TPM and OEE

Mauri e O’Brie
About LBSPartners
LBSPartners was founded in Limerick in 2002 to educate and assist companies in
the development of operational excellence through Lean, Lean-Sigma & 6-Sigma.
We are a hands-on business improvement consulting firm with extensive Lean
and management experience. Our customer base includes SMEs, Multinationals
and Public sector clients in food, engineering, life sciences, services and software.
LBS has a proven track record of delivering measurable and sustainable results to
our clients through significant Lean transformations to hundreds of clients.
Projects are typically delivering improvements in cost, cycle time, quality and
customer service.

Published by: LBS Partners

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University of Limerick
Limerick, Ireland

Copyright © LBS Partners, 2015

Publication date: December, 2015
Printed in Ireland

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Website: http://www.lbspartners.ie
ISBN: 978-0-9570203-9-9

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 TPM & OEE

Contents Page

I trodu tio ……………………………………………........... 1

6S/Workpla e Orga isatio ……………………………… 3

Pillars of TPM …………………………………………………… 4

OEE ………………………………………………………………….. 13

- I pro i g OEE ……………………………........... 16

Eliminating the Six Big Losses …………………………… 19

- A aila ility Losses ………………………........... 19

- Qui k Cha geo er ……………………………….. 21

- Perfor a e Losses …………………………….. 25

- Quality Losses ……………………………………… 27

Implementing TPM ………………………………………….. 29

Su ary ………………………………………………….......... 41

Resour es ………………………………………………………… 45
 TPM & OEE

Introduction
Total Productive Maintenance (TPM) is defined as a company-wide, team-based
effort to build quality into equipment and to improve productivity by reducing the
time lost due to breakdowns.

Overall Equipment Effectiveness (OEE) is a one of the key measures of TPM which
indicates how effectively the machinery and equipment is being run.

TPM aims to increase productivity by reducing lost production time, increasing

available time for production and therefore output from the process.

TPM is based on eight key strategies (also referred to as pillars) which include
improved planning of maintenance activities, measurement of machine
performance, continuous improvement and enhancement of safety. These pillars
are listed in the overleaf and will be discussed in greater detail in a subsequent
chapter.

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Pillar What it is
Autonomous maintenance Involve the operator in daily machine
maintenance
Planned maintenance Plan maintenance activities so that production is
not interrupted
Equipment and process Identification and problem solving of recurring
improvement problems
Early management of new New equipment achieves desired performance
equipment levels earlier
Quality management Introduce improvement projects to address
quality issues
TPM in the office Address waste in administration functions
Education and training Develop operators so that they can routinely
maintain equipment
Safety and environmental Eliminate potential safety risks, improve the
management working environment

Table 1 Pillars of TPM

The goals of Total Productive Maintenance are:
To increase productivity by eliminating or reducing breakdowns, stops and
rejects
To maximize the effective utilisation of assets (machinery and equipment)
To reduce cycle times by eliminating stops or slow running of machines
To extend the useful life of production equipment
To fully support the o pa y’s usi ess issio to support usto er de a d
To support the introduction of:
– flow through the process
– continuous improvement
– standardised work
– pull systems

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6S/Workplace Organisation
Typically, a precursor to the implementation of a
TPM programme is the introduction of
6S or workplace organisation.
6S describes a set of steps used to organise
the workplace in the cleanest, safest and
most efficient manner.
The 6S steps are:
• SORT
• SET-IN-ORDER
• SHINE
• STANDARDISE
• SUSTAIN
• SAFETY

6S Steps Activity
SORT • Remove all unnecessary items from the workplace
• Identify all tools and equipment needed to perform the work
SET-IN-ORDER • Organise all required tools and equipment in the most
efficient manner
SHINE • Clean the workplace thoroughly
• Ensure everything is in perfect working order
STANDARDISE • Create a consistent way to perform tasks and procedures
• Achieved through continual application of the SORT, SET-IN-
ORDER and SHINE steps
SUSTAIN • Make a habit of properly maintaining correct procedures
SAFETY • Safety first when determining where items are to be located

Table 2 6S Steps
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Pillars of TPM
Total Productive Maintenance (TPM) is based on the approaches illustrated
below, which are focused on proactive and preventive methods for improving
equipment effectiveness:

TPM
Equipment and Process

Early Management of
Improvement (OEE)

TPM in the Office

New Equipment

Process Quality
Maintenance

Management
Autonomous

Maintenance
Planned

Education and Training

Safety and Environmental Management

Figure 1 Pillars of TPM

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1. Autonomous Maintenance
Autonomous maintenance involves training production operators to take on basic
maintenance tasks, freeing maintenance staff to concentrate on more critical
maintenance activities.

