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Über dieses Buch

This edited book offers further advances, new perspectives, and developments from world leaders in the field of through-life engineering services (TES). It builds up on the earlier book by the same authors entitled: “Through-life Engineering Services: Motivation, Theory and Practice.”

This compendium introduces and discusses further, the developments in workshop-based and 'in situ' maintenance and support of high-value engineering products, as well as the application of drone technology for autonomous and self-healing product support. The links between ‘integrated planning’ and planned obsolescence, risk and cost modelling are also examined.

The role of data, information, and knowledge management relative to component and system degradation and failure is also presented. This is supported by consideration of the effects upon the maintenance and support decision by the presence of 'No Fault Found' error signals within system data. Further to this the role of diagnostics and prognostics is also discussed.

In addition, this text presents the fundamental information required to deliver an effective TES solution/strategy and identification of core technologies. The book contains reference and discussion relative to automotive. rail, and several other industrial case studies to highlight the potential of TES to redefine the product creation and development process. Additionally the role of warranty and service data in the product creation and delivery system is also introduced.

​This book offers a valuable reference resource for academics, practitioners and students of TES and the associated supporting technologies and business models that underpin whole-life product creation and delivery systems through the harvesting and application of condition and use based data.



Chapter 1. Introduction

Through-life Engineering Services (TES) are continuing to develop. They are being adopted by manufacturing organisations at increasing rates as companies seek to move towards offering advanced service solutions in support of their product offerings. This chapter introduces the second book in a planned series of contributions by the editors. It presents further developments relative to the motivation, theory and practice relating to TES. The chapter offers to the reader a developing and strengthening rationale for the adoption of TES solutions. It presents the book structure and gives insight as to the methods used by the editors to identify the focus of study. Insight is given to the reader and those who will benefit from this compendium of contributions from eminent scholars and practitioners who are currently conducting state of the art research into TES, or applying its principles to achieve strategic advantage through the control and mitigation of risk.
Louis Redding

Developing a Strategy for Through-life Engineering Services


Chapter 2. The Development of a UK National Strategy for Through-Life Engineering Services: Rationale and Process

This chapter describes the journey of the development of the UK National Strategy for Through-life Engineering Services (TES) from initial discussions with industry as to the need, through the issuing of a number of sector strategies in the UK, which omitted any reference to TES, to the design of the strategy development workshops. Initial industrial soundings are detailed which supported the need for the UK National Strategy as is the creation of an emergent industrial momentum. The importance of coherence of vision is underlined by extensive work with the voluntary industrial steering committee. The methodology adopted to generate the launch event white paper and cross-sectoral industrial economic study is given in detail. Pilots, tests and the consequent evolution of the workshops are described together with the range and depth of industrial engagement with the process. The chapter begins with a description of the industrial engagement strategy of the EPSRC Centre for Innovative Manufacturing in Through-life Engineering Services from which the UK National Strategy was born.
Andy Shaw, Paul Tasker

Chapter 3. The Development of a UK National Strategy for Through-Life Engineering Services: Workshop Outputs Analysis and Final Strategy Creation

This chapter gives in detail the data collected from the industrial workshops. It also covers the parallel work strand to validate and develop an economic case for sector focus on Through-life Engineering Services. Analysis methodologies are described and the resulting collated outputs listed. Next the drafting process is developed and stages of consultation and revision given. The search for a publishing authority within the UK government is discussed as are the invitations to significant figures for endorsement. Finally the strategy document is described and its key recommendations listed. The full strategy is listed as an appendix to this chapter for ease of reference.
Andy Shaw, Paul Tasker

Through-life Engineering Services and Design


Chapter 4. Warranty Driven Design—An Automotive Case Study

Much is to be found within the literature relative to Product Service Systems and the process of servitization. As companies adopt these philosophies the concept of advanced service provision and availability contracting continues to evolve and to be adopted. Underpinning all of this is the management and mitigation of risk to revenue streams due to the lack of availability of the product’s design function resulting from failure or degradation. This has seen the emergence of Through-life Engineering Services and Integrated Vehicle Health Management which offer strategic solutions for the organisation seeking to mitigate risk and inform the design process. Whilst the majority of the literature focuses upon the aerospace and defence sectors little is known about the automotive sector. This chapter offers insight into the types of service data and the data sources used within a leading UK Automotive Manufacture. The means of obtaining the voice of the customer is also discussed. Finally an evolving ‘straw man’ TES informed system architecture is presented which will form the basis of future research and development by the author.
Louis Redding

