Is Your Maintenance Truly Maintained?

INTRODUCTION

In the dynamic realm of manufacturing, meeting deadlines and ensuring uninterrupted production are paramount. Imagine a scenario where a manufacturing organization receives a critical order with a stringent deadline. However, amidst this high-stakes endeavor, a crucial machine experiences a sudden breakdown. Despite the best efforts of the maintenance team, the issue persists, rendering the machine inoperable. As a result, the organization faces a trifecta of losses: i.e., it incurs substantial penalties, potentially jeopardizing the company's financial stability and reputation.

A reliable maintenance department is thus indispensable, tasked with minimizing downtime and ensuring operational continuity. This article delves into the pivotal role of internal audit in scrutinizing maintenance processes, identifying areas for improvement, and fortifying organizational resilience.

UNDERSTANDING MAINTENANCE

Maintenance is the lifeline of industrial operations, akin to healthcare for machines. Just as individuals seek medical attention for preventive care, machines require proactive maintenance to sustain optimal performance and longevity and it mobilizes its maintenance team when a critical machine malfunctions.

Maintenance engineers, like medical specialists, specialize in different disciplines, like electrical, mechanical, and computer systems. Various maintenance strategies, such as predictive, preventive, and breakdown maintenance, are employed to address diverse operational needs. For example, using predictive maintenance techniques, they diagnose the issue, procure necessary parts, and conduct repairs to minimize production downtime and ensure operational continuity.

There are three categories of maintenance. One exclusive for ‘Machine Tool Maintenance’, where the functioning of the said machines needs to be known.  The other is ‘Mechanical Maintenance’ where for any machine, pipes, hoses, pulleys, belts, chains, periodical top-up of coolants, lubricants, etc. needs to be done.  The third category is ‘Electrical Maintenance’, where uninterrupted electricity is to be ensured for running the machines by maintaining the circuits, fuses, lamps, etc.

THE ROLE OF INTERNAL AUDIT

Internal audit serves as the vigilant guardian of operational efficiency, particularly within the maintenance domain. Its mandate encompasses a comprehensive review of maintenance processes and policies to ensure adherence and efficacy. The following key areas exemplify the critical focus of internal audit in optimizing maintenance operations:

Asset Management

The internal audit involves verifying the asset inventory with location, identity, ageing and conducting VED (Vital, Essential and Desirable) analysis to prioritize maintenance efforts based on the significance and criticality of vital, essential, and desirable machines.

Vital machines are those, without which further processing will not happen and also, they are single in number and any breakdown will affect the entire chain of further production activities.

Essential machines whose non-availability will adversely affect the efficiency of the production system. It should be given second priority.

Desirable machines are those that, while not essential for the process, contribute to better efficiency if available.

Adherence to Maintenance Policy

The evaluation includes assessing and ensuring the implementation of a structured maintenance policy of the organization planned for each machine tool and also a check is maintained on the adherence to the policy as well. There are types of maintenance plans which encompass predictive, preventive, and shutdown maintenance plans, along with monitoring planned maintenance activities, these envisage minimizing downtime and enhancing operational efficiency. There will also be monitoring of each month’s plan with the actual course of action taken each month.

Critical Spares Management

The assessment involves reviewing the critical spare parts inventory to enable rapid restoration of machinery during breakdowns, while also ensuring sufficient stock levels and timely replenishment of critical spares to minimize production disruptions.

For each machine tool, the maintenance team has to identify critical spares to be kept handy for immediate replacement (eg. bearings, belts, hoses, Broaches, Hobs, Drill bits, tool holders, etc.)

Availability of Tools and Calibration

The assessment confirms the availability and calibration of essential tools required for maintenance activities and rectifying the tools is essential. Verification of adherence to calibration schedules is crucial to maintain tool accuracy and reliability.

The general machine tools like spanners, wrenches, screwdrivers, digital meters for measuring parameters, and special machine tools are available for the service engineers to rectify it on time.

Record Keeping and Analysis

Reviewing breakdown incidents, downtime, recovery time, and associated costs of spares enables performance analysis and continuous improvement. Utilizing data-driven insights optimizes maintenance schedules and resource allocation.