It encourages the operators to take and active role in maintaining their own
equipment, for example the daily inspection, cleaning and lubrication of the
machine.

Pillar What it is and what it does

Autonomous Trains operators in the effective care and operation of their

Maintenance machines
• Increases operator ownership for maintenance
• Improves daily maintenance of equipment
• Frequent cleaning of equipment leads to earlier detection
of problems
• Frees designated maintenance personnel for higher level
maintenance tasks

Table 3 Autonomous Maintenance

2. Planned Maintenance
Planned maintenance schedules maintenance to reduce loss of available
production time.
Scheduling of maintenance activities is based on predicted failure rates derived
from analysis of past breakdowns and resulting downtime.
The objective is to set up preventive and predictive maintenance systems for
equipment and tooling.

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TPM & OEE
Pillar What it is and what it does

Planned Scheduling of maintenance activities to reduce their impact

Maintenance on running production

• Reduces interruptions to production due to

breakdowns/downtime, improving machine efficiency
• Schedules maintenance during periods when production
is not running
• Drives the implementation of a suitable spares
programme, based on analysis of previous breakdowns
• Contributes to improved safety and quality performance

Table 4 Planned Maintenance

3. Equipment and Process Improvement

The objective of equipment and process improvement is the reduction and
elimination of waste and manufacturing losses.
Manufacturing losses are defined under three headings:
Equipment losses
Manpower losses
Material losses

Equipment Losses (Six Big Losses)

Breakdowns
AVAILABILITY
Set-up/Adjustment

SPEED Idling/Minor Losses

Speed

QUALITY Quality Defects

Start-up Losses

Figure 2 Equipment Losses

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Equipment Loss Description
• General breakdowns
• Tooling failures
Breakdowns
• Equipment failures
• Unplanned maintenance
• Changeover
Set-up/ • Shortages
Adjustments • Complex adjustments
• Warm-up time
• Jams/misfeeds
Idling/Minor losses
• Minor adjustments
• Incorrect settings
Speed • Wear
• Operator inefficiency
• Scrap during production runs
Quality defects
• Rework during production runs
• Defects produced during the start-up process (scrap or
Start-up losses
rework)

Table 5 The Six Big Losses

These losses are typically addressed through the implementation of an Overall

Equipment Efficiency (OEE) programme. OEE will be discussed in more detail in a
later chapter.

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Manpower Losses

Cleaning and checking

MANPOWER Waiting for materials

LOSSES Waiting for instructions

Waiting for quality

confirmation

Figure 3 Manpower Losses

Material Losses

Yield
MATERIAL
Defects
LOSSES
Consumable material
losses

Figure 4 Material Losses

A structured programme of problem solving and process improvement is used to

identify recurring issues.
Permanent fixes are then put in place through the implementation of
improvement projects to reduce or eliminate manpower and material losses.
Generally, these projects are achieved by setting up cross-functional teams with
specific targets for improvement with associated target dates.

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Pillar What it is and what it does

Equipment and Improves the operating efficiency of processes and

Process machines/equipment
Improvement
• Installs permanent fixes for recurring issues
• Encourages teamwork through the establishment of cross-
functional project teams
• Introduces problem solving techniques and enhances
employee skills

Table 6 Equipment and Process Improvement

4. Early Management of New Equipment

Early Management of New Equipment means using the knowledge and experience
gained from TPM programmes to improve the design of new equipment.
The objective is to make the equipment:
Easy to operate
Easy to clean
Easy to maintain
More reliable
Reduce set-up times
Operate at the lowest life cycle cost

Pillar What it is and what it does

Early Reduces the time required to get the piece of equipment
Management of running at stated level of performance
New Equipment
• Reduces the number of start-up issues leading to a
decrease in the time taken to reach desired performance
• Reduces start-up, commissioning and stabilisation time
for improved quality and efficiency

Table 7 Early Management of New Equipment

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5. Process Quality Management
Process Quality Management is defined as a process for controlling the condition
of equipment components that affect variability in product quality.
This includes elements such as error proofing, introducing systems to prevent
mistakes from happening in the first place and root cause analysis to find the true
cause, to fix it permanently.
These initiatives are used to reduce the cost of quality by continually improving
the systems to catch defects as early in the process as possible or to prevent them
from happening at all.