Chapter 5. Designing for Service in a Complex Product Service System-Civil Aerospace Gas Turbine Case Study

Gas turbine engines used in commercial aviation are a complex engineering product for which the cost of maintenance over their full operational life can exceed the initial cost of manufacture by a factor of 3–4. With an increasing shift to contracting fixed price maintenance services at the point of sale of the engine, it has become an imperative that the cost of maintenance support is a prime design attribute. This chapter provides a case study on the process of designing for an optimal maintenance cost level from the earliest stages of conceptual design through to product entry into service. The nature of an optimal maintenance cost in terms of customer service value is also explored.
Andrew Harrison

Chapter 6. The Knowledge Management Perspective

An important element of product lifecycle management (PLM) is knowledge management (KM). KM helps manage risks inherent in products as they increase in complexity, and the organisations and teams who design build operate and support the products may be dispersed in geography and time. Economic pressures are also forcing organisations to do more for less with fewer resources in reduced time. It is essential that knowledge is exploited if these efficiencies are to be made. This chapter explores problems with Knowledge Management, posits definitions that may be useful about the nature of knowledge and its relationship with data and information.
Charles Dibsdale

The Role of Data, Diagnostics and Prognostics in Through-Life Engineering Services


Chapter 7. Predictive Big Data Analytics and Cyber Physical Systems for TES Systems

In today’s competitive business environment, companies are facing challenges in dealing with big data issues for rapid decision making for improved productivity. Many manufacturing systems are not ready to manage big data due to the lack of smart analytics tools. U.S. has been driving the Cyber Physical Systems (CPS), Industrial Internet to advance future manufacturing. Germany is leading a transformation toward 4th Generation Industrial Revolution (Industry 4.0) based on Cyber-Physical Production System (CPPS). It is clear that as more predictive analytics software and embedded IoT are integrated in industrial products and systems, predictive technologies can further intertwine intelligent algorithms with electronics and tether-free intelligence to predict product performance degradation and autonomously manage and optimize product service needs. The book chapter will address the trends of predictive big data analytics and CPS for future industrial TES systems. First, industrial big data issues in TES will be addressed. Second, predictive analytics and Cyber-Physical System (CPS) enabled product manufacturing and services will be introduced. Third, advanced predictive analytics technologies for smart maintenance and TES with case studies will be presented. Finally, future trends of digital twin industrial systems will be presented.
Jay Lee, Chao Jin, Zongchang Liu

Chapter 8. Development and Operation of Functional Products: Improving Knowledge on Availability Through Use of Monitoring and Service-Related Data

The book chapter addresses which measures five manufacturing companies have taken, or plan to take, regarding use of data originating from monitoring, service, support, maintenance, repairs as well as other sources, in order to improve the knowledge on availability in the context of providing Functional Products. Commonly, the objective of Functional Products is to provide a function to customers with a specified level of availability (or improvement of productivity or efficiency). The results indicate that systematic planning and collection of relevant data, which is either pre-processed on-board (i.e., locally) or sent as is to central or cloud-based storage and processing, in combination with additional necessary data from other sources, is crucial to build knowledge in order to uphold and improve the level of availability agreed upon with customers. As the use of software in Functional Products increases, the knowledge on availability related to software must be augmented—which can be a challenge for many companies whose operations have been rooted in hardware. Further, the results reveal that getting high-quality input is key in order to use the collected data for analytics and to find root causes. The latter may change how the current value-chain operates and secures the quality of necessary data when providing functions to customers if partners are involved in the provider consortium.
John Lindström, Elisabeth Källström, Petter Kyösti

Chapter 9. Remodelling of Structured Product Data for Through-Life Engineering Services

