Muda

Ministry of Education
Teppi TVET College

Dep’t of Information Technology
lecture note For IT/DBA/Year III Regular student’s
Module Title: ELIMINATING &
PREVENTING MUDA
By:-Amanuel T.(B.Sc.)
Contents
1)The concept of MUDA/Waste
2)Methods for categorizing types of Muda
3)MUDA identification
4)Elimination of Muda
5)Methods for Muda prevention
6)TPM concepts and its pillars
federal Tvet agency and EKI 2

1) The concept of Muda
What is Value?
Value is defined by your customer.
There are two types of Customers:-
-Internal customer
-External customer
Then Value is the activity/effect
what the customer exactly is
going to pay for/needs.
federal TVET agency and EKI 3

What is Waste/MUDA?
• Waste/MUDA is any activity of

workers/machines which consumes resources
such as money, time, energy, materials, etc
without adding value.

The main elements of KAIZEN
management
• Quality (Customer)
• Cost (Company)
• Delivery(Customer)
• QCD is the source of

productivity improvement
የትም ፍጭው Profit=Price-Cost
ዱቄቱን አምጭው Better Quality ምን ይሻላል???
On time
Delivery
M
I
Reasonable N
Price I
ER M
T UR
N UFA
C I
MA
Z
Higher E
CUSTOMER
Profit
COST

The concept of cost
Cost minimization
• Determination of the sales price of the product
Sales price=(manufacturing)cost + profit
• Manufacturing cost=(material + labor +
facility + utility + others)cost

Company sets price(Demand>Supply)
Traditional Thinking
PRICE=COST + PROFIT
Kaizen Thinking
PROFIT= PRICE - COST

Market sets price (Demand≤Supply)

• Therefore, since today’s economy is
market based, we should focus on
minimizing our COST to get higher
profit.
• Do we have any choice?

The three categories of Operations
• Value Adding/Net Operation

• Non Value Adding Operation
• Muda/Waste

(1) Net Operation
• Part of the operation that adds value
to make parts and products
Examples, Milling, Turning, Grinding,
Assembling and Welding

(2) Non-Value adding Operations
• Operation that adds no value but

cannot be avoided
Example Setting up, Inspecting,
Picking up parts, Removing drill chips
The three categories of Operations(Cntd)
(3) “Muda”
• Muda is a Japanese word meaning Wasteful

Activity
• Is anything unnecessary in operation.
• Can be eliminated immediately

The three categories of Operations(Cntd)
(3) “Muda”
• It increases Production cost
• Muda affects the quality of the product

and also delivery time

“Muda” are activities which use resources,
time or cost without adding value.
Non-value adding and Value adding

wastes
• assembling
• movements
• searching for tools
• molding
• transporting • spinning
materials • mixing
• over production • building
• waiting /idle time • milling etc
• making defects etc
Non Value Added & Waste activities
Suppliers Value Chain Consumers
Reduce Lead Time

Product Lead-Time
Raw Finished
Materials TIME Goods
Value Added
Time
Non- Value
Added Time

Very Simple Drill
• Operation to staple two papers using a
stapler when work place is disorganized
• Materials and tools

– Two pieces of paper
– Stapler
– Staples

Very Simple Drill
Result in a disorganized environment
N0. Activities Time Type of Measure How
Operation
1 Searching for 35 Sec Muda Eliminate 5S(Set-in-order)
Stapler
2 Searching for 30 Sec Muda Eliminate 5S(Set-in order)
Staples
3 Putting the Staples 8 Sec Non-Value Minimize Load staples
into the stapler adding ahead
4 Putting the two 3 Sec Non-Value

papers adding - -
together
5 Staple the papers 2 sec Net Operation

(Value Adding) - -

Lessons from the drill
• Total time of operation=78 Sec
Net Operation(Value adding)=2 Sec(2.6%)

Non-Value adding operation=11 Sec(14.1%)
Muda(Unnecessary operation)=65Sec(83.3%)

Lessons from the drill
• Can you imagine by how much the total time
of the operation can be improved if we try to
eliminate the Muda and minimize non value
adding operations by applying 5S?
• What if the job order was to produce a car?

