2. Laura Dietrich: Maintenance Manger Antoinette Lockett: Plant Manger Waseem Manzoor: Quality Manger Xiaoyan Liu: Production Manger

3. Meeting Agenda I.Understanding Downtime -Group II.Major Losses of TPM -Antoinette Lockett I.Planned Downtime Losses -Xiaoyan Liu II.Unplanned Downtime Losses -Laura Dietrich III.Reduce Speed Losses- IV.Poor Quality Losses -Waseem Manzoor III.Total Productive Maintenance I.What is TPM -Antoinette Lockett II.Breakdown of TPM -Laura Dietrich III.TPM History -Laura Dietrich IV.TPM Evolution V.Goal of TPM -Antoinette Lockett VI.Three Principles of Prevention

4. Meeting Agenda Cont. I.TPM-8 Pillars-Laura Dietrich II.Kick off TPM I.Launching TPM- Preparatory Stage-Antoinette Lockett II.Autonomous Maintenance- Xiaoyan Liu III.Equipment Management Life Cycle- Xiaoyan Liu IV.TPM Implementation-Waseem Manzoor V.Launching TPM- Stabilization-Waseen Manzoor VI.Eliminating Equipment Losses-Laura Dietrich VII.Improvement Goals for Chronic Losses-Laura Dietrich III.Overall Equipment Efficiency I.What is OEE-Xiaoyan Liu II.OEE Factors-Xiayon Liu III.Calculating OEE-Waseem Manzoor IV.TPM Benefits-Xiaoyan Liu

5. Understanding Downtime

6. MAJOR LOSSES

7. Planned Downtime losses Start-ups shift changes coffee and lunch breaks planned maintenance shutdowns

8. Unplanned Downtime Losses Equipment breakdown Changeovers Lack of material

9. Reduced Speed Losses Idling and minor stoppages Slow-downs

10. Poor Quality Losses Process non-conformities Scrap

11. TPM

12. What is Total Productive Maintenance? TPM is a plant improvement methodology which enables continuous and rapid improvement of the manufacturing process through use of employee involvement, employee empowerment, and closed-loop measurement of results

13. TOTAL = All encompassing by maintenance and production individuals working together PRODUCTIVE = Production goods and services that meet or exceed customers’ expectations MAINTENANCE = Keeping equipment and plant in as good as or better than the original conditions at all times Breakdown of TPM

14. TPM - History Productive maintenance (PM) originated in the U.S. in late 1940’s & early 1950’s Japanese companies modified and enhanced it to fit the Japanese industrial environment The first use the term TPM was in 1961 by Nippondenso, a Japanese auto components manufacturer Seiichi Nakajima – head of JIPM, one of the earliest proponents, known as the Father of TPM

15. TPM - Evolution Breakdown maintenance Preventive maintenance (PM) Productive maintenance Total productive maintenance

17. Goals of TPM 1. Aims at getting the most effective use of equipment 2. Builds a comprehensive PM system 3. Brings together people from all departments concerned with equipment 4. Requires the support and cooperation of everyone from top managers down 5.Promotes and implements PM activities based on autonomous small group activities. 6.Maintaining Equipment for life 7.Encouraging input from all employees 8.Using teams for continuous improvement

18. Three Principles of Prevention Maintenance of normal conditions Early discovery of abnormalities Prompt response

19. TPM 8 PILLARS

20. PILLARS OF TPM Kobetsu KaizenPlanned MaintenanceQuality Maintenance Training Office TPM Safety, health and Environment 5s Autonomous Maintenance

21. Kick off TPM

22. Launching TPM- Preparatory Stage Announce top management’s decision to introduce TPM Launch an educational campaign to introduce TPM Create an organizational structure to promote TPM Establish basic policies Form a master plan for implementing TPM

27. Launching TPM- Preliminary Implementation

28. Improve the effectiveness of each critical piece of equipment Set up and implement autonomous maintenance Establish a planned maintenance system in the maintenance department Provide training to improve operator and maintenance skills Develop an early equipment management program Launching TPM- TPM Implementation

29. Perfect TPM implementation and raise TPM levels Launching TPM- Stabilization

30. Eliminating Equipment Losses

31. Improvement Goals for Chronic Losses

32. OEE

33. What is OEE OEE (overall equipment efficiency) is a “best practices” way to monitor and improve the efficiency of your manufacturing processes –machines –manufacturing cells –assembly lines

34. OEE Factors Plant Operating Time Planned production time –planned downtime ie. breaks Availability –downtime losses Performance –Speed losses Quality –Quality losses

35. World Class OEE

36. Calculating OEE Availability = Operating time/planned production Performance = Ideal Cycle Time / Total Pieces or (total pieces / Operating time)/Ideal Run time Quality = Good Pieces / Total Pieces OEE = Availability X Performance X Quality

37. Example OEE Calculation

38. Availability = Operating time Planned production time = 373 minutes / 420 minutes = 0.8881 (88.81%)

39. Performance = (Total pieces /Operating time) Ideal Run Time = (19,271 pieces/373 minutes)/60 pieces per minute = 0.8611 (86.11%)

40. Quality = Good Pieces Total Pieces = 18,848 / 19,271 pieces = 0.9780 (97.80 %)

41. OEE = Availability X Performance X Quality = 0.8881 X 0.8611 X 0.9780 = 0.7479 (74.79%)

42. TPM BENIFITS

43. TPM - Benefits Improved equipment eliminates the root cause of defects Defects are prevented through planned maintenance Preventive maintenance costs are reduced as equipment operators conduct autonomous maintenance Improved equipment designs ensure that new equipment naturally produces fewer defects Simplified products designs and a redesigned process produce with few defects Engineers, technicians and managers are trained in maintenance and quality

44. TPM - Benefits (Japanese TPM Prize winners during 1982- 1984) Equipment failures reduced from 1,000/month to 20/month Quality defects reduced from 1.0% to 0.1% Warranty claims reduced by 25% Maintenance costs reduced by 30% WIP decreased by 50% Productivity improved by 50%. (Patterson & Fredendall, 1995)

45. TPM – Success stories USPS Albany, New York: annual save of $86,000; could save $4.5 million if applied nationwide Yamato Kogyo Corp., Japan: - productivity up by 130%, - accidents cut by 90%, - defects reduced by 95%, - employee suggestion rate increased by over 300%