Product data of long-living and complex systems is essential for efficient through-life engineering services (TES), since it is the basis for systematic planning, operation and documentation activities. The product structure represents the data backbone and carries geometrical, technological and system relevant information. Product Lifecycle Management (PLM) systems are used to maintain the product data and to track product changes. However, in the maintenance, repair and overhaul (MRO) sector lifecycle based documentation of changes regarding product configuration, condition and functionality is still a weak spot, especially if the MRO service provider is not the original manufacturer. In such cases MRO processes start with an exhaustive product diagnosis to identify parts that have to be maintained or to determine if spare parts are needed to guarantee product’s performance. Existing 3D scanning and data processing methods have to be improved to acquire structured product data in an efficient process. This chapter presents a method for automated derivation of product structures from 3D assembly models and its application in various scenarios of through-life engineering services. The input may be a system model coming from a 3D scanning process. In order to identify spatial relations between parts a 2D contact graph is automatically created by a neighborhood analysis. Subsequently related parts are hierarchically structured into sub-assemblies by a cluster analysis. Iterative use of these two principles results in the complete product structure. Results can be exported via a XML interface for use in PLM systems.
Sebastian Adolphy, Hendrik Grosser, Rainer Stark

Chapter 10. Holistic Approach for Condition Monitoring in Industrial Product-Service Systems

The content of the book chapter is the development and application of a method for the cost optimized integration of a condition monitoring system for machine tools. An environment for the simulation of lifecycle costs considering the maintenance processes as well as the hardware will be described to identify an appropriate sensor concept. The approach of event based simulation allows an assessment of possible sensor concepts depending on the machine tool’s performance. To realize a cost-effective condition monitoring solution using simple consumer electronics, such as Micro-Electro-Mechanical-Systems, and to provide high scalability a wireless sensor network has been developed and evaluated. It can be easily adapted to different specific applications because of decentralized data preprocessing on the sensor nodes, as well as services in the cloud. Within this network the sensors interact through a software agent system which is implemented in the machine tool and all of its subsystems. The Java Agent Development Framework will be used as a middleware. The modularization leads to a highly flexible system. Additionally, the agent system enables the interaction between the machine tool, the IPS2 provider, and its service technicians. The book chapter includes the evaluation of the method in the field of grinding machine tools by means of a feed axis.
Eckart Uhlmann, Christian Gabriel, Abdelhakim Laghmouchi, Claudio Geisert, Niels Raue

Chapter 11. An Erlang-Coxian-Based Method for Modeling Accelerated Life Testing Data

Accelerated life testing (ALT) can be used to expedite failures of a product for predicting the product’s reliability under the normal operating conditions. The resulting ALT data are often modeled by a probability distribution along with a life-stress relationship. However, if the selected probability distribution cannot adequately describe the underlying failure process, the resulting reliability prediction would be misleading. It would be quite valuable if the distribution providing an adequate fit to the ALT data can be determined automatically. This chapter provides a new analytical method to assist reliability engineers in this regard. Essentially, this method uses Erlang-Coxian (EC) distributions, which belong to a particular subset of phase-type distributions, to characterize ALT data. Such distributions are quite efficient for approximating many non-negative distributions, such as Weibull, lognormal and gamma. The advantage of this method is that the best fit to the ALT data can be obtained by gradually changing the model structure, i.e., the number of phases of the associated continuous-time Markov chain (CTMC). To facilitate the implementation of this method, two statistical inference approaches are provided. First, a mathematical programming approach is formulated to simultaneously match the moments of the EC-based ALT model to the empirical moments at the corresponding test stress levels. This approach resolves the feasibility issue of the method of moments. In addition, the maximum likelihood estimation approach is presented, which can easily handle different types of censoring in ALT. Both approaches are accompanied with a stopping criterion for determining the number of phases of the resulting CTMC. Moreover, nonparametric bootstrap method is used to construct the pointwise confidence interval for the resulting reliability estimates. Numerical examples for constant-stress ALT with Type-I and multiple censoring schemes are provided to illustrate the capability of the method in modeling ALT data.
Haitao Liao, Ye Zhang, Huairui Guo

Component Degradation and Design in Accelerated Life Testing Data


Chapter 12. Thermographic NDT for Through-Life Inspection of High Value Components

