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Total Productive Maintenance (TPM)
September 21, 2010


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Beyond Total Productive Maintenance (TPM)

Total Productive Maintenance (TPM)

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Through a well planned, multi-day Rapid Improvement Event, an effective Total Productive Maintenance excellence strategy can help transform your company culture into a world-class provider of reliable materials and services. MMTC can enable companies to see and eliminate the hidden waste in their current operating and maintenance processes by providing proven solutions for rapid improvement. TPM and planned maintenance activities, when properly applied, enable companies to seize the opportunity to save time and money.

MMTC shows clients how to transform the traditional view of maintenance as a "cost burden" into a LEAN "customer and cost focused" service provider. The culture thus transforms its focus to long term performance improvement by maximizing the performance of current technologies. This strategy can eliminate the need for costly capital expenditures and allow greater flexibility to grow the business.

What Can TPM Do For You?

What if your organization could improve availability, performance, efficiency and quality of just one machine?

Current State Future State (w/ TPM)
Availability = 85% Availability = 90%
Performance Efficiency = 86% Performance Efficiency = 91%
Quality Rate = 94% Quality Rate = 99%
OEE formula:
85% x 86% x 94% = 69%
OEE formula:
90% x 91% x 99% = 81%
At 69% you produced 1,380 good parts (per week) with a profit of $2 per piece = EBIT for 50 weeks of $138,000 At 81% you can produce 1,703 good parts (per week) so your EBIT = $170,000 using the same labor and piece of equipment

Increased run time of good parts = increased EBIT of $32,200 from one machine.

Bottom Line Facts

Although many organizations differ in their manufacturing processes, the typical approach to maintenance remains an after-thought that is common in 66% of U.S. manufacturing firms.

  • 180 million in annual lost revenue is directly attributed to poor maintenance practices in U.S. manufacturing firms
  • Re-establishing your maintenance approach from a "cost-burden-failure" to a "cost-savings-success" typically will gain a minimum of 6 to 1 payback
  • Machines that are maintained proactively generally consume 5% to 10% less energy
  • Simple autonomous (operator based) TLC (Tighten-Lubricate-Clean) generally eliminate 50% to 70% of unplanned stoppages
  • Inadequate maintenance practices typically waste 20% to 50% of spare part budgets unnecessarily
  • Organizations that operate with traditional "run till failure" methods, typically waste over 30% of every dollar spent on maintenance repairs
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