This presentation was delivered as a Masterclass by Paul Bennett, Relegen's Managing Director, at the Australian Mining Technology & Innovation Summit on 7 June 2102 in Perth, Western Australia.
Synopsis
Making decisions without trusted, real-world information is not an option for mining organisations in today’s globally competitive and regulatory environment. And yet, despite investment in corporate systems, most continue to take action based on problematic data – data that is incomplete or out of date. For some, this can result in breaches of security, safety or compliance, and for others, poor asset performance can lead to unplanned costs, lost productivity, and untapped opportunity. The challenge for mining executives across the board is to bridge the gap – the gap between data and assets, between corporate strategy and operational reality.
In this masterclass, Paul Bennett explores how asset intelligence technology helps organisations improve the quality of data in corporate information systems and drive performance in ways that outpace traditional approaches to asset management. In particular, this session examines:
• Rethinking what an asset is within in your organisation
• Uncovering the missing link between data and assets
• Evaluating the importance of identifying assets as globally unique
• Harnessing technology to transform legacy information into data you can trust
• Putting asset intelligence to work and using it to drive organisational performance.
About Paul Bennett
Paul Bennett is the Founder and Managing Director of Relegen Pty Ltd, a leading provider of people and technology-based solutions to Defence, government and industry for 12+ years. Paul has more than 30 years’ industry experience, including 20 years in engineering and asset management with the Australian Defence Force. Paul is the driving vision behind the development of assetDNA – Relegen’s proprietary asset intelligence technology solution.
The Coffee Bean & Tea Leaf(CBTL), Business strategy case study
Asset intelligence | Bridging the gap between corporate strategy and operational reality
1. The following presentation was given by
Paul Bennett, Managing Director
of Relegen Pty Ltd
at the Australian Mining
Technology & Innovation Summit
on June 7, 2012
in Perth, Western Australia
2. Bridging the gap between
corporate strategy & operational reality
Asset intelligence
3. About Relegen
Provider of
engineering
services
For Defence, government,
manufacturing,
mining &industry
Developer of
asset intelligence
technology
assetDNA – Software, mobile EAM,
asset IDs [RFID, barcode, microdots],
hardware & services
7. Managing your assets
Mine site
targets
It’s not just
about asset
management
anymore
Corporate
objectives
Governments &
regulatory bodies
The demands of the
global economy
8. The need for trusted asset data
risk
maintenance
depreciation
LTI’s
safety
unplanned costs
increasedenergycosts
lost productivity
up-time
down-time
untapped opportunities
The
unknown
compliance
meetingregulatoryrequirements
counterfeiting
security
operatingcosts
delays
Re-cycling
quarantines
conformance
performance
profits
shrinkage
brand protection
serviceability
production
revenue
Carbon
emissions
utilisation
optimisation
supplying
demand
missedtargets
agility
output
longevity
duplication
availability
reactive
10. The holy grail
Asset
intelligence
Sensors &
signals
EAM/ERP/
CMMS
Engineering
Maintenance
FinanceSupply-
chain
Warehouse
Distributors
Customers A single point
of truth we can
trust in for
better decision
making
11. At an operational level
Keep the intelligence
about the asset, with the asset
Standardised processes to
optimize productivity
Replicate best practice,
quickly and easily
Enforce procedures,
meet regulations,
reduce human error
Better, more informed
operating decisions
Accurate, data-driven
audit trails
13. Rethinking ‘What is an asset?’
Assets = business capability
Community Environment Infrastructure
Plant &
equipment
Procedures Parts & supplies Documents Evidence
Collections People Customers
Natural
resources
Any point of interest that is important
to your operation
14. Assets are not static
• Assets have lifecycles
• Assets operate in workflows
• Assets can be re-purposed
• Assets can be recycled
• Assets have history
16. The importance of global uniqueness
• Ensures asset data integrity
• Ensures asset data quality
• Ensures consistency, anywhere, anytime, any ‘thing’
• Enables global collaboration
Ensures all intelligence
about the asset, stays with
the asset throughout it’s
life, from cradle, through
recycle, to grave.
17. Asset IDs must be intelligent too
Global uniqueness
Security
Workflow
18. The limitations of existing systems
Sock Co – Part #1477896
Gun Co – Part #1477896
19. Mini case study: Managing weapons
Solution
Armoury inventory management system
Benefits
► Real-time view of assets in armouries & in service.
► Increased productivity for staff managing inventories
and performing audits.
► Issue weapons commensurate with training & authority.
► Improve security with proof of ownership
► Earlier detection of missing weapons.
► Full asset lifecycle is managed through the asset’s unique ID for inspection, servicing to
approved standards, repair and replacement.
20. Mini case study: Standard procedures
Solution
Standardised inspection and maintenance system
at a 4km long conveyor raw coal processing facility.
Benefits
► Standardised inspection procedures.
► Accurate, visual guides for maintenance.
► Capture incidents [with photo’s] and log jobs
on-the-spot.
► Trusted data passed back into the CMMS.
► Accurate tracking & reporting of person-hours.
► Full data-driven audit-trails of every action.
► Enforceable, electronic personal risk assessments.
21. Mini case study: Management of PPE
Solution
Issuance and maintenance of respiratory protective
equipment at a nickel smelter.
Benefits
► Integrates with personnel management system.
► Unique IDs directly associate PPE with users.
► Only issue items commensurate with training and authority.
► Flags when fit-testing due.
► Reduction in misplaced items.
► Manages full asset lifecycle including quarantine and servicing to approved standards.
► Aids planning of PPE requirements for intensive usage periods.