Non-destructive testing (NDT) are techniques used to detect and characterise flaws that occur in materials from manufacture through to evaluating the health of the material without causing further damage to the component. With the development of cutting-edge technology over the last two decades, active thermographic NDT has grown considerably as a field. Access to lower cost, more portable hardware with higher performance has fuelled a major drive in research to develop analytical techniques and widen the applicability of thermography in order to exploit its advantages as a low-cost and non-contact inspection technique. While passive thermography is a heavily standardised process, active thermography is considerably lacking in industrial standards. Development of these standards represents an opportunity for research in the field of active thermography to be a part of that process. Recent industry pressure regarding research in NDT has developed a demand for NDT techniques to be quantifiable, and linked directly to material properties, thus allowing an estimation of remaining useful life (RUL) in order to maximise product value. There have been significant research developments in the field over recent years. Through developments in signal processing of thermography data, inspections would enable repeatable, quantifiable benchmarking of samples, which would allow automation of carefully controlled quality checks; and the measurement of thermal properties of the material, which would allow estimation of components’ RUL. Addressing these challenges would increase the deployment of thermography in industry, enhance the toolset of through-life engineering, and significantly improve the competitiveness of industries which embrace these developments.
Sri Addepalli, Yifan Zhao, Lawrence Tinsley

Chapter 13. Engineering Support Systems for Industrial Machines and Plants

In the business of industrial machines and plants, rapid and detailed estimates for planning installation, replacement of equipment, or maintenance work are key requirements for meeting the demands for greater reliability, lower costs and for maintaining safe and secure operation. These demands have been addressed by developing technology driven by IT. When replacing equipment at complex building or plants with high equipment density, the existing state of the installation locations and transportation routes for old and new equipment need to be properly measured. We have met this need by developing parts recognition technology based on 3D measurement, and by developing high-speed calculation technology of optimal routes for installation parts. This chapter provides an overview of these development projects with some real business application results.
Youichi Nonaka, Takahiro Nakano, Kenji Ohya, Atsuko Enomoto, Gábor Erdős, Gergely Horváth, József Váncza

System Degradation and Design


Chapter 14. Infrastructure/Train Borne Measurements in Support of UK Railway System Performance—Gaining Insight Through Systematic Analysis and Modelling

The British railway is one of the most complex mixed traffic railway systems in the world. Increasing passenger/freight traffic is placing significant demand on the railway system calling for improvements to the existing network capacity and service reliability. Through systematic data analysis and modelling, the industry has gained a better understanding and insight into the system behaviour. This has highlighted the necessity for higher precision measurements of the railway system to enable an effective optimisation of capacity utilisation and reliability of service performance. This chapter describes two main root causes affecting the service performance and the measurement systems used to quantify their impact. The current performance modelling techniques based on infrastructure-borne and train-borne measurement systems and their pros and cons will be discussed. Finally, opportunities will be presented to improve the performance monitoring and measurement systems by using the various data layers available to the industry in a better managed way.
Amir Toossi, Lloyd Barson, Bradley Hyland, Wilson Fung, Nigel Best

Chapter 15. Warranty Impacts from No Fault Found (NFF) and an Impact Avoidance Benchmarking Tool

In the automotive industry the occurrence of No Fault Found (NFF) events is considered to be one of the major threats to the overall reliability and customer satisfaction. It has become essential for automotive manufacturers to carry out quick and effective fault diagnostics to identify the root cause of faults so as to avoid NFF events. Automotive manufacturers need to reduce NFF so as to reduce warranty costs as it has been recognized as one of the most significant costs in their industry and has a major impact on customer satisfaction and their profitability. Research work in the aerospace industry has developed a NFF benchmarking tool designed to address the identification of where NFF costs can be reduced through process, procedural and cultural changes. NFF in the aerospace industry though is particularly concerned with costs of day to day operation and warranty issues are less of an issue. NFF events in a high volume industry such as automotive take on a different character whereby customer satisfaction and brand success is critical to profitability. Using an adapted benchmarking tool in an industry concerned with costs generated by warranty claims will identify the non-value added activities in the fault diagnostic process and provide mitigation strategies to address NFF. The chapter will describe the differences in the impact of NFF to aerospace where warranty costs resulting from NFF are less critical to the impact in an industry where warranty and customer satisfaction with new products is critical to its profitability and success.
Piotr Sydor, Rohit Kavade, Christopher J. Hockley

