ABSTRACT

Senior mining mangers that do not get directly involved in the

quality of maintenance performance risk the profitability of their oper-
ations. Maintenance is not a stand-alone activity. It requires a pro-
duction strategy that addresses the total life cycle of equipment from
procurement to replacement and assures the fully cooperative, mutu-
ally supporting interaction of all mine departments. Only senior man-
agers can assure this happens. This paper examines the strategies,
policies and actions required to establish and sustain effective main-
tenance and the profitability that derives from it.
INTRODUCTION
The effectiveness of maintenance relates directly to the degree
to which a mining manager has created an environment for it to be
successful. When clear, distinct policies are provided for the conduct
and support of maintenance, the result is always more effective,
lower cost maintenance. The managers policies assure effective
maintenance program execution and virtually eliminate interactive
problems like poor material control or operations failure to make
equipment available. The managers attention to program execution
ensures that the maintenance department documents and fully
explains their program. All in maintenance know exactly what they
must do and, those departments who support them are aware of their
responsibilities. This is the vital difference that managers make when
they act to create the environment for success. Unfortunately, many
managers resist involvement.
SOLID MAINTENANCE PROGRAM
A proper maintenance program requires the interaction of all
departments. Working together, they request and identify work, clas-
sify it to determine the best reaction, plan selected work to assure
best performance, schedule the work to ensure least interference
with operations and best use of resources, assign work to ensure
every worker has a full shift of essential work. Then, they must the
work to ensure it is carried out efficiently. Next, they measure com-
pleted work to verify that standards, cost, quality and performance
targets are met. Finally, they evaluate regularly to assure continuous
improvement.
The maintenance program spells out essential interactions of all
departments. For example, maintenance provides labor, but the
warehouse provides the material and operations make equipment
available to be worked on. While no one department intends to
inconvenience another, narrow focus on their own immediate prob-
lems often yields unintended conflict.
Warehousing, for instance, may try to reduce inventory resulting
in missing parts for essential repairs.
POOR PROGRAM CREATES PROBLEMS
The consequences of a poor maintenance program are far
reaching. Over the past 15 years less than 6% of maintenance
departments evaluated had a written, much less properly document-
ed, maintenance program. Most programs existed in the heads of a
few top supervisors in a form of folklore. As a consequence, each
supervisor had his own idea of what constituted preventive mainte-
nance (PM) or what the planner should be doing. Many craftsmen
only understood that they fixed what the foreman told them to.
Consequently, those mines attempting to form teams led by these
uninformed, but otherwise skilled craftsmen often failed. Similarly,
many operations personnel reported that if there is a program, we
dont know about it. As a result, potentially helpful operations per-
sonnel got little guidance on how they should help.
Mine Managers Role
The managers role is to make certain that there is a program
and that department interactions are carried out effectively. If you
havent written it out, you havent thought it out is a common, yet con-
structive criticism when documentation is missing. Documentation
must be of sufficient quality so that substitution of a person of equal
training and background will result in the same level of performance
or quality of work as that of the incumbent. Good documentation has
its own benefits. It yields a well-informed workforce capable of effec-
tive maintenance. No documentation invites ignorance, confusion
and poor performance.
Getting Started - To improve maintenance performance, the
most constructive first step for the mining manager is to determine
that there is an effective maintenance program. Then, all depart-
ments must be well informed on how it is to be carried out and sup-
ported. There are ten key criteria that will reveal the quality of the
maintenance program and, if deficient, help pinpoint areas in need of
management support.
1 Terminology specified - If everyone in the operation knows
exactly what constitutes PM and, for example, can differentiate an
overhaul from a rebuild, it is an indication that some form of mainte-
nance program exists.
2 - Program well defined - When a well-documented, published
maintenance program exists, people are fully aware of who does
what, how, when and why. Other departments then know how to help
maintenance and they do.
3 - Workload identified - Identification of the essential work that
maintenance should be doing and the corresponding size and craft
composition of the workforce facilitates correct organization and pos-
itive work control.
