate
Indicators
Maintenance Cost to Produce Financial

Productivity (Wrench Time)

Efficiency and Effectiveness
Planner to
Technician Tactical
Ratio
PM
Compliance
Functional
ASSET MANAGEMENT INDICATORS

THE MAINTENANCE/ RELIABILITY
BUSINESS -
Return on Assets
Overall Equipment Effectiveness
• Measured at the “equipment” level
Is it a “business” in your Company?
• All initiatives to improve must be financially justified
The challenge is whether or not you can use this information

or adapt this information to insure that your company will
develop and optimize your Maintenance/ Reliability Business
39
Workshop
CASE STUDY VIDEO EXCUSES
In almost every industry, under the same rules and with the same
players, the successes of a few companies rebut the excuses of the
many.
Reengineering the Corporation – Hammer and Champy
LESSON OUTLINE
Benefiting from Benchmarking
Provides a measure for the
Defining Core Competencies
benchmarked process among the
Types of Benchmarking target organizations
Conducting a Benchmarking Project Describes the organization's
gap in performance as compared
to the measure
Identifies best practices and

enablers that produced the
results observed during the
study
Sets performance goals for the

process and identifies actions
that can be taken to improve
performance
40
Workshop
Management S-M-A-R-T
) Specific
If) you don't measure it,
You don't manage it! ) Measurable
) Achievable
) Realistic
) Timeframed

Dr. Juran
Benchmarking Gap Analysis

Gap Analysis Measurement
Baseline
The foundation
Where we are now
Performance
Best Practice
Entitlement
The best we can achieve Our Company
by effective utilization
of current resources
Today
Benchmark
Best-in-class performance
for a truly optimized process Real. World. Experience.
1
41
Workshop
Gap Analysis Gap Analysis
Performance Performance
The parity goal is
Best Practice
Focused on achieving
Parity Goal
The level of performance
Benchmark Gap
They are currently achieving.
Your Performance
T-1 T-1 is the time to
Today Achieve this level of
Today
performance
Real. World. Experience.1 Real. World. Experience.

1
Leadership Position Warfare

Gap Analysis (T-3) is when you have
Exceeded your partner’s
Performance.
) Become the Enemy
Performance Best in Class Leadership Goal ) Think yourself in the
Parity Goal enemy's position
Gap
Your Performance
Today
This parity goal (T-2)

Is the time to achieve
A real time parity
Real. World. Experience. With the partner Real. World. Experience.Miyamoto Musashi
1
42
Workshop
Code of Conduct for Benchmarking

Keep it legal
Benchmarks
Be willing to give
what you get Too Fluid?
Respect Confidentiality
Keep information internal

A benchmark performance
Use benchmarking contacts
does not remain a
Don't refer without permission
standard for long.
Be prepared from the start Continuous Improvement
Understand expectations Must be the goal.
Act in accordance with expectations
Be Honest
Follow through with commitments
Benchmarking Checklist
Competition
) Plan
) Search
) Just as water retains
no constant shape,
so in warfare there ) Observe
are no constant conditions.
) Analyze
The same applies in business
) Adapt
) Improve

Sun Tzu G. Watson - Modified
43
Workshop
CHECKLIST Plan
What is our maintenance mission?
This checklist is modified from a quality benchmarking checklist What is our maintenance process?
developed by Gregory Watson –
How do we measure it?
• Considered one of the original Benchmarking Gurus
This list is modified to reflect maintenance parameters in a How well is our maintenance
benchmarking project. performing today?
Who is the customer for

maintenance?
What services does maintenance

deliver?
What services do the customers for

maintenance expect or require?
What is the performance goal?

How was this goal established?