Chapter 16. Insights into the Maintenance Test Effectiveness

The condition of no fault found (NFF) has been accepted by engineers and operators for many years. Whilst there are known general reasons for NFF one of the areas that is overlooked is the importance of the test equipment, whether built-in test equipment or automatic test equipment, and specifically the effectiveness of the test. How much of a system or component is actually being test by the test equipment? This paper explores the system or component fault coverage effectiveness and the impact on NFF. In doing so a module is proposed to establish the relationship between NFF and test coverage effectiveness for different reliabilities. As the component or system reliability improves along with the test effectiveness the percentage of NFF occurrences decreases. Another consideration is the assumed number of random failures that the design engineers include during the development phases. This is usually an underestimate and the combination of this and the ineffective fault coverage have a negative impact on the operational availability.
John Thompson, Laura Lacey

Cost, Obsolescence, Risk and TES Contract Design


Chapter 17. Best Practices in the Cost Engineering of Through-Life Engineering Services in Life Cycle Costing (LCC) and Design To Cost (DTC)

This chapter defines a number of Cost Engineering challenges from industry and their potential best practice solutions as industry case studies and industry practices surveys completed during the previous 5 years. In particular Life Cycle Costing in the context of upgrade and revamp in the process industry and also an example of design for full life cycle target cost for the manufacturing industry. Life Cycle Costing of complex long life cycle facilities is exemplified by identification and development of a life cycle costing of oil refineries through a survey of 15 companies and full life cycle experts and a review of the literature. Life cycle costing practices and a standardised life cycle cost breakdown structure are identified. Design to full life cycle target cost practices have been identified in the development of a full life cycle cost estimating tool for marine radar systems. In particular a survey of 17 companies and a case study with a marine radar systems company has identified specific practices useful in developing products to full life cycle target cost. In planning for future Through Life Engineering Services it is proposed that the collection of cost data and the understanding of Cost Engineering practices is a potential competitive advantage.
Paul Baguley

Chapter 18. Cost Model for Assessing Losses to Avionics Suppliers During Warranty Period

Reduction of warranty maintenance costs is a critical issue to the manufacturers of avionic products. A method to reduce expected warranty costs is the determination of all components of financial losses to avionic product suppliers during the warranty period with further minimisation of these losses. This study interlinks the warranty, reliability and maintenance indicators of avionic products. Mathematical models are proposed for analysing and assessing financial costs to avionic system suppliers during the warranty period. The developed mathematical models consider the warranty period, reliability indicators with respect to permanent and intermittent failures, redundancy, number of spare parts, cost of restoration and transportation and penalties for exceeding the duration of warranty repair or replacement. Numerical examples illustrating the proposed models are provided.
Ahmed Raza, Vladimir Ulansky

Chapter 19. Product-Service Systems Under Availability-Based Contracts: Maintenance Optimization and Concurrent System and Contract Design

Product-service systems (PSSs) are the result of a shifting business focus from designing and selling physical products, to selling a system consisting of products and services in an ongoing relationship with the customer that fulfills customer satisfaction. A PSS contract can take several forms (e.g., fixed price, capability-contract, and availability-based). The focus of this chapter is on PSSs that use availability-based contracts. In these cases the customer does not purchase the product, instead they purchase the utility of the product and the availability of service in order to obtain a lower cost while still meeting their needs. This chapter addresses the optimization of system maintenance activities, and the concurrent design of the PSS and the contract.
Amir Kashani Pour, Navid Goudarzi, Xin Lei, Peter Sandborn

Autonomous Maintenance and Product Support


Chapter 20. Application of Open Source Hardware to the Development of Autonomous Maintenance Support Systems

Autonomous maintenance systems offer organizations the opportunity to embed state of the art maintenance tools and techniques with minimal operator input supported by a range of technologies such as condition monitoring sensors and techniques, intelligent data processing systems and smart prognostic algorithms. Many companies perceive that autonomous maintenance is difficult to achieve due to a lack of understanding of the infrastructure required to support such an approach as this requires an understanding of the fundamental principles of electronic instrumentation, processing and communication techniques, alongside the ability to create and integrate the appropriate software and firmware. Open source hardware has received attention in recent years as it allows a range of users to create sophisticated applications quickly using readily available components and modules. Such platforms are supported by a range of library software designed to further accelerate and simplify the development process. These products have attracted much attention from hobbyists but are now attracting attention in their own right from potential industrial users. However the reliability of these systems in an industrial environment remains a concern. In this chapter the benefits of applying open source technologies to create an autonomous maintenance system will be examined alongside the perceived and actual barriers limiting their uptake. The required enablers to achieve the potential benefits will then be explored leading to a detailed roadmap identifying what needs to be achieved for the significant industrial potential of these devices and systems to be realized.
Michael Knowles, David Baglee, Pankaj Sharma

