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• What is the correct methodology that should be used to assess

Steven G. Nornhold the return on investment on capital replacement of assets?
1321 Lawrence Road, Danville, CA 94506 • Is time-directed maintenance the most cost-effective approach to
Mobile Phone: +1 925 382 3482 maintaining network assets?....What are the alternatives?
e-mail – “steven.nornhold@irconsultants.us”
IRC's Solution and Services:
Pennsylvania State University, B.S. Honors Nuclear Engineering
Harvard School of Public Health/Harvard Medical School IRC's RCM Solution, "The Preventive Maintenance Optimizer",
Naval Nuclear Power School, Orlando, Florida contains system models, criticality matrix/questions, and asset
Naval Electronics Technician ‘A’ School, Great Lakes, Illinois models for various asset intensive industries. The criticality
matrix/questions in conjunction with the extensive library of asset
models enable clients to cost-effectively assess the criticality of
their assets throughout their asset base and subsequently make
Professional Expertise
prioritized asset management decisions (e.g. prioritize capital
replacement, preventive maintenance, and corrective maintenance
Sole-Proprietor of International Reliability Consultants (IRC)
decisions). IRC utilizes the "The Preventive Maintenance Optimizer"
(1994 – Present)
in conjunction with on-site consulting services to set-up RCM
Programs, Asset Management Programs and IT Implementations for
IRC has developed a global niche in optimizing preventive
their clients.
maintenance practices within asset intensive businesses (e.g.
electric, gas, water, energy, mining and telecom). IRC's RCM IRC, is currently providing a significant amount of Data
methodology has enabled our clients to cost-effectively assess and Cleansing/Data Creation Services on ongoing and/or post MAXIMO
assign criticality rankings (i.e. High, Medium, Low, Not-
and SAP implementations (e.g. Asset and Location Equipment
Critical) to their assets throughout their asset base. These asset
Hierarchy Build, Bills of Materials Cleanse/Creation, Preventive
criticality rankings enable businesses to: (1) drive their preventive
Maintenance Job Plans Cleanse/Creation, Legacy Work Order
maintenance activities where it is needed most, (2) prioritize their
History Cleanse/Data Mining, etc.). Provided below is some
corrective maintenance actions, and (3) make more informed capital
background information on IRC's Maintenance and Reliability
asset replacement decisions. Furthermore, IRC's methodology has
Products and Services, Preventive Maintenance Program
helped asset intensive businesses answer the following key
Implementation/Computerized Maintenance Management System
questions:
(CMMS) Configuration Experience, and Maintenance and Reliability
Data Cleansing/Creation Services.
• Should like assets have the same package and frequency of
preventive maintenance activities or should operational criticality IRC's consulting personnel have both deep skills in the development
drive the frequency and package of preventive maintenance
and implementation of preventive/predictive maintenance programs
activities?
and the configuration and implementation of CMMS Preventive
• What are the dominant modes and failures causes of our assets
Maintenance Modules. IRC's Preventive Maintenance
• What is the best work breakdown structure and process to
configuration/implementation experience dates back to 1994 when
identify asset failures within our business? (e.g. What are the
we first teamed with IBM Global Services and Andersen Consulting
failure modes, failures causes that should be used to classify
to deliver SAP and MAXIMO implementation services globally.
network asset failures? and - What are the roles of customer
care representatives, in-sourced and out-sourced tradesmen,
IRC has extensive experience with configuring the CMMS to enable
and operations in documenting asset failures?)
RCM Program Implementation (e.g. triggering on-condition
• Is there a correct preventive/corrective maintenance ratio for our
preventive maintenance tasks, interfacing with predictive
assets? maintenance technologies, tracking/trending "As-Found" and "As-
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Left" data captured during PM Activities, tracking and trending MTBF
data captured within Passport through the use of pre-
developed "Damage, Cause, Remedy Codes")
IRC has compiled an extensive library of "equipment maintenance
templates" that are applicable to all industry verticals. IRC's
equipment templates are used to: (1) develop and communicate
standard preventive maintenance tasks and intervals for equipment
based upon common business drivers (e.g. equipment: criticality,
operating environment, repair history, etc.) and (2) standardize the
preventive maintenance practices implemented by CMMS' like SAP,
Indus Passport, MAXIMO, etc.
