ML18106A257

Nuclear Business Unit Future Objectives.

ML18106A257
Person / Time
Site:	Salem, Hope Creek
Issue date:	01/19/1998
From:	Keiser H Public Service Enterprise Group
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ML18106A256	List: ML18106A255 ML18106A257
References
NUDOCS 9801220333
Download: ML18106A257 (14)

Text

The Power of Commitment PS~G NUCLEAR BUSINESS UNIT FUTURE OBJECTIVES Harold W. Keiser Executive Vice President - Nuclear Business Unit January 19, 1998 9801220333 980119 PDR ADOCK 05000272 p PDR 1

Introduction In June 1997, Public Service Electric and Gas Company (PSE&G) briefed the Nuclear Regulatory Commission (Commission) on the readiness for restart at Salem Unit 2.

During that briefing, PSE&G senior management described the steps taken to improve performance. Senior management acknowledged that the restart effort provided only a starting point for improvement and that further actions would still be required.

At the top of the list for continued improvement, senior management noted three key actions that must be accomplished in the near-term. First, accountability from top to bottom in the Nuclear Business Unit (NBU) must continue to be a prime goal.

Second, the NBU had to demonstrate a stable transition from the recovery effort to three unit operation. Third, proper focus had to be maintained on operation of Salem Unit 2 and Hope Creek and the recovery efforts for Salem Unit 1.

NBU Has "Stayed Since the June briefing, these three actions are nearing the Course" completion and, where appropriate, ongoing activities in these areas have been integrated into the NBU's long-range plan for the future. The senior management team understands what it takes to achieve operational excellence and is committed to achieving it within the NBU. At the same time, senior management fully appreciates that to achieve excellence, this concept must be precisely defined and articulated so that all employees have clear direction.

Defining & In this regard, senior management believes that three principal Achieving elements are needed to achieve excellence in the future. First "Excellence" and foremost, safety focus must be demonstrated. Success in this area will be measured through the following metrics: (1) average SALP ratings; (2) INPO evaluations of operational performance; and (3) critical self-assessment and effective management/quality oversight. The second element is reliability. Reliable equipment that performs as designed when called upon not only reduces challenges to the Operations staff and contributes to event free operation (i.e., discovering and arresting problems before they challenge the safety envelope),

but also helps achieve a higher capacity factor. The third element is cost. This element is mainly comprised of O&M, capital and fuel/generation costs.* Senior management believes that these elements must be measured over an extended time period (i.e., a three year rolling average) to ensure valid and 2

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sustained results. The bottom line is that the NBU defines excellence as being in the top quartile as measured against other licensees.

People, Plant & Supporting these three elements are our people, plant and Process Equal processes. PSE&G introduced its focus on these areas at its Quality of first public meeting with the Commission in August 1995. As Operations PSE&G told the Commission in June, these components form the cornerstones of successful nuclear operations within the NBU. This remains true today. It is the combination of the people who operate our facilities, the processes that they use to do so, and the material condition of our physical plant that determines the quality of operations. Senior management has integrated these components so that they can work effectively together to achieve the goal of excellence.

Progress Has PSE&G believes that significant progress has been made over Been Made, But the last two and one half years. However, senior management More is Required also understands that the NBU must make further progress to achieve top quartile status. A number of challenges remain ahead. The NBU is confident that through focused attention on safety and commitment to quality these challenges can be resolved. Action plans are in place or are under development to assure success. When appropriate, they will be refined as self-evaluation reveals areas needing enhancement.

Summarized below is an overview of the key milestones achieved over the last six months, beginning with the startup and power ascension of Salem Unit 2. This discussion is followed by a status of operational activities within the NBU, some challenges facing us and the initiatives underway or under development to address these challenges.

A The NBU's improvement is firmly grounded on successful activities achieved during readiness for restart and during the Foundation startup and power ascension of Salem Unit 2. In terms of for readiness for restart, the NBU completed an effort to Excellence systematically identify and correct long-standing equipment problems, revamp and upgrade ineffective processes and revitalize the workforce. From a plant perspective, over 650 design modifications were completed and 88 critical systems at Salem Unit 2 were evaluated through a process of documentation review, walkdowns and testing. Some of the 3

important modifications included conversion to digital feedwater controls, innovative 4kV breaker maintenance, turbine auxiliary cooling pump redesign, and radiation monitoring system replacement. Key processes were revised that provide an enabling environment for our workforce. Chief among the improved processes is the Corrective Action Program (CAP).

