ASSET MANAGEMENT
Michelle Kleiber-Viglione
ASSETMANAGEMENTPROGRAM
O&M Program
An effective O&M program is one of the most cost-effective methods for
ensuring reliability, safety, and energy efficiency.
Key Terms
Operations and Maintenance: The decisions and actions regarding
the control and upkeep of property and equipment. These are
inclusive, but not limited to, the following: 1) actions focused on
scheduling, procedures, and work/systems control and optimization;
and 2) performance of routine, preventive, predictive, scheduled
and unscheduled actions aimed at preventing equipment failure or
decline with the goal of increasing efficiency, reliability, and safety.
Operational Efficiency: The life-cycle, cost-effective mix of
preventive, predictive, and reliability-centered maintenance
technologies, coupled with equipment calibration, tracking, and
computerized maintenance management capabilities all targeting
reliability, safety, occupant comfort, and system efficiency.
KEYPHASES
O&M Key Phases
Plan
• Objective (Must be aligned with Corporate Goals)
• Schedule
• Budget
• Procurement
Initiate
• Preventative Maintenance
• Predictive Maintenance
• Corrective Maintenance
• Monitoring
• Training
Measure
• Overview Indicators
•Organizational Indicators
• Maintenance Parts Management Indicators
• Routine Maintenance Indicators
• Equipment Performance Indicators
Analyze
• Failure Mode Effect Analysis
(FMEA)
• Standard Process Control (SPC)
• Overall Equipment Efficiency
(OEE)
Adjust
• Continuous Improvement
KEYINDICATORS
Maintenance Parts IndicatorsOverview Indicators
•Overall Equipment Effeteness (OEE)
•Equipment Downtime
•Equipment Capacity, Utilization, and Performance Efficiency
•Mean Time Between Failure (MTBF)
•List of Worst Performing Equipment
•Monthly Cost per Equipment Type
•Monthly Cost per Asset Center
Equipment Performance Indicators
• Budget Compliance (Actual vs. Forecast)
• Facility wide Overall Equipment Effectiveness (OEE)
• Costs as a percent of Operating Costs
•Maintenance Dollars per SQFT
•Safety and Environmental Performance/Compliance
Routine Maintenance Indicators
•Work Input Level (By craft, Priority and Type)
•Backlog Level (By craft, Priority and Type)
•Standing Work Orders
•Man Hours per Work order
•Schedule Completion
•PM Completion
•Percentage of Maintenance Rework
•Percentage of Overtime and Total Call outs.
•Inventory Accuracy and Frequency
•Percentage in Stock
•Inventory Turnover
•Materials vs. Labor Ratio
Dashboard should be created to track Key Performance Indicators (KPI’S).
TYPESOFMAINTENANCEPROGRAM
Preventive Maintenance (PM)Reactive Maintenance (CM)
Reliability Center Maintenance, emphasizes the use of predictive
maintenance (PdM) techniques in addition to traditional
preventive measures. When properly implemented, RCM provides
companies with a tool for achieving lowest asset Net Present Costs
(NPC) for a given level of performance and risk
Reliability Center Maintenance (RCM)
Maintenance performed only after a machine fails or experiences
problems
Predictive Maintenance (PdM)
Predictive Maintenance (PdM), or condition-based
maintenance, attempts to evaluate the condition of equipment
by performing periodic or continuous (online) equipment
condition monitoring . The ultimate goal of PdM is to perform
maintenance at a scheduled point in time when the
maintenance activity is most cost-effective and before the
equipment loses performance within a threshold. This is in
contrast to time- and/or operation count-based maintenance,
where a piece of equipment gets maintained whether it needs
it or not. Time-based maintenance is labor intensive, ineffective
in identifying problems that develop between scheduled
inspections, and is not cost-effective.
Preventive maintenance is a schedule of planned maintenance
actions aimed at the prevention of breakdowns and failures. The
primary goal of preventive maintenance is to prevent the failure
of equipment before it actually occurs.
