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ArcelorMittal Burns Harbor Operation Uses AssetWise Performance Management to Achieve USD 2.1 Million in Savings in One Year

ArcelorMittal Burns Harbor Operation Uses AssetWise Performance Management to Achieve USD 2.1 Million in Savings in One Year

ArcelorMittal Burns Harbor Operation Uses AssetWise Performance Management to Achieve USD 2.1 Million in Savings in One Year

Product catalog summary
Overview: The case study highlights the implementation of Bentley's AssetWise Performance Management at ArcelorMittal Burns Harbor, which led to significant savings and operational improvements. This initiative, part of the World Class Equipment Reliability (WCER) effort, resulted in USD 2.1 million in savings within a year, along with enhanced safety and work conditions.
Situation: ArcelorMittal USA aimed to improve equipment reliability by developing a consistent business process with world-class practices. A central team, trained by Bentley consultants, was formed to implement the WCER initiative across plant sites.
Solution: The Burns Harbor hot strip mill (HSM) was prioritized for WCER implementation due to high delay rates. A dedicated team focused on proactive asset management, supported by Bentley's software, to enhance reliability. The team included roles such as Asset Coach, Reliability Practitioner, and Equipment Specialist, each with specific responsibilities.
Implementation: The WCER team used AssetWise Performance Management to prioritize assets based on risk and applied predictive technologies for inspections. They developed 11,236 indicators organized into 386 inspection routes, facilitating proactive maintenance and reducing downtime.
Results: The program achieved USD 2.1 million in savings by avoiding equipment failures, improving corrective work efficiency, and reducing energy usage. Predictive technologies and KPI dashboards further enhanced the program's effectiveness.
Conclusion: The successful transition from reactive to proactive maintenance at Burns Harbor demonstrates the value of structured reliability processes and advanced management tools in achieving operational excellence and cost savings.
Overview of Improvements and Cost Savings: The document outlines significant improvements and cost savings achieved through the WCER program at the Burns Harbor hot strip mill. Key achievements include:
  • Avoidance of equipment failure, resulting in savings of USD 1,282,500.
  • Increased efficiency during scheduled plant shutdowns, improving schedule compliance from 65% to 80% and saving USD 394,400 annually.
  • Reduction in asset downtime, leading to energy savings of USD 400,000.
Significant Costs Avoided: Examples of avoided costs due to proactive maintenance and redesign include:
  • Redesign of lubrication hoses in the finishing mill stand No. 1, preventing bearing failures and saving USD 200,000 annually.
  • Vibration inspection of finishing mill No. 6, avoiding a potential gearbox failure and saving USD 385,000.
  • Infrared thermographic inspection of main drive spindles, preventing spindle failures and saving USD 480,000.
  • Lubrication oil analysis of ram gearboxes, avoiding failures and saving USD 114,000.
Effective Use of Manpower: The WCER program improved manpower utilization during weekly scheduled shutdowns, increasing work schedule compliance to 80% and saving USD 394,400 annually. This was achieved by identifying critical corrective work in advance, allowing for better planning and scheduling.
Additional Benefits: Other benefits of the WCER program include improved safety for work crews, better working conditions, and significant savings without increasing the labor budget. The program has also led to a focus on cleaning and maintaining the finishing mill area.
Future Direction: The WCER team is now tasked with implementing a proactive maintenance program for additional areas, expanding their responsibility to 50% of all HSM assets. The team aims to continue improving reliability across all assets by leveraging their focused approach and effective use of resources.
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Catalog excerpts

ArcelorMittal Burns Harbor Operation Uses AssetWise Performance Management to Achieve USD 2.1 Million in Savings in One Year-1

