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Total Productive Maintenance - TBM Consulting Group

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M A N A G E M E N T B R I E F I N G<br />

<strong>Total</strong> <strong>Productive</strong> <strong>Maintenance</strong><br />

8 Steps to Better Equipment Reliability,<br />

More Capacity and Sustained Improvement<br />

By Doug Kiss<br />

Executive Summary<br />

If <strong>Total</strong> <strong>Productive</strong><br />

<strong>Maintenance</strong> (TPM) did not<br />

produce results or sustainment<br />

at your company, perhaps it<br />

was because you took a tool<br />

approach rather than a systems<br />

approach. Instead of being<br />

viewed as a fixit (or fixitprevention)<br />

measure, TPM<br />

should become the foundation<br />

of a larger maintenance<br />

vision that supports strategic<br />

high-level goals.<br />

The reason many TPM events<br />

don’t show payback or sustain<br />

is that they are one-offs:<br />

The systems that support the<br />

equipment effectiveness are not<br />

put into place; the measures<br />

that support the effort are not<br />

created; or the wrong measures<br />

are forced.<br />

Planning a TPM implementation<br />

and the systems/measures<br />

that support it is critical.<br />

Following up on the data<br />

and the implementation of<br />

countermeasures are the daily<br />

requirements.<br />

The function of the <strong>Maintenance</strong><br />

Department is not to fix broken<br />

things. It’s to find, preserve and<br />

expand manufacturing capacity.<br />

You’ve launched your continuous improvement (CI) initiative. Product lines<br />

have replaced process villages. There’s more floor space. Supervisors<br />

and executives are closer to the gemba after experiencing 5S, visual<br />

factory and Managing for Daily Improvement. Standard work has made<br />

abnormalities more visible, and Six Sigma methodology has corrected<br />

problems that have plagued the operation for years.<br />

The results are showing on the bottom line, and Accounting has credited<br />

your CI effort as a large contributor. Fair skies and smooth sailing, right?<br />

Well, partially right. Momentum like this—effectiveness like this—needs<br />

growth to sustain.<br />

But many organizations are hesitating to make investments needed<br />

for growth. Often the roadblock is finding, preserving and expanding<br />

manufacturing capacity.<br />

The tenuous global economy has held back some capital investment, but<br />

some company leaders could also be cautious because they have been<br />

dissatisfied with equipment lifespan and/or lifecycle costs despite using <strong>Total</strong><br />

<strong>Productive</strong> <strong>Maintenance</strong> (TPM) as part of an operational excellence program.<br />

If TPM did not produce results or<br />

sustainment at your company, perhaps it<br />

was because you took a tool approach rather<br />

than a systems approach.<br />

Instead of being viewed as a fixit (or fixit-prevention) measure, TPM should<br />