TYPESOFMAINTENANCEPROGRAM
Preventive MaintenanceReactive Maintenance
Advantages:
•Properly implemented can be most efficient
•Lower over all cost by eliminate unnecessary maintenance of
expensive overhauls
•Minimizes frequency of major overhauls
•Focus manpower on critical components
•Increase equipment reliability
•Root Cause Analysis
Disadvantages:
•High start-up cost
Reliability Center Maintenance
Advantages:
•Low first look Cost
•Less Staff
Disadvantages:
•Increased cost due to unplanned downtime of equipment
•Increased Labor cost, especially OT
•High Cost involved with repair and replacement of equipment
possible secondary equipment or process damage form
equipment failure
•Inefficient use of staff
Predictive Maintenance
Advantages:
•Increased component operation life/availability
•Proactive Corrective Actions
•Decrease in Equipment Downtime/Increase in reliability
•Decrease in cost of labor and parts over the life of the
equipment
•Cost savings of 12 to 18% over the lifecycle of the equipment
over just preventative maintenance
Disadvantages:
•Increased upfront investment in diagnostic equipment
•Increase investment in staff training
•Savings potential is hard to initially show upper management
Advantages:
•Cost effective
•Flexible
•Increased Component Life Cycle
•Energy Saving
•Cost savings of 12 to 18% over the lifecycle of the equipment
over reactive maintenance
Disadvantages:
•Catastrophic failure still high risk
•Labor intensive
•Performance of unneeded maintenance
•Potential of incidental damage to components in conducting
unecessary maintenance
COSTCURVEFORPREVENTIVEANDCORRECTIVEREPLACEMENT
Cost curve for preventive and corrective replacement
ASSETMANAGEMENTPROGRAMBENIFITS
O&M
Maintenance is no longer just fixing broken equipment it is a mix of
processes that increases the reliability of a facility.
Benefits
•Risk Mitigation
•Failure Avoidance
•Customer Satisfaction
•Increased Reliability
•Control of Operating Cost
•Increased Equipment Life
ASSETMANAGEMENTRETRO-COMMISSIONING
Retro-Commissioning
.
The analytics from the indicators will trigger Retro-Cx events, where Retro-commissioning is
the process of systematically evaluating existing buildings and systems to ensure:
•Original Design Intent
•Current Operational Needs
•Energy Conservation Opportunities (ECO)
Retro-Cx focuses on the following:
•Instrument Calibration
•HVAC & Lighting Control Sequences
•Mechanical Systems & Components
Retro-Cx can be triggered by an unexplained increases in bldg energy usage or a major
equipment repair or change in functionality of an area.
•A significant rise in occupant comfort complaints
•Undocumented changes to building systems & structure
•Maintenance staff overwhelmed with emergency calls.
ASSETMANAGEMENTCONTINIOUS-COMMISSIONING
Continuous Commissioning
Commissioning and Retro-commissioning can loose its initial effectiveness over time due to the
following factors:
•Inability of Operations and Maintenance staff to continually monitor monitory building
performance and make needed adjustments as problems arise.
•Lack of tracking of adjustments made
•Failures of equipment and control devices
•Controls Changes that negate optimum performance
•Lack of proper training (Cause and Effect)
•Managements change in priorities.
This can be resolved by implementing a continuous commissioning program.
The key from the owners side is to sell the
benefits to upper management to get buy in
to the processes to ensure long term cost
control.
ASSETMANAGEMENTCONTINIOUS-COMMISSIONING
Continuous Commissioning
Continuous commissioning is an ongoing process to resolve operating problems, improve
comfort, optimize energy use and control costs.
•Identify and quantify potential measures and cost controls
•Develop performance baselines for energy, comfort and cost
•Examine the building in detail—to the air-handling-unit (AHU) and/or terminal-box
level—to identify operating and comfort problems, component failures or degradation,
and causes of system inefficiency
•Implement Continuous Commissioning measures.