Pillar What it is and what it does

Process Quality Introduces improvement projects to address recurring quality
Management issues
• Identifies and resolves quality issues to decrease the cost
of quality
• Introduces Lean initiatives such as error proofing and root
cause analysis to reduce the occurrence of defects,
improving quality levels
Table 8 Process Quality Management

6. TPM in the Office

Administrative and support departments can be seen as process plants whose
principal tasks are to collect, process, and distribute information. Process analysis
should be applied to streamline information flow and reduce redundant
operations.
Often problems experienced by production often originate earlier in the process,
for example in how the order was taken, entered into the system or planned
through production.

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TPM in the office uses TPM and other Lean methodologies to streamline support
operations, improving flow through all processes.

Pillar What it is and what it does

TPM in the Addresses waste in administration and support functions
Office
• Applies TPM techniques to support activities to reduce
waste and streamline processes
• Improves efficiency of the production by reducing the
issues generated in the administrative tasks such as raw
material procurement, order entry and release of orders to
production

Table 9 TPM in the Office

7. Education and Training

Equip all employees with the skills required to perform basic machine
maintenance.
This process of empowering operators means maintenance personnel can be
released to get involved in analysis and root cause of downtime issues, so they can
be more proactive in setting up systems to reduce future occurrences.

Pillar What it is and what it does

Education and Develop operators so they can routinely maintain production
Training equipment
• Upskills operators to clean and maintain their equipment
daily
• Frees-up maintenance personnel to concentrate
proactively on improvement activities such as preventive
maintenance
• Trains managers to mentor and coach employees on TPM
techniques

Table 10 Education and Training

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8. Safety and Environmental Management

Aims to improve the workplace, reducing safety

risks and maintaining a safe and healthy
environment.

The implementation of a 6S programme is the first

step to improving safety by eliminating defective
machinery, equipment and safety hazards.

Pillar What it is and what it does

Safety and Eliminate potential safety risks, improve the working
Environmental environment
Management
• Identifies potential risks and puts countermeasures in
place to eliminate or al least mitigate the risk
• Ensures all guards and PPE are in place to reduce the
likelihood of injury to operators

Table 11 Safety and Environmental Management

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 TPM & OEE

OEE
Overall Equipment Effectiveness (OEE) was already defined as one of the key
measures of TPM which indicates how effectively the machinery and equipment is
being run.
It combines measures of machine Availability, Performance and Quality.
• AVAILABILITY is the time the machine is actually running, obtained by subtracting
machine downtime from the planned operating time.
• PERFORMANCE compares the speed at which the machine actually runs to the
a ufa turer’s rati g u der ideal o ditio s i.e. the a tual y le ti e s. the ideal
cycle time.
• QUALITY is defined as the quantity of good parts produced i.e. total output –
defects. This includes the defects produced on start-up and those produced when
the machine is in stable production.

Figure 5 OEE Components/Losses

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Figure 6 OEE Measures

OVERALL EQUIPMENT EFFECTIVENESS is calculated using this formula:

OEE = AVAILABILITY x PERFORMANCE x QUALITY

It is important to consider that even if each of these OEE factors is quite high, for
example 85% or 0.85, the final product for OEE will work out as 0.61 (i.e. 0.85 x
0.85 x 0.85).

OEE Factor World Class Figure

Availability 90% = 0.9
Performance 95% = 0.95
Quality 99.9% = 0.99
OEE 85% = 0.85

Table 12 World Class OEE

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Example
A factory runs a single shift of 8 hours. There are three breaks, one of 30
minutes and two other breaks of 10 minutes each.
During the shift in question, downtime of 50 minutes is recorded.
The machine being studied has a stated production rate of 1 part every 20
seconds (3 per minute). In this particular shift 957 parts are produced.
The number of defects produced during this shift is measured as 97 parts which
must be scrapped.

AVAILABILITY
Hours in shift 8
Minutes in shift 480
Breaks (minutes) 50
Planned Operating Time (minutes) 430
Downtime (minutes) 50
AVAILABILITY (=430 – 50/430) 0.88
PERFROMANCE
Target output (3 parts/min x 430 mins) 1290
Actual output 957
PERFROAMNCE (=957/1290) 0.74
QUALITY
Total number of parts produced 957
Number of good parts produced 860
QUALITY (=860/957) 0.89

OEE = 0.88 x 0.74 x 0.89 = 0.58

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Improving OEE
OEE is impacted by three categories of losses:
Downtime Losses
Speed Losses
Quality Losses

