Reliable assets and facilities translates into happy patrons for horse racing

This weekend the Kentucky Derby was about more than the hats, mint julips and horses, it was a prime example of premier facilities for a sporting event.  The facilities for racetracks and stadiums are key to delivering that “ultimate fan experience” and having reliable assets and facilities translates into happy patrons for horse racing that return.

There are many examples of equipment not functioning during a sporting event and causing a media frenzy.  All of this bad publicity can result in decreased revenues.  That is why stadiums focus on ensuring that they are using their enterprise asset management solutions to implement preventive maintenance processes that help them to achieve high levels of reliability of their assets, especially during events.

The Hong Kong Jockey Club is a great example.  They are a non-profit organization with over 9 million square feet of facilities in various asset groups. One group is their race course facilities at Sha Tin and Happy Valley which attract people from all over the world. Horse racing is the largest spectator sport in Hong Kong with regular events taking place that benefit hundreds of charitable groups throughout the community for a yearly average of HK$1.2B, over the last decade.  Having reliable facilities for them translates directly into revenues for these charities based on happy patrons.

You may remember the overview of the facilities that Graham Tier gave us before his presentation at Pulse 2013:

 
Here was his Maximo Mary’s Microphone interview that I did with him about the criticality of operational data centers, infrastructures and facilities.  He also elaborated on the monthly metrics that they leverage from IBM Maximo Asset Management to ensure transparency and accurate inventory and labor management.  Take a look at the interview:

Airport looking beyond maintenance in their asset management solution

Now more than ever airports are focusing on more than just facilities management and the maintenance of their operating infrastructure.  Safety and compliance to government regulations needs to be a key component of the overall enterprise asset management solution at an airport.  As we learn in this Maximo Mary’s Microphone interview with Mike Maxwell, Director of Business Solutions & Information Technology at Halifax International Airport Authority, they needed a tool that would help them with compliance to the Transport Canada airfield safety regulations.

As the regional hub for Atlantic Canada, Halifax Stanfield International Airport welcomes over 3.6M passengers a year. The airport generates $1.26B to the local economy and is globally recognized for its commitment to customer service.

Transport Canada’s Safety Management System (SMS) requirements were introduced in 2008 to help companies identify safety risks before they become bigger problems.

They have been successfully using IBM Maximo Asset Management for enterprise asset management and facilities management.  When the new Maximo Health, Safety and Environment Manager add-on for Maximo was announced, Mike thought that it might be the perfect solution to address the new Transport Canada regulations.  Halifax Airport is now using HSE to address compliance with the safety mandates, do risk assessments and root cause analysis to help make the airport safer.

Leveraging Maximo for compliance, as well as profitability is an added bonus that more airports should consider.  And tying this to a smarter physical infrastructure, Mike tells us “Smarter is the ability to leverage analytics to make better business decisions, faster”.

Watch the video: 

To learn more about the success at the Halifax International Airport Authority read this case study.

Enterprise asset management in chocolate manufacturing companies

Recently there has been a lot of talk about chocolate, it’s evolution moving forward, the manufacturing processes, the percentage of cocoa used, extra flavorings used, etc.  This has driven me to consider the importance of enterprise asset management in chocolate manufacturing companies.  I think that if the equipment in a chocolate manufacturing facility/chocolate factory went down, the impact could be catastrophic for a chocoholic like me!

I toured the Ethel M Chocolate Factory in Henderson, Nevada and felt like I was in heaven!    Las Vegas Ethel M

During the tour I saw all of the critical equipment…….and I mean critical!  Take a look at the equipment & consider the complexities for a clean environment and FDA compliance regulations,

Las Vegas vats Las Vegas Cooling tunnel Las Vegas with workersLas Vegas melting tanks

You would definitely need to have preventive maintenance processes in place and IBM Maximo Asset Management is an enterprise asset management solution that many manufacturing facilities choose.