•Identify changes in operating procedures for the building staff, and document energy
savings and comfort improvements
•Train the building staff
•Track/verify energy, comfort, equipment efficiency and cost performance
Continuous Commissioning goes a step further, involving the continuous collection and
analysis of energy data via an existing Building Management System (BMS) in conjunction
with stand-alone metering equipment.

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Asset Managment

  • 2. ASSETMANAGEMENTPROGRAM O&M Program An effective O&M program is one of the most cost-effective methods for ensuring reliability, safety, and energy efficiency. Key Terms Operations and Maintenance: The decisions and actions regarding the control and upkeep of property and equipment. These are inclusive, but not limited to, the following: 1) actions focused on scheduling, procedures, and work/systems control and optimization; and 2) performance of routine, preventive, predictive, scheduled and unscheduled actions aimed at preventing equipment failure or decline with the goal of increasing efficiency, reliability, and safety. Operational Efficiency: The life-cycle, cost-effective mix of preventive, predictive, and reliability-centered maintenance technologies, coupled with equipment calibration, tracking, and computerized maintenance management capabilities all targeting reliability, safety, occupant comfort, and system efficiency.
  • 3. KEYPHASES O&M Key Phases Plan • Objective (Must be aligned with Corporate Goals) • Schedule • Budget • Procurement Initiate • Preventative Maintenance • Predictive Maintenance • Corrective Maintenance • Monitoring • Training Measure • Overview Indicators •Organizational Indicators • Maintenance Parts Management Indicators • Routine Maintenance Indicators • Equipment Performance Indicators Analyze • Failure Mode Effect Analysis (FMEA) • Standard Process Control (SPC) • Overall Equipment Efficiency (OEE) Adjust • Continuous Improvement
  • 4. KEYINDICATORS Maintenance Parts IndicatorsOverview Indicators •Overall Equipment Effeteness (OEE) •Equipment Downtime •Equipment Capacity, Utilization, and Performance Efficiency •Mean Time Between Failure (MTBF) •List of Worst Performing Equipment •Monthly Cost per Equipment Type •Monthly Cost per Asset Center Equipment Performance Indicators • Budget Compliance (Actual vs. Forecast) • Facility wide Overall Equipment Effectiveness (OEE) • Costs as a percent of Operating Costs •Maintenance Dollars per SQFT •Safety and Environmental Performance/Compliance Routine Maintenance Indicators •Work Input Level (By craft, Priority and Type) •Backlog Level (By craft, Priority and Type) •Standing Work Orders •Man Hours per Work order •Schedule Completion •PM Completion •Percentage of Maintenance Rework •Percentage of Overtime and Total Call outs. •Inventory Accuracy and Frequency •Percentage in Stock •Inventory Turnover •Materials vs. Labor Ratio Dashboard should be created to track Key Performance Indicators (KPI’S).
  • 5. TYPESOFMAINTENANCEPROGRAM Preventive Maintenance (PM)Reactive Maintenance (CM) Reliability Center Maintenance, emphasizes the use of predictive maintenance (PdM) techniques in addition to traditional preventive measures. When properly implemented, RCM provides companies with a tool for achieving lowest asset Net Present Costs (NPC) for a given level of performance and risk Reliability Center Maintenance (RCM) Maintenance performed only after a machine fails or experiences problems Predictive Maintenance (PdM) Predictive Maintenance (PdM), or condition-based maintenance, attempts to evaluate the condition of equipment by performing periodic or continuous (online) equipment condition monitoring . The ultimate goal of PdM is to perform maintenance at a scheduled point in time when the maintenance activity is most cost-effective and before the equipment loses performance within a threshold. This is in contrast to time- and/or operation count-based maintenance, where a piece of equipment gets maintained whether it needs it or not. Time-based maintenance is labor intensive, ineffective in identifying problems that develop between scheduled inspections, and is not cost-effective. Preventive maintenance is a schedule of planned maintenance actions aimed at the prevention of breakdowns and failures. The primary goal of preventive maintenance is to prevent the failure of equipment before it actually occurs.
