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Repair and maintenance service automation in the organisation performing design and starting-up and adjustment works
For the companies performing design works “turnkey” in which the fixed capital is maintained intensively, not planned equipment downtime turns around losses. The information systems which have become recently by one of the most effective tools of increase of a production efficiency and decrease of costs, allow, including to lower an expense for modernisation and maintenance of park of the equipment in an efficient condition. To synchronise productions so that to avoid not planned failures, to select corresponding experts for works, to reduce quantity of repairs and to make the schedule of service or equipment replacement so that the basic manufacture has suffered as less as possible, technology Enterprise helps we will consider Enterprise asset management (EAM).

EAM – the regular and coordinated activity of the organisation aimed at optimum control by physical actives and modes of their work, risks and expenses throughout all life cycle for achievement and performance of strategic plans of the organisation. EAM-system – a control system of an enterprise fixed capital. Allows to reduce equipment downtimes, expenses for servicing, repairs and logistics.

In spite of the fact that deterioration of a fixed capital in the industry of Russia reaches almost 70%, the majority of the enterprises is used by out-of-date techniques of planning of repairs: repairs on shutdown and graphics planned preventive maintenance (PPM).

It is obvious that their technique to name difficult, they lead to essential losses. And specifications on which schedules PPM are based, have been created in the thirties last century.

What lose the enterprises using out-of-date techniques of planning of repairs? More than it seems at first sight. For example, off-schedule equipment downtimes manage much more expensively, than simply cost of repair work on restoration of the failed technics.

It is necessary to understand that off-schedule idle times – one of decrease major factors fund returns the equipment. On the statistican, they make at least 5% from a combined value of equipment downtimes.

Of what actually there is a cost of idle times? It is the sum of loss of the income, expenses for superfluous capacities and expenses for restoration.

Income losses concern not only expenses for materials, spare parts and the salary, but also the size of all incomes measured by lost profit on sales because of impossibility of performance of the plan in view of inoperability of the equipment.

Expenses for superfluous capacities are the expenses connected with the maintenance of the reserve equipment and insurance stocks of spare parts and materials which are used in case of capital equipment failure.

Expenses for restoration is the all expenses connected with restoration of normal work of the enterprise: cost of off-schedule repairs, cost of delivery of spare parts and materials, marriage cost etc. Thus, it turns out that off-schedule idle times can manage to the companies from 1 to 3% from a turn or potentially 30-40% from profit.

Decisions of class EAM in Russia are less known, than ERP – or CRM-systems. But it does not belittle their importance. Management of a fixed capital (so decoding of abbreviation EAM is translated into Russian – enterprise asset management) directly is connected with maintenance service and repairs (MS&R) – the vital sphere of activity of the power and transport companies extracting and the defensive enterprises, car-care centers and communication statements. Moreover, in such systems as SAP R/3 and IFS Applications, EAM-functionality directly is integrated with standard modules ERP, being, thus, added with financial, industrial and other modules.

Abbreviation EAM has been entered in the late nineties by analytical company Gartner Group, similarly “standardised” earlier to systems MRP, MRPII and ERP. However, the real standard in its classical understanding EAM is not, though exist steady administrative methodology which lie in its basis.

The integrated control systems of a fixed capital were logic development of computer control systems by repairs (computerised maintenance management systems – CMMS), 20 years existing already more. Main destination CMMS is a reduction of expenses for service of the equipment and productivity increase (readiness factor).

Let's consider functionality of typical CMMS-system, and then and the expanded functionality of system of class EAM.

CMMS provides support of following possibilities:
- conducting the register of the equipment, technical installations, units and their components;
- registration of specifications, specifications for installation, repair and equipment service;
- planning of the precautionary repairs based on a calendar and generation of orders;
- planning and scheduling of execution of orders;
- the reporting about performance of orders – amounts of works, working hours, the used materials and the suffered expenses;
- management of a warehouse economy, return of materials and spare parts;
- management of supply of materials, spare parts and external contractors;
- the standard reporting and statistics;
- the control of access of users to system.

