Performance Measurement for Operational Reliability Management: Case Study in Petrochemical Plant

Abstract

The objective of this research was to develop performance measurement for operational reliability management system (ORMS). The research consisted of studying of relevant theories and concepts about ORMS and strategic performance measurement, including various reliability management processes and tools, and applying appropriate methodologies on production plant to demonstrate how to gain control of the process and sustain the system. The research resulted to (1) guideline for implementing ORMS, which consists of deploying team-based working culture, using reliability management tools for solving problems and making decisions systematically, and applying performance measurement for monitoring and controlling the system (2) methodology for developing ORMS key performance indicator that aligns with business objectives and strategies. The study results had been engaged into ORMS implementation of a Thai petrochemical plant for reference. In addition, the application on the plant demonstrated that; performance measurement followed the studied methodology could be effectively used as corporate strategy deployment to frontline operators and production support staffs. The production team is able to perform their works without losing focus on critical activities of production process by aiming to achieve their KPI targets. The performance measurement is not only used for monitoring performance results, but also can be used for tracking and controlling effectiveness of strategic activities implemented in the process as well. Therefore, performance trend of working process is able to be monitored and corrected before production significance become viable.