Leaders in Problem Solving Why Root Cause Analysis is the ... · Helped a client achieve 47% improvement in operational efficiency. Helped an IT client reduce mean time to resolution

Leaders in Problem Solving

Why Root Cause Analysis is the Cornerstone of Asset Performance Management

Presenters:

Christian Green, Kepner-Tregoe

Ingrid Dueck, Kepner-Tregoe

MEET YOUR PRESENTERS

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Christian Green

NA Operations Improvement Lead

Ingrid Dueck

Senior Consultant/Client Relationship Manager

Copyright © 2020 Kepner-Tregoe, Inc. All Rights Reserved.

• What is Asset Performance Management?

• Common Key Components

• Where The Cracks Are: Typical Deficiencies in Implementing APM

• What Do We Mean by RCA?

• How Root Cause Analysis Impacts APM

• Bringing It All Together

• Question & Answer Session

TODAY’S AGENDA

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Solved an ongoing issue, saving an OEM

$2.8 million annually. $

Engagements with nearly of the Fortune 100 in the last 5 years.

FOCUSING on CAPABILITY TRANSFER

DELIVERING SUSTAINED RESULTS

= $29,700 return

Providing a manufacturing customer with a nearly $30k return for each employee trained in KT process.

40%

Helped a client achieve

47% improvement in

operational efficiency.

Helped an IT client reduce mean time to resolution by 74%.

PIONEERS of CRITICAL THINKING

Trained 3 MILLION+individuals globally.

Developed an in-depth understanding of how people think.

ABOUT US

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ASSET PERFORMANCE MANAGEMENT DEFINED

Asset performance management (APM)

systems act to improve the reliability and

availability of physical assets while minimizing risk

and operating costs.

APM improves integration between

production management (making the product)

and asset management (ensuring the capability to

produce).

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How clearly defined is your organization’s APM strategy or approach?

❑Optimized – Very clearly defined and uniformly executed across the organization with tools and processes integrated

❑Managed – Reasonably well implemented with some gaps in execution and tool use across the organization

❑ Proactive – Processes in place with data access and performance targets defined. Working on implementation and anticipating issues

❑ Reactive – Executing in pockets of excellence but still working on strategy definition and responding to emergencies more than not

❑None – We get stuff fixed and it works for us.

POLL

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PRIMARY IMPACTS

Availability is the probability that an item will be in an operable and committable state at the start of a mission when the mission is called for at a random time, and is generally defined as uptime divided by total time (uptime plus downtime).

Assets are ready to perform

Reliability is the ability of assets and processes to perform over time at the expected levels of performance consistently under uniform conditions.

Assets perform as expected

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Strategy and Planning

Asset Decision Making

Life Cycle Management

Asset Monitoring / Data

Performance Environment

Risk Management

BASIC COMPONENTS - APM Overarching guiding principles and

approach

Prioritizing work, defining critical

equipment, defining maintenance routines

Cost control, maintaining uptime,

availability and reliability

Condition monitoring, trend analysis,

historical performance

Work execution, parts availability, skill

development, safe work

Proactive problem solving, CA

implementation, systems impact, safe

work


CRACKS IN THE WALL What could cause your APM program to lose effectiveness

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Risk Management

TYPICAL DEFICIENCIES WITHIN APM Lack of alignment on strategic and

operational priorities

Not enough data / poor data for decision

making

Trial and error troubleshooting – Not

finding cause

Reliance on reactive problem solving /

firefighting, lack of control of asset

performance

Siloed departments, lack of ownership,

pockets of excellence

Lack of data visibility, data overload, jumping

to cause


IS YOUR APM APPROACH LEAKING VALUE?

Common holes in APM Strategy Execution

Siloed departments / lack of ownership: APM considered a maintenance only function and other functions concerns not considered or they do not take any ownership.

Lack of visibility of critical knowledge: Expertise resides in people with “the way we do things” residing in individuals but not documented.

Lack of uniformity / pockets of excellence: Good work is being done but the methods and lesson learned are not easily shared across the organization so best practices never get documented.

Data overload: Overwhelming amounts of data collected leads to “analysis paralysis” and loss of focus on what the real priorities are.