In my Maximo Mary’s Microphone interview with Paula Hollywood from ARC Advisory Group we discuss the impact of enterprise asset management and smarter physical infrastructures to the manufacturing industry.  Listen to our interview at IBM Pulse 2013 to hear how conditioned based monitoring and sensors are key to instrumentation and asset lifecycle management.  I know that if I owned a chocolate manufacturing facility I would have sensors everywhere for smarter production……and of course to ensure that we were never in short supply!

Focusing on instrumentation, integration and intelligence can help you transform your infrastructure into a Smarter Physical Infrastructure, whether you are in manufacturing or any other industry.

CSX, City of Cambridge and Dow Chemical are operating smarter

CSX, City of Cambridge and Dow Chemical are operating smarter as a result of smarter physical infrastructure technologies from IBM. There are similarities in their approaches and their results that companies across all industries can benefit from.

For starters, when asked to define what “Smarter” is to them we consistently heard:

  • Smarter is enabling process and data integration across asset life cycles
  • Smarter is leveraging operational technology to deliver better business outcomes
  • Smarter is using analytics to generate predictive insights

For Steve Watkins and Tim McIver from CSX their focus in 2013 is to move from 99.85% reliability to 99.9%.  In addition, as Positive Train Control (PTC) regulations and standards are defined, CSX will look to IBM SmartCloud Control Desk to help them achieve compliance.

For Mike Hausser from the City of Cambridge we heard about how IBM Maximo Asset Management helps them manage a $1.6Billion infrastructure, from roads to pipes and everything in between.  They saw a 30% growth in their municipality over the last decade while keeping the resource pool flat, thanks to tools like Maximo.  Their approach is to leverage the citizens as “human sensors” that deliver the instrumentation required to initialize work orders and improve the infrastructure for the citizens.

We also heard from Doug Craig, the Mayor of Cambridge regarding the value of the IBM partnership for the success of his municipality.

Frank Kayden from Dow Chemical points out that while real estate is not the part of their business that you usually think of, they have 20M square feet of real estate.  Just getting consistent space data from IBM TRIRIGA solutions enabled them to improve space utilization by 20% and reduced their annual operating costs by $4Billion.

Take a look at the video to learn more:

Continue to follow this blog to see more in depth stories for each of these clients.

and the winners are……all Smarter Physical Infrastructure clients

Clients and partners participated in the IBM Pulse Do-It-Yourself video commercial campaign to promote their sessions…….and the winners are……..all Smarter Physical Infrastructure clients who benefit from the cost savings and efficiencies their implementations deliver.

But specifically the 3 videos mentioned in my last blog on this topic which is found here were the winners:  Hong Kong Jockey Club; Crown Melbourne Casino and ecFIM with the Maricopa County Government story.  Be sure that you attend their sessions.

Real-estate and Facilities Management are key to the profit line

Real-estate and Facilities Management are key to the profit line.  With real-estate continuing to drive the 2nd largest piece of the balance sheet (2nd only to labor costs) it is no wonder that there is a heightened focus in the market to find tools which help organizations become more instrumented, interconnected and intelligent in their decision making.

Computerized Facility Integration, LLC (CFI) will be hosting a panel at IBM Pulse 2013 that will include real-estate leaders from Dow Chemical Co, and Teradyne Corporation, and will discuss the important aspects of real-estate and facilities management for creating a smarter physical infrastructure.

This is the theme of this Maximo Mary’s Microphone interview with Bob Verdun, Owner and CEO of CFI.  Take a listen.

Be sure to attend session 1297:  Real Estate Executive Roundtable on Building a Smarter Infrastructure on Tuesday, 3/5 at 3:30PM as well as session 1836: How Dow Chemical Uses TRIRIGA to Weigh Long-Term Strategy Against Changing Business Objectives also on Tuesday, 3/5 at 11:15AM..

