JSC “NC “KTZ” continues implementation of the Business Transformation Programme aimed at qualitative changes in the Company’s business. We have discussed the targets and deliverables of the programme with Ms. Dina Medeubayeva, Director of the branch of JSC “NC “KTZ” - “Center for Business Transformation”.More info...
Within the framework of the Business Transformation JSC “NC “KTZ” performs proactive efforts to implement the “Implementation of the new model for maintenance and repairs management (M&R)” project which is aimed at elaboration of a single model for production assets management. Mr. Batyr Kotyrev, the Chief Engineer of JSC “NC “KTZ”, tells about the project that has become one of the large-scale projects of the Company, physical deliverables of which one may see even now.
- Batyr Kuanyshevich, earlier in industry publications you mentioned that the last year had become the Company’s make-or-break year in the area of the technical policy evolution. What contribution, in your view, has the project “Implementation of the new model for maintenance and repairs management (M&R)” made into development of this trend? How did the project influence on the technical policy of Kazakhstan Temir Zholy?
- As I mentioned previously, there is no doubt that the project “Implementation of the new model for M&R management” plays the key role in implementation of the tasks on development of production and technical capacity of the country’s railway industry.
Thus, the policy for production assets management is one of the sections of the approved technical policy concept. This policy determines the goals and tasks for the assets management and it is based on requirements of ISO 55001 Asset Management international standard. This policy is being implemented by transforming the business-processes and the system’s organizational structure and it is focused on coherent transition from the scheduled preventive repairs system to the risk-oriented management and automation of the core processes ensuring running of the production assets management system.
Implementation of the M&R project is a significant step towards changing the approach to production assets management within the entire lifecycle of assets, staring with their manufacturing and purchasing and ending with their decommissioning.
To the moment, the project has transited to the implementation stage: deliverables on optimization of the production assets not involved in the core business are approved, benchmark analysis of the current and target M&R processes of the railways network is performed and the documents regulating SLAs management are elaborated as well.
- Previously you were focused on the project’s “quick wins”. Has the project delivered these wins?
- Regarding the “quick wins”, it is necessary to point out great efforts performed to optimize the Company’s production assets portfolio. The project team in collaboration with the Company’s structural units developed the procedures for identification of idle assets, elaborated the list of such assets and performed their optimization. In the framework of the analysis performed, approximately 7.2 thousand of such assets were identified in the branch of JSC “NC “KTZ” - “Directorate of Backbone Railways Network”, joint stock companies “KTZ - Freight Transportation”, “Passenger Transportation” and “Kaztemirtrans”. Thus, economic benefits from the optimization activities have exceeded the amount expected by the year-end 2018 - KZT 2 billion - and totaled over KZT 9.2 billion that demonstrated the significance of the project being implemented.
Moreover, going on the “quick wins”, to the date we have achievements in development of approaches to SLAs management. During the official visit of the Head of State N. Nazarbayev to the USA Kazakhstan Temir Zholy Company and GE Transportation signed 18-years term agreement on provision GE Transportation with maintenance and support services for 175 passenger locomotives “General Electric Evo” starting with the beginning of this year. The newly signed service agreement compliant with the best international practices is a condition for improvement of quality of services offered pursuant to SLAs. Based on the analytical data provided by the project team, the leadership of Kazakhstan Temir Zholy conducted a number of meetings with GE Transportation Company which resulted into introduction of positive changes towards improving the service interrelations performance. Economic effect from changing the agreement terms and conditions will comprise more than KZT 9 billion for 19 years.
- Batyr Kuanyshevich, the project being implemented will have a significant scope of users - almost the entire production personnel of Kazakhstan Temir Zholy group of companies. This is a monumental work. How is it reflected in the project plans?
- Development and implementation of the integrated system for production assets management envisages proper competency of the Company’s personnel. There is a need for relevant training of the employees with use of the most efficient approaches and tools. At the same time, an overriding concern is given to training of the personnel to work in the automated system supporting the M&R processes. The project team will elaborate the concept of employees training, which will reflect goals, methods of training and its procedures.
Besides, the Company employees will be facilitated with an environment ensuring the most rapid creation of the infrastructure required while implementing the developed system for M&R processes automation. Creation of the new working environment, training of the Company employees and their further development are integral factors of the project’s success in the long-term prospective.More info...
On October 26-27 of this year, JSC “NC “KTZ” held a seminar on talent management for the employees of HR functions of the Company, its branches and subsidiaries.