CASE STUDY Project Summary Organization: ArcelorMittal USA Solution: Metals and Mining Location: Indiana, United States Project Objective: • Senior leadership directive to develop and implement a reliability business process to reap the benefits of capital expenditure. • Launch a World Class Equipment Reliability effort to drive and support reliability improvement activities. Products Used: AssetWise Performance Management Fast Facts • ArcelorMittal Flat Roll Operations has 12 operating facilitates and employs over 17,000 people. • AssetWise Performance Management Health Indicator Panel consolidates all sources of condition data and provides a central view of the health of assets. ROI • Saved a total of USD 2.1 million in the first year. • Avoided equipment failure. • Improved efficiency of corrective work. • Lowered energy usage. • Improved safety and working conditions. • RCM recommended redesign saved USD 200,000 per year by avoiding unnecessary bearing failures. ArcelorMittal Burns Harbor Operation Uses Bentley InRoads AssetWise Performance Management to Powerful tools for the design of civil infrastructure Achieve USD 2.1 Million in Savings in One Year ® The ArcelorMittal USA Flat Roll Operations is comprised of 12 operating facilities employing over 17,000 people. The World Class Equipment Reliability (WCER) team at the ArcelorMittal Burns Harbor hot strip mill has achieved very dramatic results in a one-year period. Total savings in the first year were USD 2,076,900. Other positive benefits include increased safety and a cleaner work environment. Situation Senior leadership determined that in addition to investing capital in production equipment replacement or upgrade, a complete and consistent reliability business process would be developed and implemented and coupled with world-class reliability practices and tools to reap the full benefits of any capital expenditure. To launch its World Class Equipment Reliability (WCER) effort, ArcelorMittal USA formed a central team with members from each U.S. site. It partnered with Bentley to learn and utilize the renowned Bentley reliability process, practices, technology, and methodology. This central team was trained by Bentley consultants and the team members deployed to their plant site to launch the WCER initiative within the specific business unit. The objective of the training and coaching was to prepare the ArcelorMittal USA central team members to be the internal WCER trainers and coaches for personnel throughout their operations. This development effort enabled each plant site with a central WCER team of internal reliability practitioners to drive and support their reliability improvement activities going forward. Bentley’s AssetWise Performance Management software was selected as a tool to support the ArcelorMittal USA WCER implementation. The software was installed on its corporate servers using a single database for all U.S. operations. In order to effectively manage the full scope of the WCER business process, a custom interface to the Tabware computerized maintenance management system (CMMS) was designed, tested, and implemented. The Burns Harbor hot strip mill (HSM) operation was identified as a high priority candidate for WCER implementation. It was experiencing an average delay rate of greater than 22 percent. In order to achieve the business plan of 17.58 percent average delay rate, significant improvements in production equipment reliability were necessary. Through much of the year, the HSM was not operating at full capacity. However, as economic conditions improved, the production requirements for the facility increased significantly. This opportunity was another reason to take action to reduce the high delay rate for the HSM in a sustainable manner. Solution To begin addressing the reliability issues within the HSM at Burns Harbor, a team was assembled to focus exclusively on applying the WCER approach and methodologies within this business unit. This began with the implementation of a proactive asset management business process. The initial area of focus was the finishing mill, which consistently experienced the highest delay rates for all of the HSM. Critical to the program’s success was ensuring that the HSM WCER team, which represented 6 percent of the total maintenance workforce, be able to focus exclusively on proactive activities and not be pulled away to deal with day-to-day reactive duties. Area leadership demonstrated its support of the improvement effort by dedicating a total of 10 full-time PLAN Align Reliability Strategy with Business Goals Work Identification Identify Physical Assets Contributing to Goals Continuous Improvement Loop CONTROL Work Planning Work Scheduling Sustained Maintenance Loop Prioritize Assets by Consequence/ Relative Risk Establish Targeted Performance Requirements Performance Analysis Work Execution ArcelorMittal WCER Asset Management Business Process

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ArcelorMittal Burns Harbor Operation Uses AssetWise Performance Management to Achieve USD 2.1 Million in Savings in One Year-2

ARCELORMITTAL BURNS HARBOR Current State The Process of Moving From Reactive to Proactive – How ArcelorMittal Successfully Made the Transition Desired State Proactive Proactive resources from within the HSM to the WCER effort. These resources included seven individuals from the HSM maintenance group, one from the operations group and two from the operations technology group. In addition, an external resource was brought in to lead the effort in the role of Asset Coach. The Burns Harbor Central Reliability Team provided WCER skills training and coaching to the HSM team members and ensured that...

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ArcelorMittal Burns Harbor Operation Uses AssetWise Performance Management to Achieve USD 2.1 Million in Savings in One Year-3

ARCELORMITTAL BURNS HARBOR them active to ensure that they do in fact apply in the operating context of the new asset. The use of this software functionality allowed for rapid implementation and deployment of technically based maintenance programs for the like type systems within the finishing mill. Their strategy to employ templates and analysis copying enabled the HSM WCER team to rapidly implement 11,236 indicators within 12 months. With use of the AssetWise Performance Management Asset Health Indicator Panel, the team was enabled to manage equipment problems by exception since the software...

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