Infosys’ blog on industry solutions, trends, business process transformation and global implementation in Oracle.

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April 29, 2010

Disaster Management in Utility Industry a solution through ERP, Oracle Enterprise Asset Management (eAM) .

Generally Utility industry  get mostly affected due to Natural Calamities as  they have huge number of Assets /Equipments installed in the field which are open to sky e.g. Transmission Towers, Transformers etc . Most of the Utility Organizations these days are looking for some sort of solution /help for Disaster Management from any ERP/Asset Maintenance system.

There are two things which can be done using an Enterprise Asset Management during Natural Calamities/Disaster

1)      Avoiding  Equipments/Assets  failures  as much as possible

2)      Better way to manage the Natural Calamities for quick recovery from Damages

Case 1:- Avoiding Equipments/Assets failures as much as possible

Most of the time we read in the news paper that there is blackouts due to tree fall on electric over head cables/ transformers, Pump house Motor Burnt due to short circuiting by rain water these are the few common causes of failures in utility industry which are known to maintenance staff and failure due to such reason could be avoided and eventually huge repair cost can be reduced.

Following are the few pain areas faced by Utility industry (having no Asset Maintenance Management system) to avoid the losses due to known causes of failure ,take a example of performing Preventive maintenance activity of Tree cutting well ahead of rainy season to avoid Power Failures and pain areas to execute it

1)      There is no automatic system generated reminders or Preventive maintenance jobs generation, outcome is high chances of slippage on Preventive work

2)      There is no readily available information on requirement of  spares parts ,equipments/tools ,Standard operating Procedure  to carry out the Preventive activities this leads to delay in work execution

3)      There is no proper  mechanism to note down the failures based on Key words , same failure may be written differently by different maintenance crews ,outcome is No proper logging  of  failures based on the keywords  which leads to improper failure Analysis, cause, frequency of failure etc and hence no Preventive measure 

4)      There is no quick way of finding the pending Preventive maintence  jobs bases on the Equipment ( Transformers, HT Cables etc) criticality, Area, Work Priority the outcome is Preventive work  review is not effective and may missed some high priority activities

5)      No mechanism to simulate the manpower requirement using resource loading which leads to uneven work load on the exiting manpower and hence Preventive work may remain pending

6)      Most of the Divisions work in isolation as there is no integrated system and they might have solution/best practices  to avoid failures and as a result only few divisions can get benefited and solution remains local , rest organization  may struggle to find the solution to avoid the failures

7)      No quick and accurate reports e.g. cost of PM maintenance Vs Cost of repairs during Natural Calamities for all avoidable failures e.g. Transformer Failure due to Tree fall as result difficult to convince top management and delay/no  fund approval for the PM activities

 

How Oracle Enterprise Asset Management System (eAM) helps to overcome above pain areas 

 

1)       In Oracle eAM preventive maintenance activities  can be defined  based on the OEM recommendation and using vast organization's maintenance  man-hours experience and linked to Assets/Equipments  .For these activities Preventive Maintenance (PM) are  defined  which generate Preventive jobs(Work Orders) automatically  based on  frequency  as per PM definition

2)      Each standard Preventive maintenance activity can have details like spares required, type of skilled manpower required(Resources), list of tools required  as an attachment  .All these details gets defaulted from Activity to the Preventive maintence jobs thus ease the work of maintence team they need not required to keep

3)      Using Failure analysis functionality each failure can be categories using ,Failure code, cause codes, resolution codes and all the failures can be analyzed using  these failure codes , Mean time between Failures (MTBF) and additional Failure why why analysis can be capture using Quality collection plan functionality

4)      Various reports can be generated from Oracle eAM for the better manning the work based on the type of Equipment ( Transformers, HT Cables etc) , its criticality, Area, Work Priority etc

5)      Using Schedule workbench functionality resource load based on Department, Area, Period can be simulated for the for routine and Preventive maintenance jobs  so better resource planning and utilization

6)      Oracle eAM is integrated system and  best practices can be shared across organization through  functionalities like Best Preventive maintenance Activities, procedures   and its frequency , standardized failure codes across the organization to analyses data at the organization level

7)      Quick and accurate reporting can be done based on various cost analysis based on the requirement as failure codes are associated with the jobs and each job incurred cost so generating cost analysis  reports based on the requirement is easy and quicker which helps to convince top management and faster funds approval for Preventive maintenance  activity

 

Cases2:- Better way to manage the Natural Calamities for quick recovery from Damages

In utility industry it is not possible to avoid all the failures during disaster and disaster comes without warring or we may not be able to capture the signals given by nature before such disaster but we can be prepared to manage it in proper way for faster recovery to minimize losses. For e.g. Transmission Towers which fall during cyclone due to various reasons and some time cannot be avoided, in such situation some alternative arrangement has to be made e.g. temporary installation of mobile tower to restore Power Transmission quickly.