 

 

Shipping container business SPRC is transforming into a smarter infrastructure with Maximo

In today’s interview with Eduardo Bustamante, we learn how Sociedad Portuaria Regional de Cartagena (Port of Cartagena) is transforming into a smarter infrastructure with Maximo Asset Management.  Eduardo is the Director of Systems and Telecommunications at SPRC and responsible for the technology used by SPRC to transform efficiencies within their operations.

Eduardo explains how exports from the Port of Cartagena have tripled in nine years, and are up 10% year-to-year.  With Cartagena being the largest domestic market in the region, it is the best choice to be a connection hub for maritime lines and is projected to reach 5M TEUs (20 foot equivalent units) in 2017.  As with many Maximo clients, the Port of Cartagena runs around the clock, year round, so reliability and availability of assets are key to operations.

SPRC uses preventive maintenance with Maximo to manage the 985 assets that include the heavy port equipment (cranes, trucks, substations, etc) as well as the IT hardware (servers, cameras, switches, etc) and IT software (applications, data warehouse, etc).  With Maximo as the foundation, they have incorporated Tivoli Monitoring and Integrated Service Management software in order to achieve interconnected operations for 1 dash board to measure their key performance indicators.  With software that is instrumented and interconnected they are able to make more intelligent decisions faster and transform into a smarter infrastructure.

Take a look at the interview:

In addition to the interview, Eduardo was able to take us through a deeper dive into the SPRC operations and show us some of the screen shots as well as to provide us with a summary of the benefits SPRC has achieved:

  • availability has gone from 85% to 96%
  • inventory value has been reduced by 15% from $1.5M to $1M
  • spare parts availability has gone from 55% in 2010 to 92% in 2012 and
  • inventory rotation is up to 1.6 from 0.8 in 2010

Take a look at the deeper dive presentation:

IBM Maximo and TRIRIGA clients take control of their webcams

IBM Maximo and TRIRIGA clients take control of their webcams to promote their sessions at IBM Pulse 2013 and help you navigate the 100+ Smarter Physical Infrastructure sessions as you build your agenda.

As you can see from the Smarter Physical Infrastructure stream agenda, there are over 100 sessions featuring IBM Maximo Asset Management, IBM TRIRIGA or IBM Smarter Cities solutions, so building your agenda for IBM Pulse 2013 might be daunting.  But leave it to our client and partner speakers to provide you with an avenue beyond the schedule builder tool.  They are taking to their webcams to create short “Do-it-yourself” video commercials.

We will post the commercials daily on this playlist link so plan to monitor it.

Vote for the ones you think are the best (by commenting on this blog) and watch for them throughout the conference.

 

 

More holistic view of assets enables pipeline integrity, regulation compliance and cost efficiencies

In this Maximo Mary’s Microphone interview at the GOMaximo Conference, Southern California Gas Company explains how a more holistic view of assets enables pipeline integrity, regulation compliance and cost efficiencies, with Maximo Asset Management.  Lev Berkovich and Dmitry Aniskovich start by giving an overview of the company that is one of the largest gas distribution utilities in the United States.  So Cal has 2 business units:  the gas transmission unit which has 3500 miles of pipeline across 40% of California and the underground storage unit which has 5 underground storage facilities with 100 Billion cubic feet of capacity.

They have been using Maximo for compliance maintenance and enterprise asset management of 50K assets that include compressor stations, transmitters, regulators and valves to name a few.  Recently they upgraded to Maximo v7.1 to take advantage of the new functionality and to overcome cultural changes.  Now Maximo enables them to meet federal and state regulations for pipeline integrity, operate safely in a holistic manner and cost efficiently,

Dmitry points out that gas utilities have strict regulations.  Maximo is a solution certified by Public Utilities that enables them to meet their scheduling requirements for maintenance to achieve these mandates.  In addtion, Maximo provides the ability to integrate with their other key solutions to optimize operations.

Finally, Lev explains that Maximo gives them the smarter advantage by enabling faster, smarter decisions with less cost, all achieved with less customization.  An instrumented, interconnected solution that enables intelligent decisions.