Imagine the MUDA.

MUDA = Anything Unnecessary

2)Methods For Categorizing Types of Muda/Wastes
Classification of waste
A number of methods for classification of waste have
emerged. Here are some of them:-
 The 3MU’s
 5M+Q+S
 The flow of goods
 The Seven deadly wastes

1) The 3MU’s
Muda
Muri
Mura
The Three MU’s
MUDA-Capacity exceeds load.

MURA (imbalance or variation) =
capacity sometimes exceeds the load and
the load sometimes exceeds capacity.
MURI(Physical or mental overburden)-Load

exceeds capacity .
Productivity improvement does not
mean hard work.federal Tvet agency and EKI 26
The Three M’s
Muda
• Production factors that increase
cost, in other words, all
unnecessary things

The Three M’s (Cntd)
Muri
• Mental and physical overburden on
operators, and overburden on
production machinery

The Three M’s (Cntd)
Muri
We should not force hard work on
Employees in the name of
productivity improvement
Value added work

Working density =
Actual work
Muri : overburden

የስራ ጫና Muri

የስራ ጫና Muri

The Three M’s
Mura
• Variation in work distribution,
production capacity of machinery, and
material specifications

IN OUT

Relationship between the 3 M’s
• Usually Mura creates Muri which in turn
lead to generation of Muda

Relationship between the 3 M’s
• Therefore, mura creates muri that
undercuts previous efforts to
eliminate muda.
• Eliminating mura is fundamental to

the complete elimination of muri
and muda
2) 5M+Q+S
• Is another way of thinking in the areas where
waste may occurs 5M(man, material,machine,
method and management), plus Quality and
Safety.

Contd…
Material
Waste of:- Parts, Bolts, Welds, Functions, Storage & Handling.
Man/Workers
Waste of:- Walking, Waiting, Searching, Unnecessary movements
Management
Waste of:- Materials, Meetings, Management control,
Communications, Vouchers
Machine
Waste of:- Large machines, General purpose machines,
Conveyors, Machines with wasteful movements,
Breakdowns,
Machine handling
Contd….
Method
Waste of:- Large lot production, Inventory,
Conveyance, Retention, Non standardization,
Picking up setting down work pieces.

Contd…
Quality
Waste in:- Making defective goods, Fixing
defects, errors, Inspection, Quality control.
Safety
Waste of:- Disaster prevention methods, Fixing
defects.

3) The Flow of Goods
• A third way of thinking about waste is to focus
on the flow of goods in production.
Materials are procured Materials are retained Materials are
conveyed to processes on production line Materials are
retained at the process equipment(WIP) Materials are
picked up for processing Materials are processed
Processed goods are set down and retained on the other side
of the processing machine(WIP) Goods are conveyed to
inspection point Goods are retained until inspection
Goods are picked up and inspected Goods are set down
and retained on the other side of inspection process
Inspected goods are conveyed to the finished goods
warehouse Finished goods are retained prior to shipment
Cont…..
If we look carefully at the flow of goods, you will see

four things going on:-
 Retention, Conveyance, Processing and Inspection
Retention-means stopping the flow of goods
producing inventory without adding value.
-It adds cost without adding value.
Conveyance-movement b/n retention points without
adding value.
Material handling movement b/n a retention point &
a process.
Contd……..
Processing-means adding value or altering raw
materials/parts /assemble parts to add value.
Inspection-identifies defects from production
flow. It doesn’t add value b/c it doesn’t
eliminate the source.