  • 6. TYPESOFMAINTENANCEPROGRAM Preventive MaintenanceReactive Maintenance Advantages: •Properly implemented can be most efficient •Lower over all cost by eliminate unnecessary maintenance of expensive overhauls •Minimizes frequency of major overhauls •Focus manpower on critical components •Increase equipment reliability •Root Cause Analysis Disadvantages: •High start-up cost Reliability Center Maintenance Advantages: •Low first look Cost •Less Staff Disadvantages: •Increased cost due to unplanned downtime of equipment •Increased Labor cost, especially OT •High Cost involved with repair and replacement of equipment possible secondary equipment or process damage form equipment failure •Inefficient use of staff Predictive Maintenance Advantages: •Increased component operation life/availability •Proactive Corrective Actions •Decrease in Equipment Downtime/Increase in reliability •Decrease in cost of labor and parts over the life of the equipment •Cost savings of 12 to 18% over the lifecycle of the equipment over just preventative maintenance Disadvantages: •Increased upfront investment in diagnostic equipment •Increase investment in staff training •Savings potential is hard to initially show upper management Advantages: •Cost effective •Flexible •Increased Component Life Cycle •Energy Saving •Cost savings of 12 to 18% over the lifecycle of the equipment over reactive maintenance Disadvantages: •Catastrophic failure still high risk •Labor intensive •Performance of unneeded maintenance •Potential of incidental damage to components in conducting unecessary maintenance
  • 8. ASSETMANAGEMENTPROGRAMBENIFITS O&M Maintenance is no longer just fixing broken equipment it is a mix of processes that increases the reliability of a facility. Benefits •Risk Mitigation •Failure Avoidance •Customer Satisfaction •Increased Reliability •Control of Operating Cost •Increased Equipment Life
  • 9. ASSETMANAGEMENTRETRO-COMMISSIONING Retro-Commissioning . The analytics from the indicators will trigger Retro-Cx events, where Retro-commissioning is the process of systematically evaluating existing buildings and systems to ensure: •Original Design Intent •Current Operational Needs •Energy Conservation Opportunities (ECO) Retro-Cx focuses on the following: •Instrument Calibration •HVAC & Lighting Control Sequences •Mechanical Systems & Components Retro-Cx can be triggered by an unexplained increases in bldg energy usage or a major equipment repair or change in functionality of an area. •A significant rise in occupant comfort complaints •Undocumented changes to building systems & structure •Maintenance staff overwhelmed with emergency calls.
  • 10. ASSETMANAGEMENTCONTINIOUS-COMMISSIONING Continuous Commissioning Commissioning and Retro-commissioning can loose its initial effectiveness over time due to the following factors: •Inability of Operations and Maintenance staff to continually monitor monitory building performance and make needed adjustments as problems arise. •Lack of tracking of adjustments made •Failures of equipment and control devices •Controls Changes that negate optimum performance •Lack of proper training (Cause and Effect) •Managements change in priorities. This can be resolved by implementing a continuous commissioning program. The key from the owners side is to sell the benefits to upper management to get buy in to the processes to ensure long term cost control.
  • 11. ASSETMANAGEMENTCONTINIOUS-COMMISSIONING Continuous Commissioning Continuous commissioning is an ongoing process to resolve operating problems, improve comfort, optimize energy use and control costs. •Identify and quantify potential measures and cost controls •Develop performance baselines for energy, comfort and cost •Examine the building in detail—to the air-handling-unit (AHU) and/or terminal-box level—to identify operating and comfort problems, component failures or degradation, and causes of system inefficiency •Implement Continuous Commissioning measures. •Identify changes in operating procedures for the building staff, and document energy savings and comfort improvements •Train the building staff •Track/verify energy, comfort, equipment efficiency and cost performance Continuous Commissioning goes a step further, involving the continuous collection and analysis of energy data via an existing Building Management System (BMS) in conjunction with stand-alone metering equipment.