Figure 7 OEE Components/Losses

The three categories of loss

are further divided into what
is referred to as the Six Big
Losses, illustrated in figure 8.
One of the main aims of any
TPM/OEE programme is to
focus on the elimination of
these Six Big Losses.
Table 13 gives a brief
description of each of these
losses.
Figure 8 The Six Big Losses

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 TPM & OEE

OEE Factor OEE Loss Description

Random machine failures causing
AVAILABILITY Breakdowns
stoppages of more than 10 minutes
(Downtime
Losses) Set-ups/ Time lost when changing from one
adjustments product to another
Not running at ideal cycle time caused
Reduced speed
by wear or poor maintenance
PERFORMANCE
(Speed Losses) Stoppages of less than 10 minutes
Minor stops/idling caused by jams/misfeeds/blocked or
dirty sensors
Process rejects requiring rework or
Defects
scrap
QUALITY Time taken for a machine to reach
(Defect Losses) Start-ups/ stable process after a changeover or
yield on starting the machine i.e. warm-up
time

Table 13 Description of the Six Big Losses

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Figure 9 Production Shift Timelines

The timeline in Figure 9 represents a typical production shift. The total productive
time is reduced by start-up losses, small component jams (short stops) and long
changeover times.

The aim of the implementation of a TPM/OEE programme is the elimination of

these wastes of time, re-organising the shift to have a production focused meeting
and planned maintenance as the only interruptions.

There will also be lost time due to changeovers. However, the aim should be to
reduce the time taken to clean down a line and set it up to produce the next
item/part.

Refer to page 21 for more on reducing changeover times.

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Eliminating The Six Big Losses

AVAILABILITY LOSSES
Typically, tackling the Six Big Losses begins by concentrating on DOWNTIME,
because if the machine or process is not running then none of the losses can be
addressed.
The first step is to collect information on the amount of downtime experienced
by the process to understand the extent of the problem.
The next step is to understand the reasons for the downtime, best practice
involves assigning reason codes under which the downtime can be recorded.
This is done by working with the people closest to the process, brainstorming
possible causes why the machine or process is stopped. Different processes will
need their own set of reason codes, particular to that process.
It can be useful, when running the brainstorming exercise to think of causes in
terms of machine/mechanical, process or people to prompt ideas.
Once data has been collected on the downtime and reasons for it, this is used
to rank causes in the order they should be tackled. Then root cause analysis can
be performed to introduce permanent fixes for the causes of the downtime.

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Number Reason code
Figure 10
01 Machine down/fault
Sample Reason Codes
02 Maintenance
03 Set-up/changeover
04 Waiting on material
05 Waiting on quality check
06 Meetings
07 Breaks

Figure 11 Process/Machine Bridgeport milling machine Week No. 22

Sample Data Collection Sheet

Down Down Total Reason
Date Comment
time time minutes code
Starts Finishes
27-May 11:47 12:23 36 01 Machine stopped - tool broken
29-May 09:13 09:36 23 03 Changed to different product

Once the data has been collected

over an acceptable period of
time, the results can be plotted
(as a bar chart for example) to
understand the most significant
cause.
The purpose of completing this
exercise is to prioritise where the
effort should be put to obtain the
best return. Each cause can then
be tackled in turn and a
permanent fix put in place for
each. Figure 12 Bar Chart of Reasons for Downtime

NOTE: a separate guide to Problem Solving is available from LBS Partners

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QUICK CHANGEOVER
In production environments, lines manufacture numerous different products and it
is rare that all the products can be made using the same physical tools and
fixtures.

When changing from the manufacture of one product to another, the previous
configuration will generally change and a different set of dies, tools and fixtures
will be put in place.

SET-UP/CHANGEOVER TIME is defined as the time between the last good unit
produced before changing from the previous product run, to the first good unit of
the new product produced after the changeover.

Figure 13 Set-up changeover time

Examples of changeovers/set-ups include:

Switching out the mould on an injection moulding machine and running the
new mould
Cleaning down the dough mixing equipment in a bakery, before starting a new
product
Changing from the production of one product to another on a pet food
production line

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In the course of an OEE programme, initiatives such as SMED (Single Minute
Exchange of Dies) typically will be employed to reduce the time lost due to
changeovers, set-ups and adjustments.

SMED is a tool which is used to reduce the amount of time spent getting ready to
perform a new job, or changeover time.

As with downtime, data on set-ups must be collected and analysed to standardise

the changeover, and make the operation as efficient as possible.

Ways of approaching the reduction of set-up time include ensuring that all tools or
equipment required to complete the changeover are close to hand.

This can be achieved by the implementation of 6S in the area. An example of how

this can be achieved is to install a mobile cart/trolley which holds all tools &
supplies needed and can be easily moved to where it is required.