RESPIRATORS
MUST BE WORN
IN THIS AREA
APPROVED PERSONNEL ONLY
22. Tracking assets on surface
ships, submarines, officer’s uniforms
Armoury inventory tracking, issue &
receipt of arms to customs officers
DIVEX
Issue & maintenance of diving equipment
for the Australian Navy’s clearance divers
Issue, maintenance of PPE & respirator
equipment at BHP Billiton, Nickel
West, Kalgoorlie
Inspection & maintenance of all assets
along a 4.5km conveyor line at the
Bengalla Mining Company raw coal facility
Issue & maintenance of PPE
for the NSW Fire Brigade
Tracking & management of council
leaseholds
Issue, quarantine & decontamination of
PPE for government & industry
IT asset management,
issue & receipt of IT equipment to staff
23. Putting asset intelligence to work
• What assets are important to your operation?
• Define them uniquely
• Associate them with all the information stored about
them across your organisation
• Add new inputs for a full 360 view
• Access this intelligence from a single source of truth
Intelligence Decision ActionAssetsData
24. Business outcomes
•Know what you have, depreciate all your assets.
•Track full asset lifecycle to aid planning, finance and forecasting.
•Increase reuse and recycling.
Reduce costs
•Standardise and enforce procedures.
•Automate repeatable processes.
•Replicate best practice.
Streamline
operations
•Control authorised access, ensure safe operation and handling.
•Issue proper functioning equipment, commensurate with training & authority.
•Meet servicing standards and environmental, recycling, disposal regulations.
Improve safety &
compliance
•Locate all your assets, improve asset utilisation.
•Improve materials handling, automate manual processes.
•Perform accurate audits, faster.
Increase
productivity
•Identify assets as globally unique, track issuance & receipt.
•Reduce losses due to wastage and deter theft.
•Prove authenticity, protect revenues and brand from counterfeits.
Enhance security
•Improve condition monitoring, inspection, test & certification procedures.
•Manage a balance between risk, cost and business benefit.
•Make better operational decisions based on data you can trust.
Reduce risk
‘Asset intelligence’ is the embodiment of what Relegen believes organizations will need from next-generation enterprise asset management tools in order to drive the performance of their operations.It is the missing but critical enabler that bridges the gap between the data residing in an enterprises information silos and real-world assets.In the simplest terms, asset intelligence helps by presenting information that moves us from just knowing ‘what happened’ to also knowing ‘what is happening’ with that ‘unique asset’ at every stage it’s lifecycle – and all at a much more granular level than before.Companies can use this new-found asset intelligence to reduce the time between information, decision making and action to drive productivity and performance.
Better data enables better decisionsData plays a huge role in organisational decision making processesPut simply, bad data leads to bad decisionGood data leads to good decisions
At Cisco’s own CIO Summit in 2010 they divulged that they spent $77 million in that year to store data that hasn’t been accessed in more than a year. And Cisco is not alone.The same report cited that Gartner estimated that more than 70% of all data in a typical enterprise has not been accessed within the past year 4. Whatever the percentage in our own organisation, it’s likely that whilst we have a ton of asset data in our corporate enterprise systems, we still have a surprising lack of asset intelligence.All of this is proof that gathering data has no value in itself. In fact, if the Cisco example tells us anything it’s an extremely costly exercise but for what sort of return?
So let’s challenge your thinking about what is an asset.What do you think of when you think of RailCorp’s assets? Put yourself in their shoes? Do you think of Rolling stock? Tracks? Infrastructure? They are all assets of course but that’s not the complete picture. In April this year the failure of a simple switch on the metro rail network caused delays to 40% of Sydney’s trains. The post mortem revealed that Cisco had publicized the likelihood of failure of that switch up to two months prior2.
Your assets are your business capability.The mining and minerals processing industries have always been a highly-contested, high-stakes game.To compete on the global stage, mining companies must intimately understand what capabilities they have and use this knowledge to drive performance. Mostly, these capabilities are provided by assets – big and small, mission-critical, tangible, intangible, people and more.Assets aren’t the domain of Accounting, Manufacturing or Engineering.Assets are what makes your organisationunique.They are the resources that set you apart from other businesses in your industry.To put it simply assets are your competitive advantage.We need to turn our thinking around. Big and small, mission-critical, tangible, intangible, you, me, customers, data or an inanimate thing - in its broadest sense, an asset is anything that is important to you and your business. It is a point of interest that delivers a business capability. What the assets are in your organisation is a strategic discussion that needs to be driven by an organisation’s management team. I guess the trick is to ask the right questions.We need to understand which assets play a significant role in business processes, what actions each asset can undertake and the critical interactions, and relationships, between assets
We also need to remember that assets aren’t static - they have lifecycles.As they function and evolve, their properties change and consequently so does the data.Sometimes asset attribute history is very important when we need to make decisions based on asset performance, certification, tracking etc.In a modern society assets are also recycled and in their second lifecycle they retain some of the attributes from their first. Knowing what these attributes are, retaining a full and rich history is key to making the right decisions.
Here’s a relevant example of The system will produce a full audit trail of every inspection conducted, what action was taken, and what remains outstanding.It will accurately track and report on person-hours for both routine inspections and ad-hoc tasks that crop up during rounds.Management will have a holistic view on the current & historical condition of all the assets operating along the CHPP.It passes quality data back into the client’s CMMS system – in this case Pulse.Additionally, the new system will incorporate and digitalisethe client’s ‘Take 5’ risk assessment tool into the assetDNA PDA app, and, provide an electronic record of assessment.In the future, it is possible that inspection routines may not be started without this personal risk assessment being performed.