Reliance on reactive problem solving: Fix it now mentality around restoring function as soon as possible leads to band-aids on effects versus cause based problem solving.

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How does your organization use Root Cause Analysis today as it relates to Asset Performance?

❑ Duh … to find the cause of machine issues.

❑ It goes beyond finding cause to developing corrective actions as well.

❑ Finding cause, developing corrective actions and implementing are all part of an RCA effort or investigation.

❑ RCA is an integral part of our overall Asset Management strategy for both reactive and preventive action.

❑We don’t really use a structured RCA approach

POLL

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WAYS TO MANAGE INVESTIGATIONS

1. Incidents are handled by a dedicated investigative function or resource. They recommend corrective actions and the implementation of those become the responsibility of operations and maintenance.

2. Incident investigations are managed by an engineering function with inputs from various SMEs and recommended corrective actions are implemented by other functions / departments.

3. Incident investigations lead by reliability engineers and they then become project managers around implementation of corrective actions.

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RCA = ISSUE RESOLUTION Finding immediate cause is important but permanent issue resolution requires a more complete set of tools

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A COMMON FRAMEWORK FOR “HOW TO THINK”

How do I find root cause?

How do I select the best fix?

How do I implement corrective actions effectively?

How do I clarify and prioritize?







Risk Management

HOW RCA HELPS Alignment on priorities,

Aligned tactical execution

Clear objectives and goals,

Aligned operational decision making

Effective root cause investigation with

targeted corrective actions

Proactive problem avoidance, historical

data trending to anticipate rather than

react to issues, avoiding fix caused

problems

Consistent approach across organization

with stakeholder involvement, common

process language

Data based decision making and root cause

based on historical performance, targeted

investigations


KEPNER-TREGOE FOUNDATIONAL TOOLS

Find Cause (KT Problem Analysis)

• Systematic, repeatable root cause method

• Determine the deviation in performance of a product, system, or process

Reduce Complexity and Confusion (KT Situation Appraisal)

• Alignment of focus across functions and stakeholders

• Ensure you’re prioritizing to work on the most pressing problems

Make Decisions (KT Decision Analysis)

• Data-driven approach to making operational decisions

• Alignment of strategic and tactical objectives

Prevent Problems (KT Potential Problem Analysis)

• Practical approach to prevent issues and contain them if they occur

• Understand what causes problems and shifting from reactive to preventive actions


DATA, DATA, DATA

• Realistically the flow of data is multidirectional between APM components

• Information from one component feeds another

• Use that information to constantly make your APM processes better

• The core RCA or issue resolution activities are used to constantly improve performance of your APM components






Risk Management


PUTTING RCA TO WORK

How are you using the data for RCA?

• Identifying specific areas of concern

• Interpreting performance and determining why something is happening

• Conducting trend analysis to identify shifts in performance

• Predicting events and their probable impacts rather than reacting after the fact

• Improving the implementation of corrective actions and increasing effectiveness

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RCA / ISSUE RESOLUTION IS THE FOUNDATION

Issue Resolution is the foundation for completion of all activities that support a successful tactical implementation of your APM strategy

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STRATEGIES TO REDUCE THE LEAKS

Ways to increase the value of your APM efforts

• Cross department stakeholders: Bring in representation from different departments to expand the effectiveness of issue resolution. Quality, Operations, Production, Maintenance all have inputs and information.

• Keep looking for elusive data: Look at raw data for what you need. Put in temporary collection methods. Look outside the core group. Don’t give up when you hit a data roadblock.

• Understand the problem first: Really get to a cause unknown level of problem statement. Make sure you are addressing a discrete issue that can be resolved with discrete actions.

• Build context: Use multiple data sources and input from various stakeholders and functions to build a complete picture of an issue. Many times there are things that need to be addressed outside of the initial problem statement.

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Wrap it Up What questions do you have?

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Thank you for your time!

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Christian Green

North American Operations Improvement Lead

[email protected]

Ingrid Dueck

Senior Consultant/Client Relationship Manager

[email protected]

Documents

Leaders in Problem Solving Why Root Cause Analysis is the ... · Helped a client achieve 47% improvement in operational efficiency. Helped an IT client reduce mean time to resolution