To learn more, watch the video.

Not currently a member of the Gas & Oil Maximo User Group (GOMaximo)?  Join today.

The difference between Change Management and Management of Change

Many Enterprise Asset Management professionals are struggling with the differences between Change Management and the Management of Change.  In today’s interview Ron Leonard, Principal Prosci Certified Change Management Professional from Life Cycle Engineering explains the importance for attendees at the GOMaximo User Group meeting in Houston.

The Management of Change (MOC) is very important because it focuses on the integrity of the asset and asset configuration changes.

In contrast, Change Management focuses on the people side and bringing people through the transition of change within any implementation initiative.  An example of this would be a client that has the IBM Maximo Asset Management for Oil and Gas solution and wants to expand with an implementation of Maximo Asset Management Scheduler or the Maximo Mobile suite or Maximo Everyplace.  All of these initiatives would require some Change Management to focus on the changes required for the employees to adopt the new solutions.

As Ron explains, benchmarking data indicates that when Change Management is integrated with Project Management, implementation projects have 6 times greater success.  When you include people in the process they will be more proficient in the new processes.

Watch the entire interview:

 

Interested in joining the GOMaximo User Group?  Check out this link for more information.

Real-estate and facilities management planning…..no science fiction when you use CFI

IBM Maximo Asset Management and TRIRIGA clients are always looking to improve the real-estate and facilities management process to reduce costs and deliver operational efficiencies.  In today’s edition we are joined by Richard Whobrey, Vice President of Strategic Consulting at Computerized Facility Integration (CFI) an AAA IBM Maximo and TRIRIGA Premier Business Partner and service provider.

CFI has been in operation since 1990 with a singular focus on improving real-estate and facilities processes.  They have assisted many large multi-national clients in industries including defense, higher education, manufacturing, financial services and information services, to name a few.  In our interview, Richard highlights CFI’s engagement with Dow Chemical (a Maximo and TRIRIGA client) and how the TRIRIGA solution is enabling the following integrated workplace management systems benefits:

  • globally scalable TRIRIGA-based IWMS
  • operational efficiencies & portfolio optimization
  • standardized processes & data structure across the organization
  • real-time KPI & executive reporting
  • increased customer satisfaction
  • consistent, controlled drawing & data management processes based on industry best practices & international data standards
  • planning, implementation & support developed & managed by a single business partner

Request a download of the Dow Chemical case study HERE or visit www.gocfi.com to learn more.

The topic for our interview was the new “LeveragePoint ROI™ / $1M Savings Guarantee” return on investment (ROI) analysis engagement that CFI offers.  The $1M savings opportunities identified relate to recommended implementations of automation technologies, process improvements and improved business strategies.  As Richard points out, this is not a “science fiction” paper exercise, it is a 6 step process that incorporates specific accountabilities and actions.  The steps include:

  • benchmarking
  • identifying benefits
  • assessing net present value on a 3-5 year investment
  • cost analysis
  • calculation of ROI
  • generation of a business case to justify your investment

Finally, Richard summarizes how organizations can use Maximo and TRIRIGA to leverage instrumentation by tying sensors to Maximo, which are interconnected and intelligent through master level monitoring with TRIRIGA.  All of this strengthens operational efficiencies for a smarter infrastructure.

Here’s my interview:

Enabling a Smarter Infrastructure: IBM Pulse Call for Speakers

Maintaining physical and digital assets to enable a smarter infrastructure will be the key theme for the Smarter Infrastructure track at IBM Pulse 2013.  Attendees will hear from clients, partners and analysts on the importance of maximizing operational effectiveness and enabling new value creation across the entire product lifecycle.

There will be close to 100 Smarter Infrastructure tracks for 2013 focused on:

  • Smarter infrastructure innovation and capabilities
  • Enterprise asset management (EAM)
  • Integrated workplace management systems (IWMS)
  • Smarter buildings
  • Smarter cities
  • Operate & maintain asset infrastructure

Do you have an IBM Maximo Asset Management, TRIRIGA, Smarter Buildings or Smarter Cities success story that you would like to share?  If so you will want to submit your paper during the Call for Speakers.