How does our maintenance compare
with our competitors?
Observe
Search What is their maintenance
mission?
What companies do better What are their performance

with their maintenance? goals?
Which company is considered How well does their maintenance

Strategies perform over time and/or
to be the best at maintenance? at multiple locations?
What can we learn from this How do they measure maintenance

company? performance?
What enables the performance

Who should we contact to determine of maintenance?
if they are willing to participate
in out benchmarking study? What factors could prevent us from
adopting their maintenance policies
and practices into our organization?
44
Workshop
Adapt
Analyze
How does the knowledge about
their maintenance process
What is the nature of
enable us to change our
the performance gap?
maintenance process?
What is the magnitude of
Should we redefine or reset
the performance gap?
our performance measures
based on this benchmark?
What characteristics distinguish
their process as superior?
What parts of their maintenance
process would have to be
What activities within our
changed or modified to be
process are candidates for change?
adapted into our business
environment?
Traps to Benchmarking
Improve The fear of being seen
as copying
What have we learned that The fear of losing

competitive advantage
would allow us to improve by sharing information
upon a "Superior" maintenance Arrogance
process? "We are the Best"
But, How do you know?
Convenient Benchmarking
How can we implement these
Impatience
changes into our maintenance "Action without Planning"
process? "Industrial Tourism"

Not doing it at all
45
Workshop
BENCHMARKING...
Benchmarking Projects
7 step procedural review
It is necessary to explore the tangible and intangible factors that
combine to produce a superior performance and to involve those
people most directly concerned in the activity being examined.
Expose management to the
concepts of benchmarking
Develop a project cost estimate
Conduct the project in a way
that insures its success – (planning)
Ensure the project follows
a disciplined process
Report interim and final results
to management
Facilitate the changes recommended by the
study
Monitor the results of the
implementation
Real. World. Experience. Best

Real. Practice Benchmarking - Codling
World. Experience.
SURVEY OVERVIEW
The following slides will provide an interesting comparison.

• The first slide is the Reliability Web Survey
• The second overlays the University database
o 200 additional companies
46
Workshop
COMPARATIVE ANALYSIS
Reliability Web Survey

• Very Strong in PDM
University Database
• Inventory Strong
• General maintenance practices strong
COMPARATIVE ANALYSIS
Waste Water Database

• Followed General trends of University Database
• Slightly above average in basics
47
Workshop
OBSERVATIONS FROM THE

ORGANIZATIONS
INTERNATIONAL SURVEY
The following observations are derived from analysis of the data
collected during the Reliability Web Benchmarking Survey.
These results will reflect a blend of almost 50% US companies along Strengths Weaknesses
with 50% of International respondents • Organizational Charts • Organization Effort
• Roles & and Attitude
Responsibilities o 32% Above Average
• Supervisor Rations – o 46% Average
o 22% Below Average
o 80% less than 16:1
o Majority at 8-12:1 • Planners
• Planners o 37% with Acceptable
Ratios
o 64% used planners
• Incentive Plan
o 19% Were Tied to a
plan
TRAINING WORK ORDER/ WORK FLOW
Strengths Weaknesses Strengths Weaknesses

• 47% use a mix of • Only 19% of salaried • 63% close over 3/4ths • Only 30% report
classroom and lab supervisors have a of all work orders 100% of their labor
training for technicians career training within 8 weeks of the hours to work orders
• 43% use a mix of in- program original request • Only 32% report
house and contract • 70% do not train their • 25% generate over ½ 100% of their material
training instructors planners of all work orders from issues to work orders
• 50% rate the skill of their preventive or • Only 35% report
their technicians as predictive 100% coverage of
fair or poor maintenance maintenance work by
inspections work orders
48
Workshop
PLANNING AND SCHEDULING

Equipment History Files
Building
L.C.C. – M.T.B.F.
Predictive Strengths Weaknesses
M.T.T.R. • 31% report less than 10% • 98% did not include tools
of all their plans experience in their work order plans
a delay in work execution
Work due to a poor plan
• Only 34% tracked a
backlog of work by craft
Preventive Rebuild • 55% schedule maintenance • Only 20% tracked their
Order Inside / Contract weekly work by date needed by
• 45% have weekly • Almost ½ of all
maintenance/ production respondents checked less
schedule meetings than 50% of the estimates
Labor Inventory o 30% daily versus actuals for work
Contractor order planning and
& & • 63% have their craft
Personnel Stores Rental Equipment technicians fill out work execution performance
Misc. costs & info order completion data
Real. World. Experience. Purchasing Real. World. Experience.
PREVENTIVE MAINTENANCE INVENTORY AND PURCHASING