IRC has an extensive library of equipment "Damage, Cause,
Preventive Maintenance Task Codes" for typical manufacturing
equipment. IRC utilizes this reference library (resident in IRC's RCM
Software Tool: "The Preventive Maintenance Optimizer") to advise
clients on the right level in which to collect, document and analyze
equipment failures within their CMMS.
SAP/MAXIMO Work Summary:
In the past 20 years, Steven Nornhold has delivered several asset
management and operational excellence projects working with large
IT Integrators such as Accenture LLP and IBM. Specifically he has
supported these companies with the management and delivery of
asset management projects covering Data Cleansing, Data
Migration/Conversion, Integrations and Deployment of ERP, EAM
and CMMS Systems (e.g. SAP, MAXIMO, Meridium). These projects
have included the implementation of Maintenance Best Practices,
Process Re-engineering, Training and Change Management. In
most cases Steven has acted as a Project Manager during the
deployment of SAP and/or MAXIMO and/or Meridium. His typical
responsibilities include:
• Planning and coordinating project team activities to
implement SAP/MAXIMO/Meridium.
• Determining client requirements and translating these
requirements into operational plans.
• Identifying resource requirements to meet project
requirements.
• Managing both internal and external subcontractors during
different phases of the SAP/MAXIMO Implementations.
• Analyzing and tracking project progress and costs,
• Developing communication plans to ensure all stakeholders
are aware of project objectives, scope of work, schedule, key
milestones, resource requirements, and overall costs.
• Managing both internal and external resources (e.g. 20 to 50
resources).
He has extensive Engineering, Operations and Maintenance process
experience acquired through working in multiple industry verticals
(e.g. Oil & Gas, Petrochemicals, Electric Generation, Electric/Gas
Transmission and Distribution, Mining and Manufacturing).
Through his proven Management skills and process ownership
experience he has a sound knowledge and understanding of
Enterprise Solution Deployment and the value of Process Integration
and Change Management during the implementation of SAP,
MAXIMO and Meridium.
A Selection of Steven Nornhold’s Experience
• Over 20 years of experience working on Maintenance, Reliability
and IT Projects.
• Management of Project Teams for development, implementation,
deployment and delivery of ERP Solutions, SRCM and
Maintenance related Programs including SAP, MAXIMO and
Meridium and Asset Management Projects. Industry Clients
include: Chevron, ConocoPhillips, British Petroleum, Shell, BP,
Jemena Electricity and Gas, Tesoro and many more.
• Extensive Operations and Maintenance process experience
working on multiple Projects at Client Sites internationally.
• Extensive EPC turnkey project experience and the Delivery of
Operations and Maintenance.
• Developed and optimized plant maintenance strategies, including
materials management (Supply Chain Applications).
• Developed implementation/deployment plans and integration
processes for SAP-PM and MAXIMO-PM, and SAP-Meridium,
MAXIMO-Meridium.
• Developed the specification for integration of SRCM with SAP-PM,
MAXIMO-PM.
• Establishment of IRC Business Units in North America, Europe,
Australia and other Asia Pacific Countries.
• Project Management of SAP and/or MAXIMO and/or Meridium
Implementations.
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General
Responsible for the set up of IRC business units, marketing and
Management of Deployment and Delivery Project Teams for
Enterprise Solution (e.g. SAP, MAXIMO, EMPAC/PASSPORT), and
process improvement projects namely associated with the application
Reliability Engineering Services and SRCM at Energy and Process
Businesses covering; Energy Pipelines, Refineries, Electric, Gas and
Water Utilities, Mining, and other process Industries.
Provided on site Project Management of ERP/EAM and RCM
Projects at Energy Pipelines, Refineries and Electric, Gas and Water
Utilities and Mining client sites.
