y CXZowns alarge manufacturing plant that has been in operation since 1975. The
ID: 367109 • Letter: Y
Question
y CXZowns alarge manufacturing plant that has been in operation since 1975. The nerates about 90% of its electricity requirements, with the remainder purcha sed the national power grid. Besides producing Chemical Y04 as its main product, the olant also makes highly sought after by-product, Oxom21. The company employs a breakdown or run to failure maintenance strategy for this plant. The currently prevailing economic situation has forced Company CXZ to adjust the plant's process conditions in order to achieve significant energy savings. However, Oxom21 is known to exhibit corrosive property at the new operating temperature range Company CXZ has found both its plant and safety performances lagging behind its peers. n benchmarked against the industry data for the last three years The following data have been collected for 2015 Period Planned Shutdown Unplanned Shutdown Unplanned Shutdown For Maintenance Due To Power Failure Due To Equipment and Projects (Da Hours Qtr 1 (Jan-Mar) o Qtr 2 (Apr-Jun) 0 Qtr 3 (Jul-Sep)30 Otr 4 (Oct-Dec 0 Breakdown (Hours 48 72 18 12 At average market prices in 2015 for its products, a loss in plant production set the company back by USD350,000 per day (a) What are the plant availability and reliability (in percentage) for 2015? [8 marks] (b) How much would the company have saved in 2015 by a 1% improvement in its plant reliability? [4 marks] (c) Briefly describe one maintenance strategy you would recommend to the plant management, as an alternative to the breakdown maintenance it has been (6 marks] adopting. Give your reason. (d) Give two benefits Company CXZ would gain from its plants adoption and 4 marks] implementation of Asset Integrity Management (AIM) 3 marks] (e) Briefly describe a key factor for successful implementation of AIMPExplanation / Answer
Reliability is the measure of consistency, the percentage of time the results are consistent.
Total hours of operation in 2015 = 365*24 = 8760
Total unplanned shutdown for equipment breakdown= 150 hours
Total unplanned shutdown for power failure = 7 hours
Total unplanned shutdown = 157 hours
Reliability = (8760-157)/8760 = 98.2%
Availability = total percentage of time the factory was available
Total available hours = 8760-157-30*24 =7883 hours (30 days the plant was shutdown, hence 30*24 hours availability reduced)
Availability percentage = 89.9%
b) 1% improvement in plant reliability implies total hours = 8603*1.01 = 8689 hours
For 8689 hours the plant was available
Saving = 86 hours = 86/24 = 3.6 days = 3 days
Total saving = 350,000*3 = 1,050,000
c) One maintenance strategy would be to periodic/fortnightly checkup of each and every equipment in the system to minimize further breakdown.
d)Two benefits:
Better reliability which implies more productivity
Minimize losses in the system
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