• 84% have detailed • 66% include some • 70% of the respondents • Only 20% have an
allowed maintenance to inventory service level of
inspection checklists form of PDM technique specify spare parts and 95%+
• 79% have detailed in their asset care stocking levels • Over 20% of the
lubrication checklists program • 57% had aisle and bin respondents had less than
• Over 50% fail to audit locations for 90%+ of the 50% of all of their spare
• 17% use operations
inventory parts in the inventory
personnel to perform their PM program
system
their PM tasks annually for coverage
• 1/3rd of all respondents
• 57% Still use only time tracked less than 70% of
based PM’s all material issues to a
work order
49
Workshop
CMMS/ EAM SYSTEMS

Equipment History Files
Building
L.C.C. – M.T.B.F.
Strengths Weaknesses Predictive M.T.T.R.
• 53% of respondents have • Integration to:
involved more than 90% of o Production Scheduling
their organization in CMMS/
EAM Usage
17% (yes) 63% (no) Work
o Payroll/ Timekeeping Preventive Rebuild
• 33% used the data in the
system to make cost based
14% (yes) 65% (no)
o Financial/ Accounting
Order Inside / Contract
management decisions 31% (yes) 38% (No)
• 29% used the data in the • Only 37% felt 3/4ths or
system to track progressive more of their personnel Labor Inventory
return on investment were proficient using their Contractor
& &
system Personnel Stores Rental Equipment
Misc. costs & info
Real. World. Experience. Real. World. Experience. Purchasing
MAINTENANCE REPORTING
Strengths Weaknesses
• 35% distribute 90% of • While 51% reviewed
their reports on a timely equipment by downtime –
basis only 24% examined
equipment by Downtime LATEST ADDITIONS TO SURVEY
Cost
• Only 44% examined PM as
% of total Activities
• Less than 1/3 compared
actuals to plan
• Only 40% had an inventory
valuation report
• Only 14% had a Buyer
performance report
50
Workshop
PREDICTIVE MAINTENANCE RELIABILITY ENGINEERING

• 67% of the organizations • 56% of the organizations
• 92% some form of • 59% have no are developing a reliability do not use RCM
Vibration Analysis connection between work culture methodologies to adjust/
their PDM system and refine their PM/PDM
• 87% some form of programs
thermography their CMMS/EAM • Over 50% of the
• 92% some form of oil companies say their work
order system is inaccurate
analysis when it come to tracking
• 70% some form of causes of failures
ultrasonics • 52% of the organizations
have no measures to track
the effectiveness of their
reliability efforts
MAINTENANCE – GENERAL FINANCIAL OPTIMIZATION

PRACTICES

• 58% calculate and track • 64% do not communicate • 84% track downtime • 28% track all related
equipment availability on the financial effects of duration for their key impact costs (energy,
the majority of the equipment availability/ assets quality, contracting)
equipment reliability within the • 86% track downtime • 22% examine all cost
• 47% have a total organization causes for their key assets factors when making
organization focus on • 17% do not have their • 78% track maintenance decisions concerning their
equipment reliability/ equipment/ process costs for their key assets assets
availability meeting regulatory • Over 50% do not examine
• 72% have some form of requirements efficiency losses on the
operator involvement in • Over ½ are not conducting majority of their equipment
maintenance technical training for the • 29% do not accurately
organization track material costs
51
Workshop
ASSET CARE – MAINTENANCE CONTRACTING

CONTINUOUS IMPROVEMENT

• 58% management • 46% do not track ROI • 78% have joint • Only 24% have an
shows visible support on the C.I. efforts responsibilities for individual dedicated to
for C.I. efforts • 63% do not link C.I. to safety between the the contracting
• 62% entire reliability engineering company and process
organization supports • 27% have poor contractor • 28% have no
C.I. efforts relations between • Over 50% have the electronic system to
• 71% Management plant management contracting system track contracts
supports on-going and labor linked electronically
training to improve with their CMMS/ EAM
employee skills
DOCUMENT MANAGEMENT
Strengths Weaknesses
• 40% have their • 59% have less than ½
document of their drawings in
management system the system
interfaced with other • 21% have poor
systems version control
• 42% have established procedures
document control • Only 44% allow
procedures maintenance
technicians direct
access to the system
52
Workshop
BENCHMARKING SURVEY?? BENCHMARKING AND CHANGE...
Why is this important? The gap between present and Best Practice
What does it mean to your company?
promotes dissatisfaction and desire for change
Seeing, understanding, and learning from Best
Practice helps to identify what and how to
change
Witnessing Best Practice provides a realistic,
achievable picture of the desired future
CHANGE?? BENCHMARKING...
Why should “We have always done it this way” be a reason for It is necessary to explore the tangible and intangible factors that
continuing to do something? combine to produce a superior performance and to involve those
Annual objectives based on past performance plus or minus 10% people most directly concerned in the activity being examined.
are meaningless in a period of rapid change!!
Real. World. Experience. Best