Project Management of Enterprise IT Projects (1998 – 2015) SAP
and MAXIMO and Meridium Implementations:
Jemena Electricity and Gas (Australia) (2014 – June, 2015)
1SAP Implementation and Deployment – Jemena Electricty and
Gas Networks in Melbourne and Sydney, Australia
• Review of RICEFW Inventories for SAP Plant Maintenance
for Jemena;’s Gas Netowks
• Design of Functional Asset/Location Hierarchy for
Transmission and Distribution Gas Assets
• Identification of Compatible Units and their alignment with the
Asset/Functional Location Hierarchy
• Identification of Preventive and Corrective Maintenance
Processes for Jemena’s Gas Networks
• Creation of Preventive Maintenance Data Structures for
Jemena’s Gas Assets (e.g. PM Strategies)
• Design of Bills of Materials (BOMs) – Functional Logation
BOMS and Equipment BOMs for Compressors Stations and
Regulators
• Design of Equipment Damage and Cause Codes
• Responsible for Data Cleansing, Enrichment and Creation of
SAP Master Data: Assets/Functional Locations, Equipment,
PM Strategies, and Bills of Materials
BHPBilliton Global (2012-2014)
1SAP Implementation and Deployment – BHPBilliton Global
• Responsible and Accountable for the Project Management of
Work Management Deliverables for Data Cleansing and
Conversion Compliance to 1SAP requirements
• Manage and Direct Development and Creation of PM
Strategies, Plans, Task Lists, PRT’s, Component and BOM
Cleansing, etc. for 1SAP Data Load and Implementation
• Provide Support to the Master Data Conversion Team for
• Provide support to the Change Management Team for the
delivery of 1SAP Training needs.
Brisbane City Council (2011 - 2013)
Assets and Works Management Functional Stream Lead / Business
Transformation and ERP Implementation Development. Steven
Nornhold has led the Assets and Works Team through the following
project phases:
• Asset Management Gap Analysis
• ERP Functional Specification Development
• ERP Software Selection b/w SAP, Oracle and Mincom
• Creation of High Level Design Blue Printing (Level 1 – 4)
• Creation of RICEFW Inventories for SAP Plant Maintenance
• Creation of Business Case to support the Implementation of
SAP at Brisbane City Council
• Creation of the Business Transformation and SAP
Implementation Plan/Schedule
Responsible for leading and managing the cleansing, enrichment and
creation of the following SAP Master Data Objects:
• Asset Functional Location Hierarchy
• Task Lists
• Task Strategies
• Task Measuring Points
• Bills of Materials
• Asset Damage and Cause Codes
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Chevron Downstream and Chevron Shipping (2006 - 2011)
Project Manager, Data Management Lead, IT/RCM SME / Chevron
Global Refining EAM MAXIMO/Meridium/SAP/Ariba implementation:
This project involved several concurrent work streams applied over
multiple international sites. Steven Nornhold’s responsibilities
included the development of standards and practices as well as
management, organization, and oversight of the Data Management
Work Streams. Work streams included equipment record Data
Cleansing, RCM Analysis Activities, Business Process Mapping,
Defining the Functional Requirements for the MAXIMO, SAP, and
Meridium Solution, Hierarchy Build, creation of Preventive
Maintenance Job Plans and Task Lists, Master PM Templates,
Failure Causes and Codes (root cause analysis), P&ID review and
validation, and BOM optimization. As this project spaned multiple
refineries (domestic and international) these work streams had to be
standardized to meet Chevron’s Global EAM requirements as well as
MAXIMO and Meridium standards and yet be easily applicable to
specific refinery needs. Identification of common areas and
resolution of disparate areas was a critical aspect of this project.
Change Management played a key part in the success these
workstreams as stakeholder input and local refinery cultures needed
to be managed at eight (8) different refineries, yet one standard
solution needed to be delivered.
Project Manager/ MAXIMO Implementation / Chevron Marine
Transportation MAXIMO Implementation: Steven Nornhold’s
responsibilities in the project included Business Process Mapping,
Facilitating the creation of the RICEFW Inventory, development of an
asset and location hierarchy structure for MAXIMO, cleansing of
legacy data, establishing standards for Master PM’s and Work
Orders, and developing a format for Main Engine and other critical
equipment turn-around tasks. No hierarchy was in place prior to this
project, so the development had to include a methodology for
creation of functional locations, identification of Sections and
Systems, and hierarchy build standards. These had the additional
requirement of being applicable fleet-wide as well as across different
vessel types and configurations. As the Project Manager Steven
Nornhold’s role was to function as liaison in identifying the client’s
needs and working with IBM to provide that functionality in the
MAXIMO program.