Depending upon the organization size, whether there is daily/recording of breakdown instances occurring, time taken to rectify it, the details of spares changed and its cost are to be recorded for monitoring and improvement

MTBF/MTTR Analysis

Analysis of Mean Time Between Failure (MTBF) and Mean Time to Repair (MTTR) reports enhances and strengthens the maintenance capabilities. Further, identifying trends and patterns proactively addresses potential equipment failures to minimize downtime.

MTBF: Based on the past recording of failures, a trend analysis can be indicated the said machine may fail.

MTTR: this is the time taken from the date of failure to restoration, the time taken will enable to plan in future to reduce the same.  

Lifecycle Management

Assessing plans for the timely replacement of ageing machinery is crucial to mitigate the risk of unexpected failures and conducting process capability analysis (Cp, Cpk) allows for the evaluation of machine performance and reliability.

For each machine tool, the product life cycle will be known and recorded. Also, a test of Cpk analysis will give the functioning quality of the machines.

Process Capability Analysis (Cp, Cpk): A process capability study uses data from a sample to PREDICT the ability of a manufacturing process to produce parts conforming to specifications. This prediction enables us to "qualify" a new manufacturing process as being fit for use in production.

Continuous Training

Evaluation of training programs is conducted to ensure maintenance engineers remain updated on emerging technologies and best practices. Furthermore, fostering a culture of continuous learning aims to enhance technical proficiency and problem-solving skills among maintenance staff.

Each service engineer has to undergo periodical training considering rapid advances happening in the world and to keep them abreast of the latest technology.

Workforce Continuity

Examination of workforce composition is necessary to ensure a balance between in-house expertise and contracted services. Additionally, mitigating risks associated with workforce turnover is achieved by fostering knowledge transfer and skill development initiatives.

It is important to review whether the engineers are in-house staff or contract to ensure continuity of service/timely availability.

Inhouse staff are like family doctors who are well equipped with the machines functioning and their finding out reasons will be quick and be beneficial whereas if it is outsourced/contracted, people may change and continuity may be lost and hence there will be a risk involved.

Software and Service Support

Ensuring 24x7 service support for CNC-based machines and software-driven systems is essential to maintain operational continuity. Furthermore, verifying compliance with Annual Maintenance Contract (AMC) renewal schedules and ensuring timely execution of maintenance tasks i.e., to ensure that the maintenance engineers visit as per schedule and if their recommendations are carried out, etc. is crucial for effective maintenance management and minimizing downtime.

Wherever machines are running based on software, the organization should have adequate backup software in case of a crash and also timely online intervention. Also, it is to be ensured that there is no pirated version which may affect the functioning besides leading to penalty for violation.

In all the above 10 areas, the Internal audit has to review the process, reports, etc., and thoroughly bring out significant non-compliances or deviations and further, understand the reasons for lapses and recommend remedial measures. From the above, the Internal audit can also make a risk assessment i.e., based on the findings where there is lacking/slackness after reviewing each and every area.

CONCLUSION

In conclusion, internal audit plays a pivotal role in ensuring the efficiency, reliability, and resilience of maintenance operations. By scrutinizing key areas such as asset management, policy adherence, spares management, and workforce continuity, internal audit identifies potential risks and opportunities for improvement. A proactive approach to maintenance auditing not only minimizes operational disruptions but also fosters a culture of continuous improvement and innovation. In this competitive landscape, organizations must prioritize investment in robust maintenance audit frameworks to achieve sustainable growth and success.

HOW WE CAN HELP?

We, at Sharp & Stellar, offer comprehensive assistance to organizations by conducting comprehensive internal audits of maintenance departments, identifying the gaps and areas for improvement for operational excellence. We understand the unique needs of each organization and provide tailored solutions to address specific issues, developing strategies accordingly to enhance efficiency and minimize risks. Furthermore, we provide ongoing support and guidance, assisting in the implementation of recommended solutions and monitoring the organization's progress over time.

Disclaimer. This article constitutes a part of the Firm's internal resource materials and is made accessible on the Firm's website with the intention of offering knowledge and awareness to its employees and clients. Any party other than those explicitly mentioned above should seek prior written advice from the Firm or the article's author before relying on the content for the purpose of making any commercial decisions.