The Foundation of IT OT Standardisation

IT OT standardisation is critical in establishing cost effective solutions, yet standards are notoriously underdone in many organisations.  How does a business improve the level of standards?

Firstly, it is important that we understand what we mean by standards. Here is a definition:

A “standard” is defined as a document that has been approved by a recognised authorising body that nominates a level of quality or attainment.  Application of a standard is mandatory for design and implementation; and provides an instrument to measure compliance or performance for comparative evaluation for selection.

The Benefits of Standards

What are standards for and what do they do and what benefits do they bring to the business enterprise?

Here is a high level insight:

1. Design Foundation– Standards provide the foundation and starting point for all design and implementation of IT and OT systems throughout the enterprise.
2. Knowledge Capture– Standards formally capture key knowledge and improve design, implementation and support work methods.
3. Consistent Operation– Standards establish a common basis to ensure consistency between projects and operating processes and sites.
4. Efficient and Safe Operation– Standards provide the basis for more efficient and safer operation.
5. Design Collaboration– Standards facilitate design collaboration between operations, maintenance, information systems, engineering and stake holding departments.
6. Design Verification– Standards enable effective verification and testing processes.
7. Project Efficiency– Standards facilitate efficient project execution and deployment of solutions and thus lower overall project cost.
8. Auditing– Standards facilitate comprehensive auditing of technical processes.
9. Effective Deployment– Standards facilitate effective deployment of existing operations.
10. Reduced Overheads– Standards decrease engineering and support overheads throughout the life of the plant.

In general standards provide a highly effective mechanism for creating, improving and maintaining effective and cost-efficient business processes.

Standardisation Framework

Clearly, we have justification for the existence of standards, but how then do we develop them cost effectively?

Successful implementation of standards relies heavily on real application through key site knowledge, project activity and change management processes. Each project or activity is aided by the standards, all the while providing an opportunity to in turn improve the standards.  The project funds the standardisation activities and the standardisation progressively reduces the costs of projects.  This is the very definition of an incremental evolutionary process.

Evolutionary processes such as this can “mutate” into undesirable outcomes if the right approach is not taken.  Care must be taken to avoid lost opportunity or poorly directed development of the standards.

The key is to define a framework of structure and process that governs the standardisation process itself.  Understanding this is critical to the emergence of successful standards.  At the core of this framework is the standards library and appropriate organisation of this library is a foundation for success.

Recognising the Standards Hierarchy

Standards are best organised in a hierarchal structure which ranges from the general design standards to project specific standards documentation.  Each layer is represented by standards documentation and clearly defined processes.

In a broad sense, the standards are categorised as ‘internal’ or ‘external’ as follows:

• Internal – Internal standards shall be enterprise, site and project standards based upon the principles established within the standards framework and will be in the form of standard specifications, document templates, drawing templates and methods.
• External – External authority standards will be those as documented and offered by government or other recognised external industry body. These include Australian Standards, codes of practice and authoritative texts.

Higher level documents within the hierarchy are based upon lower level documents including external standards to guide processes for creation of specifications for projects.  The documents created can be then checked, tested and audited against the lower levels to assure compliance and guide the development of project documents.

Lower level documents can in turn be improved by application and improvement processes.  Each project should be seen as an opportunity to improve downwards in the hierarchy.  This is the mechanism that allows for the standards to evolve.

Conclusion

Standards are an effective mechanism for business improvement and cost savings.  By recognising a standards hierarchy and understanding the layers within, it is possible to pragmatically set up and maintain a standards framework. This framework provides the basis for effective incremental improvement processes and the foundation for a standards library and effective standardisation for the enterprise.

Jeff Lloyd, Precoda Pty Ltd, 27 March 2016

Jeff Lloyd is a manager, leader and consultant with over 30 years’ experience in IT OT and engineering business.  He is owner and managing director of Precoda Pty Ltd, a consultancy service providing digital engineering management services to a wide variety of businesses.

Contact Jeff on his mobile phone directly +61 (0)427 734 995 or by email on jefflloyd@precoda.com.au.