become the foundation of a larger maintenance vision that supports<br />

strategic high-level goals.<br />

Equipment-<strong>Maintenance</strong> Challenges<br />

First, let’s look at equipment-maintenance challenges that are common<br />

among manufacturers and cause problems such as downtime, reduced<br />

speed, product yield and the unknown costs/availability of parts and time<br />

associated with restoration of lost capacity:<br />

800.438.5535 | www.tbmcg.com


P G . 2<br />

• Austerity has forced a general degradation<br />

of equipment condition in the past decade.<br />

The maintenance skills base has eroded due to<br />

attrition, a decline of technical school graduate<br />

availability, and a tendency among companies<br />

to drop maintenance mentoring/apprenticeships.<br />

<strong>Maintenance</strong> departments often lack basic and<br />

specific skills, and few have taken the time to<br />

quantify the gap, let alone plan to bridge it. In<br />

addition, maintenance organizations can lack a<br />

vision and a structure that focuses on effectiveness.<br />

Achieving <strong>Maintenance</strong><br />

Excellence<br />

Autonomous maintenance, preventivemaintenance<br />

optimization, predictive<br />

maintenance, spare-parts inventory, and waste<br />

elimination in maintenance are just a few of the<br />

subjects you may need to address. The most<br />

effective way we’ve found to make rapid and<br />

sustainable change is through TPM improvement<br />

events conducted as part of a plan to achieve<br />

maintenance excellence. Most events are<br />

weeklong, team-based activities focused on a<br />

critical piece of equipment. Teams learn the<br />

theory, specialty tools and methodology and<br />

immediately apply it. They see the benefits<br />

themselves and help to accelerate the process<br />

throughout the facility. The teams report their<br />

accomplishments at week’s end to the process<br />

owners.<br />

Targeted training and workshops ranging<br />

from one to three days are used as needed to<br />

supplement the TPM improvement events. These<br />

include, but are not limited to:<br />

• <strong>Maintenance</strong> manager 101<br />

• Lubrication excellence<br />

• Condition-based maintenance and PM<br />

optimization<br />

• Overall equipment effectiveness<br />

The last step is to periodically set new milestones.<br />

Agreement on progress and results in this group<br />

and the setting of the next stretch goal are key.<br />

• Production departments are focused only on<br />

“making the numbers.” Basic daily care and<br />

equipment monitoring are not performed by the<br />

person who is operating or tending the equipment.<br />

We find operators using workarounds and special<br />

tricks and tools to limp things along. Some of these<br />

are good ideas but are seldom shared as best<br />

practices. Others are contributing to advanced<br />

equipment decline as problems go unreported and<br />

some are downright dangerous.<br />

• Computerized <strong>Maintenance</strong> Management<br />

Systems often are not in place or poorly used.<br />

No useful data is available quickly—equipment<br />

history or spare parts inventory/cost. Good<br />

data and history are essential for making good<br />

decisions about modifying preventive maintenance,<br />

stocking or ordering spare parts, and upgrading or<br />

purchasing equipment.<br />

• <strong>Maintenance</strong> and Production don’t partner and<br />

share ownership of the equipment. If maintenance<br />

skills are below par and spare parts are not<br />

tracked or managed, preventive maintenance likely<br />

takes too long and causes significant equipment<br />

downtime. The other result is that everyone sees that<br />

Production does not value equipment maintenance.<br />

When equipment is not released for regular service<br />

time after time, it sends a bad message. Both of<br />

these scenarios promote/reflect a lack of trust and<br />

an inability to make and keep agreements.<br />

To address the problems that<br />

result from these challenges,<br />

some have held a TPM event,<br />

which can be a great start—<br />

but a start alone is not a longterm<br />

plan to find, preserve and<br />

create manufacturing capacity<br />

necessary for growth.<br />

800.438.5535 | www.tbmcg.com


P G . 3<br />

Creating TPM Systems for Long-Term Benefits<br />

The reason many TPM events don’t show payback<br />

or sustain is that they are one-offs: The systems that<br />

support the equipment effectiveness are not put into<br />

place; the measures that support the effort are not<br />

created; or the wrong measures are forced.<br />

(The other option has always been buying new<br />

equipment. While there’s a time for this, I’d suggest<br />

that we put the systems into place to support new and<br />

old equipment alike before making new purchases.)<br />

<strong>TBM</strong>’s methodology for helping clients move beyond<br />

the TPM “tool” stage to the systems stage includes<br />

these eight components:<br />

Knowing the current state. We start<br />

1.<br />

by examining the production floor, the<br />

maintenance department(s) and the equipment.<br />

Area owners and operators provide input for an<br />

assessment, which is a systems view of where<br />

the factory is from a standpoint of maintenance<br />

excellence. We use a progression benchmark,<br />

often in the structure of bronze/silver/gold to<br />

determine the level of lean progression. The<br />

output provides parameters for priority and<br />

scope, as well as a solid reference in structuring<br />

a get-well plan.<br />

Establishing a steering committee or<br />

2.<br />

ownership structure. While TPM can be<br />

described as a “bottom-up” effort (meaning<br />