Through program consolidation, enhanced process oversight (e.g., in the form of a Corrective Action Review Board), and a lower threshold for entry, an effective tool was created which is being used daily to identify and fix problems before they become events. With respect to human performance, senior management consistently used four key expectations to drive improvement:

The Four Keys to

• effective leadership; Success Equal

• productive teamwork; Accountability

• corrective action and self-assessment; and

• effective training.

Together, these expectations have produced accountability among the workforce, which is crucial if we expect to become a top quartile performer.

Many of the activities completed during readiness for restart were put through a rigorous test program as the NBU moved into the startup and power ascension phase for Salem Unit 2.

The unit was returned to service in August 1997. During this phase, 147 integrated tests were performed on plant systems and thousands of individual component-level tests were completed.

Even With The startup, however, was not without some challenges. For Challenges, Salem example, at one point operators manually tripped the unit due to Unit 2's Return to a loss of main feedwater resulting from a test equipment failure.

Power Was Event The operators responded to the transient in a highly skilled Free manner, demonstrating thorough knowledge from their training as well as conservative decision making. It is also important to note that the plant equipment responded as designed, demonstrating the effectiveness of the extensive restart modifications and the current maintenance program. Problems that occurred during the startup were appropriately addressed to ensure that the safety envelope was not challenged. In this 4

regard, the startup was event free and Salem Unit 2 has been performing well since that time.

The return of Unit 2 to service is particularly important because it was achieved while operating Hope Creek and undergoing a second restart readiness effort at Salem Unit 1. In the case of Unit 1, this involved replacing the steam generators. The NBU's good performance during these time periods further supports the conclusion that people, plant and processes have been improved and that the workforce is capable of safe, reliable and event free operation. The lessons learned from these efforts were carried forward in the activities for all three units.

The NBU Following the startup of Salem Unit 2, the NBU continued to Continues to Build build on the lessons learned from the above activities. We On Prior applied these lessons in three broad categories. The first Successes category is safety culture. Some of the important improvements in this category are seen in the operational performance at Hope Creek. Hope Creek recently completed the longest run in its ten year history -- 308 days. During this operating cycle, the unit had no automatic scrams and, with limited exceptions, the operators exhibited a conservative operating philosophy (e.g.,

as demonstrated by the decision to manually shut the unit down in response to a loss of main transformer cooling). Also during the cycle, the Hope Creek staff was successful in substantially reducing the corrective maintenance backlog and the number of outstanding operating procedure revision requests. In addition, safety tagging errors were reduced due to enhanced personnel accountability and certain program changes. However, the recent failure to follow procedures during a shutdown margin demonstration indicates that further improvement is necessary to reach top quartile performance.

Improved Safety The Hope Creek staff completed the seventh refueling outage in Culture Shows December 1997. This outage recorded a number of important Directly in Our accomplishments. These included implementation and testing Performance of 76 plant improvement design modifications, reduction in main turbine vibration, reduction in drywell leakage, and replacement of 641 snubbers. The outage was capped off with an event free power ascension. This outage combined with the last has significantly improved the material condition of Hope Creek.

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The emphasis on safety is further demonstrated in the approach taken with Salem Unit 1. To assure no adverse impacts on other site activities, and to assure proper focus during the readiness for restart, a dedicated Unit 1 restart organization was created in March 1997. Refueling activities and reactor reassembly were completed in December 1997. Lessons learned from the startup and power ascension at Unit 2 are being used at Unit 1. In particular, equipment that showed problems during the Unit 2 startup is being given special attention during startup of Unit 1. For example, the reactor coolant pumps were operated earlier and vacuum conditions have been established on the secondary plant through the main condenser. In addition, the condensate system was tested and is in service with flow through the condensate polishing system.

Efforts to ready the secondary plant for startup continue, with main feedpump testing underway. The current schedule for reactor criticality and power ascension is late in the first quarter 1998.

Improved Material The second broad category involves plant modifications and Condition Supports related upgrades made to support safe, reliable operations.

