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Predictable Surprises: The Volkswagen Story

Predictable Surprises: The Volkswagen Story

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

Predictable Surprises: The Volkswagen Story

A predictable surprise is a risk event that in some form is known within the organization. It is of a nature that if left unresolved, it could be costly.  But fixing the problem appears to have larger short run costs, than long term benefits.  The Volkswagen diesel emissions fraud is one such example. It also a case where the penalties imposed outweighed the short term costs. Moreover, had a risk assessment occurred at several points along the way, there might not have been a scandal.  [Read more…]

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Air Compressor Operation & Care

Air Compressor Operation & Care

What readers will learn from this article.

  • Basic theory of reciprocating compressor operation.
  • Introduction into work and power calculations for a compressor.
  • Explanation of Free Air Deliver (FAD).
  • Issues with using rotary screw compressors.
  • Issues with using reciprocating compressors.

Compressed air is one of the most used service fluids in industry. This article introduces the basic design concepts of an air compressor and discusses some of the common problems and solutions found in both reciprocating (piston goes up and down) and rotary screw (twin, meshed, rotating, helix) air compressors. [Read more…]

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What is Lean Product Development (Part III)

What is Lean Product Development (Part III)

 

In my previous article, we established some high-level objectives for lean product development as follows:

 

 

  • Better understand the customer (maximize customer value)
  • Do the right projects (product, project and portfolio value analysis)
  • Do projects right (minimize waste and rework)
  • Level load the organization (minimize bottlenecks and resource constraints)
  • Create and re-use artifacts (standardize and sustain best practices)

[Read more…]

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The 3 Parameter Triangle Distribution 4 Formulas

The 3 Parameter Triangle Distribution 4 Formulas

This is part of a short series on the common distributions.

The Triangle distribution is univariate continuous distribution. This short article focuses on 4 formulas of the triangle distribution.

The distribution becomes a standard triangle distribution when a = 0, b = 1, thus it has a mean at the $- \sqrt{{c}/{2}\;} -$ and the median is at $- 1-\sqrt{{\left( 1-c \right)}/{2}\;}-$. The distribution becomes a symmetrical triangle distribution when $- c={\left( b-a \right)}/{2}\;-$.

The triangle distribution is used to approximate distributions when the actual distribution is unknown and bounded, often useful for Monte Carlo simulations. Other applications include subjective representation when there is evidence of bounds and a mode, or as a substitution to the beta distribution since it is bounded. [Read more…]

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The 5 Differences Between Leaders and Managers

The 5 Differences Between Leaders and Managers

The 5 Differences Between Leaders and Managers – Can Someone Be the Best of Both?

While working in the field of Asset Management formerly known as Maintenance and Reliability for over 30 years I have worked with my share of Managers and Leaders. Those who have known me for years know that I started in the field as a Pipefitter Apprentice, worked as a Journeyman and Team Leader for a number of years, did a stint as a Maintenance Supervisor, went to night school to become a Reliability Engineer and then as a business owner working with customers around the world. [Read more…]

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Reliability Belt Program Delivers the Tools You Need

Develop your skills – learn the tools and where to apply them

OK, let’s admit it. We don’t always make the best decisions. And of course, those around us don’t either. And yet, to deliver a product with all the best features to a customer or market, at a competitive price and in time to make the sale, and that also will have good reliability and long life, requires everyone to make the right decisions in a timely fashion all along the way. It doesn’t take many adverse decisions to introduce field issues, increase warranty claims and lessen product life.

Reliability management and engineering is all about using the best tools to guide our decision-making. Becoming a good reliability engineer, or decision-maker of any kind, is about learning those tools – including when and where to use them.

[Read more…]

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Process Logic Controller (PLC) Basics

Process Logic Controller (PLC) Basics

What readers will learn from this article.

  • Overview of how a programmable logic controller (PLC) operates.
  • Communication methods used to connect the PLC to equipment.
  • Dangerous practices that will lead to trouble if not corrected.

A process logic controller is a computer designed for monitoring and controlling equipment. The personal computer that many people have at home is designed to accept signals from the keyboard or mouse and use instructions (software) to display the resulting effects on a screen (monitor). A PLC accepts signals (inputs) from sensors located throughout a piece of equipment or process plant. It then follows the instructions (program) within its memory and sends out commands (output) to operate equipment. [Read more…]

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What is Collateral Risk? And Why Should We Be Worried About It?

What is Collateral Risk? And Why Should We Be Worried About It?

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

What is Collateral Risk? And Why Should We Be Worried About It?

Introduction

The Law Dictionary defines Collateral Risk as:

The RISK of loss arising from errors in the nature, quantity, pricing, or characteristics of COLLATERAL securing a transaction with CREDIT RISK.  Institutions that actively accept and deliver collateral and are unable to manage the process accurately are susceptible to loss.  A subcategory of PROCESS RISK. [Read more…]

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What is Lean Product Development? (Part II)

What is Lean Product Development? (Part II)

In my last article the high level goal of lean product development was established as follows:

Develop products that maximize customer value and minimize product cost,  in the least amount of time, and at the least amount of product development cost.

Let’s analyze this goal statement and establish some high-level objectives. [Read more…]

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The 2 Parameter Uniform Distribution 7 Formulas

The 2 Parameter Uniform Distribution 7 Formulas

This is part of a short series on the common distributions.

The Uniform distribution is a univariate continuous distribution. This short article focuses on 7 formulas of the Uniform Distribution. A common application is as a non-informative prior. Another application is to model a bounded parameter. The uniform distribution also finds application in random number generation. [Read more…]

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Product Derivatives for Market Domination

Product Derivatives for Market Domination

I recently came across this announcement that HP is going to develop computer systems and peripheral devices that are optimized for environments where they are cleaned frequently, often medical environments. In the medical and scientific fields cleaning solutions are a significant stress for plastics, inks and touch control surfaces. It’s a smart strategy to evaluate where your products are used and optimize your test use cases.  It most often will lead to more accurate test results and reliability projections.  It may, as well, lead to a market opportunity that was previously unknown, and if you are the first among your competitors to acknowledge this need and create a specialized or derivative product you now grabbed a portion of the market that you may have not previously held.

A few others

  • laptops that are impact and dirt resistant
  • Kids winter coats with glove attachments
  • Sport tuned models of economy cars
  • Stackable chairs
  • Folding bikes
  • Standing desks

 

-Adam