4 - Planning criteria exists - Planners operating with criteria that
specify work to be planned and scheduled, focus on those jobs and
SME Annual Meeting
Feb. 23-25, Denver, Colorado
Preprint 04-22
MAINTENANCE A GOLD MINE OF IMPROVEMENT OPPORTUNITY
P. D. Tomlingson
Paul D. Tomlingson Assocs., Inc.
Denver, CO
1 Copyright 2004 by SME
plan them effectively. Personnel are then more productive, jobs are
completed sooner, quality work gets done, downtime is reduced and
productive capacity is optimized.
5 - Schedule compliance checked - When schedule compliance
is 50% or less, mechanical failure, downtime and lost production fol-
low. Maintenance may have diverted scheduled manpower for emer-
gency repairs. If services were missed because operations failed to
make the equipment available, interdepartmental cooperation has
failed and the manager must act to correct it. Any approved weekly
schedule, whether for PM, or to replace major components or over-
haul units is a contract between operations and maintenance.
Operations agree to make equipment available and maintenance
guarantees to do quality work. To get the best results, establish an
85% schedule compliance goal and require a direct report.
6 - Non-maintenance work controlled - Problems result if main-
tenance performs non-maintenance work without first assuring it is
necessary, feasible and properly funded. Most maintenance depart-
ments are staffed to carry out a basic maintenance workload. This
usually includes preventive maintenance services (11% of manpow-
er), planned and scheduled maintenance like major component
replacements and overhauls (55%), unscheduled repairs (17%),
emergency repairs (8%) and routine activities, like shop cleanup and
safety meetings (9%). When non-maintenance work is attempted
without specific controls, the ability to carry out basic maintenance is
undermined.
7 - Productivity measured - Worker productivity is the percent of
time that crews are performing productive work during each shift.
When productivity is not measured, the underlying causes of poor
productivity are neither identified nor corrected. A modest increase
in productivity can pay dividends. For example, when the productiv-
ity of 30 men is raised from 30% to 40%, it is equivalent to adding 7.5
men working at 40% productivity.
8 - Costs reasonable - When maintenance cost exceeds 25% of
operating costs (minus power), it indicates that the cost of labor and
materials is inflated by unnecessary downtime. PM isnt done result-
ing in excessive emergency work done by unproductive personnel.
Jobs are not planned and productivity is poor. Production equipment
is idle longer, reducing production capacity.
9 - Work efficiency identified - Maintenance can do little about
the operator who uses his loader as a battering ram causing costly
repairs. The only direct control maintenance has over the work they
do is the efficiency with which they install materials. Well-planned
work done by productive personnel is money well spent. Needless
emergencies waste money. Maintenance labor cost to install each
dollar of materials is an excellent index of work efficiency. A range of
110% means that there is a good PM program, most work is planned,
schedule compliance is satisfactory and work is carefully assigned
and controlled. An index at 300% means that none of the above are
adequate.
10 Regular evaluations performed - The first step of any
improvement effort must be an evaluation to identify activities requir-
ing improvement and to prioritize their impact. Not to evaluate before
attempting improvements invites guesswork, frustration and failure.
Periodic reports are not evaluations. Proper evaluations must shake
the all the bushes. They must determine whether poor maintenance
is self-inflicted damage, operations-induced, management default or
staff lethargy, or any of these factors combined. The maintenance
program should include a requirement for annual evaluation and the
method by which it is carried out, results converted into an improve-
ment plan and changes implemented.
FACTS OF LIFE
Few mine maintenance organizations have taken the time to
write out, much less properly document their maintenance programs
and ensure that everyone understands them. Conversely, warehous-
ing, purchasing or accounting always spell out their programs in
detail and publish them. Often, to help disseminate programs, pro-
cedures are even published on the internet. Why does this mainte-
nance void persist? Do uncomplimentary phrases like necessary
evil directed at maintenance signal a hands off attitude at a time
when they need help? Does a manager who sees maintenance as
distant, remote folks with tools who make things run again help
maintenance contribute to profitability?
