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ABB

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Brian Hudson, Principal Lead Consultant, ABB Consulting
Managing Integrity and Reliability on
Ageing Assets
ERTC Annual Conference
November 29th – 1st December 2011
Barcelona Spain
© ABB Group
November 22, 2011 | Slide 1
ABB Consulting
ABB Group
 Headquarters: Zurich, Switzerland
 More than 120,000 employees in about 100 countries
 Orders in 2009: USD 60 billion
ABB Consulting
“An international technical consultancy providing engineering and
project services to the process industries”
© ABB Group
November 22, 2011 | Slide 2
Ageing - HSE definitions
“Ageing is not about how old the equipment is. It’s about
what is known about its condition, and how that’s
changing over time”
HSE Research Report RR509 - ‘The plant ageing guide’
“Ageing is…where a component suffers deterioration
and damage (usually, but not necessarily, associated
with time in service) with an increasing likelihood of
failure….
HSE Research Report RR823 – ‘Plant Ageing Study’
© ABB Group
November 22, 2011 | Slide 3 UK
Health and Safety Executive
Why do you need an Asset Life Strategy?
Replace
Maintain &
Refurbish
COMAH
Due
Diligence &
Investment
Regulatory
Compliance
Seveso II
Directive
Offshore
Safety case
Asset Life
Strategy and
Planning
No
Surprises
© ABB Group
November 22, 2011 | Slide 4
Financial
Planning &
Budgets
Reputation
Stakeholder
Governance
Licence to
Operate
Ageing Assets require an Integrated Approach
World
Class
Leadership
of Safety &
Integrity
Management
of Change
Safe
Systems of
Work
Pre Start-up
Safety
© ABB Group
November 22, 2011 | Slide 5
Process
Hazard
Analysis &
Review
Emergency
Response &
Preparedness
Incident
Investigation
Process
Safety
Indicators &
Information
Effective
Systems
Plant &
Equipment
Integrity
Operating
Procedures
& Practices
Employee
Training &
Competence
Assurance
Management
of
Contractors
Construction
Inspection
Audit &
Review of
Integrity &
Compliance
Process
Safety/
Integrity
Leadership
& Culture
ABB Ageing Plant
Safety Management & Risk Control Summary
Procedures /
Systems
Equipment Ageing
Assessment
Asset Integrity Management
Policy
Asset Register and actions at
correct intervals
Design Standards / Code of
Practice updates
Maintenance & Inspection
Systems interfacing with
Operations
Operational Procedures &
Maintenance Management
Interfaces
Operational Inspections
Management of Change (MOC)
Asset Integrity Management
Plan to identify critical plant
Risk assessment
Hazard Identification versus
Ageing
Technical Safety Review –
Critical equip
Justification for continued use,
obsolescence
Replacement Policy for
CRITICAL plant
Inspection – ageing
mechanisms
Focussed Inspection, RBI, RCM,
FMEA, etc
Corrective action plan and
tracking
Organisational &
Competence
Organisational Structure &
Responsibility
Communication –
internal/external
Regular reviews
Continuity Plans
Impact on organisation and
Human Factors
Contract 3rd party standard
setting
Competency In-house,
contractor
Organisational responsibility
for MOC.
COMAH - Ageing Plant
Operational Delivery Guide
© ABB Group
November 22, 2011 | Slide 6
Management
Reporting & Auditing

KPI’s Leading & Lagging
Indicators

Learning form Incidents &
Near Misses

Incident Investigation &
action tracking

Asset Performance
Monitoring

Defect Reporting System

Audit programme
Dependable Assets

The Plant Ageing Guide - UK Health and
Safety Executive

© ABB Group
November 22, 2011 | Slide 7
‘Ageing is not about how old the
equipment is. It’s about what is known
about its condition, and how that’s
changing over time’

Is the installation be ‘fit for purpose’ now
against it current duties?

Will it continue to be ‘fit for purpose’ against
future duty changes and up to ‘end of field’
What extends asset life?
Examples of Factors that extend asset life
Managing Deterioration
of Equipment &
Systems
No. of Failures/
Accumulated
Damage
Maintenance
to quality
standards &
practices
Quality of spare
parts & repairs
Effective testing
& inspection of
equipment
Correct control of
operating
parameters
Time
Initial
Operation
© ABB Group
November 22, 2011 | Slide 8
Mature
Stage
Ageing
Stage
End of Life
Stage
Proactive asset Life Strategies
What reduces asset life?
Examples of factors that reduce asset life
Failure to manage
deterioration of
equipment and systems
No. of Failures/
Accumulated
Damage
Poor design quality
and standards of
construction
Operating
outside
design limits
Mature
Stage
Badly managed
replacement or repair
Failure to recognise
new deterioration
mechanisms
Time
Poor control of modifications
Initial
Operation
Obsolescence and
Redundancy
Ageing
Stage
End of Life
Stage
Solving these problems is reactive!
© ABB Group
November 22, 2011 | Slide 9
CULTURE OF
CONTINUOUS
IMPROVEMENT
SOLVING THE
DIFFICULT
PROBLEMS
ELIMINATION
OF FAILURE
© ABB Group
November 22, 2011 | Slide 10
CUSTOMER VALUE AND GAINS IN OPERATIONAL EXCELLENCE
Best Practice Reliability – Tools for the Journey
WORLD CLASS
RELIABILITY
PROACTIVE
REACTIVE
GET GOOD AT FIREFIGHTING
UNDERSTAND WHAT IS
TRULY CRITICAL AND WHY!
UNPREDICTED
‘AGEING’
FAILURES
Criticality Assessments
© ABB Group
November 22, 2011 | Slide 11
An integrated approach to Management of Integrity
Criticality and
Management of Risk
Asset Life Studies
Process
Hazard
Review
Training,
Coaching
and People
Development
SIL
Total Plant
Reliability
© ABB Group
November 22, 2011 | Slide 12
Effective
Turnaround
Management
Specialist
Technical
Consultancy
RBI+ and RCM
Rotating &
Machines
Electrical
Control
Instrumentation
Civil & Structural
Vessels
Piping
Fired Equipment
Materials
Process
Asset Life Strategy Review
Process
Deliverables
Identify Gaps and
issues
Incorporate what’s
already in place
Recommendations
to address the Gaps
Produce a
Harmonised Picture
© ABB Group
November 22, 2011 | Slide 13
Objective
Case Study
© ABB Group
November 22, 2011 | Slide 14
Asset Life Issues for Oil, Gas & Petrochemicals
Key items found during ABB Studies
Equipment projected as not fit for purpose

Increased congestion of equipment and removal of redundant equipment

Replacement of obsolete equipment

Operation outside original design or lack of turn down capacity

Reducing equipment and key system reliability

Energy Efficiency

‘Hidden’ Corrosion Issues – CUI, Storage Tank floors etc

Newly emerging deterioration mechanisms, i.e.changes in process fluids

Integrity of minor structures (handrails, walkways, ladders)

Integrity of utility systems (air, nitrogen, HVAC, cooling water etc.)

Electrical power limitations affecting current and future operations

Competencies as against ageing workforce retires

Leaner organisations with increased reliance on sub-contractors

Lack of clarity for ownership of knowledge between operator and sub-contractors

Loss of ‘Corporate Knowledge’ and ‘unfriendly’ documentation systems

Compliance with current and future environmental legislation
© ABB Group
November 22, 2011 | Slide 15
Dependable Assets

People
Systems
Investment Profiles & Actions
© ABB Group
November 22, 2011 | Slide 16
© ABB Group
November 22, 2011 | Slide 17
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