 

Following are the few pain areas faced by Utility industry having No ERP/ Maintenance Management system while Disaster management

1)      Non availability of critical alternative material /equipment  to restore the system on time leads to delays in restoration process and thus accumulating in losses

2)      No faster data available/visibility from other divisions on the availability of such material /equipment with them so delays in making material available to the required division /region

3)      Non availability of skilled manpower  on time 

4)      Non availability of critical documents like drawing /circuit diagrams /layout maps/Site access approach directions  on time

5)      Delay or Non availability of  historical data to tackle the problems faced in such situation in the past  ,standard operating procedures of special equipments, check lists, contact details of OEM, Contractors

 

 

How Oracle Enterprise Asset Management System (eAM) helps to overcome above pain areas 

1)      Oracle eAM is tightly integrated with Oracle inventory management system, by using Mim-Max planning critical spares can always be maintain at each stores, using other features like substitute items spares can be managed in case of emergency

2)      Oracle eAM has feature of standard activity to which required spares ,manpower, details tasks as operations and its sequence and dependencies can be created  also  SOP, drawings , check list can be attached  such activities can created for Disaster Managements

3)      Maintenance team can be prepared to manage disaster just by creating a works order from a disaster management activities and all the required skilled manpower, spares , drawing ,check lists would get defaulted to the WO form standard activity and by clicking just one button on work order system automatically show the on hand  quantities  of the all the material , even from the same work order the availability of spares in other divisions can be seen so in case any critical spare requirement it can be asked form other divisions

Oracle eAM maintain the historical data and it can be searched based on user requirements like key words, Assets , zone wise, type of problem etc and historical data can be referred as knowledge management

 

April 5, 2010

Upgrade to Oracle Apps R12 - Sow a right seed today to harvest a bumper crop tomorrow

Growing globally, organically or inorganically is the ultimate goal of any organization to adhere to the basic principle i.e. enhancing the enterprise value by satisfying all stakeholders.

One of the difficulties in operating globally is that different localizations, such as statutory and currency, complicate business operations since the business must comply both with global and local policies. Back office ERP systems are supposed to provide support to meet global challenges. However, complexities that result from global operations are still a major hassle, and there comes a decision point when a business must evaluate its current systems and determine if changes / upgrade to the current systems would be required.

Smart business owners know, that by planting the right seeds at right time, their companies can harvest a bumper crop later. By investing up front to upgrade their ERP applications to oracle R12, entities can mitigate various challenges today.

 

Challenges
How eBusiness suite R12 can help?
Large Global Entities:

Ø  How do I meet diverse accounting and financial reporting requirements?

Ø  How do I simplify my financial operations and drive out cost?

Ø  How can IT keep up with a changing business?

 

Global Accounting, Standardized processes and Flexible architecture

Ø  Flexible Ledger structure

Ø  Centralize Accounting using SLA

Ø  Centralize Tax and Payments

Ø  Multi organization access

Ø  Advanced architecture with OAF, XML technologies and fusion middleware

Single National Entity

Ø  How do I streamline my financial close process?

Ø  How do I lower the cost of my finance operations?

Ø  How can I eliminate customizations through configuration?

Simplified processes and compliance, Use standard set ups

Ø  Manage close with ledger sets and advanced tools like WEB ADI

Ø  Centralize Banks, Payments and Intercompany

Ø  Sub ledger Accounting – flexibility to configure accounting rules

SME’s

Ø  How do I compete in a global economy?

Ø  How do I distribute information to the right people?

Ø  How do I maintain applications with limited IT resources?

 

Enhanced efficiency and simplified reporting

Ø  Better look and feel with 300+ enhancements and 18 new modules

Ø  Flexible Report configuration using Report manager and XML  data definitions

Ø  Scalable platform with functionalities like secondary ledgers and definition access sets

Ø  Flexible architecture

 

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