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Topic : Business Process Optimization
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Industry : Technology Consulting Functional Area : Business Processes
Activity:  17 comments  868 views  last activity : 07 06 2010 20:18:04 +0000
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Originally presented at Reliability 2.0

by Henry Ellmann

Reliability started with Physical Assets, and now spreads into all business endeavours some decades ago in the Maintenance environment. Lately it is being realized that expanding the Reliability concept into other –or all– business areas, major benefits can be achieved.

Half a century ago, when Quality issues were introduced, (Juran, Demming) at first “quality” was thought of as the “quality of a product”. Soon the “quality” concept grew into “total quality”, when it was realized that to achieve product or service quality, everything in the organization has to respond to the “quality concept”.

Now a similar situation arises with the “Reliability” concept.

As soon as Management starts to realize the philosophy behind the concept it becomes wise to expand Reliability into other areas. New ideas crop up fast in the XXI Century…

Nobody will deny that both in business as in non-business environments, RELIABILITY is a key concept ! As is accountability and responsibility. It is of small comfort to know “something” functions satisfactorily if we can not RELY on it to function as satisfactorily whenever we NEED it to do so…And always when needed. The lack of reliability, no doubt, is a disturbing notion ! And such shortcoming can cause safety or environmental damages and economic losses beyond doubt not desired.

In the ‘60s Stan Nowlan and Howard Heap started the RELIABILITY notion for maintenance in the airflight industry. (1978 report commissioned to United Airlines by the US Department of Defense). In the ‘80s, John Moubray expanded the concept for its universal utilisation in industry and services wherever there are physical assets meant to FUNCTION. Machines, equipment, installations, buildings, vehicles, systems, whatever is meant to comply with certain specified functions and performance standards. Thus RCM2 was structured, the book first edited in English, 1991 and since then, translated into 12 languages and used around the globe to train thousands of RCM2 users and facilitators and giving place to many adaptions and variations all under the “RCM” umbrella.

Let us draw a parallel with the history of the QUALITY concept. When in the mids of the XX Century Juran and Demming (among others) launched massive “quality” concepts and projects, at first they were addressed to product quality. Assure along the production process of a product that the end product will fully satisfy the previously defined specifications. Very soon, this quality concept turned into the TOTAL QUALITY concept. Today, obvious to all of us, that “quality” is not only product quality, but precisely to achieve this, total quality must be enforced. Quality of process, systems, people, in fact ALL variables which influence the concept of “TOTAL QUALITY”.

Back to RELIABILITY. With the same criteria stated above for quality, we can no more restrict the reliability concept to maintenance alone! If our whole OPERATION must be RELIABLE, we must make sure that all components of the operational process are, in fact, reliable. It would help only a partial purpose to insure Maintenance Reliability alone… Checking the brakes of my car (yes, good, that is part of maintenance), but not sure if I have gas in the tank… Whoever works with knowledge and experience with RCM, will include “running out of gas” as a failure mode (for functional failure “engine stops”). But where do we establish the “border”? If we analyse this question thoroughly, we will soon discover – as happened with “total quality” – that everything affecting the final output must be challenged for reliability.

The essential “seven RCM questions” are so “common sense” that once you know them and use them, they transcend the maintenance area by themselves. Is it not the absolute starting point to ask what you want something to do if you want to ensure it does what you want it to do? The FUNCTION and its performance standards. Next, when will you say the function is not being fulfilled? When it does not do what you want it to do. The Functional Failure. And now: which is the CAUSE for that Functional Failure? The Failure Mode. And then, what EFFECT does this particular failure mode produce, if it happens? Then, the important question so as to make sure whatever solution you find will be costeffective: what is the CONSEQUENCE of the failure mode? And only after those questions, the search for the avoidance or minimization of those failure consequences. ACTIONS to take BEFORE we have to suffer the consequences. And these actions must be both “technically feasible” and “worth-while doing”. And finally, what do we have to do if no proactive actions are found when we ask the previous question.

A simplified example, perhaps farfetched but nevertheless a valid illustration of the idea:

Failure

Of course we must remember that we must list all the Functions, that there will be several Functional Failures for each Function and several Failure Modes for each Functional Failure. A thorough example analysis would exceed the scope of this paper. What we do want to propose, is the feasibility of the philosophical approach to reliability beyond maintenance!

