JJ 616
MANAGEMENT
NOR HAFIDZAH BINTI MOHD HUSNI
December 2012
SYLLABUS
Maintenance Organization
Maintenance Strategies
System Approach to maintenance
Maintenance Planning and Scheduling
Computer Maintenance Management System
COURSEWORK
MAINTENANCE
JJ 616
MANAGEMENT
Introduction to
Maintenance
NOR HAFIDZAH BINTI MOHD HUSNI
December 2012
Maintenance Management
Maintenance
Purpose of Maintenance
Maintenance Process
Description of the object conditionThe most important element in this area is the maintenance
notification. This is used to describe the condition of the
technical object or to report a malfunction at a technical
object and request the damage is repaired.
Execution of maintenance tasksThe most important element in this area is the maintenance
order. This is used to plan the execution of maintenance
activities in detail, monitor the progress of work and settle
the costs of maintenance tasks.
Completion of maintenance tasksThe most important element in this area is the maintenance
history. This is used for long-term saving of the most
important maintenance data. This data can be called up for
evaluation at any time.
IMPACT OF POOR
MAINTENANCE
MAINTENANCE ORGANIZATION
Decentralized
Decentralized (cont..)
Centralized
Role/responsibility of Maintenance
Organization
Maintenance Organization are responsible for :
the safe and efficient operation of fixed and
rotational equipment under their span of control.
ensuring that all systems of work are carried out
safely in accordance with regulatory and
company policies and procedures.
ensuring that all replacement components are
available and that all personnel under their
management are competent.
Maintenance Plant Managers must also operate
within a cost effective environment.
MAINTENANCE
COST
Maintenance Costs
In-house
Out-source
Decision to out-source
Lack of expertise
Too hazardous
No experience
Bound by contract
Top management policy
Maintenance Costs
Total
costs
Costs
Preventive
maintenance
costs
Breakdown
maintenance
costs
Maintenance commitment
Traditional View
Maintenance Costs
Costs
Total
costs
Full cost of
breakdowns
Preventive
maintenance
costs
Maintenance commitment
Optimal point (lowest
cost maintenance policy)
Full Cost View
Example
The record of computer breakdown for
Company PCK for the past 20 months is
shown below.
# of breakdown
0
1
2
3
4
8
6
2
Total
20
Solution
Step 1
Calculate expected number of breakdown (based on
past records) if the company continue without
service contract.
Step 2
Compute expected breakdown cost per month with
no preventive maintenance contract
Step 3
Compute the cost of preventive maintenance
Step 4
Compare the two options and select the one which
cost less
Solution
# of breakdown Frequency
0
1
2
3
4/20 = 0.2
8/20 = 0.4
6/20 = 0.3
2/20 = 0.1
Step 1
Expected # of breakdowns = (# of breakdown) x (frequency)
= (0)(0.2)+(1)(0.4)+(2)(0.3)+(3)(0.1)
= 1.3 breakdown per month
Solution
Solution
Step 2
Expected breakdown cost = (expected # of
breakdown) x
(cost per breakdown)
= (1.3) x (300)
= RM390 per month
Solution
Solution
Need to consider
Customer service
Loss of production
Loss of customer goodwill, reputation
Machine life
Availability of spare parts and expertise
Safety to the user / customer
Environmental problem (pollutant
discharge etc.)
20
Frequency
Number of
Breakdowns
Frequency
2/20 = .1
6/20 = .3
8/20 = .4
4/20 = .2
Expected number of =
breakdowns
Number of
breakdowns
Corresponding
frequency
Expected number of x
breakdowns
= (1.6)($300)
= $480 per month
Cost per
breakdown
Preventive
maintenance cost
Cost of expected
breakdowns if service
contract signed
+ Cost of
service contract
= (1 breakdown/month)($300) + $150/month
= $450 per month
Maintenance
department
Manufacturers
field service
Depot service
(return equipment)
Competence is higher as we
move to the right
Preventive
maintenance costs less and
is faster the more we move to the left
Increasing Operator Ownership
Increasing Complexity
Figure 17.5
Characteristics of a budget
A good budget is characterised by the following:
Participation: involve as many people as possible in
drawing up a budget.
Comprehensiveness: embrace the whole
organisation.
Standards: base it on established standards of
performance.
Flexibility: allow for changing circumstances.
Feedback: constantly monitor performance.
Analysis of costs and revenues: this can be done on
the basis of product lines, departments or cost centres
Control of materials
Preventive Maintenance
Condition Monitoring
Work Order
Job planning
Priority and backlog control
Data recording system
Performance measurement measures or indices
Maintenance Audits
Aim
Audit Question
Apply KPI
What are KPIs?
KPIs measure parameters which describe an
aspect of
the current state of your operation
whether at departmental level or board level
They can be compared over time to indicate
changes or trends
Their nature & range will vary from company
to company
they will be derived from the stated Business
Objectives
Why Measure?
Until you can measure something and
express it in numbers, you have only
the beginning of understanding
William Thomson [Lord Kelvin (1824-1907)]
You cannot manage what you cannot
measure
Attributed to Bill Hewlett (1930-2001),
Co-founder of Hewlett-Packard
Conclusions