4)The Seven deadly wastes
1) “Muda” of Overproduction
2) “Muda” of Inventory
3) “Muda” of Waiting
4) “Muda” in Transporting Cost Reduction by Elimination of
5) “Muda” of Defect-making muda
6) “Muda” of Motion
7) “Muda” in Processing

Over Produced
Motion
7 Categories
Transportation
of Waste
Inventory Waiting
Defect Making
Over Processed
1)“Muda” of Overproduction
To produce things more than necessary in
terms of type, time, and volume. It is called
“the worst kind of Muda” since it hides all the
other wastes.
federal Tvet 48
agency and EKI
1)“Muda” of Overproduction
[Cause] [Effect ]
Excessive work Increase in inventory
force and facilities Outbreak of defects
Big and fast Deterioration of turn-
production machine over ratio of funds
Lack of customer Advanced preparation of
focus materials and parts
Consumes resources
Needless wear on
machines
The situation where items such as raw
materials, parts, and finished goods are
stagnant or which are not having value added
to them. Some are located in the warehouses,
and others are in-process inventory.

[Cause] [Effect ]
 Weak consciousness  Waste of space
for inventory  Needs for inspection,
 Bottle-neck processing and transportation
stage  Expansion of working
 Advanced Production fund
 Approximate production  Shelf life may expire
 Unreliable suppliers  It ties up cash
 Makes FIFO inventory
management more
difficult
Examples of Inventory Wastes

This includes all kinds of waste of time such as

workers or parts waiting: -for an upstream process
to deliver,
-for a machine to finish processing,
-for incoming parts or materials,
-for process that has a long wait time

[Cause] [Effect ]
 Bottle-neck  Waste of manpower,

processing stage time, & machines
 Bad facility layout
 Increase in the in-
 Capacity imbalance
 Shortages &
process inventory
 Failed delivery dates
unreliable supply chain
 Lack of multi-skilling  Poor workflow
 Poor maintenance. continuity

4) “Muda” in Transporting
It is Unnecessary movement of parts
between processes caused by unnecessary
transportation distance, temporary storage,
relocations or re-piling up.

[Cause] [Effect ]
 Bad facility layout  Waste of space

 Production deterioration
 Expansion of transportation
facilities
 Occurrence of scratches
 Increase production time
 wastes time and energy

5) “Muda” of Defect-Making
This includes defects,
 inspections for
defects in-process, and claims,
rescheduling, and resource loss.

5)“Muda” of Defect-Making
[Cause] [Effect ]
 Emphasizing on down-  Increase in material

stream processes by cost
inspection  Productivity deterioration
 Poor in methods and  Increase in personnel
standards for inspection & processes for
 Lack of standard inspection
 Increase in defects
operation
and claims
 Invite reworking costs

These are non-value adding movements or

more than necessary movements of
workers, equipment, and machines, such
as looking for goods, bending, stretching,
walking, lifting, and reaching etc.

Example:

6)“Muda” of Motion
[Cause] [Effect ]
 No education or  Increase in
training manpower and
 No standard processing
operating  Unstable operation
procedure  Increases
 Isolated operation production time
 Bad facility lay  Can cause injury
out

This consists of processing and operations

primarily unnecessary. It is processing beyond
the standard required by the customer.

7)“Muda” in Processing
[Cause] [Effect ]
 Lack of analysis of the  Unnecessary processes
contents of operation or operation
 Improper tools and  Increase in manpower
their use and man-hour
 Insufficient  Lower workability
standardization  Increase in defects
 Attitude - ‘Always do  Can reduce life of
it like this’. components

Benefits of identifying & Eliminating
waste
1. To the company
 Cutting the hidden costs of production.
 Increased customer satisfaction.
2. To Shop floor worker
 Increased job satisfaction:- work with less energy,
work in safe conditions etc.
 Contributing for improvement:-

Steps to effective Muda identification
1. Making waste visible
2. Be conscious of the waste
3. Be accountable for the waste
4. Measure the waste

1.Making waste visible
Shop layout/process flow analysis using :-
• Arrow Diagram
• Summary chart of flow analysis
• Operation analysis Table
• The standard operation combination chart
• Workshop checklist for major waste finding

The Arrow Diagram
• It focuses on the flow of goods to discover waste
• Factors to be identified in arrow diagram are:-
Retention, Conveyance, Processing & Inspection.
• Helps to get a good understanding of production
processes and to see where the waste exists.