 

 Top Comment : varsha    | 05 27 2009 14:13:49 +0000
Although the terms reliability and quality are often used interchangeably, there is a difference between these two disciplines. While reliability is concerned with the performance of a product over its entire lifetime, quality control is concerned with the performance of a product at one point in time, usually during the manufacturing process. As stated in the definition, reliability assures that components, equipment and systems function without failure for desired periods during their whole design life, from conception (birth) to junking (death). Quality control is a single, albeit vital, link in the total reliability process.
 
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17 comments on "Reliability Beyond Maintenance"
  Commented by  taranath joshi, DGM Operations, EOL,    | 08 23 2009 06:47:49 +0000
Good article. A theoritical approach with a good mixture of TQM (Total Quality Management) concept, RCM (Resource Conservation Management) and of course Reliability. The reliability is always analysed on the basis of the criticality, be it a person, machinery or a knowledge. There are preventive and predictive maintenance technics available to increase reliability of critical equipments.
The beauty of the concept lies in its application. As the article has shown the technic applied to an equipment and equally to finances, new things come to the fore front when you apply the same to your family life also. 
Excellent article, thanks, Arasji.
  Commented by  Kailash Sharma, Product Development Manager, Tata Motors    | 06 03 2009 10:11:38 +0000
thanks for sharing
  Commented by  Radhakrishna Marar, Business Analyst, Oracle    | 06 02 2009 10:08:48 +0000
Nice insight Nitin, and i also like Mihir's examples there...thanks for sharing
  Commented by  Devi Kaladeen, Audit Manager, Health Sector Development Unit    | 06 01 2009 20:15:08 +0000
Thanks for the referral. Reliabilty is an aspect of quality. Anyway I like the example above.
  Commented by  Mihir Jhaveri, PMP, CSCM, Oracle Supply Chain Management Head, Bristlecone India    | 06 01 2009 04:32:05 +0000
Rating : +2 
Hi Nitin
Thanks for sharing the information and also the website. The website is tone full of information on Reliability. For me Reliability is validity for the given period of time. This can be used in any industries. The definition of the reliability changes for each sector/industries.
For.e.g.
In engineering, reliability is the ability of a system or component to perform its required functions under stated conditions for a specified period of time. It is often reported in terms of a probability. Evaluations of reliability involve the use of many statistical tools. 

In experimental sciences, reliability is the extent to which the measurements of a test remain consistent over repeated tests of the same subject under identical conditions. An experiment is reliable if it yields consistent results of the same measure.

In statistics, reliability is the consistency of a set of measurements or measuring instrument, often used to describe a test.

Any good organization tried to maintain the KPI promised to the customer's that is nothing but reliability. Based on my exp. the quality is just one subset of the whole reliability life cycle.

Currently in one my portfolio projects, we are trying to define the Reliability Engineering Process (framework, kpi's) for there Design, Operational Assessment, software solutions,etc...So if anyone has done a process maps, framework for Reliability Engineering, will love to share the knowledge and learn also from others exp..... 
  Commented by  jairaj shyam prasad, Production Manager, BOSCH Ltd    | 05 30 2009 11:30:15 +0000
Rating : +1 
thanks Nithin for sharing a very nice information.reliability comes into picture where customer satisfaction level decreases even though it has met all standards.i feel reliability is inducive rather than creative.
  Commented by  Makrand Bhave, Sales Promotion Manager, XYZ    | 05 29 2009 18:11:12 +0000
Thanks for the referral Shailena. :)
  Commented by  SHIVENDRA KUMAR JHA, Project Manager    | 05 29 2009 13:03:01 +0000
Great sharing ..
Rating : +2 
Reliability is Product's ability to prove it's worth via-vis customer's expectation.It is a collective term for quality, productivity and after sales service.
RCM is a step ahead of predictive maintenance, whereby, a pro-active actions will be initiated based on monitoring of process or product reliability parameters.
It is mentioned that, reliability is converned with product performance over a life time, whereas Quality control is concerned with product performance at one point of time. I feel there is no difference. The Quality parameters are set such that,a product conforming to them during manufacturing is guaranteed to perform satisfactorily over it's life time. I feel both are related terms. Quality Control is also encompasses the complete process of corrective actions, if product quality tests deviate from specifications.
This is a a nice elaboration of RCM Concept.
  Commented by  Shailena Varma, Logistics Manager, Target    | 05 29 2009 12:37:26 +0000
Rating : +2 
I think the concept of reliability and quality can be extended to Retail sector also..
I agree to Varsha that reliability and Quality are often interchangeable because which is of good quality will be Reliable and vice versa. People when visit retail stores they expect Good Quality products.. Today retaining customers is very important for any business and reliability plays a very important role in it..