Figure 14 Sample Changeover Trolley

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Similarly, a shadow board mounted on the machine itself which holds all the tools
required for the changeover for that machine will reduce the time spent searching
for tools and equipment.

A considerable amount of time expended in the changeover can be down to

making small adjustments. Using set-up gauges, set stops or marked settings can
reduce the amount of adjustment required.

Another way of reducing the set-up time may be to arrange with an operator to
come in a half hour early in the morning to switch on the machine so that the rest
of the produ tio staff do ’t ha e to ait for it to ar up.

One of the most important considerations in managing and improving changeovers

is simply better planning of the changeover.

For example, ensure all relevant personnel are aware that a changeover is
planned. Make sure that if approval by quality inspectors is required to proceed
with production, they’re a aila le he they’re eeded to eli i ate aiti g.

A simple white board giving the detail of when the change is due and what it is
planned to change to can be a useful aid. The example below shows mould
changes but this could equally refer to any product change.

Figure 15 Sample Changeover White Board

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So far, the first two of the Six Big Losses have been discussed:

Breakdowns/Downtime

Set-up/Adjustments

These are the losses related to the AVAILABILITY OEE factor and are summarised
below with some suggested approaches to resolving them.

OEE Factor OEE Loss Description Potential Approach

Random
• Autonomous
machine failures
Maintenance
causing
Breakdowns • Planned Maintenance
stoppages of
AVAILABILITY (asset care)
more than 10
(Downtime • Kaizen Blitz
minutes
Losses)
Time lost when
Set-ups/ changing from • Set-up reduction
Adjustments one product to (SMED) programmes
another

Table 14 Availability Losses

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PERFORMANCE LOSSES
Performance related stops are defined as reduced speed a d minor stops .

OEE Factor OEE Loss Description

Not running at ideal cycle time
Reduced Speed caused by wear or poor
PERFORMANCE maintenance
(Speed Losses) Stoppages of less than 10 minutes
Minor stops/Idling caused by jams/misfeeds/blocked
or dirty sensors

Table 15 Performance Losses

Typical factors which influence the speed at which the machine runs include wear,
machine age, lack of maintenance and poor operator training, basically anything
which prevents the machine running at its theoretical maximum (designed) speed.

OEE Loss Potential Causes

• Incorrect settings
• Equipment wear
Reduced Speed • Timing problems
• Operator inefficiency
• Variation in process parameters

Table 16 Some Causes for Reduced Speed Losses

If the theoretical running speed is not available from the manufacturer then a
standard will need to be established, i.e. the maximum speed at which the
machine can be run safely.

A dividing line needs to be set between a standard cycle and one which is
considered to be running slow. This is different from a minor stop.

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A minor stop is an interruption to production which is too short to be considered
downtime.

Typically a minor stop is less than five minutes and results from parts jamming or
misfeeding, cleaning or checking sensors, generally anything which obstructs
product flow.

OEE Loss Potential causes

• Obstructed flow
• Jams
• Misfeeds
• Blocked sensors
Minor stops/idling
• Cleaning
• Checking
• Quality problems
• Technical failures

Table 17 Some Causes for Minor Stops

The PERFORMANCE losses are summarised below with some suggested

approaches to resolving them.

OEE Factor OEE Loss Description Potential approach

Not running at • Standard machine set-up
ideal cycle time • Standard process
Reduced
caused by wear parameter set-up
speed
or poor • Operator training
maintenance • Planned maintenance
PERFORMANCE Stoppages of • Autonomous
(Speed Losses) less than 10 maintenance
Minor minutes • Process (continuous)
stops/ caused by improvement
idling jams/misfeeds/
blocked or
dirty sensors

Table 18 Performance/Speed Losses and how they may be Addressed

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QUALITY LOSSES
Quality losses are ategorised as Start-up losses a d Defects .

OEE Factor OEE Loss Description

Reje ts duri g early produ tio i.e.
Start-up loss
QUALITY warm-up, start-up
(Defect Losses) Process rejects requiring rework or
Defects
scrap

Table 19 Quality Losses

Start-up losses occur when a new production run is started, for example waiting
for a machine to warm-up, or making minor adjustments to get the machine
running to specification.

OEE Loss Potential causes

• Waiting for machine to warm-up
Start-up loss • Incorrect settings
• Minor adjustments

Table 20 Some Causes for Start-up Losses

Defects are the poor quality products generated during steady-state production
which must be reworked or scrapped.