Real. Practice Benchmarking - Codling
World. Experience.
53
Workshop
BENCHMARK CAUTIONS Benefiting from

Benchmarking
To fluid because world standards are rapidly improving
Provides a measure for the
benchmarked process among the
To modest for corporate goals
target organizations
Describes the organization's

gap in performance as compared
to the measure
Identifies best practices and

enablers that produced the
results observed during the
study
Sets performance goals for the

process and identifies actions
that can be taken to improve
performance
BENCHMARKS TOO FLUID ? BENCHMARKS ARE GOOD FOR ?
A benchmark performance does not remain a standard for long Finding process improvements
Continuous improvement Arousing people to the challenge
Setting milestone targets
54
Workshop
MAINTENANCE/ ASSET
ASSET VALUE BASED BENCHMARKS
BENCHMARKS
The following are a series of maintenance and asset benchmarks.
These are not specific to an industry, but represent a cross-section
of industries.
These numbers should never be used as an end-goal, but are only Indicator Low Range High Range Best Practice
presented as a general guideline.
Maintenance
Cost/ ERV 2% 5% 2%
Stores
Investment/ ERV .8% 1.2% 1%
ERV/
Maintenance
Technician $4M $10M $7M
Figure 12-1
STAFFING BENCHMARKS MAINTENANCE COSTS COMPARED

TO TOTAL COST OF SALES
Indicator Low Range High Range Best Practice Indicator Low Range High Range Best Practice
Total
Technicians to
Supervisor 8:1 15:1 10:1 Maintenance
Costs/Sales Cost 1% 5% 2%
Maintenance
Technicians to Labor
Planner 15:1 25:1 20:1 Costs/Sales
Costs .6% 2.5% 1%
ERV/
Maintenance Maintenance
Engineer $50M $250M $100M Stores Costs/
Sales Costs .4% 2.5% 1%
Figure 12-2
Figure 12-3
55
Workshop
MAINTENANCE PERFORMANCE MAINTENANCE PERFORMANCE - 2
Best Indicator Low Range High Range Best Practice

Indicator Low Range High Range Practice Planned
Maintenance
Work Order Work 35% 95% 80+%
Coverage 60% 100% 100%
Preventive Operator
Maintenance Involvement in PM 10% 40% Varies
Compliance 65% 100% 100%
Contractor Costs/
Maintenance Total Maintenance
Schedule Costs 10% 100% Varies
Compliance 35% 95% 95%
Figure 12-4 Figure 12-5
MAINTENANCE PERFORMANCE -3 EQUIPMENT PERFORMANCE
Best Best
Indicator Low Range High Range Practice Indicator Low Range High Range Practice
PM/PDM Hours/ Equipment

Total Hours 20% 50% 50% Availability 65% 99.9% Varies
Reactive Hours/ Equipment
Total Hours 5% 50% <10% Efficiency 75% 95% 95+%
Productivity Overall
Rates (Wrench Equipment
Time) 20% 60% 60% Effectiveness <20% 85+% Varies
Figure 12-6 Figure 12-7
56
Workshop
MAINTENANCE STORES TRAINING
Indicator Low Range High Range Best Practice

Best
Indicator Low Range High Range Practice Training
Expenditure per
Employee $607 $2000 Varies
Spare Parts
Inventory Turns .5 1.4 Varies Training as a
Percentage of
95- Payroll 1.65% 4.39% Varies
Stores Service
Level 80% 99% 97% Technology
Training / Total
Value of stores Training Expense <20% 50+% Varies
transactions per
store
Figurepersonnel
12-8 $350K $600K+ Varies Figure 12-9
RELIABILITYWEB BENCHMARKS
EXTENSIVE ANALYSIS
http://www.reliabilityweb.com/excerpts/excerpts/maintenance_benc
hmarking.htm
For the chapter text for this workshop
An extensive up front http://www.maintenancebenchmarking.com/best_practices_maintenan