Chapter 21. Design for Zero-Maintenance

This chapter looks at the concept of zero-maintenance, in particular how it relates to design. It begins by defining what constitutes zero-maintenance, presenting current research on the themes of autonomous maintenance and self-healing and repair. A wider context of how zero-maintenance affects through-life engineering services is also discussed with a focus on the no-fault found phenomenon. Case studies are then presented for design strategies in self-healing electronics and no-fault found and the failure of design. Finally, a design for zero-maintenance process is outlined and discussed.
M. Farnsworth, R. McWilliam, S. Khan, C. Bell, A. Tiwari

Chapter 22. Graph-Based Model for Context-Aware Maintenance Assistance with Augmented Reality and 3D Visualization

The benefits of augmented reality applications in maintenance are widely known and since high-performance smart devices are the common standard for mobile devices, the actual preconditions for the usage of such applications seem promising. Problems emerge whenever service is to be conducted in an area of banned photography. Using a smart device with a camera is either simply not allowed, or the internal camera has to be pasted over to allow entrance into the restricted areas. Either way, the technician still relies on his maintenance assistant system to provide useful information if he does not want to go back to pen and paper. In this article a concept is elaborated that offers context-sensitive guidance, a highly dynamic data model and different views, depending on the availability of an internal camera and/or restrictions of the work environment. The approach presented was implemented and validated under laboratory conditions with a complex hydraulic system as a demonstrator machine. The prototype will be the foundation of an industrial case study concerning the combination of IoT enabled machinery and smart devices in maintenance later this year.
Michael Abramovici, Mario Wolf, Matthias Neges

Chapter 23. Remotely Piloted Aerial Systems Support Considerations

Remotely piloted aircraft (RPA) also known as drones have in recent years become an essential tool for civilian and military users in finding out information about their environment in a cost effective way. Their uses at small scales have encompassed fields as diverse as crop monitoring through to safety critical inspection on oil rigs. Larger RPA have also found a wide variety of niches from scientific research to shipping monitoring and persistent surveillance of military targets. As these systems have seen wider use across a variety of users at various scales, and with a wide variety of uses a picture has started to emerge of how their unmanned nature offers unique challenges to their through life support and to the frameworks that can be used to assure safe operation through life.
Jonathan Pelham

Chapter 24. Preventive Maintenance Scheduling Optimization: A Review of Applications for Power Plants

This review paper considers literature in the field of preventive maintenance scheduling optimization, particularly for applications to power plants, with the view to assess the methods used and identify research trends and gaps. Aspects of each of the papers such as application domain, problem formulation, model formulation and optimization techniques have been analyzed and assessed. Research trends such as the increasing use of stochastic parameters, multiple objectives and hybrid optimization methods have been identified. A research gap has been identified: the application of discrete-event simulation methods with multi-objective hybrid optimization for power plant preventive maintenance scheduling. These areas provide exciting research opportunities with significant potential benefits for power generation companies including increased profit and reliability.
Neha Prajapat, Ashutosh Tiwari, Xiao-Peng Gan, Nadir Z. Ince, Windo Hutabarat

Chapter 25. Beyond RAMS Design: Towards an Integral Asset and Process Approach

The lifespan to which assets can be efficiently maintained, upgraded or disposed, heavily depends on the characteristics designed into the asset in the design phase. RAMS analysis is a well-established approach often used to reach this target. This approach is however not adequate for handling the complexity of changes and demands placed on nowadays assets. This can lead to reduced performance and unnecessary risk taking. There is a need for a more integral RAMS(SHEEP) perspective including Supportability, Health, Environment, Economics and Politics. Additionally there is often only focused on the asset itself and not on processes supporting the maintenance of an asset. Therefore this chapter does not only give a historic overview on RAMS evolvement, but also aims at answering how the supporting processes can be designed from an integral RAMSSHEEP perspective. We illustrate this by analysing the functional requirements for the Toilet System (TS) of the Sprinter Light Train (SLT).
A. Martinetti, A. J. J. Braaksma, L. A. M. van Dongen

