Asset Management Audit

Customer Benefits from Carver’s Asset Management Audit:

1. Accurately assesses the strengths and opportunities for improvement within your Asset Management program
    complete with a plan forward. An audit is an invaluable planning & improvement tool that provides the most cost effective
    solutions to efficiently maintain and operate your facility. The information collected in CARVER’s comprehensive audit will:

•  Enable you to target areas of opportunity & development for your assets.
•  Provide valuable insight allowing you to better plan your maintenance budget.
•  Provide valuable information to justify improvement project funding & budgeting
•  Provide valuable information to project future costs.

2. Accurately determines present maintenance process effectiveness in terms of how well it is able to achieve
    established maintenance goals.

•  Provides a practical tool to further improve maintenance program cost effectiveness
•  Provides valuable information to compare your operation with outside operations.
•  Provides a process for budget justification.

3. Compares present maintenance or reliability programs against the physical condition of the plant

•  Provides a means to better prioritize maintenance decisions.
•  Provides detailed explanations that substantiate management decisions
•  Provides an opportunity to improve your present operation.

4. Recommendations / Conclusions

•  Recommends identified enhancements that will reduce maintenance costs
   and improve reliability
•  Delivers a future path based on resources available, existing strengths, and
   your company’s tolerance for change.

Audit Process:

1. Pre-audit preparation activities:

•  It is recommended that the project sponsor do a 10 minute “awareness” session with the affected leadership
   approximately 1 to 2 weeks prior to the audit commencement date. The departments affected by the audit are,
   Operations Work Coordination, HR-Training & Development, Materials Management/Warehousing, Reliability
   Engineering, CMMS Implementation Team and Area-Central Maintenance Teams.

•  The audit sponsor should assign an “Information-Schedule Coordinator” as a contact person. This person will
   help the Carver Auditor arrange necessary scheduling changes, gain access to required information and act as
   a source for site specific information.

•  There will be a 45 minute pre-audit schedule development meeting with the audit sponsor and the information
   schedule coordinator prior to the audit implementation. Exact time to be defined by client. This meeting includes
   a pre-audit meeting with the audit sponsor(s) to discuss the general scope and expectations of the audit.

2. On site activities:

•  Typically the first interviews are with the leadership team to gather key business issues and strategic objectives.
   These will be considered throughout the audit to build a practical plan forward to address business issues and
   opportunities at hand.

•  Perform the on-site audit by undertaking interviews and review of site documentation, records and information
   systems. The interviews are done vertically and horizontally within your organization. Interviews are also held with
   key inter-departmental connections to assess information flow. Detailed information flow charts are not within the
   scope of this audit. CARVER PA CORPORATION assessors use a Quality Control reference binder which contains
   standard questions and business issues that need to be clarified.

•  Perform on-going, real time reviews of audit findings.

•  The final step while on site is to sit down with the audit sponsor(s) and work together to discuss high level findings
   and build a draft proposed plan forward based on the preliminary findings.

3. Off-site Activities:

•  Write the final report in Edmonton, complete with findings, opportunities for improvement and proposed improvement
   plan forward within 15 days.

Proposed Audit Scope:

The following are typical areas of investigation during an On-Site Audit. Please check off which areas are of concern to you.

•  Maintenance strategy development and alignment with resource allocation processes.
•  Operations, maintenance and engineering performance management and reporting processes for development,
    integration and application.
•  Operations, maintenance & engineering departmental integration issues (i.e. isolated decision making processes;
    cost justification of maintenance vs. engineering projects are not interdepartmental cost-benefit analysis processes.)
•  Desired system utilization, capacity and transition to new CMMS.
•  Information and processes in place for new maintenance management system.
•  Maintenance cost-benefit analysis, including implementation processes and tools
•  Maintenance & Repair planning tools, processes and skills
•  Scheduling, estimating and controlling work tools, processes and skills
•  Work order/job prioritization and evaluation processes
•  Current PM task design and ability to meet ISO 9000 and Risk Management requirements
•  Work-related Quality Control and Risk Management processes, tools and skills
•  Overhaul and outage job package quality control and risk management processes
•  Spare parts management, decision making tools, processes and skills
•  Supply Chain goods & services best practice status (as it relates to enabling maintenance)
•  Work Order backlog prioritization and control
•  Contractor quality and risk management processes
•  New CMMS functional requirements and how they affect current business and process needs
•  Technical support and requirements of a new CMMS

Items which are not within the scope of this audit:

•  Quality system
•  Budgeting Process
•  HR processes
•  Information Processes
•  Engineering or Construction Standard Work Practices
•  Detailed information flow-charting
•  Inter-company, quantitative benchmarking
•  Assessing the physical condition of equipment

Recommended Access to Information for the audit

Access to the following information would be beneficial to ensure the audit is as informative and successful as possible. The order of access is not important. Brief access may be required to clarify specific issues.

Access to the following samples (will be discussed in more detail at the pre-audit scheduling meeting):

1)    Current Organizational chart

2)    A tour through maintenance management records with subsequent access.

3)    A tour through the information system (capacity/potential versus actual usage) with subsequent access.

4)    Copies of Operations and Maintenances’ scheduling forms and reports.

5)    Assistance by a team member educated about the computer management system, required spare parts
        and who determines and how are min/max inventory levels determined

6)    Copies of any forms used on a daily, weekly or monthly basis by maintenance and operations (i.e. Work
       Orders, Purchase Orders, Backlog Lists etc.)

7)    Corrective/Preventative reports and any subsequent Incident Investigation reports; FMEA results

8)    Process trouble shooting procedures and related reports

9)    Maintenance Program documentation, justification & decision summaries. Access to 3 samples of contracted
       and in-house overhaul reports (i.e. parts consumed, running hours, who performed them, costs associated,
       QA reports, etc.)

10)  Sample Preventative Maintenance manuals for major, minor – critical and non-critical equipment

11)  Predictive Maintenance implementation plan (integration of different technologies & cost benefits)

12)  Repair / major overhaul practices manuals

13)  Sample shut down job packages for complex critical equipment

14)  Procurement procedural manuals

15)  Maintenance and Parts Quality Control Manuals

16)  Manufacturers service bulletins & management systems

17)  Training manuals (linkages form training to procedures and core competencies)

18)  Access to the complete maintenance records for 2 critical pieces of equipment (computer reporting capability?).
        Contact name: ____________________________

19)  Access to any maintenance related ‘Performance improvement plans’. (i.e. reliability improvement plans/goals).

20)  Access to the training plan. Typical qualifications of field people (i.e. capacity to do particular level of maintenance).