ce.htm
audit is a way people
postpone doing On-Line Survey
something
useful.
vestapartners.com
USA
+1 203 517 0400
CANADA
+1 289 337 1793
EUROPE
+31 0 70 220 9720
AUSTRALIA
+61 3 8676 0672
SOUTHEAST ASIA
+65 6622 5643
P. Crosby “Let’s Talk Quality”
57
Workshop
WILL YOU…. THANK YOU FOR VIEWING THIS I-PRESENTATION
Help your company achieve the benefits available by improving

maintenance?? If you would like additional information about Benchmarking or
Utilize Benchmarking as a tool for continuous improvement?? would like to discuss how we can help your company’s
Benchmark for the right reasons benchmarking initiative, please contact us at:
• Not tourism or ego gratification • [email protected]
If so- then you will be increasing your company’s competitive • (203) 517-0400
position!!!
Or visit our website at:
• www.vestapartners.com
58

Vesta Partners Benchmarking Workshop

Uploaded by

Copyright:

Available Formats

Vesta Partners Benchmarking Workshop

Uploaded by

Document Information

Original Description:

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Vesta Partners Benchmarking Workshop

Uploaded by

Copyright:

Available Formats

Benchmarking Maintenance Management – SMRP Terry Wireman, CMRP Vesta Partners 10/8/2013

The search for industry Best Practices which lead to Superior

help the organization take action to

improve its performance.

Real. World. Experience. Real. World. Experience.

Real. World. Experience. Real. World. Experience.

BENCHMARKING COMPETITIVE ANALYSIS

During the past decade, competitive analysis has helped

Real. World. Experience. Real. World. Experience.

COMPETITIVE ANALYSIS... WHAT IS YOUR GOAL???

Paradigms are similar for look-alike businesses in similar

Real. World. Experience. Real. World. Experience.

Most organizations are hesitant to document their findings

Real. World. Experience. Real. World. Experience.

Real. World. Experience. Real. World. Experience.

Best Practices Best Practices

) Leadership, management, or ) They know no border of

Real. World. Experience. Real. World. Experience.

Critical Success Factors INTERNAL ANALYSIS...

You must have a thorough understanding of your internal processes

CSF's represent the few areas in

Real. World. Experience. Real. World. Experience.

LESSON OUTLINE BENCHMARKING…

Defining Benchmarking Used to improve Core Competencies

Real. World. Experience. Real. World. Experience.

Operations Management - R. Schonberger - 1997 The Benchmarking Workbook - G. Hines - 1992

) Must have a wide application

Real. World. Experience. Real. World. Experience.

I am using core competencies

Developing Performance Indicators for Managing Maintenance – 2cd ed.

Expense Reduction SAMPLE MAINTENANCE SAVINGS

But what if we could do both?

Real. World. Experience. Real. World. Experience.

Real. World. Experience. Real. World. Experience.

Real. World. Experience. Real. World. Experience.

TYPES OF BENCHMARKING... TYPES OF BENCHMARKING...

Real. World. Experience. Real. World. Experience.

TYPES OF BENCHMARKING... TYPES OF BENCHMARKING...

“Best Practice” Best Practice - (cont.)

Real. World. Experience. Real. World. Experience.

TYPES OF BENCHMARKING... BENCHMARKING - THE PROCESS

Conduct Internal Analysis

Real. World. Experience. Real. World. Experience.

) 4. Improve by adopting the

Real. World. Experience. Real. World. Experience.

BENCHMARKING EVOLUTION... Identifying Partners

Association for Facilities

BENCHMARKING... LESSON OUTLINE

Successful benchmarking depends on cooperation between partners Defining Benchmarking

Real. World. Experience. Real. World. Experience.

BUSINESS DEVELOPMENT CASE DEVELOPING A VISION -

Most Companies Struggle with developing a vision of what

Organize to Execute the Business Plan

Real. World. Experience. Real. World. Experience.

MAINTENANCE ... LIFE CYCLE MANAGEMENT

What is it? Decommissioning

ASSET MANAGEMENT OVERVIEW ASSET MANAGEMENT OVERVIEW

SUPPORT THE ENTIRE LIFECYCLE OF THE ASSET

Real. World. Experience. Real. World. Experience.