Full Service Case Study for a large Aluminum Rolling Mill

1. ABB Automation & Power World - May 18-20, 2010
CRS-103-1
Maintenance Partnerships:
M i t P t hi
Wise Alloys Case Study
© ABB Inc.
June 5, 2010 | Slide 1

2. •About Wise
•What We Produce
Wh t W P d
•Our Mills / Processes
•Why We Chose ABB?
Wh W Ch
•Our Alliance, Wise / ABB
•Continuous I
C ti Improvementst

4. • Based in Muscle Shoals, Alabama
• 100 acres under one roof
• Wise Alloys is the third-leading
producer in the U.S. and world of
aluminum can stock for the beverage
and food industries.
• It is an environmentally friendly
company that relies heavily on
recycled aluminum in the production
of its can stock.
• Plant founded in 1941 by Reynolds
Metals
• Purchased by Wise in April, 1999

5. • Founded in 1941, the
facility featured a 36,000-
f ilit f t d 36 000
ton hot mill to produce
sheet aluminum.
• Aluminum produced at the
plant was used for military
aircraft during World War
II.
• According to a 1946 article
in Fortune magazine, W ld
i F t i World
War II was won with air
power and aluminum.

6. • Wise Alloys, Muscle Shoals, Alabama
• One of the largest single employers in
the Muscle Shoals area with
approximately 760 hourly and 210
pp y y
salaried employees.
• There are four primary facilities
p y
comprising the Muscle Shoals operations:
the Alloys Plant, Alabama Reclamation,
Sheffield Plant, and LTMC – Listerhill
Total Maintenance Center
• Production Employees - USW
p y

7. Aluminum can stock
g
for food and beverage
containers
Rigid Container
Trailer roof

8. Commercial
Food
Product
3%
2%
Beverage
95%

9. Reclaims UBC, class scrap and other common alloy
scrap into molten aluminum
Equipment: 1500 HP Shredder
Two Delacquering Kilns
Six 200K lb. Reverberatory Furnaces
20,000 lb.
20 000 lb Molten Transport Crucibles
Two 150K Tilting Holding Furnaces
One 4-Ingot DC Casting Unit
Scrap to Prime Ratio:
i i 85% / 15%
% %
Transfers molten aluminum to Alloys Casting
operation or internal DC Casting operation
Capacity: 660 mm lbs per year - molten
150 mm lbs per year – cast
% to Capacity: 85% Molten Capacity
l
80% DC Casting Capacity

10. Electromagnetic (EMC) Casting Technology to produce
non-scalp ingot.
Non-Scalp Rate
90% N S l R t
Equipment:
Melting Furnaces Five 220K Lb. Round Top
Holding Furnaces Six 200K Lb. Tilting
Five 6-Ingot Casting Pits
State of the Art Metal
Filtration Systems
Ingot Sizes: Thickness – 26”
Widths – multiple sizes from 55”
to 69”
Length – up to 240”
Weights vary up to 40,000
40 000
lbs/ingot
Scrap / Prime Ratio: 75% / 25% (includes
Prime Based Ingot Casting)
Capacity: 1,200 mm lbs per year ingot
% to Capacity: 83% Casting Capacity

12. Ingot Scalping to remove surface
impurities and to produce smooth finish.
10% EMC ingot scalped before
hot rolling.
90% DC Casting ingot scalped
% l d
before hot rolling.
Scalping Capacity of 100 ingot per
day.
Ingot Homogenizing
Two - 40 ingot/load Pusher
Furnaces
Six - 10 ingot/load Soaking Pits
Total Combined Capacity of 200
ingot per day (5.5 million lbs.)

13. Ability to hot roll multiple alloys including can body &
end stock, food container, building p
g products and multiple
p
common alloy products.
Equipment: 170” Reversing Breakdown Mill
130” Intermediate Breakdown Mill
120” 4-Stands Finishing Mill
Automatic Gauge Control
State of the Art Automatic Sheet
Inspection System
Coil Sizes: Gauges – multiple gauges from
.100” up to .390”
Widths – multiple sizes up to 116”
wide
Diameters – up to 90”
Weights vary up to 30,000 lbs
Capacity: 1,100 mm lbs per y
p y p year
% to Capacity: 83% Capacity

14. The primary production mill for finish
rolling D&I.
A 4 hi h 3-stand mill, i
4-high, 3 d ill installed i
ll d in
1941 as original hot mill, converted to a
cold mill~ 1960.
Specifications:
• Production rate: up to 3,100
FPM
• Coil weight: up to 37,000 LBS.
g
• Coil width (cold): 32.0” to
73.5”
• Output gauge: 0.007” to
0.070”