Hear from 4 clients (Velenje Coal Mine, Portland Public Schools, North Carolina State University & the City of Dubuque) who participated in IBM Pulse 2012 (the links are on the right side of the postcard below).

To hear my personal invitation & learn more, view the Video Postcard below & submit your paper today!

Pulse 2013 Call for Speakers

Maintaining manufacturing assets with Maximo at Davisco Foods International

In this edition of Maximo Mary’s Microphone we dive into how Davisco Foods International, a dairy manufacturing company, maintains manufacturing assets with Maximo Asset Management, in my interview with Jason Verly.  As Jason explains, Davisco has 5 facilities in the US and processes 15M pounds of milk a day.

The unique trait for a dairy manufacturing company is that they operate 24 x 7 x 365 and as Jason tells us “you can’t shut the milk off and you can’t turn the cow off”. This says it all! Maintenance at a dairy manufacturing company is a challenge because the most important asset, the cows, operate non-stop.

With diverse sites, standardization is very important for Davisco and agreement on standardization frequently starts from the top down. Maximo Asset Management was brought in as the enterprise asset management solution to help drive productivity improvements through standardization. Jason tells us that Davisco has seen between 12-15% in savings through use of Maximo and the predictive maintenance technologies.  Even more impressive when you learn that all of this was accomplished with Jason’s Team of One!

Automated email alerts based on condition based monitoring and the processes created by Davisco’s automation team enable smarter manufacturing at Davisco. To learn more watch the video:

Video: Interview with Jason Verly from Davisco Foods International about maintaining Davisco’s physical assets with Maximo Asset Management.

Maximo helps prevent ugly, potentially catastrophic bridges

Recently I interviewed Ralph Rio, Research Director at ARC Advisory Group about his recent paper, “Infrastructure: The Hidden Optimization Opportunity”. In the interview Ralph tells us that many infrastructure assets (roads, pipelines, bridges, power lines, etc) are taken for granted and that the maintenance strategy for these assets is generally “run-to-failure”. As we see in the video, many of these assets do literally run to failure. I’d say that the fire engine in the enormous sink hole would be viewed as a “catastrophe”! But perhaps a bridge collapse would be more catastrophic, not to mention the “inconvenience” to the citizens stuck in traffic because of it.

In difficult economic times, how do governments approach the maintenance of their infrastructures? Contrary to what you might think, Ralph tells us that in times of austerity, many governments are focused on implementing strategies that enable more efficient use of their resources……things like looking for multiple preventive maintenance activities that can be preformed in the same area of town at the same time. This not only maximizes the operational efficiencies of the government resources, it can also minimize the “inconvenience” to citizens…….whether we are talking about road work, bridge work, waste water pipelines, etc.

Instrumenting infrastructure assets with sensors and intelligent technologies can enhance preventive maintenance strategies to enable smarter cities. We learn in Ralph’s ugly bridge example that by installing strain gages, we can monitor and fix failing bridges before they become catastrophic. This is an important and timely area of focus based on the Department of Transportation’s estimate that there are 600,000 bridges in the US that are 42 years old (on average), with 1/3 over 50 years (the typical design limit). Unfortunately, as we’ve seen, ugly bridges can lead to catastrophes.

The recommendation Ralph leaves us with, whether you are in a government agency or a totally different industry, is to consider implementing a pilot program linking infrastructure assets with intelligent technologies. For a minimal pilot investment you can install sensors and experiment with monitoring to see how you might benefit from an intelligent infrastructure. Then based on your findings and budget, roll-out the solution more broadly.

Watch the entire video & learn about future ARC Advisory Group studies:

 

Register for the ARC Advisory Group “Infrastructure:  The Hidden Optimization Opportunity” analyst brief here.