Chevron’s Project Development and Execution Process (CPDEP)
was used to manage both Chevron Downstream Implementation of
MAXIMO/SAP/Meridium and Chevron Shipping’s MAXIMO
implementation project. The CPDEP process provides a 5-phase
approach to definition and execution of a project:
1. Identify and Assess Opportunities
2. Generate and Select Alternatives
3. Develop Preferred Alternatives
4. Execute
5. Operate and Evaluate
At each Phase, CPDEP provides a good definition of:
• Decision Makers
• Deliverables
• Work Team
• Focus Items
• Resources
• Value
• Metrics
• Role of Owner's Project Support Team
Steven fully understands the CPDEP process, phase gates and the
deliverables that are required throughout CPDEP’s five phases (e.g.
Decision Review Board (DRB) presentations, Decision Support
Packages, etc.)
Tesoro (2011 - 2012)
Project Manager and Materials Analyst / Tesoro Golden Eagle (San
Francisco) Refinery (Downstream): I was brought in to evaluate the
impact that Materials Management, specifically the condition and
handling of Bills of Material, was having on asset reliability,
downtime, production loss, and materials costs. I was able to identify
key factors, including the unrestricted use of automated BOM
building programs within SAP and lack of coordination with
Engineering and engineered product vendors. Established a
methodology for cleansing of BOM’s, including work order validation,
vendor queries, OEM update and validation, and SME reviews. Data
loads in to SAP included commonly used maintenance documents,
including seal drawings, shop drawings, and OEM exploded views.
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Project Manager/ ConocoPhillips Rodeo (San Francisco) Refinery
(Downstream): Project Manager for development and
implementation of a Maintenance Strategy for application within SAP,
including maintenance work orders, turn-around tasks, and
maintenance routes for the refinery Hydrocracker Upgrade project.
Project included rotating and fixed equipment as well as electrical
transmission & distribution and controls & instrumentation. This
project spanned much of the operational refinery, including the
unicracker, fractionation, sour water stripper, sulphur / amine plant,
sulphur recovery, and cogen / utilities. Work was performed during
project construction and commissioning to allow the work orders and
routes to be in place when the equipment went live. The primary
data sources were the project deliverables provided by Fleur
Engineering, including O&M Manuals, P&ID’s, construction drawings,
electrical one-lines, and direct contact with equipment manufacturers.
This data was applied using refinery standards and SME reviews.
ConocoPhillips (2007 - 2008)
Project Manager and RCM Analyst / ConocoPhillips Rodeo (San
Francisco) Refinery: Project Manager for development and
implementation of maintenance work orders, turn-around tasks, and
maintenance routes for the refinery Hydrocracker Upgrade project.
Project included rotating and fixed equipment as well as electrical
transmission & distribution and controls & instrumentation. This
project spanned much of the operational refinery, including the
unicracker, fractionation, sour water stripper, sulphur / amine plant,
sulphur recovery, and cogen / utilities. Work was performed during
project construction and commissioning to allow the work orders and
routes to be in place when the equipment went live. The primary
data sources were the project deliverables provided by Fluor
Engineering, including O&M Manuals, P&ID’s, construction drawings,
electrical one-lines, and direct contact with equipment manufacturers.
This data was applied using refinery standards and SME reviews.
