You are invited to join Roald Rodseth on the Drive to achieve Peak performance
Physical assets are an indispensable part of many enterprises and consequently play a determining role in the success of these enterprises.
A useful way of looking at the role that physical assets management function plays, is to consider them to be a platform which supports the enterprise (Fig. 1). By 'function' is meant more than just the physical asset. This would include all aspects needed to care for the asset such as the entire organisation, the people involved in the process and associated issues.
A strong platform is essential for the enterprise to perform. Any maintenance practitioner will know from bitter experience that a broken or poorly performing platform will be seen to be the only reason why the enterprise is not performing. The irony is that there are many other functions that impact on the performance of the enterprise but that underperforming assets stand out like a sore thumb and until their performance issues are resolved, they will remain the sole perceived reason for underperformance of the entire enterprise.
In the previous article mention was made of the stages that an enterprise goes through on its journey from Chaos to Clockwork. This is shown in Fig. 2.
The platform has unique characteristics at each phase and it impacts the performance of the enterprise in unique ways at each phase. This is shown in Fig. 3.
During the Crisis phase, the platform is in a state of damage and decay. It is a serious impediment to the performance of the enterprise. Making the desired product is very difficult due to the problems experienced with it. Throughput is low and costs high. Chaos prevails and the situation is catastrophic.
The task during the Controlled phase is to repair the platform. As this progresses, the situation improves and although the asset performance is blocking throughput, at least product is being manufactured. Costs, although still too high, are on the decrease.
During the Predictable phase the focus is on strengthening the repaired platform and to start the process of addressing inefficiencies. Here production has drastically improved but is still plagued by interruptions caused by asset failure.
Finally, at Peak all ‘runs like clockwork’. Production is at Peak levels and the assets are performing at those levels as well. The focus here is to optimise the assets (Fig. 4).
Fig. 5. ties the pieces together. During the Crisis phase Regression is the name of the game. Things are falling apart and chaos prevails. Performance is low and costs are high. The Controlled phase is about consolidating and the Predictable phase is characterised by matters beginning to Run as they should. The crowning glory and desire of all is the Peak phase. Here victory has been achieved and the elusive goal of Peak performance has become a daily reality. Performance is high, costs are low and the enterprise is a profitable, wealth generation leader in its field.
Roald Rodseth is Managing Director, Radiant Operations International (Pty) Ltd in conjunction with DesSoft.