Safe, Reliable Backlog reduction at Hope Creek is one example of progress Operation made in this area. Utilizing improvements made to the Work Week Management Process, Hope Creek has been able to achieve a large reduction in the corrective maintenance backlog. The reduction was achieved in part due to several changes in how maintenance work is performed, including the creation of a common maintenance organization and common work procedures. This change in our work process has been discussed with the NRC staff during several recent meetings.

Another example of progress is the continued focus on improving the quality of design and licensing basis documentation. A Design/Licensing Bases Review Project (D/LBRP) is underway. This project began in May 1997 with a review of three systems. The result of the project will be that end-users will better understand and evaluate a range of activities, from design changes to operability determinations.

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Several more examples of progress made in the modifications and related upgrades area include:

• reduced reliance on contractors;

• better control and reduction of control room deficiencies, operability determinations and temporary modifications; and

• effective implementation of Maintenance Rule and integration of System Engineering into the Work Week Management Process.

Process Finally, the third broad category involves the important Improvements enhancements made to processes that directly support Reduce operation of the units. For example, during the past two years, Challenges to the NBU has directed substantial resources to streamlining its Personnel business processes. An example of this involves enhancements to the process for making configuration changes to the plants.

Specifically, a minor modification procedure was implemented consistent with "best practices" used at other nuclear plants to eliminate unnecessary steps associated with major plant modifications. These changes also incorporated the guidance found in Generic Letter 91-18, Revision 1.

Other improvements include revising the work control process to enhance the flow of work to the maintenance crews and to prioritize corrective maintenance. The objective of this project is to electronically link the NBU's design basis documents (being developed) and existing engineering databases into a centralized, accessible, windows driven computer system. This project began in the third quarter 1997 and will provide a simplified process to maintain plant design basis information.

This system will work in parallel with the implementation of the new SAP (Systems, Applications and Products in Data Processing) work management system being developed for the entire NBU work control process program.

The Goal of While the achievements discussed above show progress in our Excellence is In efforts to become a top quartile performer, PSE&G fully Sight recognizes that the goal has not yet been achieved. There remain areas requiring additional management attention.

However, the employees and management at the NBU are confident that our goal is achievable.

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Areas For In the broad area of safety culture, recent external oversight review indicates that the NBU workforce is highly motivated, Further exhibits openness and possesses a strong desire to improve Management plant performance. However, we know that further attention Attention must be given to reinforcing high standards and improving the quality of work throughout the NBU. Some of the initiatives directed at these issues include:

Safety is a

• improving the skills within Engineering (e.g.,

Cornerstone of the placing emphasis on position-specific training)

NBU Culture and Maintenance;

• making greater use of rotational assignments for line personnel within the Quality organization;

• augmenting Operations staffing; and

• improving outage planning.

Improved Material In terms of modifications and related upgrades, there are a Condition Reduces number of areas requiring further management attention. One Challenges to of these areas is the need to reduce corrective maintenance Plant and Support backlog, particularly for the Salem units. Currently, plans are in Staff place to implement the same model for backlog reduction that was used for Hope Creek. The plans will be initiated in 1998 and are expected to take several operating cycles to achieve their full effect.

Other areas where further management attention is needed include:

• more emphasis on reducing operator workarounds;

• improved work Planning,

• reducing repeat maintenance work;

• upgrading simulator computer capability to ensure better correlation with plant conditions; and

• resolving fire wrap issues.

Effective Business Concerning the last broad category, enhancements made to Process Redesign processes, a key area that will help us reach top quartile Maximizes performance is to achieve business integration within PSE&G, Resource including the NBU. This will be accomplished through our Utilization Business Process Redesign (BPR) effort and the implementation of SAP, a business computer application.

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The BPR team is developing process changes in areas such as work management and the corrective action process. This effort is designed to achieve a simplified and integrated work flow model consisting of the following elements: (1) Identify; (2)

Plan; (3). Schedule; (4) Execute; and (5) Close. The results of implementing BPR/SAP will be the reduction of non-value-added work, diminished organizational boundaries, and streamlining authority. Implementation is currently scheduled for 1999.

Some of the other initiatives to address the process area include, for example:

• enhancing configuration control;

• identify and develop leading performance indicators; and

• improve system performance monitoring and trending.

