Find, track the right metrics

Performance monitoring is not new. The concept of regular reporting has been around for as long as manufacturing operations have been in place. However, the pursuit of real-time performance management (RPM) requires managers to actively consider which metrics effectively track key processes and enable process improvements.

12/15/2009


Performance monitoring is not new. The concept of regular reporting has been around for as long as manufacturing operations have been in place. However, the pursuit of real-time performance management (RPM) requires managers to actively consider which metrics effectively track key processes and enable process improvements. They should identify which processes can and should be measured in order to ensure ongoing optimal performance.

 

They must further consider how to adjust targets impacted by changing business or operational conditions in real time. Finally, managers must implement business processes which enable problem recognition and then drive immediate and long-term corrective actions.

 

Optimizing benefits

To ensure process stability and enable optimization requires knowledge of how the process is behaving in real time. Monitoring advanced control processes in real time through carefully selected key performance indicators and metrics exposes controller performance, helping managers identify performance improvement opportunities.

 

Monitoring KPIs and metrics derived from advanced process control systems can help increase process performance by:

 

  • Continually checking for optimality

  • Rapidly identifying and resolving process problems

  • Tracking to ensure advanced process control benefits are achieved.

    • Reviewing and exposing advanced process control performance with an enterprise view to a broader community enables appropriate coordination of goals with other parts of the business.

      Implementing RPM solutions

      A successful RPM implementation requires measurement, analysis and correction. At least these three elements are required for a performance management system. Diagnostic/analytic signals %%MDASSML%% or metrics %%MDASSML%% must be defined to determine if and when a problem exists. KPIs associated with those problems provide quantitative measures of business value. Once measured and compared to the target, any necessary corrective actions must be identified and executed %%MDASSML%% replacing a faulty sensor or retuning a controller, for example.

      Organizations should start defining and establishing KPIs and metrics during the advanced process control implementation process. They should measure and document their current state prior to implementation of the controller. This will help provide validation of the benefits to be obtained by the use of advanced control.

      KPI, metrics considerations

      KPIs and metrics should monitor and manage economic performance, capturing details such as:

      • The current level of economic performance of the processing unit

      • How economic performance changes with improvements and modifications

      • The major factors impacting economic performance

      • How economic performance targets should be set and updated in real time

      • Performance targets for operations that support meeting the financial targets.

        • KPIs and metrics should monitor and manage reliability capturing details such as:

          • The operating reliability of the processing unit

          • How reliability changes with improvements and modifications

          • The major factors impacting reliability.

            • KPIs and metrics should monitor for and manage new benefits opportunities. They should identify the potential opportunities for improving the economic and reliability performance of the unit. They also should identify the major factors impacting the ability to capture new benefits.

              Since there are similarities in controllers and their operating objectives and challenges, standardization of KPIs and metrics is possible. This can expedite the implementation process.

              Defining KPI, metrics owners

              Once established, KPIs and metrics should have defined owners who are accountable and empowered to take corrective actions as required. When introducing selected KPIs and metrics to process owners:

              • Introduce only a small number of them at a time

              • Allow time for evaluation of KPIs and metrics; give them time to demonstrate that they work

              • Allow for modification of metrics as necessary

              • Develop diagnostic advisement leveraging the best operators

              • If no one is consuming it, stop producing it.

                • Performance management workflow

                  Defining the appropriate KPIs and metrics is critical to performance management. However, the supporting business processes must be defined as well. Identification of the necessary workflow that owners of the KPIs and metrics must follow to sustain and improve unit economic performance is essential. This workflow must enable process owners to recognize the results that will indicate and justify additional action assist in problem solving and then establish pathways for transforming problem recognition and problem solving into remediation.

                  Once KPIs and metrics are selected, they can be presented in a diagnostic workflow format with color coding to indicate when an action is required. Diagnostic trees and flow charts provide workflow guidance to process owners to facilitate troubleshooting and ensure that corrective actions are taken and benefits are achieved.

                  To assist with early problem recognition and guide the diagnostic process, available software solutions can display role-based dashboards that provide an overview of the controller performance with the ability to drill down into details.

