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Programmatic vs. Project Level of Risk

Programmatic vs. Project Level of Risk

Guest Post by John Ayers (first posted on CERM ® RISK INSIGHTS – reposted here with permission)

Enterprise Risk Management (ERM) is a relatively new concept. It is a top down approach to business system management and execution. It is designed to identify potential events and risks that can impact the organization. There are 3 levels to ERM. These are: Enterprise Level; Program/Project Level; and Product level. This paper explains the differences between the program and project level. [Read more…]

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Membrane and Leaf Filtration Overview

Membrane and Leaf Filtration Overview

One method to clean particles from a liquid or gas is to pass it through a filter. The filter is a screen that traps and holds the contaminants on its surface while allowing the fluid to twist its way past the build-up and screen. The screen can be used until the back- pressure from the collected contaminants choke it so severely that the fluid flow falls drastically. At that point the screen must be cleaned. This article explains how membrane and leaf filtration processes work and the critical factors that produce successful filtration results. [Read more…]

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The P-F Curve Revisited

Understanding The Importance of Proper Equipment Installation

There has been much discussion (and often debate) around the P-F curve.  The P-F curve illustrates the relationship between the warning signs that are detectable by various technology or methods and the progression of the failure.   What is often not discussed and overlooked, is what happens before the equipment starts to deteriorate.

If the ultimate goal of an organization is to be proactive and ensure equipment uptime, wouldn’t the organization want to prevent the equipment from failing in the first place and not catch it after it has already started to fail? [Read more…]

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KISS: A Principle for Proper Project Planning

KISS: A Principle for Proper Project Planning

Guest Post by Malcolm Peart (first posted on CERM ® RISK INSIGHTS – reposted here with permission)

KISS, “Keep It Simple, Stupid” is a US Navy principle from the 1960’s advocating that systems function best if they are kept simple rather than made complicated and that unnecessary complexity should be avoided.

In our politically correct world ‘stupid’ is often taken as an insult and ‘keep it short and simple’ or ‘small and simple’ is often substituted.  ‘Stupid’ is not an insult, it’s a warning!  It takes a bright person to keep things simple, particularly when it’s easier to have a complex mess under the guise of sophistication.  Projects inevitably become complicated as they develop which increases the risk of potential failings.

Keeping things simple can improve the chances of success and simplicity is best achieved during the project planning before execution takes place; or after wild enthusiasm has waned. [Read more…]

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Mechanical Level Sensor Types and Use

Mechanical Level Sensor Types and Use

In some process situations, mechanical level sensors are the best choice for the environment or are stipulated by law (as in boilers). To operate these devices requires the physical contact of the process being measured. They provide solid indisputable proof that a process condition has been achieved. Provided the mechanical mechanism is connected and working properly, these devices provide the most believable proof that a level in a vessel, tank or silo is actually what the instrument is saying it is. [Read more…]

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Establishing FMEA Ground Rules and Assumptions

Establishing FMEA Ground Rules and Assumptions

FMEA teams should agree to the ground rules that guide the analysis and the underlying assumptions that impact the entire FMEA. Failure to do so will add complexity and confusion to the resulting FMEA, and waste people’s time. Don’t miss this important step in FMEA preparation.

“Your assumptions are your windows on the world. Scrub them off every once in a while, or the light won’t come in.” Isaac Asimov

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10 Proactive Activities & Measures to Improve Your HSE Program

10 Proactive Activities & Measures to Improve Your HSE Program

In past articles I have often referenced Dr. Aubrey Daniels and the use of Behavioral Psychology and Analysis in the workplace. In the late 1980’s I was fortunate enough to attend a 2-week course in Performance Management put on by Dr. Daniels and two of his associates where we learned the importance of measuring behaviors as opposed to results. To say that this course was enlightening would be an understatement as it was in this class I first learned why we need to measure leading indicators as opposed to results. [Read more…]

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Design Assumption Risks

Design Assumption Risks

Guest Post by John Ayers (first posted on CERM ® RISK INSIGHTS – reposted here with permission)

This story is about risk at the enterprise program/project level.  Design is based on primarily requirements and assumptions.  Meeting requirements is usually achievable if they are complete and clear. Soft or poorly written requirements are the source of cost and schedule growth for many projects. Assumptions made during the analysis or design phase if wrong are also a source of poor project performance. This story is one example of a bad assumption. [Read more…]

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The 9 Great Benefits of a CMMS*

The 9 Great Benefits of a CMMS*

A computerised maintenance management system (CMMS) is the maintenance department’s most important tool. It provides insight into the behaviour of the facility’s individual assets, i.e. the plant and equipment. For a CMMS to be of use it must be used as an information ‘bank’ that can be investigated. There are 9 really good reasons to use a CMMS. And each one of them alone makes a CMMS worth having. [Read more…]

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When should SPC be used?

When should SPC be used?

Introduction

Many companies use SPC to control their manufacturing and assembly processes. Other companies use 100% inspection and some companies do nothing. How can one choose between these three alternatives?

To make a rational choice, some questions need to be answered.

  • What are the costs of internal and external failure on similar product?
  • Is the product design and/or process flow new, modified or carryover?
  • Are critical characteristics for the part and process known?
  • Are the process capabilities known?

[Read more…]

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Lubrication Cleanliness & Filtration

Lubrication Cleanliness & Filtration

When oil in gearboxes become contaminated there is a rapid loss of bearing operating life. It is critical that metal particles, dirt, sand, oxidisation products, etc be removed from the oil before they gouge and tear-up the finely toleranced machine parts. Oil replacement, contamination prevention and oil filtration are common practices religiously adopted by the best in the equipment reliability management business. This article explains the fine requirements for successful contamination control to insure long trouble- free equipment life. [Read more…]

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Critical Risks and Enterprise Risk Management

Critical Risks and Enterprise Risk Management

Guest Post by James Kline (first posted on CERM ® RISK INSIGHTS – reposted here with permission)

In other pieces the Lloyd’s of London City Risk and the Natural Hazard Mitigation Saves studies were discussed.  It was noted that both studies provide an assessment of the costs associated with the adverse impact of risk events.  The Natural Hazard study focused on natural Hazards, while the Lloyd’s study incorporates both man-made and natural hazard risk events. 

This piece will examine the policy recommendations made by the Organization for Economic Cooperation and Development (OECD) for managing Critical Risks and its relationship to ISO 31000:2018. [Read more…]