The CMMS-system operates and supports only orders. In separate systems elementary business processes are supported, they are however usually rigidly sewn up in a kernel of system and used only for management of orders.

EAM-systems provide all same functionality, as CMMS (at times even more advanced), no less than many other possibilities:
- designing of processes of maintenance service and equipment modernisation;
- management of deliveries of the equipment and management of installation;
- the precautionary service based on conditions (repair on a condition). The advanced EAM-systems are integrated with systems of the bottom level (automated process control system), allowing to obtain from them the data on which basis the analysis of necessity of performance of that or other repair work / the preventive is carried out;
- management of manpower resources (personnel) – the control and management of availability of the repair personnel, the analysis of qualification, conformity of the demanded competence, the attendance account;
- data gathering – strokes-codes, external gauges;
- export of the data to other programs (for example, tabular processors, analytical means);
- the expanded control of the access based on roles access to chosen functions and the data (updating or only reading), necessity of reception of authorisation for performance of separate operations;
- the procedures of approval/acknowledgement/control based on role access;
- the advanced planning and scheduling of orders. Integration with a control system of the personnel;
- full registration of all transactions in a financial system on all processes – to supply, warehouse operations, design works;
- full registration of all expenses on repair work (materials, time, expenditures of labour) and their comparison with the planned;
- management of warehouse stocks – replenishment of materials on the basis of requirements of orders, orders of the supply, the planned holidays and levels of warehouse stocks;
- management of document circulation – at least, possibility of operative access to the electronic documents connected with the equipment, orders and regulations of carrying out of repair work;
- management of the personnel – management and the control of the serving and repair personnel, qualification, availability, the competence.

The basic difference between CMMS – and EAM-systems consists that the last operate all life cycle of the equipment, since designing, manufacturing, installation and assemblage and, further, the subsequent service, service and preventive works, modernisation, reconstruction and write-off. Within the limits of these activities of ЕАМ provides support of all business processes.

The EAM-system includes also system of support of decision-making, for example system of monitoring of an overall performance of the equipment (based on availability, efficiency and quality).

Results of introductions of EAM-systems in the world testify to their extremely high return. The overwhelming majority of projects pays off less than for one and a half-two year. Reduction on 20% and more expenses for repair work is typical. For the large enterprises the economy can make millions dollars (for example, it agree to data MSI Magazine, oil refining factory Holly Corp from Dallas has informed on economy in 1.2 million dollars).

EAM-systems are easy enough in introduction and do not cause such complexities, as, for example, MRP-planning introduction on manufacture. Unsuccessful projects actually are absent. It in many respects speaks what even the system introduced in the minimum volume already gives considerable effect.

Well described register of the equipment, conducting history of all malfunctions and repair work in uniform system, refusal of magazines of registration of malfunctions (the data is brought at once in system) – all it sharply improves quality of the works connected with planning of orders, supply and the reporting.

There is a number of the problems complicating introduction of such systems at the Russian enterprises. They are obvious enough. One of the main things – a so-called problem of certification: for conducting the register of the equipment it is necessary to have on it all documentation. For some reasons this documentation can not be. For example, in case of following situations: units are in work more than 70 years, the documentation is disseminated, and on some blocks is absent at all, repairs were made by own forces, anybody already any more does not support the similar technics; the equipment is received on reparations from abroad, the documentation is absent, the enterprises which let out this equipment, is closed; the equipment which was in the use is bought as written off at one of the European factories, and at the moment of modernisation of the western enterprise nobody worried about possibility of repeated sale of technics; to the documentation does not remain.

Apparently from these examples, problems arise because of use of the old, worn out equipment. Such case is typical for many Russian enterprises. However it does not do a problem hopeless, simply process of input in system of the intelligent description of the unit becomes more labour-consuming. An example of other problem is creation of the suitable qualifier. The similar problem is not unique for Russia. It is important to understand that ready convenient qualifiers do not exist. Also that the most convenient is that has been developed for the given organisation.