Arrow Diagram symbols
Analysis Symbols Description Amount of
Factors waste
Retention When the WIP flow is stopped (for other

than Conveyance, Processing or
Large
Inspection)
Conveyance When the WIP flow is moved from one

place to another.
Large
Processing When the WIP is changed physically or There may be

chemically for added value. some waste in
the process
Inspection When goods are inspected for

conformance to Quality and dimensional
Large
standards.

Four steps to create arrow diagram
1. Understand the purpose:- To discover waste.
2. Select the product to be analyzed:-
• You can do product quantity analysis to compare product
and quantity.
• Choose products with a large out put and with many
production problems as a starting point.
3. Prepare a factory layout diagram:-
Include the entire factory layout with position of machines,
work tables, etc.
4. Make the Arrow Diagram:-
• Do this on the shop floor and use the symbols.
Contd….
• Connect the symbols with lines to show the direction of flow.
• At all conveyance points note:-
- conveyance distance, and
- type of conveyance
• At all retention points - note average WIP inventory.
Results are summarized using the Summa

ry Chart of Flow Analysis.

2. Operations Analysis Table
• Helps you identify the waste in your own operations.

• Focuses on people’s action.
• Not everything you do adds value.
• Someone else fills the table for you while you are
working as it is hard to fill for yourself while working.

3. Standard Operation Combination Chart
• Focuses on the relationship of people, goods and

machines.
Discover where waste is by plotting the cycle time of all
activities and design the process to create a more
efficient combination and reduce overall cycle time.

The steps to effective waste elimination are
1. Make waste visible

3. Be accountable for the waste.
4. Measure the waste.
5. Eliminate or reduce the waste

The steps to effective waste elimination
1.Make waste visible
Draw and analyze the current facility
layout.
Prepare a process flow chart to see the
number and movement of workers, order
of processing, type of processing and so on
Prepare standard operation sheet.


 When something is denied as waste,
it also cannot be stopped.

3. Be accountable for the waste
When one refuses to accept

responsibility for the waste, then he will
not eliminate it.

4. Measure the waste.
 when the waste is not measured, people
may think it is small or insignificant and
therefore will not be motivated to stop it.
“What is not measured, is not improved”.
Appreciate its size and magnitude.

5. Eliminate or reduce the waste
 When the great Italian sculptor
Michelangelo was asked what he was
sculpting, he responded he was not sculpting
but releasing the figure inside by removing the
unnecessary rocks (wastes). Like
Michelangelo, we should eliminate all forms of
wastes in any process or product until only
what is valuable remains.
5.How to eliminate “Muda”?
1) “Muda” of Overproduction
Produce not more than is needed by
your customers.
you MUST know what your customers
need and use.
Have standardized work or work
instructions for your processes.

Implement 5S and avoid unnecessary
items
Use just-in-time system
Proper alignment of work processes,
Consistent machine maintenance (to avoid
machine downtime.)
Design production lines and materials
flow paths in a way that minimizes the
distances between workstations and
temporary storage sites.
5) “Muda” of Defect-making
Build quality into each process, using
tools like Poka-Yoke, JIDOKA, Andon etc.
Minimize unnecessary movements
Improving processing efficiency to
achieve the same customer
satisfaction .
 use of low-cost automation, smaller,
and more flexible equipment
7) “Muda” in Processing(Cntd)
combining steps will greatly reduce

the waste of inappropriate processing.
Look for improvements
Train workers

Tools for Eliminating “Muda”
1. Andon
2. U-line
3. In-lining
4. Unification
5. Multi-process handling & Multi-skilled
Operators
6. A.B. control (Two-Point Control)
7. Cell production line
1. Andon
An “Andon” is an indicator informing
team leaders and supervisors of the
current workshop situation with color
boards, flash lights, and automated
announcement.

Types of “Andon”
1) Calling “Andon”-Used for requesting parts.
2) Warning “Andon” -Used to inform
occurrence of irregularities
on the lines.
3) Progress “Andon” -Used to identify the
progress of operation on the
lines with a short Takt Time.
2. U-line
A U-line is a layout in which the inlet and
outlet are positioned in the same direction
to avoid walking back for a single operator.