Can any mine manager allow maintenance to substitute folk-
lore for a well-defined, clearly understood program? If so, is it any
surprise that some maintenance personnel who could be more help
really dont know what is expected of them? Similarly, departments
who must support and cooperate with maintenance are confused as
to what they must do, how and when? This ignorance denies the
help maintenance needs.
Similarly, a vice president of operations who harasses man-
agers about production targets puts operations under pressure only
causing them to withhold equipment from maintenance in an attempt
to catch up.
Why isnt the vice president of operations equally curious and
demanding about PM compliance? If there were concern with the
proper maintenance role to the top of the organization, would the
maintenance-related actions of the vice president and the manager
be different?
A manager who takes an active role in making maintenance an
integral part of the production strategy is already running a profitable
operation. Todays mining operations are equipped with the most
modern production equipment. It has been designed for maximum
productive capacity and engineered for greater reliability. But, it has
also become more complex, adding to the maintenance challenge.
In addition, the cost of maintenance is still pushing 35% of operating
costs and runs even higher with unnecessary downtime, some of
which is beyond the control of maintenance. Under such circum-
stances, the mining manager must do everything possible to help
maintenance and thus his entire operation.
THE MANAGERS MAINTENANCE CAMPAIGN
A logical sequence of the managers support activities begins
with the corporate mission. Typically, the mission is a statement of
the intent of the corporation in a broad social context:
To achieve national recognition as a profitable operation pro-
ducing quality minerals through effective management, development
of human resources and the application of physical resources in a
safe, ethical and environmentally responsible manner.
However, no mission statement can be specific about the task
of any one department. Rather, it is the managers production strat-
egy that establishes how the mining departments will interact harmo-
niously. Then, his included department objectives announce the spe-
cific roles to be played in carrying out the operation as well as sup-
porting maintenance. Then, his policies provide guidelines for the
constructive interaction of departments.
Regrettably, as effectively as these elements can help an oper-
ation, few mining managers have developed and published strate-
gies, objectives and policies. Reasons for non-involvement vary.
Some are concerned about taking initiative away from maintenance
managers. They feel that a hands-off approach is best explaining
that the maintenance manager who had been at it for over 20 years
must, by now, know what he is doing.
However, most changed their minds once they observed that
many of the sins and omissions that resulted in poor maintenance
were often problems over which the maintenance department had lit-
SME Annual Meeting
Feb. 23-25, Denver, Colorado
2 Copyright 2004 by SME
tle control. Even 20-year veteran maintenance managers are not
immune to conflicts resulting from operational pressure.
The most successful mining managers were those who adopted
a supportive attitude using phrases like, would it help if I clarified
this? They found that policies helped departments focus on the big-
ger picture of cooperative departmental interactions that contributed
to profitability. Policies, in turn, helped maintenance develop solid
programs, verify fundamentals and assure that other departments
knew how to help them. In most instances, a viable and effective
maintenance program was the most immediate and useful result of
the managers involvement. These involved managers also became
more knowledgeable about maintenance and able to anticipate and
avoid potentially serious problems.
Mining managers should not be concerned that their experience
may lack direct management of maintenance. Nor should they care
whether policies sound like marching orders. Neither, should they
be stuck on the idea of empowerment, which usually means pushing
decision-making to the lowest level and saying little about what they
expect. Once issued, policies were found to give reassurance to first-
line decision-makers and encourage innovation. Empowerment with-
out policies to guide actions usually invited guesswork and excessive
trial and error.
The managers policies acknowledge the importance of mainte-
nance and emphasize his concern that it be effective. Policies rec-
ognize that every department contributes to the success of mainte-
nance. Policies create a positive impact on the mines performance
and profitability. Even simple policies can minimize conflict.
Examining the Details of the Production Strategy
Based on the broad mission statement, mining managers can
develop a production strategy for assuring the profitability of their
operation. The production strategy contains broad objectives for
department interaction.
The maintenance objective might state that the primary objec-
tive of maintenance is to keep production equipment in a safe, effec-
tive operating condition so that production targets can be met on time
and at least cost. A secondary objective is to perform approved,
properly engineered and correctly funded non-maintenance work
(like construction or equipment installation) to the extent that such
work does not reduce the capability for carrying out basic mainte-
nance work. Maintenance will also monitor the performance of con-
tractor support.
