Abstract

��54'121 In mechanized mining, poor equipment efficiency (availability, utilization, productivity, and quality) can endanger the success of the operation. This case study will show how an initiative to improve equipment performance developed into a comprehensive turnaround plan for the mine that placed it in the forefront of performance achievement. As part of a company-wide review process, poor overall equipment effectiveness (OEE) was identified as a major reason for the mine not achieving its targets. A project to improve the OEE identified eight improvement areas (elements) that contributed significantly to the poor performances. Measurement metrics were determined for these elements, followed by determination of baseline and target (improved) key performance indicators (KPIs). Cost savings associated with the improved efficiencies were calculated and tracked throughout the project. The mine team determined the specific actions required to achieve the target KPI in each element. These were INDIVIDUALLY developed and managed like mini-projectsWITHALLOCATEDRESPONSIBILITIESFORDELIVERY The paper will indicate how this OEE improvement initiative triggered an improvement in almost all sections of the mine. Soon after launch, the initiative gathered momentum as the KPIs starting to improve. A visible tracking system exists at the mine and each employee can see the improvements and feel the success. The original eight elements were extended by five more, and the mini-projects grew as participants saw the success of the initiative. This paper concludes that through management and worker involvement, visible measurement and controls, and carefully chosen improvement elements, the mine was turned around. It is now achieving and exceeding its targets, and employee relations and motivation as well as safety have improved considerably. All of these achievements are reflected in the bottom line.

Highlights

  • In mechanized mining, poor equipment efficiency can endanger the success of the operation

  • This case study will show how an initiative to improve equipment performance developed into a comprehensive turnaround plan for the mine that placed it in the forefront of performance achievement

  • Measurement metrics were determined for these elements, followed by determination of baseline and target key performance indicators (KPIs)

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Summary

List of initial eight elements included in the improvement project

Each element had to be measurable through existing systems on the mine, and preferably a history of data should exist in order to determine the baseline KPI. When a machine achieves more operating hours as a result of improvements, how much cost is saved? It was determined that the cost saving is the fixed cost portion of the machine’s hourly cost This can be explained by the fact that if a machine is on breakdown or is not operating, it continues to incur fixed cost. Most of the KPIs used to measure quality improvement cannot be converted into monetary value, e.g. MTBF, which is a measure of the quality of maintenance, cannot be converted directly into a cost saving. For the quality element of Maintenance Reliability in this project, the reduction in hours lost due to equipment breakdowns is used as the KPI for cost-saving calculations

Productivity Truck payload management
KPI target
Findings
Maintenance reliability
Full Text
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