OEE Loss Potential causes

• Incorrect settings
• Poor training
Defects
• Damaged product
• Process variation

Table 21 Some Causes for Losses due to Defects

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The losses related to the QUALITY OEE factor are summarised below with some
suggested approaches to resolving them.

OEE Factor OEE Loss Description Potential approach

Rejects during • Planned maintenance
early • Standard operating
Start-up
production i.e. procedures/
loss
warm-up, checksheets
QUALITY start-up • Optimised processes
(Defect Losses)
Process rejects • Continuous
requiring improvement
Defects
rework or • Six Sigma
scrap • Error-proofing

Table 22 Some Causes for Losses due to Quality

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Implementing TPM
There are four basic phases in the implementation of a TPM/OEE programme:
Preparation
Pilot programme
Plant-wide programme
Stabilisation

Figure 16 Phases in the Implementation of a TPM/OEE Programme

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1. Preparation
The goal of the Preparation phase is to establish a plan to achieve sustainable
improvement from the implementation of TPM and OEE.
Firstly, the rationale for the introduction of TPM should be communicated to all
employees whether they will be directly involved in TPM or not e.g. office staff.
At this stage it’s i porta t that all e ployees u dersta d the i porta e of TPM
and how its introduction will benefit them.

Figure 17 Phases in the Preparation Phase

The chance of success for the overall implementation will be greatly increased by
adopting an inclusive approach, engaging employees from the start.
Tell everyone what is happening, demonstrate why it important that it is done and
provide basic training for everyone.
In areas where TPM and OEE are to be deployed directly, there will be a
requirement for more in-depth training, but everyone should have at least a basic
understanding of what the organisation is trying to achieve.
It will fall to Senior Management to provide active leadership during the
implementation of the TPM/OEE programme.

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 TPM & OEE

Figure 18 Roles of Senior Management

They will have responsibility for:

Setting the goals for the TPM programme, setting out what the expectations
will be
The formulation of the overall implementation plan
Establishment of teams
Acting as the steering committee for the programme, driving achievement of
the programme goals - programme governance
On an ongoing basis, displaying an interest in making it happen
Monitoring the OEE Key Performance Indicator (KPI)
Approving the choice for the pilot area

Typical outcomes from the Preparation Phase are:

A plan for the implementation of the TPM project
Implementation team appointed
Strategy/goals communicated to all employees
A pilot area agreed – and training completed in this area

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2. Pilot Implementation
The purpose of the pilot project is to demonstrate in practice the benefits which
TPM and OEE bring to the organisation.
The choice of the area in which the pilot is to be completed is critical to the
success of the overall programme.

OEE Factor Description Potential approach

Ease of completion Possibly low payback

Easy to Achieve? Allows for limited

May not gain a full experience
experience in
of TPM Process
implementing TPM
High, rapid payback Risk of downtime on critical
Bottleneck? equipment during
Increased Productivity implementation
Good example of what
Difficult to can be achieved through
TPM Risk of not achieving the
achieve? (causes
improvement target
most problems) Will probably be well
supported by operations

Table 23 Selection of the pilot area

It will be useful to set up a display board in the pilot area to communicate the
status on the project to other employees.
This board could typically contain the following items as they become available:
Project name
Reason for undertaking the project
Team names
Before photos
Graphs/charts displaying performance
After photos
6S/Maintenance checklists

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In selecting the area for the pilot implementation, it is important to bear in mind
that a substantial win early in the project can significantly help in securing support
for the overall project.

The pilot project should commence by restoring everything in pilot area to perfect
working order. Two tools will help the team to achieve this and keep everything in
working order:

A. 6S/Workplace Organisation
It was stated earlier (page 5) that typically a pre-cursor to TPM implementation is
the introduction of 6S in the area.
The basic steps involved here are:
Take Before photos as a refere e hi h ill e used to de o strate
progress as the project progresses
SAFETY – Identify all potential safety risks, put in place countermeasures to
eliminate these risks
SORT – remove all clutter and un-used items
SORT – List exactly what is needed in the area in terms of
tools/equipment/furniture
SET-IN-ORDER – Layout what was listed in the SORT step in the most efficient
way
SHINE – Clean the area thoroughly, ensure all equipment is in perfect working
order, replace any broken tools and equipment.
STANDARDISE – Set the standard, document it in a photograph which is posted
in the area. Create a checklist for the area defining cleaning requirements.
SUSTAIN – Introduce an basic audit process to ensure the 6S standard is
ai tai ed a d that people do ’t slip a k i old ha its.