Conclusion PSE&G is committed to operating its nuclear plants safely and reliably. Our goal is to become a top quartile performer. A strong foundation has been established to achieve this goal (see attachment); however, we must continue to improve our performance to maintain pace with today's increasing industry standards and competitive challenges. In particular, we need to continue to improve our quality of work and ensure that our operational decisions are always conservative. We recognize that the nuclear environment requires people to work to increasingly higher standards. PSE&G leadership strives not only to meet these standards but exceed them in our daily work practices.

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• Attachment In PSE&G's May 28, 1997 submittal to the Commission, we provided a matrix showing the major accomplishments in the areas of people, plant and processes. We have added to these accomplishments since that submittal. Below we provide an updated matrix with the newer items designated in bold type.

PEOPLE

11t.'-in1i:::::I:iiitiI:::::::::::1::::;:::r:::i:::::::::::::::::::i;:'::::::::r::1::::::::::::::::::1;:::::1:1:I:::::::::i:::::imi:::::1nm1i:::::::::::::::::1::::::::::::::m:m:::::::::::::::::::::::::::::::::i::::::::::::::::::::m::::::1::::i::::::::::::::::::::::rn::::::::::::;::::;::;rn::::::i Installed new Senior Leadership Obtained nuclear experience in turning professionals with performing plants around plant performance and infused new ideas into the Salem culture Reorganized and re-directed Quality Better poised to evaluate plant Assessment organization performance Retrained Operations Department Instilled Operations personnel with (Intervention) required knowledge, skills, and attitudes Promulgated Operations Standards Effectively communicated Operations Document management expectations Retrained Maintenance Department Comprehensively evaluated and (Intervention) remediated Maintenance workforce Raised training standards Improved personnel qualifications Lowered threshold for reporting Raised self-identified Action Requests corrective actions from monthly average of 50 to 600 Conducted Performance Rating & Approximately 225 low performers are no Ranking twice longer with company Identified and trained leaders throughout Approximately 400 personnel completed the organization Breakthrough Leadership Training About 400 personnel completed Dale Improved personal communication ability Carnegie training on their own time Consolidated Nuclear Business Unit Improved maintenance effectiveness (NBU) maintenance team under one across the NBU Director Instituted Pay for Performance Heightened incentive for quality work and accountability Essentially all supervisors completed Management expectations communicated Management Action Response Checklist throughout the organization (MARC) training 10

Conducted 10 CFR 50.59 training for Heightened quality of 50.59 reviews to engineers better ensure consistency with design and licensing bases Conducted Managing for Nuclear Safety Improved corrective actions and Training, Root Cause Training, and heightened self-identification of issues Human Error Reduction Training Contractors were reduced Greater reliance on NBU employees substantially at the close of 1997 and improved retention of corporate Knowledge Rotation of employees with operating Brought operations insights into QA experience into the QA organization Created a Maintenance Engineering More direct and timely maintenance Organization aligned with the and maintenance support Maintenance Staff Employee Concerns Program has Employee Concerns have decreased by matured 57%

Engineering was reorganized More efficient Engineering Organization Increased size of Operations Staff Self-relieving well rested crews PROCESS Revamped Corrective Action Program Experienced a significant rise in the initiation of Condition Reports, indicating heighten level of issue self-identification Created Corrective Action Review Board Heightened standards for root causes and corrective actions Established System Readiness Review Created a disciplined approach to system Process assessment, ownership, and accountability Developed System Index Database Created tool for system managers to System implement the SRRP Implemented Design Engineering Review Heightened standards for system manager Board knowledge and understanding of system operations and design basis Centralized Planning and Maintenance Promoted maintenance productivity in support of safe and reliable operations Implemented Work Week Management Improved the availability of resources and Process hardware to resolve equipment issues Revised the Operability Determination Improved the quality of Operability Process Determinations 11