If to take a view of the world market of EAM-systems such decisions offers more than hundred companies-developers. To leaders from them usually carry MRO Software, IFS, Indus, SAP, Intentia and Mincom. Indus basically it is extended in the North America, IFS – in Europe, Mincom – in Asia, and SAP – in Latin America. For average enterprises Gartner Group considers as leaders of system Intentia, IFS and MRO Software, for large – SAP and IFS. According to ARC, the leader on platform Oracle is IFS, on MS SQL Server – MRO Software, on other DBMS – Intentia.

The kernel of ACS RTO
The kernel of ACS RTO

EAM-systems allocate in a separate class and do not unite all in frameworks already enough habitual ERP-systems (Enterprise Resources Planning – planning and enterprise resource management), because maintenance service and equipment repairs, or – in wider variant – management of a fixed capital, not simply big and independent enough business process, “worthy” own system of automation. It also the approach to the organisation of works, is far not in all conformable to substantive provisions of concept MRP/ERP.

Really, ERP-systems initially were guided by discrete manufacture with the set cycle of operations of certain duration. Thus the primary goal of ERP-system

Consisted in as much as possible to promote manufacture of the set volume of the certain nomenclature of production in the set term and with is minimum possible costs.

In case of repairs a problem slightly another – not simply to lower to a minimum costs at performance of certain procedures, but also to reduce works – both by kinds, and on volume (to achieve in an ideal of a total absence off-schedule shutdowns and the emergency repairs connected with them). Besides, repair activity is spent in the conditions of essential uncertainty of the data – even at all-round monitoring of a condition and deterioration of the equipment the volume and the nomenclature of necessary spare parts all the same has likelihood character – unlike the conveyor (a zone “responsibility” ERP-systems) where all necessary details are strictly defined (and proceeding from the order, it is possible to calculate precisely, how many and that should be during this or that time in a warehouse).

Because of these and other features repair activity is often allocated at the enterprises organizational.

On the other hand, modules of automation MS&R (or MS&ER – maintenance service and equipment repairs) are present at variety of ERP-systems of the western manufacture (SAP R/3, IFS Applications) and the integrated control systems of the enterprises developed in the CIS (“Galaxy” “The sail” “IT-enterprise”). The reasons of a demand specialised CMMS – and EAM-systems that they are expert workings out that taking into account noted above specificity extremely important. The System-expert, as well as any pro, gives, as a rule, fuller, all-round, deep decision of a task in view. The complex system (in this case ERP) gives wider coverage of problems in one “to packing” though at times and by smaller of maturity separate directions.

Today the right to a life is proved quite successfully by both approaches to automation of MS&. What from them to choose for the concrete enterprise – in many respects depends on value MS&R in its economic activities. Here, as in medicine, – if you need the general inspection and supervision, you go to polyclinic. But if you are disturbed by the important and constant problem you prefer to address in the specialised centers where also the necessary equipment is, and practice of experts in the given profile is more, and the complex of services is usually wider.

In the CIS there is also a specificity in a problem “to choose specialised system or ERP”. Usually introduction of ERP-systems occurs under the scheme when first of all it is a question of financial modules, modules of calculation of the salary, supply and sale, conducting a warehouse economy, relations with clients. To actually industrial sites especially carrying “auxiliary” character, start after everything when are already spent considerable time, human, financial resources, somewhere enthusiasm any more that etc. As a result automation of such important site as MS&R, it is quite often transferred on prospect. Acquisition specialised CMMS – or EAM-systems allows not to postpone automation of MS&R in a long box.

The system automatic control system RTO allows the enterprise to solve such problems, as:
- Conducting the register of the equipment of the enterprise;
- Conducting databases of standard documents on repairs and equipment maintenance service;
- Conducting databases of the graphic, technological and design documentation (the scheme, drawings etc.);
- The current control of a condition of the equipment of the enterprise, registration of technological infringements, defects and equipment refusals, tracing of their elimination, the analysis of the reasons of occurrence;
- Planning of repair work;
- Planning of requirements in material and a manpower at equipment repairs;
- The account and the analysis of actual expenses for carrying out of repair campaigns;
- Conducting archives of refusals of the equipment and the spent repairs, etc.