                  Best practices

                  Well-designed real-time performance management solutions are increasingly used to enable effective monitoring, maintenance and optimization of installed advanced process control applications. Tools that provide at least part of the solution “out-of-the-box” are simplifying the development of KPIs and metrics, as well as the performance management supporting workflows.

                  By leveraging these tools, and observing troubleshooting best practices, engineers and operators can ensure maximum economic value from advanced process controls implementations.

                  Proactive performance management enables better decisions to be made and acted upon sooner. The objective of performance management is to benefit from the value achieved by shortening response time, which requires that the right information and the correct targets are visible to the right person immediately when deviation occurs.

                   


                  <table cellpadding="2" cellspacing="0" border="0" id="id379736-0-table" width="100%"><tbody id="id380387-0-tbody"><tr id="id380389-0-tr"><td style="BACKGROUND-COLOR: #eeeeee" id="id380391-0-td" class="table">Author Information </td></tr><tr id="id380400-3-tr"><td id="id380402-3-td" class="table">Catherine Jablonsky is director of business consulting %%MDASSML%% advanced process control at AspenTech. She has a Masters degree in chemical engineering and is a Six Sigma Master Black Belt. Her background includes extensive experience in the design and implementation of daily management and performance management systems for manufacturing. </td></tr></tbody></table>


No comments
The Top Plant program honors outstanding manufacturing facilities in North America. View the 2015 Top Plant.
The Product of the Year program recognizes products newly released in the manufacturing industries.
The Engineering Leaders Under 40 program identifies and gives recognition to young engineers who...
2016 Engineering Leaders Under 40; Future vision: Where is manufacturing headed?; Electrical distribution, redefined
Strategic outsourcing delivers efficiency; Sleeve bearing clearance; Causes of water hammer; Improve air quality; Maintenance safety; GAMS preview
World-class maintenance: The three keys to success - Deploy people, process and technology; 2016 Lubrication Guide; Why hydraulic systems get hot
Flexible offshore fire protection; Big Data's impact on operations; Bridging the skills gap; Identifying security risks
The digital oilfield: Utilizing Big Data can yield big savings; Virtualization a real solution; Tracking SIS performance
Getting to the bottom of subsea repairs: Older pipelines need more attention, and operators need a repair strategy; OTC preview; Offshore production difficult - and crucial
Applying network redundancy; Overcoming loop tuning challenges; PID control and networks
Driving motor efficiency; Preventing arc flash in mission critical facilities; Integrating alternative power and existing electrical systems
Package boilers; Natural gas infrared heating; Thermal treasure; Standby generation; Natural gas supports green efforts

Annual Salary Survey

Before the calendar turned, 2016 already had the makings of a pivotal year for manufacturing, and for the world.

There were the big events for the year, including the United States as Partner Country at Hannover Messe in April and the 2016 International Manufacturing Technology Show in Chicago in September. There's also the matter of the U.S. presidential elections in November, which promise to shape policy in manufacturing for years to come.

But the year started with global economic turmoil, as a slowdown in Chinese manufacturing triggered a worldwide stock hiccup that sent values plummeting. The continued plunge in world oil prices has resulted in a slowdown in exploration and, by extension, the manufacture of exploration equipment.

Read more: 2015 Salary Survey

Maintenance and reliability tips and best practices from the maintenance and reliability coaches at Allied Reliability Group.
The One Voice for Manufacturing blog reports on federal public policy issues impacting the manufacturing sector. One Voice is a joint effort by the National Tooling and Machining...
The Society for Maintenance and Reliability Professionals an organization devoted...
Join this ongoing discussion of machine guarding topics, including solutions assessments, regulatory compliance, gap analysis...
IMS Research, recently acquired by IHS Inc., is a leading independent supplier of market research and consultancy to the global electronics industry.
Maintenance is not optional in manufacturing. It’s a profit center, driving productivity and uptime while reducing overall repair costs.
The Lachance on CMMS blog is about current maintenance topics. Blogger Paul Lachance is president and chief technology officer for Smartware Group.
This article collection contains several articles on the vital role that compressed air plays in manufacturing plants.
This article collection contains several articles on the Industrial Internet of Things (IIoT) and how it is transforming manufacturing.
This article collection contains several articles on strategic maintenance and understanding all the parts of your plant.
click me