3. In-lining
In-lining is a way to make the production
lines simple and effective by integrating
the parts processing into the main line in
the unit production.

4. Unification
Even if a flowing line
cannot be formed,
odd operations can
be combined together
in a place into an Unification of
operator’s work. several

processes

5. Multi-process handling & Multi-skilled

Operators
Multi-process handling means that a single
operator manages multiple machines and
processes in product processing and
assembling. This is the primary factor for
constructing lines by a small number of
operators.
A multi-skilled worker can deal with

several machines or processes as
described above. The supervisor can
make a flexible placement of operators
when someone within the same team or
section is absent.

6. A.B. control (Two-Point Control)
A.B. control is a devised automatic control
function. It controls the machine
movement when they come to start or stop
working depending upon the number of
work pieces piled up between the
preceding process and the following
process.
6.A.B. control (Two-Point Control)(Cntd)
Up to Three
A.B. control is used

as a tool for time
control to realize
Just in Time(JIT)

7.Cell production line
This is a production line that a single
operator manages all the machining or
assembly operations in unit production.

7. Cell production line(Cntd)
Advantages
Quality assurance can be ensured.
The production output or efficiency of each
operator can be clarified.

Operators can obtain a feeling of work
achievement.

To summarize
• The Customer should not pay any price
for cost of wastes that we make.
• Therefore, it is us who have to make our

products better in quality, deliver them
on time and as the same time get more
profit by eliminating MUDA.

5)Methods for Muda prevention
There are four important methods you can use

for maintaining a waste-free production
environment:
• Standardization
• Visual controls
• Auditory controls
• 5W and 1H Sheet

Standardization
- Standardization means establishing standard

procedures for every operation so that anyone
can understand and use them – and everyone
does.
Standards must be created, documented, well-
communicated, adehered to, and regularly re-
assessed.

Contd…….
Standards are required for:
• Machines
• Operations
• Defining normal and abnormal conditions
• Clerical procedures
• Procurement

Visual and Auditory Controls
• One way waste enters into operations is when

standards are not improved to meet changing
conditions.
• Even standardization fails to sustain waste-

free production if not systematically updated
to take advantage of new materials, new
technology, and worker improvement ideas.

Contd……
• The best way to do this is through visual and
auditory controls.
Red-tagging – Always keep the production floor
free of any thing that is not directly part of the
production process.
Signboards- The purpose of workstations and
the names of the workers who operate them
should be displayed at every processing point.

Contd………..
• Standard quantities should be included on
supply bins or carts. The products produced
on each line or in each cell can be displayed,
and so on.
Outlining- Boarders around tools and
equipment, big and small, help people find
and return things.

Contd....
Andons- Different colored lights can report the
status and needs of a system and signal when
defects or abnormal conditions occur so that
problems can be solved immediately.
Kanban- flexible production instructions or work
orders that trigger materials supply and
production in a pull system, the hallmark of
lean manufacturing.

Contd….
Pitch and Inspection Buzzers - These indicate
when operations get out of sync with demand
or when defects are around.

The 5W and 1H Sheet
• Five “whys” and one “how”

Total Preventive Maintenance
• Is one of Kaizen Systems.
• Brings maintenance into focus as a necessary and vitally important part of
business.
• is a company-wide system developed to maintain, monitor, and improve all
capital assets of a company.
• It can be considered as the medical science of machines.
• For production it is a system that maximizes equipment effectiveness and
maintains production flow.

cont…
•Maintenance is implemented by all employees in an organization.
•Everyone in the organization from operators to senior
management in equipment improvement.

Cont…

Cont…
Total = All individuals in the organization working together.
Productive = production of goods that meet or exceed customer’s

expectations.
Maintenance = keeping equipment and plant in good condition at

all times.

History
• TPM is a Japanese concept.

• Developed in 1951.
• Nippondenso was the 1st company that implemented TPM in
1960.
• Based on these developments Nippondenso was awarded the
distinguished plant prize for developing and implementing
TPM, by the Japanese Institute of Plant Engineers ( JIPE ).

