AAOM Handbook

and presented as a histogram of the predicted performance distribution with the;

o upper control limit, o lower control limit, o mean, and o target specifications, identified on the histogram.

• The confidence level for each performance target shall be calculated as the area of the predicted OMS and EPS performance histogram(s) that overlap with the area of the optimal target specification identified from the Business Structure Model. If a target mean value has been specified the ratio of the predicted performance mean and target mean shall also be given. • For Asset Integrity performance targets – Performance forecasts shall be developed and presented as; o a histogram of the distribution of HSE threat rating values, and o a histogram of the distribution of Business threat rating values. • The confidence level shall be calculated from the percentage of potential threats that have a forecast threat rating below the target upper specification limit. • The confidence level for all performance targets shall be supported with; o a specification of the opportunities and threats that could significantly affect the outcome, and o the control actions that will be implemented to reduce threats and deliver opportunities. The detailed activities of set plant performance targets shall conform to the specifications set out in the Set Asset Performance Target Flowchart and TAs ST.01 to ST.10.

© McAlear Management Consultants 2006

Operational Planning: Set Performance Targets

Updated: August 2018

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