Nice insight..
  Commented by  DIPES CHAKRABORTI, Head/VP/GM-Corporate Planning/Strategy, WIMCO LTD - ITC    | 05 29 2009 12:33:21 +0000
Rating : +2 
Good sharing, thanks Isha.
REliability and Quality - again in Totality all depends on the Quality of the human and related values. Thease becomes subjects of study, learning apart from normal human value, as our education today is week. Human values as on date does not ensure the Reliability or Quality. ( Like there is difference between Ghee and Pure Ghee ). We should think deeply for our future generations education, otherwise things will be worse - beyond our todays emagination. Education is now a business,and the effect of that is " nothing is reloiable or nothing is of the expected quality in this society. Still some good values are prevailing, and we are lucky that we are getting the opportunity to read such good article.
  Commented by  Isha Verma, Sales/BD Manager, Larsen & Toubro    | 05 29 2009 06:14:49 +0000
Rating : +4 
Amazing insight !!! 

I like the last part very much. And I believe quality is too massive to be understood completely by anyone. Quality concerns organizations, management, services, people, procedures, products, life etc but what we should not forget is: Quality is present. Reliability is the future. The product may be excellent but if it not according to the expectations of the customer, still we have a problem........ 
  Commented by  BEENA AGARWAL, Head/VP/GM-Corporate Planning/Strategy, ANADI HI TECH AGRO PVT LTD    | 05 29 2009 05:03:38 +0000
Rating : +2 
Its nice knowledgiable topic realll.Already Varsha,Makarand and Dayanand has given their views .....so nothing more to say as it woill be just repeatetion
  Commented by  Vineet Prakash, Sales/BD Manager, Tata Power    | 05 28 2009 11:46:19 +0000
Rating : +2 
simply great sharing & valuable comments too.....
  Commented by  Dayanand Deshpande, Senior Consultant, Ernst & Young    | 05 28 2009 04:18:39 +0000
Rating : +2 
Great sharing Nitin Ji....
Unfortunately a lot of companies focus on the quality aspects and during its development barely attention is given to the reliability. Reliability is an essential part of the overall quality but different in approach. Quality and Reliability, are widely employed and misunderstood by many of us. Quality has to be built into the design, one cannot create it during manufacturing. It is very well known that quality is a top-down issue. If the top-down chain does not support quality in actively then no quality will be delivered other than by coincidence. The same is valid for reliability. But one needs to know what it is. So simply to put into Reliability is quality over time......
  Commented by  Makrand Bhave, Sales Promotion Manager, XYZ    | 05 28 2009 03:55:09 +0000
Rating : +2 
Thank you Mr Aras.

One word that really strikes me in the entire article is "COMMON SENSE". I can safely derive that if we posses that essential ingredient then a lot of issues can get sorted out by itself. But unfortunately that is one sense which is quite uncommon! :)

Coming back to the article; I think this is a classic case of being 'hand - in - glove'! 
What do your rely on? QUALITY
How is quality is endorsed? Usage and RELIABILITY!

This is purely from a perspective of being non technical and of course common sense! As Varsha has rightly pointed out above the single most vital link in the reliability process is QC. I rhink that unless Quality checks are not done usage will lead to questions on reliability!

Beautiful knowledgeable article.
  Commented by  varsha, technical manager(QMS)    | 05 27 2009 14:13:49 +0000
Rating : +5 
Although the terms reliability and quality are often used interchangeably, there is a difference between these two disciplines. While reliability is concerned with the performance of a product over its entire lifetime, quality control is concerned with the performance of a product at one point in time, usually during the manufacturing process. As stated in the definition, reliability assures that components, equipment and systems function without failure for desired periods during their whole design life, from conception (birth) to junking (death). Quality control is a single, albeit vital, link in the total reliability process. 
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