For operations, a typical objective often includes, efficient oper-
ation of equipment to meet established production, quality and cost
targets. To this should be added, responsible for effective use of
maintenance services.
If maintenance, for example, has a first rate program and the full
capability of carrying it out effectively, can they compel operations to
comply with the program? Can the mining manager state, without
contradiction, that operations is responsible for the fact of mainte-
nance ?
The operations objective should contain specifics concerning
their maintenance role. For example, operations managers must
actively negotiate maintenance schedules to minimize interference
with operations and assure best use of maintenance resources.
They should also approve maintenance schedules and assure that
their equipment is made available to meet the schedule. In addition,
equipment operators should perform routine maintenance tasks and
operations personnel should observe policies for requesting non-
maintenance work.
Once objectives for all departments have been established, poli-
cies clarify the interactions stated in objectives. They specify how
particular actions, unique to a department but critical to the operation,
are to be carried out. How does maintenance return unused parts to
the warehouse or engineering approve equipment installation proj-
ects, for example?
Policies are the ground rules of the game.
Policies preclude misunderstanding of the roles and responsibil-
ities of key departments as they interact. In turn, they are the basis
of day-to-day procedures for each department as they interact to pro-
vide or obtain services.
MINING MANAGERS POLICY BIBLE
Cataloged below are actual policies developed and used effec-
tively on a range of maintenance improvement projects. They are
divided into categories as they apply to different aspects of mainte-
nance.
Organization
Organization of the maintenance department will be based on
an approved maintenance program and will reflect what work will be
done, who will do it, how, when and why.
The workload will be measured to determine the proper size and
craft composition of the workforce.
Productivity will be measured on a regular, continuing basis to
monitor progress in improving the control of labor.
Organizational and management techniques like teams will be
used to ensure the most productive use of personnel.
Preventive Maintenance
A detection-oriented PM program will be provided to include
equipment inspection, condition monitoring and testing to help avoid
the consequences of equipment failure. In addition, the PM program
will include lubrication, servicing, cleaning, adjusting and minor com-
ponent replacements (like belts and filters) to extend equipment life.
PM will take precedence over every aspect of maintenance,
except emergencies.
Equipment operators will perform prescribed services to help
ensure reliable equipment.
Planning and Scheduling
The maintenance program will provide criteria to determine
which work will be planned and scheduled.
Planning and scheduling will be applied to comprehensive jobs
(e.g. overhauls, major component replacements, etc.,) to ensure that
work is well organized, properly scheduled and completed produc-
tively and expeditiously.
Maintenance will publish a priority-setting procedure that allows
other departments to communicate the seriousness of work and
maintenance to allocate resources. The procedure will specify the
relative importance of jobs and the time within which the jobs are to
be completed.
Weekly operations-maintenance scheduling meetings will be
conducted to develop an approved schedule including PM services,
major planned maintenance work and non-maintenance work,
resources permitting. Schedules will be arranged for least interfer-
ence with operations and best use of maintenance resources. Each
weeks compliance will be reported with corrective actions identified.
Daily coordination meetings will adjust the weekly schedule for
delays. Other key personnel (from purchasing and engineering) will
attend meetings as required to assure full coordination of scheduled
events.
Major repairs will not be initiated until the condition of equipment
and elements of the repair have been identified.
All shop work will be coordinated through field and shop plan-
ners.
Work Orders
Work orders will be used to request and control all work regard-
less of who performs it.
Verbal orders are part of the work order system, used primarily
during emergencies. Once emergency work is completed, data will
be developed to satisfy repair history and cost information.
Information
SME Annual Meeting
Feb. 23-25, Denver, Colorado
3 Copyright 2004 by SME
Managers will develop and use information to control mainte-
nance activities and make economic decisions like equipment
replacement.
Information will be used to control labor utilization, determine
the status of planned and scheduled jobs, identify and control back-
log, determine and analyze costs to unit and component level and,
utilize repair history to identify and correct chronic, repetitive prob-
lems, assess failure trends and determine the life span of critical
components.