Process Provided training on Safety Evaluation Improved quality of 10 CFR 50.59 reviews and heighten personnel design and licensing bases knowledge Implemented Design I Licensing Bases Reviewed design and licensing bases Review Project documents, operational limitations within the UFSAR, design output documents, implementing documents, and the as-built plant Implemented System Team Concept Created a disciplined approach to system (System ownership) assessment, ownership, and accountability Established a streamlined Safety Reduced the number of tagging errors TaQQing Program I Procedure Implemented an Employee Concerns Further facilitated the timely identification Program of issues and concerns by station personnel Improved Performance Evaluation Ensured employees better understand Process management expectations, and compared individual performance with defined performance dimensions Implemented Self Assessment Program Increased self-identification of issues Developed and implemented a Heightened personnel access to and computerized Performance Indicator awareness of performance indicator data, System and improved management's ability to track improvement progress Received Engineering Support Kept training program in step with Personnel Training Accreditation industry's continually improving training standards and innovations Upgraded Salem Unit 2 EOPs following a Enhanced operator response to detailed comparison to the emergency situations Westinghouse Owners Group Emergency Response Guidelines.

Following the upgrade, each EOP was verified and validated by Westinghouse and Public Service Reviewed and validated Abnormal Enhanced operator response to abnormal Operating Procedures and Integrated operation conditions Operating Procedures Reviewing Alarm Response Procedures Improved guidance to assist Operator's in for adequacy response to plant conditions Reviewing, revising, and upgrading In- Increased efficiency in performance of Service Testing Procedures component testing and greater reliability of systems 12

Reviewed and improved the Technical

• Enhanced compliance with regulatory Specifications Surveillance requirements, heighten worker Requirements Matrix for Unit 2, and understanding of Technical Specification conducted a review to ensure that surveillance requirements procedures implement the requirements.

Reviewed surveillance procedures at Unit 2 to ensure that acceptance criteria exist for the associated requirements Reformatting and reviewing operating Promoted common expectations for logs for adequacy operating log documentation Reviewing for adequacy and revising, as Enhanced guidance for quality related necessary, "Q" designated Operations administrative procedures Department administrative instructions The Maintenance Rule has been Greater equipment reliability focus implemented at Hope Creek and Salem Work Week Management Process Improved focus of engineering, implemented at Hope Creek and maintenance, and operations on a Salem Unit 2 common work scope with reduced risk and LCO time Common Maintenance procedures Provides for consistency of have been developed maintenance for all three plants Streamlined the Modification Process More efficient processing of minor modifications which allows for timely implementation in the field Revised the Corrective Action Reduces response time to achieve Process to reflect GL 91-18 rev. 1 and more timely and complete corrective streamline responses action PLANT

i11111.n11::::::::::::::f:::::::::::::f:::::::::=:::=:=:=::::::::::::::r:::r::::::::ftftf]:][]::::::::::1::::::::::::::::::::::::::::::u:::111:Y.1m:::::::::::]::::::1]:::::1:::::::::::::::::::::::::::::::::]::::[:::::::::::::1:::::::::::1::::::::::::::t:]:t::::::::1::::::=:r::::1::=1:

Unified control room Enhances operations command & control Advanced Digital Feedwater Control Simplifies feedwater control for Operations Digital Feed

• Containment Fan Coil Units System modifications resolve waterhammer issue (GL 96-06)

Turbine Rotor Replacement Improves performance and efficiency Station Air UpQrades Enhances performance and reliability Circulating Water Upgrades Improves reliability and operations 13

Cont*rol Area Ventilation Supports new control room and design bases requirements Service Water Pump Replacement Improves net positive suction head (NPSH) and overall pump performance Service Water Pipe Replacement Installed new corrosion resistant pipinQ Service Water Strainer Modifications Eliminates waterhammer and improves strainer performance Emergency Diesel Generator Eliminates vibration concerns and Modifications improves air start and lube oil performance Reactor Protection System Completes refurbishment and/or replacement of all control modules Accomplished over 50,000 work activities Significantly improved the material condition of the plant Completed over 650 major and minor Corrected long standing system design modifications performance issues and reduced operation workarounds Completed GL 89-10 Program Improved MOV operability and reliability GL 96-01 reviews were completed Assurance that all necessary functions are tested Tested Salem Unit 1 systems based Greater assurance of a successful on Unit 2 Lessons Learned Salem Unit 1 startup Upgraded Simulators for Hope Creek Improved simulator fidelity and (and Salem in testinaJ associated operator training Replaced Salem Unit 1 Steam Improved assurance of Steam Generators Generator tube integrity Successful startup of Salem Unit 2 Demonstrated the effectiveness of the startup process and plant modifications 14