Description
Abb Identify Over £1.8m Of Savings Through An Optimised Turnaround Strategy.
Optimising turnaround
strategy
Chemicals Case Study - Chemical Manufacturer, UK
ABB identify over £1.8M of
savings through an optimised
turnaround strategy.
A major chemicals manufacturer in the UK asked ABB to
review and test a change to their previously established
turnaround strategy put in place following their last major
turnaround in June 1999.
At this time the clients strategy was modified from a 2 year
turnaround / 12 month reactor catalyst change to a 3 year
turnaround / 18 month reactor catalyst change. Various
strategy options had been previously tried by the customer
over a number of years and it was not clear whether the new
strategy was the best for the business.
In addition, it was felt that it was an appropriate time to
take a fresh look at their Turnaround Strategy as other sites
seemed to be moving away from very large, but infrequent
set-piece events. Finally, there was a keen desire to make
cost savings through Risk Based Inspection (RBI) techniques
and to quantify the possible savings.
All manufacturing companies need to perform maintenance
on their production lines and process equipment to ensure
high reliability and compliance with legislation.
Turnarounds are typically large maintenance events with
potentially high planning, execution and materials costs
and have a significant impact on the business due to lost
production. Maintenance is carried out to reduce the risk of
equipment failure and possible downtime, but it is hard to
know if your strategy is providing value for money and the
protection of your assets and your business.
ABB offers the expertise to help our customers optimise their
turnaround strategies, in terms of size, frequency and timing
to produce the best combination of low cost and acceptable
risk to the business.
Benefits
Recommendations on the optimum turnaround strategy
identified:
? Lower total business impact by at least £500K per year by
changing to a fixed 12 monthly reactor turnaround event,
reversing the change implemented since 1999
? That the current 3 year major turnaround should be
maintained to result in a saving of £360K per year over a 2
year turnaround frequency
? Cost benefits from implementation of Risk Based
Inspection of at least £300K per year
Further detailed investigation on the key problems and
vulnerabilities in the reactor highlighted a number of areas
with significant affect on the strategy including:
? Reduction in the rate at which the reactor tubes were
blocking due to degraded catalyst with a potential benefit
of £400K per year on a 12 month reactor turnaround
strategy
? Reduction in tube erosion with the potential benefit of
£250K per year with an extension in reactor life by 10
years
Solution
ABB consultants used a process to identify, model and
compare realistic strategies in terms of cost, workscope,
frequency and risk.
The total cost to the business was determined by the size of
the event. In turn, this was determined by the scope of work
and the duration of critical path jobs within the turnaround.
A turnaround cost prediction model was established and
calibrated against the known costs and workscope from a
previous Turnaround. The model was then used to determine
the total costs for different turnaround workscopes.
The total business impact was then be calculated taking into
account total event, lost production costs and performance
losses. Further sub-strategies were also examined to
consider the effect of variation in event length, event cost
and product cost per tonne.
Asset Performance Tools (APT) specialist asset performance
software was also used to carry out cost/risk evaluation
of particular maintenance activities and factor these into
the result. In this case the optimum time and cost for
replacement of reactor catalyst was identified and used in
the overall strategy evaluation.
For further information please contact:
ABB Consulting
Daresbury Park
Daresbury
Warrington
Cheshire
WA4 4BT
United Kingdom
Phone: +44 (0)1925 741111
Fax: +44 (0)1925 741212
E-Mail: [email protected]
www.abb.com/consulting
ABB Consulting provides technical and engineering services
to improve performance in the areas of compliance,
operations and engineering to customers in the chemical,
petrochemical, oil & gas, power, pharmaceuticals, metals
and consumer industries worldwide.
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doc_776745033.pdf
Abb Identify Over £1.8m Of Savings Through An Optimised Turnaround Strategy.
Optimising turnaround
strategy
Chemicals Case Study - Chemical Manufacturer, UK
ABB identify over £1.8M of
savings through an optimised
turnaround strategy.
A major chemicals manufacturer in the UK asked ABB to
review and test a change to their previously established
turnaround strategy put in place following their last major
turnaround in June 1999.
At this time the clients strategy was modified from a 2 year
turnaround / 12 month reactor catalyst change to a 3 year
turnaround / 18 month reactor catalyst change. Various
strategy options had been previously tried by the customer
over a number of years and it was not clear whether the new
strategy was the best for the business.
In addition, it was felt that it was an appropriate time to
take a fresh look at their Turnaround Strategy as other sites
seemed to be moving away from very large, but infrequent
set-piece events. Finally, there was a keen desire to make
cost savings through Risk Based Inspection (RBI) techniques
and to quantify the possible savings.
All manufacturing companies need to perform maintenance
on their production lines and process equipment to ensure
high reliability and compliance with legislation.
Turnarounds are typically large maintenance events with
potentially high planning, execution and materials costs
and have a significant impact on the business due to lost
production. Maintenance is carried out to reduce the risk of
equipment failure and possible downtime, but it is hard to
know if your strategy is providing value for money and the
protection of your assets and your business.
ABB offers the expertise to help our customers optimise their
turnaround strategies, in terms of size, frequency and timing
to produce the best combination of low cost and acceptable
risk to the business.
Benefits
Recommendations on the optimum turnaround strategy
identified:
? Lower total business impact by at least £500K per year by
changing to a fixed 12 monthly reactor turnaround event,
reversing the change implemented since 1999
? That the current 3 year major turnaround should be
maintained to result in a saving of £360K per year over a 2
year turnaround frequency
? Cost benefits from implementation of Risk Based
Inspection of at least £300K per year
Further detailed investigation on the key problems and
vulnerabilities in the reactor highlighted a number of areas
with significant affect on the strategy including:
? Reduction in the rate at which the reactor tubes were
blocking due to degraded catalyst with a potential benefit
of £400K per year on a 12 month reactor turnaround
strategy
? Reduction in tube erosion with the potential benefit of
£250K per year with an extension in reactor life by 10
years
Solution
ABB consultants used a process to identify, model and
compare realistic strategies in terms of cost, workscope,
frequency and risk.
The total cost to the business was determined by the size of
the event. In turn, this was determined by the scope of work
and the duration of critical path jobs within the turnaround.
A turnaround cost prediction model was established and
calibrated against the known costs and workscope from a
previous Turnaround. The model was then used to determine
the total costs for different turnaround workscopes.
The total business impact was then be calculated taking into
account total event, lost production costs and performance
losses. Further sub-strategies were also examined to
consider the effect of variation in event length, event cost
and product cost per tonne.
Asset Performance Tools (APT) specialist asset performance
software was also used to carry out cost/risk evaluation
of particular maintenance activities and factor these into
the result. In this case the optimum time and cost for
replacement of reactor catalyst was identified and used in
the overall strategy evaluation.
For further information please contact:
ABB Consulting
Daresbury Park
Daresbury
Warrington
Cheshire
WA4 4BT
United Kingdom
Phone: +44 (0)1925 741111
Fax: +44 (0)1925 741212
E-Mail: [email protected]
www.abb.com/consulting
ABB Consulting provides technical and engineering services
to improve performance in the areas of compliance,
operations and engineering to customers in the chemical,
petrochemical, oil & gas, power, pharmaceuticals, metals
and consumer industries worldwide.
I
n
t
e
g
r
i
t
y
m
a
n
a
g
e
m
e
n
t
©
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doc_776745033.pdf