Performance indices, like the cost of labor to install each dollar
of material, will be developed and used to evaluate short-term
accomplishments and long-term trends, such as relative productivity.
Administrative information, like vacation schedules, will be min-
imized.
The information system is the communications network for sup-
porting the maintenance program. All personnel will be trained in its
use and their proficiency verified.
The selection of any new or replacement information system
requires concurrence by all departments.
Material Control
Procedures for obtaining stock and purchased materials or serv-
ices will be adhered to.
Parts will not be removed from any unit of equipment and used
to restore another unit to operating condition without authorization
from the maintenance superintendent.
Maintenance will return all unused stock materials to the ware-
house.
All unused purchased materials will be placed in the warehouse
awaiting their return to suppliers for credit.
Vendors overhauling units will provide data in our inventory con-
trol format identifying new or modified parts fitted.
Component Rebuilding
A procedure for forecasting the replacement of major compo-
nents will be developed and information shared with material control
departments to help coordinate scheduling, component rebuilding
and restocking.
Damaged components will be identified by unit, classified and
moved to rebuild shops within 24 hours.
Quality control will be applied prior to acceptance of rebuilt com-
ponents into stock.
Revised unit costs will be established for rebuilt components.
Upon issue and installation, maintenance will track rebuilt com-
ponent performance in repair history, by serial number.
Maintenance Engineering
Maintenance engineering will assure the maintainability and reli-
ability of equipment.
Standard procedures will be used to document modifications.
None will be modified without the consent of maintenance engineer-
ing.
Vendors will document modifications made on overhauled units
or rebuilt components.
All new equipment installations will be reviewed by maintenance
engineering to ensure their maintainability.
The preventive maintenance program will be assessed annual-
ly to ensure it covers all equipment requiring services using the most
appropriate types of services applied at correct intervals.
PM performance in reducing equipment failures and extending
equipment life will be verified.
The best condition-monitoring techniques will be incorporated
into the PM program.
Non-maintenance
Non-maintenance work is authorized only when the mainte-
nance workload permits. Otherwise, contractor support will be
obtained subject to labor agreements.
A separate crew may be designated to perform non-mainte-
nance work, providing there is a consistent demand. Crew skills
must be interchangeable with those of maintenance personnel.
Weekly scheduling meetings will determine the use and allocation of
this crew.
Evaluations
The maintenance program, organization and actions of other
departments that support or cooperate with maintenance will be eval-
uated annually.
Evaluations will examine work control and performance, as well
as how effectively support is carried out and operations uses mainte-
nance services.
Results will be publicized and used to develop an improvement
plan to be implemented through the cooperative efforts of every plant
department.
Follow up evaluations will be conduct regularly to assess
improvement progress.
RECOMMENDATIONS
The most beneficial means of improving maintenance perform-
ance and reducing its cost is the active participation of the mining
manager in providing an environment in which maintenance can be
successful. This is accomplished through the development of the
production strategy which includes department objectives specifying
how maintenance will be supported and policies that guide depart-
ment interactions. The end result of these actions is invariably an
effective maintenance program, carried out by a capable mainte-
nance organization within the atmosphere of full support and cooper-
ation across the operation. These are the ingredients of a profitable
mining operation.
REFERENCES
Moubray, John M., Redefining Maintenance, Maintenance
Technology Magazine, April 1996, p. 21.
Moubray, J.M., 1994, Reliability-Centered Maintenance,
Butterworth Heinemann, Oxford.
Nowlan, F.S. and Heap, H.F., 1978, Reliability-Centered
Maintenance, Office of Assistant Secretary of Defense, Washington.
Tomlingson, Paul D., 1998, Equipment Management
Breakthrough Maintenance Management Strategy for the 21st
Century, 1st Edition, Kendall/Hunt Publishing Company, Dubuque,
Iowa.
Tomlingson, Paul D., 1996, Mine Maintenance Management,
9th Edition, Kendall/Hunt Publishing Company, Dubuque, Iowa.
SME Annual Meeting
Feb. 23-25, Denver, Colorado
4 Copyright 2004 by SME