Using Asset Management to Improve Maintenance and Cut Costs

As a petroleum storage and distribution network with more than 50 miles of pipeline and a total tankage capacity of nearly 2.8 million barrels, the pipeline staff knew they needed a serious asset identification and management system in order to track maintenance costs and implement a preventative maintenance solution using automatic data capture. However, with no common asset naming or numbering system, strict regulations to follow, and newly-implemented Maximo® Asset Management software in place, the pipeline staff knew identifying its equipment assets was no easy feat.

“We had no numbering or tagging system for assets,” said the company’s pipeline engineer. “Some assets, like valves, need to be tested and should be serialized in order to collect data to meet regulations. But in general, we needed some kind of standardized numbering system so everyone could locate and identify our pipeline assets the same way.”

Establishing a corporate-wide tagging solution including asset serialization and equipment descriptions with P&ID locations on the tags would not only allow for easier asset identification, but would also allow the storage and distribution network to utilize preventive maintenance and cost tracking programs within its new Maximo system.

“We want to properly and quickly enter a work order and track corresponding maintenance costs.”

“We want to track all costs associated with an asset,” the pipeline engineer said. “We want to properly and quickly enter a work order and track corresponding maintenance costs. That way we can see we spent $50,000 repairing that one valve eight times over the span of one year.”

This petroleum company came to Camcode based on a referral from its parent company who utilizes Camcode for its durable bar code labels and customized asset management services. The petroleum company tasked Camcode to help develop a common data and naming/numbering system, identify and reconcile assets, review each asset to determine the proper label type, produce durable bar code labels, and install the labels on corresponding assets in an accurate and consistent manner.

Camcode began by assisting the petroleum company with a naming/numbering system. With direction from one of the company’s operators, Camcode team members came onsite and, via a walk down, reconciled and assessed more than 800 valves, motors and pumps to assign descriptions to each piece of equipment. Once the naming/numbering system was established, the company reviewed and approved each description.

During the onsite review, the Camcode engineering team also performed a parts assessment to determine the best way to uniquely identify and mark every piece of equipment, including assets on rotation. Each piece was evaluated based on its surface, usage, and environmental factors such as operational environment, equipment maintenance procedures, and interaction with other pieces of equipment. Gathering and reviewing this information allowed Camcode to select the proper label type, size and attachment method for the 800 pieces of equipment.

Based on their assessments and the need for durability, the Camcode engineering team recommended Metalphoto® labels for all equipment since Metalphoto labels remain readable for 20-30 years outdoors. With challenging equipment surfaces and outdoor conditions, the Camcode engineering team primarily used stainless wire to attach labels. Other labels were attached with rivets, with adhesive as another attachment option.

The petroleum company also wanted to ensure their labels contained a mobility aspect, so the labels included barcodes. “In the future, we will use iPads and other mobile equipment to scan the barcode and all corresponding information will be right there and be tracked in Maximo,” said their pipeline engineer. “It’s still a work in progress, but the tags were an essential step in order for that to work properly.”

“I was confident the Camcode guys out in the field knew what they were doing and followed all safety requirements.”

Along with the label design, the Camcode engineering team created a marking specification for each type of equipment. These specifications were used as a blueprint for label production and installation, and contained detailed directions and photographs on the label placement for efficient scanning and data capture in the field. Going forward, these marking specifications also allow the petroleum company’s employees to identify assets and determine label placement for new assets on their own.

After the company reviewed and approved the proposed label designs and corresponding marking specifications, Camcode manufactured the labels and specially packaged them along with the marking specifications. With special packaging, the labels are arranged by equipment type and P&ID location along with the corresponding marking specifications. This allowed the Camcode team to perform label installation faster, easier, more efficiently. Each label was scanned and validated during the installation process to ensure accuracy.

“Camcode manufactured the labels with the exact information we wanted,” the pipeline engineer said. “We knew they were durable, would not fade, and would still be readable if paint got on them.”

The entire project went smoothly from the very start. “Everybody was extremely easy to work with and very responsive. The program seemed to run itself,” said the pipeline engineer. “I was confident the Camcode guys out in the field knew what they were doing and followed all safety requirements.”

“Overall, we were extremely happy with the product and services,” said the pipeline engineer. “Now every asset has a visible number and corresponds with Maximo.”