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The 6S project in the pilot area could involve completing mini-improvement
projects concentrating on an aspect of the area, for example:
bench layout
area layout
shadow boards for tools
lea i g a a hi e to restore it to as e - fa tory o ditio
The use of efore a d after photos of the pilot area is a ery effe ti e ethod
of demonstrating progress.

B. Autonomous Maintenance
Get the operator involved in basic maintenance tasks, such a simple daily cleaning
and lubrication of the machine, thereby reducing the number of calls to the
maintenance department, allowing them to concentrate on more serious issues.
Steps involved here include:
Completion of a review of safety in the area – for example, ensure all required
guarding is in place
Identification of simple checks or inspections which can be carried out by the
operator on a daily basis
Completion of any basic training with the operators in machine maintenance
where necessary
Identification and marking of as many settings or adjustments as possible to
simplify changeovers for the operator
Completion of a checklist to which the operator can refer
Establishment a schedule for the completion of basic audits of the required
maintenance activities

At this point the everything in the area should be in good working order.
The next step is to start to measure OEE in the pilot area.

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C. Set a Baseline for OEE
If you do ’t easure so ethi g, it’s hard to u dersta d it a d if you do ’t
u dersta d it, it’s hard to i pro e it.
The improvement process begins by understanding the current situation. This is
achieved by collecting data and measuring present performance.
Then, using a structured problem solving process and identifying the underlying
issues , actions are put in place to put permanent fixes in place to ensure these
issues do ’t re ur.
In this case, the process is kicked-off by starting to record downtime in the pilot
area, as this is generally the source of the most losses.
By talking to the operators and benefitting from their experience, it should be
possible to establish a set of basic reason codes to which the downtime is

attributed.
The reason codes should be related to the major losses.

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TPM & OEE
Examples are given in the table below.

Table 24 Sample Reason Codes

To facilitate a manual data collection process, a simple data collection sheet can be
designed. The operator records the data under the agreed headings. There should
also e a u allo ated headi g to apture do ti e due to u foresee reaso s.

Date Shift

Product Process Equipment

Downtime
Description of Issue Action taken
(minutes)

Figure 19 Downtime Collection Sheet

Data on downtime should be collected for at least two weeks, to give a
representative picture of the downtime encountered, identifying the recurring
issues.

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 TPM & OEE
D. Tackle the Major Losses
Identify the source of the most significant losses of productive machine run time.
The use of a cross-functional team with the most relevant machine/process
knowledge and experience is recommended.
Using a structured problem solving process* start to identify the likely causes of
the problem.
Identify the root cause for the issues which cause most downtime
Identify potential actions to counteract and permanently eliminate these
causes
Plan to implement potential fixes (without adversely impacting production)
Verify the results i.e. that the issue has been fixed and measurable
improvement achieved
Ensure the gains are maintained by regularly reviewing performance

A separate guide to structured Problem Solving is available from LBS Partners

Typical outcomes from the Pilot Phase are:

Successful implementation of an improvement project
Measurable, sustainable results
Updated project summary board
Commitment from management to proceed with plant-wide implementation of
TPM/OEE

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3. Plant-Wide Roll-Out
Roll-out of TPM plant-wide, involves similar steps to the pilot process, expanding
the project in a controlled fashion across the remaining areas in the organisation.
Each area will have its own project board where other employees can view the
progress of the implementation in that area.
In the process of this roll-out, learnings from each individual improvement project
should be employed to help embed the TPM pillars in the organisation.
In particular, development in certain areas will support this embedding of the TPM
pillars across the organisation.

ACTIVITY DESCRIPTION

Safety and environmental Improve the working environment by identifying

management potential safety risks and putting measures in place
to mitigate their effect
Education and training Develop operators so that they can routinely
maintain equipment – leaving the maintenance staff
to work on more serious problems, not routine
maintenance activities

For example, learning from the projects completed should feed in specifically to
make improvements in maintenance activities. In particular:

ACTIVITY DESCRIPTION

Planned maintenance Improve the planning of all maintenance activities

to minimise disruption to production activities

Equipment and process Identify, root cause and resolve recurring problems
improvement permanently in a proactive manner

Early management of new Implement plans so that equipment achieves

equipment desired performance levels earlier in its life cycle
based on past experience of better managing
equipment

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 TPM & OEE

As the programme progresses, the improvement effort extends outside the

boundary of the production areas, spreading out to support functions.