SAP Data Creation, Equipment Criticality, PM/RCM, BOM
ConocoPhillips Rodeo HEP Project:
• Equipment/RCM Templates and data load to SAP
• PM Task Lists and Maintenance Plans and data load to SAP
• Maintenance documents and Task Instructions and Link to
SAP PM
• Developed SAP MM and Equipment BOM’s and data load to
SAP
• Implement SAP Strategy PM’s for HEP Equipment and data
load to SAP
• Develop PM Activities and Schedules and data load to SAP
SAP Data Creation, Equipment Criticality, PM and RCM
ConocoPhillips Bayway Refinery:
• Validation of stand alone Critical Instrument (CI) data base
and criticality ranking
• Preparation of CI Data Base and loading into SPI (INTOOLS)
• Equipment Registry and data load to SAP
• Functional Locations/Equipment Hierarchy and data load to
SAP
• Master Maintenance Templates and load to SAP
• SAP PM Task Lists and Maintenance Plans and load to SAP
• External PM documents and Link to SAP PM
• Implement SAP Strategy PM’s for I&E Equipment
• Operations and PM routes and load to SAP
Bosch (2006 - 2007)
SAP PM Implementation Project Manager and RCM Analyst / B/S/H
(Bosch und Siemens Hausgeräte GmbH) SAP implementation:
Steven Nornhold’s primary responsibility on this project was to
develop and oversee the implementation of the Maintenance Module
of SAP PM across 4 U.S. manufacturing plants. As the first
implementation in North America, configuration had to meet local
requirements as well as the protocols established by IT Global in
Germany. Required steps were identified as the development of an
SAP Functional Location and Equipment ID hierarchy, development
of Maintenance Templates to standardize practises across multiple
sites, and the integration of Predictive Maintenance practices.
Maintenance Tasks (including task frequencies, durations, and
required materials) were created utilizing a physical inspection of
each piece of equipment, a review of legacy information, and an
evaluation of the equipment manufacturers’ recommendations.
Results were fine-tuned in a review process with appropriate
maintenance and engineering personnel. BOM’s were created for
each asset to address standard consumables as well as required
spares. Failure and Cause Codes and Key Performance Indicators
(KPI’s) were identified. IRC was responsible for configuration of the
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SAP Maintenance Module and data loading. Detailed PM’s were
created, identifying key equipment and indicating all steps required
for completion of the task, allowing for cross-training of maintenance
personnel or the addition of new technicians. Process Safety
Management practices were developed, including energy isolation
and lock-out / tag-out procedures.
DMS Pharmaceuticals - Greenville, NC (2006 – 2007)
Project Manager/RCM Analyst - Responsible for the Criticality
Analysis of Assets to identify where maintenance resources should
be focused to preserve the integrity of the production process and
address health, safety, and environmental concerns. of equipment by
criticality. The Assets analyzed were within the HVAC Systems used
for the clean room environments. This included the systems
protection and control for these systems. The recommended
Preventive Maintenance recommendations were implemented via
MAXIMO. In addition, Problem, Causes, Remedy Codes created
during the RCM analysis were utilized within MAXIMO for HVAC
Assets.
Bosch (2006 - 2007)
SAP PM Implementation Project Manager and RCM Analyst / B/S/H
(Bosch und Siemens Hausgeräte GmbH) SAP implementation:
Steven Nornhold’s primary responsibility on this project was to
develop and oversee the implementation of the Maintenance Module
of SAP PM across 4 U.S. manufacturing plants. As the first
implementation in North America, configuration had to meet local
requirements as well as the protocols established by IT Global in
Germany. Required steps were identified as the development of an
SAP Functional Location and Equipment ID hierarchy, development
of Maintenance Templates to standardize practises across multiple
sites, and the integration of Predictive Maintenance practices.
Maintenance Tasks (including task frequencies, durations, and
required materials) were created utilizing a physical inspection of
each piece of equipment, a review of legacy information, and an
evaluation of the equipment manufacturers’ recommendations.
Results were fine-tuned in a review process with appropriate
maintenance and engineering personnel. BOM’s were created for
each asset to address standard consumables as well as required
spares. Failure and Cause Codes and Key Performance Indicators
(KPI’s) were identified. IRC was responsible for configuration of the
SAP Maintenance Module and data loading. Detailed PM’s were
created, identifying key equipment and indicating all steps required
for completion of the task, allowing for cross-training of maintenance
personnel or the addition of new technicians. Process Safety
Management practices were developed, including energy isolation
and lock-out / tag-out procedures.