The basic economic results received from introduction of EAM-systems (according to analytical group ARC, them mark about 90% of users):
- Labour productivity increase;
- Increase in productivity of the equipment;
- Reduction of terms of expectation of emergency works;
- Reduction of surpluses of warehouse stocks;
- Reduction of number of not planned idle times/breakages;
- Increase of factor of readiness/time of serviceability;
- Increase in service life of the equipment;
- Reduction of number of failures and defects.

The most advanced EAM-systems have means of the analysis of efficiency of use of the equipment. Generally equipment operation assumes the answer to following questions:
- How much effectively we use the equipment?
- In what cost of all idle times expressed in not made production manages?
- What principal causes of the compelled idle times?

The systems supporting such analysis, allow to answer on similar questions. It some kind of the specialised analyzer, like financial, but ground only under the analysis of efficiency of use of the equipment.

Ideas of the industrial analysis use characteristics APQ (availability, performance, quality) and have in the basis algorithms of calculation of these three indicators – readiness, productivity and quality.

Efficiency is estimated in system as convolution of the specified indicators. Within the limits of the APQ-analysis calculation is carried out:
- Indicators of readiness, productivity, quality for the given period of time;
- The general operating time of the equipment;
- The general time of stops for the internal reasons;
- Volume of made production;
- Marriage volume;
- Average time between equipment breakages;
- An average of time of repair of the equipment.

These indicators are simple for understanding and do transparent the control of interaction of manufacture and maintenance service within the limits of the enterprise.

Separately it is necessary to tell about concept MRO (Maintenance, Repair and Overhaul – servicing, repairs and modernisation/capital repairs). About it speak with reference to such branches as transport, defence/aircraft, shipbuilding etc. – when there are problems of servicing of technics, instead of the equipment or objects of an infrastructure. Certainly, at MRO-systems exist the specific functionality – for example, connected with service of parks of technics (planes, the ships, trains etc.). And integration with internal information systems (for example, for tracing and forecasting of malfunctions during flight). Not any EAM-system approaches for processes MRO. So, the world leader in the given sphere, company IFS, already having powerful EAM-system developed functionality for MRO within 4 years, together with the Air Forces of Norway (where now this system is maintained on 1000 workplaces). From systems MRO, especially in aircraft and defence, also it is required to provide with the minimum costs conformity to requirements of safety precautions and to the governmental norms.

Perhaps, the freshest concept is 3LM (Integrated Lifecycle Management), consisting in the integrated management of life cycles of a fixed capital (EAM), works with customers (CLM) and production (PLM). Realisation of all of it in uniform information system should lead to synergistic effect and effective interaction of all services of the enterprise.

As a whole, expenses for repairs, losses from idle times and breakages at the Russian enterprises are so great that introduction of EAM-systems is represented hardly probable not certainly necessary. Real practice is that that the enterprises, starting the program of complex automation and getting the heavy ERP-decision, begin with accounts department and the finance, “sinking” in the course of introduction for many long years. Certainly, financial streams are better for operating by means of the computer program, however what price? Probably, it would be more effective to allocate those administrative chains where introduction will obviously make profit, and the main thing, the risk of the unsuccessful or tightened introduction is low. And in this context automation of maintenance service and repairs is represented business rather attractive.

1. Shehvatov D. How to automate the repair and maintenance//CIO. – 2003. – #3 []
2. Wikipedia: Enterprise asset management []
3. Operate repairs! It will raise competitiveness//Economy and a life. – 2004. – #039. – P.32 []
4. Yakimenko A. Repair without any problems: The automated systems of maintenance service and repairs//Electric equipment. – 2008, #7. – P. 61-64 []
5. Shehvatov D. Evolution of control systems maintenance and repair//Equipment (the appendix to magazine “Expert”). – 2004. – #2 []

The author: Челябэнергопроект
Date: 03/23/2010

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