ACTIVITY DESCRIPTION
TPM in the office Identify and address waste in administration/
support processes

4. Standardisation
Once a baseline level of OEE measurement has been established in the
organisation, the focus should be on the continually improving the OEE
measurement and further embedding TPM pillars across the organisation.
Establishing the baseline OEE measurement should allow an improvement target
to be set.
Specific improvement projects are then undertaken which focus on each of the
OEE components: Availability, Performance and Quality.
These projects are established to address particular issues in a time-based, goal
focused manner.
Time-based – the project has a defined duration by which the outcomes must be
achieved
Goal-focused – the project is formed to achieve certain pre-defined outcomes e.g.
productivity improvement of X%, reduction of downtime by Y%.
Table15 on page 40 summarises suggested approaches to improving each of the
OEE components.

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TPM & OEE
OEE Component Improvement tools
Availability • Analysis/reduction of downtime
• 6S Workplace Organisation
• Problem Solving/Root Cause Analysis
• Planned maintenance
• SMED – Quick Changeover
• Continuous improvement projects
Performance • Cycle time analysis/reduction
• Standardised machine set-up
• Problem Solving/Root Cause Analysis
• Line balancing
• Operator training
• Continuous improvement projects
Quality • Six Sigma
• Standard Work/Standard Operating Procedures
• Check sheets
• Error-proofing
• Continuous improvement projects

Table 25 OEE Components and Improvement Tools

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 TPM & OEE

SUMMARY
The key concepts associated with TPM and OEE are summarised in the following
pages.

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TPM & OEE
TOTAL PRODUCTIVE MAINTENANCE(TPM) is defined as a company-wide ,team-
based effort to build quality into equipment and to improve productivity by
reducing the time lost due to breakdowns.

Total Productive Maintenance is based on eight key strategies (also referred to as

pillars).

Pillar What it is
Autonomous maintenance Involve the operator in daily machine maintenance
Planned maintenance Plan maintenance activities so that production is
not interrupted
Equipment and process Identification and problem solving of recurring
improvement problems
Early management of new New equipment achieves desired performance
equipment levels earlier
Quality management Introduce improvement projects to address quality
issues
TPM In the office Address waste in administration functions
Education and training Develop operators so that they can routinely
maintain equipment
Safety and environmental Eliminate potential safety risks, improve the
management working environment

OVERALL EQUIPMENT EFFECTIVENESS (OEE) is a one of the key measures of TPM

which indicates how effectively the machinery and equipment is being run.

It combines measures of machine Availability, Performance and Quality and is

calculated using this formula:

OEE = AVAILABILITY x PERFORMANCE x QUALITY

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 TPM & OEE

AVAILABILITY is the time the machine is actually running, obtained by subtracting

machine downtime from the planned operating time.

PERFORMANCE compares the speed at which the machine actually runs to the
a ufa turer’s rati g u der ideal o ditio s i.e. the a tual y le ti e s. the ideal
cycle time.

QUALITY is defined as the quantity of good parts produced i.e. total output –
defects. This includes the defects produced on start-up and those produced when
the machine is in stable production.

World class figure for Overall Equipment Effectiveness (OEE) is typically stated as:

OEE Factor World Class Figure

Availability 90% = 0.9
Performance 95% = 0.95
Quality 99.9% = 0.99
OEE 85% = 0.85

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TPM & OEE

The SIX BIG LOSSES defined in OEE are listed as:

OEE Factor OEE Loss Description

Random machine failures causing
AVAILABILITY Breakdowns
stoppages of more than 10 minutes
(Downtime
Losses) Set-ups/ Time lost when changing from one
adjustments product to another
Not running at ideal cycle time caused
Reduced speed
by wear or poor maintenance
PERFORMANCE
(Speed Losses) Stoppages of less than 10 minutes
Minor stops/idling caused by jams/misfeeds/blocked or
dirty sensors
Process rejects requiring rework or
Defects
scrap
QUALITY Time taken for a machine to reach
(Defect Losses) Start-ups/ stable process after a changeover or
yield on starting the machine i.e. warm-up
time

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Resources

Sample standard forms are presented on the succeeding pages, to assist in any
OEE implementation.
These are listed as follows:
1. OEE Downtime sheet– to facilitate in collecting data on the extent of
downtime in the area
2. Planned changeover list – to help in communicating the plan for changeovers

Original templates are available from www.lbspartners.ie

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TPM & OEE
1. OEE Downtime Sheet

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2. Planned Changeover List

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LBS Partners
Tel: 061-518408
Nexus Innovation Centre
e-mail: info@lbspartners.ie
Tierney Building
Website: www.lbspartners.ie
University of Limerick
Limerick, Ireland