Chapter 26. On the Initial Spare Parts Assortment for Capital Assets: A Structured Approach Aiding Initial Spare Parts Assortment Decision-Making (SAISAD)

In the capital-intensive industry, maintenance expenditures can add up to several times the initial investment. In order to be competitive in their business, owners and users of these capital goods have to take into account the total life cycle cost at investment (e.g. the lifespan of a capital is often more than several decades), the renewal decisions for their installations and the logistic management of the spare parts. Erroneous or unstructured initial spare parts assortment decision-making part of the logistic management can lead to undesired downtime and increases the risk of obsolete or unavailable components. Decision making is complicated by non-existent data in the early design phase and several information management problems. Based on a case study at Netherlands Railways (the largest maintainer of rolling stock in the Netherlands) and literature review a Decision Support Model to structure and improve the data gathering for more effective initial spare part assortment decision making is proposed.
A. Martinetti, A. J. J. Braaksma, J. Ziggers, L. A. M. van Dongen

Chapter 27. The Design of Cost and Availability in Complex Engineering Systems

A lot has been covered in literature about equipment/system availability, through-life engineering services (TES) and cost. However, there are still many challenges remaining in the implementation of TES solutions (e.g. maintenance, training, etc.) to achieve cost and availability targets in complex engineering systems. Industry practitioners seek to improve their ability to predict the evolution of complex engineering systems so that it can embrace proactive behaviour to reduce the through-life cost and increase the level of availability. Contracting for Availability (CfA), a commercial process which seeks to sustain a system or capability at an agreed level of availability, is a good example of how many industry organisations have been implementing TES in their business and experiencing difficulties in performing effective cost and availability estimates, in particular at the early stages of the contracts (e.g. bidding stage), where the most of the costs are committed. This chapter focuses on cost and availability trade-off analysis at the bidding stage of CfA, in the defence context. At this phase there is a need to predict the through-life behaviour of the system (e.g. in a 20/30 year life span), which will be affected by risks and uncertainties that complicate the prediction of the total cost and level of system (e.g. platforms) availability. Two case studies with the UK Ministry of Defence (MoD) enabled the identification of the attributes that impact the cost and availability targets of CfA and the key performance indicators (KPIs) to measure the availability. This led to the development of a framework that gives a major contribution to the decision makers by analysing the required investment in each attribute in order to effectively balance availability and affordability at the bidding stage of CfA. This is a novel research in this context as no other similar approach has been found in literature. It can be further implemented in practice as a simulation model using mathematical equations and appropriate software tools such as excel or matlab.
Duarte Rodrigues, John Erkoyuncu, Andrew Starr

Chapter 28. Defence Support Services for the Royal Navy: The Context of Spares Contracts

“Defence Support Services” (DS2) for the Royal Navy are a particular form of “Product-Service Systems” (PSS). PSS deliver on a turn-key basis equipment/system with related spare parts, training and upgrades to the Royal Navy. In order to stimulate and reward the DS2 provider to improve its services and performance, the Royal Navy wants to shift its contracts from “traditional spare part deliveries” to “performance based contracts” such as “Contracting for Availability” (CfA). However, it has been observed that cost wise, CfA is not logical for all types of complex engineering projects. CfA typically faces higher risks and uncertainties from the solution provider in the early phases of the life cycle (e.g. design phase). There are difficulties in projecting the future costs and required resources in the bidding stage of the contract for the service provider e.g. Obsolescence and required trained workforce for a new introduced technology. These aspects have led some practitioners to prefer spare parts based contracts rather than adopting CfA. However, spare part contracts also have challenges, such as the service provider may not be responsible for the end-to-end process of delivering the support service, and limited time and penalties can cause issues for delivering the service. Moreover, given an extended number of possible solutions, support service providers need an insight from different parts of the supply chain about the cost and time perspectives. This chapter contributes by presenting two novel solutions in spares based contracts including a process to trade-off between time and cost across the supply chain and a framework to assess the costs and benefits of applying “Additive Manufacturing” in the front-end of a DS2 system. Lead time and overall cost are the two main dependent variables across the supply chain. Minimising them lead to a better service delivery. However, there are some challenges for minimising the lead time and overall cost in the supply chain.
Davood Sabaei, Alessandro Busachi, John Erkoyuncu, Paul Colegrove, Rajkumar Roy
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