without support from the top), it still requires a<br />

team to set goals and identify good measures<br />

for full implementation and sustainment.<br />

These are set as the organization establishes<br />

a “maintenance vision.” It’s remarkable that<br />

most production departments have a vision<br />

statement, but most maintenance organizations<br />

do not.<br />

3.<br />

<br />

Identifying critical equipment. One of the<br />

causes<br />

<br />

of less-than-optimum TPM implementation<br />

is the enormity of the scope—and therefore the<br />

scarcity of—resources to get the work done.<br />

Using a criticality matrix and numerical scoring<br />

criteria, we take the “emotional noise” out of<br />

the identification and let the data tell us what<br />

equipment is truly critical. (Facilities equipment<br />

must be taken into account during this process).<br />

We can then focus on this list as priority No. 1<br />

in our implementation.<br />

Determining the condition each piece of<br />

4.<br />

critical equipment. Looking at each sub-system<br />

on the equipment (hydraulics, pneumatics,<br />

controls, etc.), we can code the condition of<br />

based on the current state. This not only helps<br />

with the planning of TPM improvement events,<br />

but also helps organizations plan and prioritize<br />

upgrades, overhauls, rebuilds and new<br />

equipment purchases. It is a great advantage<br />

to be able to effectively plan and predict<br />

necessary capital expense.<br />

Conducting a maintenance skills assessment,<br />

5.<br />

implementing a skills matrix. Gaps in skills<br />

must be addressed. The first step is to identify<br />

what basic skills are in need of enhancement<br />

and what machine/process-specific expertise<br />

needs to be upgraded. This is also a good time<br />

to look at the structure of the department. Does<br />

your operation require PM/PdM teams and<br />

planners?<br />

Creating a communications plan and<br />

<br />

6. determining initial metrics/measures.<br />

<br />

It is necessary that both maintenance and<br />

production organizations know the why/<br />

how/when, and that changes are in store<br />

for everyone.<br />

Prioritizing and planning workshops/<br />

7.<br />

events/training.<br />

<br />

8.<br />

<br />

Implementing, assessing and improving.<br />

If maintenance skills are below par and spare<br />

parts are not tracked or managed, preventive<br />

maintenance likely takes too long and causes<br />

significant equipment downtime.<br />

800.438.5535 | www.tbmcg.com


P G . 4<br />

The benefits of this approach are that:<br />

• You create a roadmap of what needs to be done.<br />

As a result, you have a vehicle for enhancements,<br />

course corrections and communication.<br />

• You know how you are going to do it.<br />

• You know how to measure the effects and returns.<br />

Organizations that have their lean house otherwise<br />

in order, are or will find themselves, up against<br />

equipment effectiveness and machine capacity as<br />

a barrier to bringing the benefits of operational<br />

excellence to bear. This may be the result of less-thansuccessful<br />

efforts in the past or simply the last part<br />

of the puzzle to be put together. In either case, it’s<br />

important to understand that the end goal is not TPM,<br />

but maintenance excellence.<br />

Gaps in skills must be addressed.<br />

The first step is to identify what basic<br />

skills are in need of enhancement<br />

and what machine/process-specific<br />

expertise needs to be upgraded.<br />

Planning a TPM implementation and the systems/<br />

measures that support it is critical. Following up on<br />

the data and the implementation of countermeasures<br />

are the daily requirements.<br />

The function of <strong>Maintenance</strong> is not to fix broken<br />

things. The function of <strong>Maintenance</strong> is to find,<br />

preserve and expand manufacturing capacity.<br />

About the Author<br />

Doug Kiss is an experienced lean consultant with 28 years of manufacturing experience. He came to <strong>TBM</strong> in 2005<br />

with a background leading lean in aerospace, commercial, and industrial environments. Trained in Japan in 3P, kaizen,<br />

and TPM, Doug has focused on facilities and services, developing the application of lean tools for conservation and<br />

energy reduction, and has led lean initiatives worldwide.<br />

About <strong>TBM</strong> <strong>Consulting</strong> <strong>Group</strong><br />

<strong>TBM</strong> is a global operations management consulting firm that maximizes enterprise value and accelerates growth<br />

by working with clients to leverage operational excellence. We work side-by-side with our clients to immediately<br />

improve EBITDA, accelerate organic growth, integrate newly acquired businesses, and generate immediate and<br />

long-term balance sheet improvements. Our subject-matter professionals average 10-25 years of operational,<br />

management and executive experience, and none of them are career consultants. We leave behind a customized<br />

framework and structure for lasting change using our proprietary LeanSigma ® approach, which has been<br />

continuously improved since its introduction over 20 years ago.<br />

Our<br />

Blog<br />

Join us on<br />

LeanSigma ® and the <strong>TBM</strong> logo are registered trademarks of <strong>TBM</strong> <strong>Consulting</strong> <strong>Group</strong>, Inc.<br />

© 2012 <strong>TBM</strong> <strong>Consulting</strong> <strong>Group</strong>, Inc.<br />

<strong>TBM</strong> <strong>Consulting</strong> <strong>Group</strong>, Inc.<br />

4400 Ben Franklin Blvd.<br />

Durham, NC 27704<br />

800.438.5535<br />

www.tbmcg.com<br />

07/2012

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