How to im­prove per­for­mance

DEMM Engineering & Manufacturing - - CONTENTS - By Rob Probst

Does the equip­ment in your man­u­fac­tur­ing plant de­cide when it's go­ing to stop, or do you de­cide?

In most com­pa­nies the an­swer is a mix of the two, and the re­sult is that profit mar­gins suf­fer.

Re­cently, I pareto charted the daily out­put for a month at a man­u­fac­tur­ing com­pany.

On three of the days, the daily to­tal tonnes pro­duced was higher than the OEE, (over­all equip­ment ef­fec­tive­ness), bench­mark.

The morn­ing pro­duc­tion meet­ing af­ter each of those days was pos­i­tive, up­beat and short. The GM ex­horted the rest of staff to “keep up the good work”.

Some of the us looked at each other with raised eye­brows. We knew the equip­ment might de­cide to stop work­ing, or a qual­ity, op­er­a­tor, or process con­trol stuff-up, was just around the cor­ner.

The next day's pro­duc­tion meet­ing was likely to re­turn to nor­mal; a lengthy blame ses­sion with de­mands for im­me­di­ate im­proved per­for­mance.

The re­main­der of the month's daily pro­duc­tion was be­low the OEE bench­mark; equiv­a­lent to a ca­pac­ity loss of 25 per cent ver­sus the OEE bench­mark. Of course, the month's budget wasn't set at the OEE bench­mark as se­nior com­pany man­age­ment was smart enough to set “achiev­able” tar­gets.

With mar­ket de­mand high enough to ab­sorb the in­creased bench­mark ca­pac­ity, the fixed cost re­cov­ery could be dis­trib­uted over 25 per cent more pro­duc­tion and EBIT could be dou­bled.

What's the po­ten­tial at your com­pany? The Key to ‘know­ing' and achiev­ing your po­ten­tial is knowl­edge.

Skill­s4Work continues to of­fer three NZQA unit stan­dard pa­pers that form the ba­sis of core knowl­edge for im­proved equip­ment re­li­a­bil­ity and main­te­nance ex­cel­lence”.

• Main­te­nance best prac­tices

• Plan­ning & sched­ul­ing for plan­ners

• Main­te­nance & re­li­a­bil­ity

Skill­s4Work can as­sist you in de­ter­min­ing how much equip­ment re­li­a­bil­ity is worth to your com­pany us­ing unit-stan­dard ap­proved main­te­nance ex­cel­lence core mod­ule train­ing, and con­sul­tant sup­port for the de­vel­op­ment and im­ple­men­ta­tion of your im­prove­ment pro­gramme.

Rob Probst, main­te­nance trainer at Skills 4 Work.

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