16. The primary production mill for finish rolling
D&I can stock, as well as most tab stock and some
end stock.
stock
A 4-high, 5-stand mill, installed in 1968 with
major upgrades in 1983, 1996 and again in 2006.
Capable of fi i h rolling end stock in one pass
C bl f finish lli d t ki
(improved recovery and quality).
Every modern mill control except for continuous
operation capability. World class gauge and
shape control
control.
Specifications:
• Production rate: up to 4,400 FPM
• Coil weight: up to 38,000 LBS.
38 000 LBS
• Coil width (cold): 30.0” to 64.75”
• Output gauge: 0.006” to 0.042”

17. Considered the fastest coil coating line in
the world – 1200 FPM
The following takes place on the HSCCL:
• Leveled
• Cleaned
• Treated
• Coated
• Thermally Cured
• Waxed
• Trimmed to width
Continuous operation (non-stop except
for changeovers)
280 plus rolls contact the metal
3 accumulator towers
2 payoffs, 2 entry end reels

20. 80.00% 70
70.00% 60
60.00%
50
009
% Increase Above 20
50.00%
40
40.00%
30
30.00%
20
20.00%
10.00% 10
0.00%
0 00% -
2009 Jan-10 Feb-10 Mar-10

21. Partnership
January 2007
Wise
Wi made decision to i
d d i i t improve our maintenance
i t
June – July 2007
Presentations made by five maintenance providers
August 2007
g
Decision was made to go with ABB
November 2007
ABB assumes all maintenance at Wise Alloys
ABB hires all new work force – hourly – (No craftsmen from Wise)
Wise salaried supervisors – Maintenance – Join ABB

22. •ABB is a technical / engineering based company
•Providing long term technical solutions
•Technical expertise and discipline from many worldwide locations
•Focused importance of reliability efforts / engineering as well as effective
p
planning and scheduling
g g
•Successful conversion of “in-house” maintenance to third party / ABB
•Providing lower maintenance costs
•Increase productivity / decrease downtime
•Favorable long term labor situation
•Chance to retain a large majority of Wise maintenance employees
•Provide most effective warehouse management, PdM, etc.
•Proven success record from other companies
P df h i
•Most overall effective maintenance long term

23. Successful Transition
• Interview and Hire Effectively
• Organizational Structure
• Warehouse Management
• Provided Positive Labor Situation
• Productivity / Wrench Time / Utilization Rate

24. Improvements Needed
I t N d d
• Delays (Reliability)
• Effective Supervision
• Training
• Overall Communication with Process Owners
has improved
• Engineering Support

25. • ABB completed 2009 with no recordable injuries
ending year with a TIR of 0.
• ABB h worked 800 workdays without a l
has k d 800+ kd ih lost time
i
injury.
• ABB team members have completed over 4700 Safety
p y
Observation Tours in last 16 months.
• ABB compiled a site specific comprehensive Full
Service Site Safety Manual for Wise Alloys Site.
• ABB improved OHS 18001 audit score 48% in 2009.
• ABB implemented first phase of NFPA 70E plan
during 2009.
d i 2009
• ABB instituted a contractor safety process to ensure
the safety of all our contractors working on site.
y g

26. • training.
ABB conducted planner certification training
• ABB has redefined work order priority codes in the CMMS to
improve work order prioritization and backlog management.
• ABB has established a work code in CMMS for reliability work
orders. This allows us to code and track reliability work
orders.
• ABB plans all outages using Microsoft project
project.
• ABB leads outage critiques after outages to capture lessons
learned.
• ABB centralized planner’s offices to optimize effectiveness,
t li d l ’ ffi t ti i ff ti
uniformity and efficiency of planning team.
• ABB established natural team meetings with both ABB and
Wise t
Wi team members for each area to enhance effectiveness of
b f h t h ff ti f
planning schedules.

27. • y p
ABB conducts monthly 5S Kaizen events in a specific
area of the mill.
• ABB has returned 3500 parts to storeroom during these
events at a value of over $900K
t t l f $900K.
• ABB will involve 100% of their team members in these
events during 2010.
g
• ABB’s 5S events have greatly impacted the
effectiveness and appearance of their work and storage
areas i a positive way.
in iti
• ABB’s 5S efforts have improved the safety conditions
for their work and storage areas.