Difference between asset, rotating asset, sub assembly and spare part

Sometimes for an EAM beginner, it becomes difficult to differentiate among asset, rotating asset, sub assembly and spare part. Hence some tips.
Asset - A piece of hardware which resides in a location. You do maintenance on this. Carries an individual number.

Sub Assembly - Component of a piece of asset, each one of which has it's own asset number. Actually a child asset.

Spare Parts - Replaceable, disposable, repair parts. Not tracked as asset but tracked as Inventory. Tracked by quantity.

Ask following simple questions to yourself before deciding on spare parts or assets:

- Are they asset sub-assemblies?

- Do they have their own asset number?

- Do you want to track maintenance on each of them?

- Are extras stored in inventory?

If the answers are "Yes', they are subassemblies (Actually an asset). Then create individual asset numbers for them.

If "No", they are spare parts. Then, create inventory item numbers for them and associate them with asset as spare parts.
Rotating Asset - An asset which has item number also. Confused!!!!! Let us assume, you have an asset, which you want to send to vendor for repair. As per the standard business practice, you will send the asset to vendor through your storeroom (inventory). In order to have the asset tracked in storeroom (inventory), you need to have an item number also. Hence create an item number, specify it as "Rotating" (Item Master property). Attach this item number to the asset. Your asset becomes rotating.

Courtesy: An old compilation from Infy Team

Seasonal PM

A seasonal PM is a PM in which you can specify the active season to specify the period to execute work you do only during certain seasons. You can specify a Start Month & Day and End Month & Day so that PM schedule will generate the work order only between Start (month and day) and End (Month and day).

For Example, for a particular maintenance work the frequency is 1 month. But at the same time, you do not want to trigger any WO from PM schedule between 15 Jan and 15 Mar because of some peak season production. Then you can specify the active season in PM schedule as Starting at 16 Mar and Ending at 14 Jan.



Courtesy: An old compilation from Infy Team

Reorder Point and Reorder Quantity Calculation

MAXIMO reorders the quantity for an item whenever the current balance is less than or equal to the reorder point (ROP). The quantity to be ordered is calculated as follows:
Round the difference of ROP and Current balance to the nearest multiple of EOQ.



Example:

Assume Reorder Point = 30, Current Balance = 8, Economic Order Quantity =10.

Difference of ROP and current balance becomes 30 - 8 =22.

MAXIMO rounds the difference (22) up to 30, which is the nearest multiple of the order quantity (10). This is the quantity, MAXIMO suggests you for reordering. You can override it.

When the current balance is not less than the reorder point, and Ignore Reorder Point is checked, then EOQ becomes the suggested reorder quantity. 

Courtesy: An old compilation from Infy Team

Usage of Work Order, Quick Reporting and Labor Reporting applications

Work Order, Quick Reporting and Labor Reporting applications refers to the same database table workorder. The difference lies in the data accessibility needs for intended users of these applications.

Work Order: Used to create a WO, plan labor, material, service and tools to execute it. Scheduling of the WO can also be done here and finally reporting the actuals.

Quick Reporting: Used to directly create ad-hoc WOs and report actuals for it. The need for such WOs might be due to a closed WO that has not actually been worked on, or some activity not planned on it and so issue not actually resolved. It is also leveraged when due to time constraint planning and scheduling of a WO is skipped.

Labor Reporting: This application has been provided specifically for labors\supervisors to report actual on WOs.

In continuation with the multisite and multiorganization strategy

IBM suggests having a single MAXIMO database for one company. That database can have multiple organizations and those organizations can have multiple sites.

·         Chart of Accounts, Base Currency, Taxes, Calendar, Tools, Vendors, Items, Crafts, Labor and Purchase Agreement are defined at organization level.

·         All Work Management data like Asset, Locations, Work Orders, Work Requests, Quick Reporting, Job Plans, Safety Plans, PM, Condition Monitoring, Failure Codes, Routes are defined at site level. Inventory features like storeroom, reorder, safety stock, issues and transfers, PRs, RFQs, POs, Invoices are at site level.

Multisite setup can be accessed using Administration module.

Courtesy: An old compilation from Infy Team

Multisite and MultiOrganization Strategy in MAXIMO

A Multisite implementation of MAXIMO enables different company plants to share data from a single database. In this case, multiple sites access the same shared database, while operating under independent business rules. It allows different sites to share Purchase Agreements and Vendors, while keeping work orders and job plan data separate, within an organization. All the sites need to be defined within an organization. An organization is a major division of a company. By using multisite setup, you can organize your company's plants into organizations and sites.

For example, consider the case of Reliance Industries. They have Power generation companies, Refineries and Chemicals business, within reliance umbrella.  They can define all the power generation companies as one organization (POWER), all the chemical production plans as another organization (CHEMICAL) and refineries as third organization (REFINERY); thus having three organizations within a single shared MAXIMO database. Each organization can further be divided into multiple sites (For three chemical production plants, three different sites within CHEMICAL organization) to have the similar kind of business rules for chemical industry. Some business elements/rules reside at the database level, some at organization and some at site level.



Courtesy: An old compilation from Infy Team