Genentech (2002 – 2003) and Bayer (Berkeley, CA) – 2002
Project Lead – Completed Master Data Maturity Assessments at
Genentech and Bayer. These studies encompassed the evaluation
of the Master Data within MAXIMO. In specific, the Master Data that
was reviewed included:
• Assets/Functional Locations
• Preventive Maintenance Task Lists and Job Plans
• Bills of Materials
• Equipment Problem, Cause, Remedy Codes
• Spare Parts
• Open Work Orders
• Open Purchase Orders
The inputs of the Master Data Maturity Assessment included:
• Interviews with personnel responsible for Asset Master Data
(e.g. Asset Management Organization, Finance
Organization, Procurement, Supply Chain, etc.)
• Current computerized maintenance management systems’ -
functionality and capability
• Typical Data Sources (e.g. Finance, Procurement, HR, Asset
Management, etc.)
• Reliability software systems’ - functionality and capability
• Current data collection techniques, tools, and processes
• Current Asset Base
• Failure history of systems and discrete assets
• Current maintenance strategy (time-directed, mixture of time
and condition, risk based, well documented, etc.)
• Current Bills of Materials (BOMs) for Assets
• Current PM Job Plans for Assets
• Current Work Break Down Structure for documenting Asset
Failures
• Work Order History (e.g. open/closed work orders)
• Purchase Order History (e.g. open/closed purchase requests
and purchase orders)
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• Ownership of Asset Master Data (e.g. add/change/delete
governance) Accenture, USA/International (September 1998 – 2002)
• Organizational ownership of Asset Master Data (e.g. Assets Associate Partner / Technical Maintenance Expert
and Functional Locations, BOMs, PM Job Plans, Asset
Failure Codes) Steven Nornhold was an Associate Partner within the Resources
Market Unit of Accenture (previously Andersen Consulting). The
Steven Nornhold was responsible for: Resources Market unit encompassed Utility, Energy, Chemical,
Mining & Metals, and Forestry Products clients. Within this Market
• Creating data requests Unit, Mr. Nornhold had a global responsibility for:
• Creating interview questionnaires
• Compiling and organizing data - the ongoing development, delivery, and implementation
• Conducting personnel interviews capability for Accenture’s application of System Based Reliability
• Benchmarking current state of Asset Data against “Value Centered Maintenance (SRCM).
Realization Opportunities”
• Preparing final report with observations and - the products and services associated with Asset Management
recommendations Strategies.

Weyerhaeuser (2003 - 2006) - The integration of RCM methods and practices within SAP and
MAXIMO Implementations at Resource Clients (e.g. Utilities,
Project Manager/RCM Analyst/SAP Data Lead/ Weyerhaeuser Energy, Mining and Metals, Paper and Pulp and Chemicals
(multiple sites): These projects consisted of IRC identifying and Clients)
implementing three primary work streams across multiple sites in the
U.S. The first work stream was a Criticality Analysis to identify where - the launch and ongoing support of an Alliance with a leading
maintenance assets should be focused to preserve the integrity of Enterprise Energy Management Vendor: Silicon Energy. This
the production process and address health, safety, and also encompassed the implementation of Silicon Energy’s IT
environmental concerns. Raw data was gathered from system software solution at Accenture Clients throughout North
operators and maintenance personnel through an interview process. America.
This information was then quantified so as to indicate impact on the
areas of concern, yielding an accurate ranking of equipment by As an integral part of Mr. Nornhold’s arrangement with Accenture, he
criticality. The second work stream was the RCM analysis to joined Accenture as an Associate Partner and provided a license of
optimize the PM system, based on the determined criticality of the International Reliability Consultants’ System-based Reliability
equipment. On sites where the Maintenance Module of SAP was Centered Maintenance methodology and software tools to Accenture.
already in use this included data cleansing. If it was not in use then Mr., Nornhold still owns all intellectual created by International
SAP configuration was required (specified by IRC, configured by Reliability Consultants.
Weyerhaeuser). Existing equipment was evaluated using physical
inspection, manufacturer’s requirements, and legacy data. When a
new product line was being added to the New Bern, NC pulp mill
(winding stand, jumbo transfer, unwind / rewind, and wrap line) I
created the PM program utilizing the manufacturers fabrication
drawings, P&ID’s, and site visits, enabling the PM’s to be in place
when the equipment went on line. Critical spares were also identified
and developed into BOM’s. The third work stream was the creation
of Maintenance Templates to standardize maintenance practices for
similar equipment throughout a mill site and across multiple sites.