Case Study

Steel Company: Bearing Down on Inefficiencies Cost Reductions Through Improved Asset Management

SITUATION

One of the largest North American steel companies was losing millions of dollars in lost time and production with a bearing issue throughout its plant. Needing a root cause analysis, they called on GP Strategies® for answers and solutions.

The Challenge

Our client, through the analysis of its AMEX quality system data, identified that bearing defects were the leading equipment reliability issue for its 170 machine trains. The causes of the bearing defects were improper or inconsistent installation 55% of the time and alignment issues 60% of the time.

GP Strategies Solution

Based on the findings in the client’s initial analysis, the team at GP Strategies collaborated with client representatives from the maintenance and training departments, maintenance engineering, and labor relations to create a custom, multifaceted asset performance management solution. Initially, a performance improvement analysis was conducted using data and delays from their CMMS. Using Pareto and Root Cause Failure Analysis techniques, the team identified opportunities for performance improvement and recommended the following:
• Establish a vibration analysis program.
• Improve training and procedures.
• Provide additional diagnostic hardware.
• Implement a training program for bearing maintenance and shaft alignment.

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Results at a glance
GP Strategies was able to save the client $4.2 million in bearing replacement parts. Of the 170 machine trains, only 23% needed repairs, down from 90% before the implementation of training.

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