TPM Targets
• Reduce manufacturing cost
• Increase production quality.
• Delivery time. Achieve 100% success in delivering the goods

as required by the customer.
• Safety - Maintain accident free environment.
• Moral- Develop multi-skilled & flexible workers.

• Improve OEE (Overall Equipment Effectiveness)

The Six big Equipment losses
• Equipment failure (Breakdown)

• Set up & adjustment downtime
• Idling & minor stoppages
• Reduced speed
• Process defects
• Reduced yield

Shift in Attitudes
Operator Maintenance Operator Maintenance
I use I maintain & We maintain

I fix
Conventional TPM
Principles of TPM
 Use Overall Equipment Effectiveness (OEE) as a compass for
success.
 Improve existing maintenance systems
 Work toward zero losses
 Providing training to upgrade operations and maintenance

skills
 Involve everyone and utilize cross-functional teamwork

Types of maintenance
 Breakdown maintenance
Preventive maintenance
*periodic maintenance( time based maintenance)

*Predictive maintenance
 Corrective maintenance
 Maintenance prevention

Breakdown maintenance
• Repairs or replacements done after the equipment

failure/stoppage or occurrence of severe performance
decline.
• Disadvantages:- unplanned stoppages, excessive damage,
spare parts problems, high repair costs, excessive waiting and
maintenance time and high trouble shooting problems.

Preventive maintenance
• The primary goal of preventive maintenance is to prevent the

failure of equipment before it actually occurs.
• It relies on the estimated probability that the equipment will
brake down or experience deterioration in performance in the
specified interval.
• It is further divided into -Periodic Maintenance
-Predictive Maintenance

Long-term benefits of preventive maintenance:
• Improved system reliability.
• Decreased cost of replacement.
• Decreased system downtime.
• Better spares inventory management.

Periodic maintenance
 Time based maintenance consists of periodically inspecting,
servicing and cleaning equipment and replacing parts to
prevent sudden failure and process problems.
Benefits:
 Extended life and use of the equipment.
 Reliable production at the times when machine is needed
most.

Predictive maintenance
• predictive maintenance is condition based maintenance.
• This is a method in which the service life of important part is

predicted based on inspection or diagnosis, in order to use the
parts to the limit of their service life.

Benefits of predictive maintenance
• Increased plant readiness due to greater reliability of the
equipment.
• increase predictive maintenance practices increase the
productivity of equipments.
• Reduced expenditures for spare parts and labor.
• Reduces the probability of a machine experiencing a
disastrous failure, and this results in an improvement in
worker safety.
Corrective maintenance ( 1957 )
 Improvement of equipment so that equipment failure can be

eliminated (improving the reliability) & the equipment can
easily be maintained (improving equipment maintainability).
 Its purposes are- improving equipment reliability
- Safety
- Design weakness( material, shapes)
- Existing equipment undergoes structural
reforms
- To reduce deterioration & failures
(maintenance free eqpt)

Maintenance prevention (1960 )
• It indicates the design of a new equipment.
• Weakness of current machines are sufficiently studied ( on site
information leading to failure prevention, easier maintenance
and prevents of defects, safety and ease of manufacturing )
and are incorporated before commissioning a new equipment.

PILLARS OF TPM
1.Autonomous maintains
2.Planned maintains
3. Equipment and process improvement
4.Early management of new equipment
5.process quality management
6.TPM in the office
7.Education and training
8.Saftey and environmental management.

PILLARS of TPM
1 2 3 4 5 6
7
8

1.Autonomous Maintenance
• Train the operators to close the skill gap between others and
the maintenance staff, making it easier for both to work as one
team.
• There are Seven (7) steps implemented to progressively
increase operators knowledge, participation and responsibility
for the equipment.

cont…
1. perform initial cleaning and inspection

2.Countermeasures for the causes and effects of dirt and dust
3.Establish cleaning and lubrication standards
4.Conducting general inspection training
5.Carry out equipment inspection checks
6.workplace management and controls
7.Continious improvement

2.Equipment and process improvement
Objectives: Maximize efficiency by eliminating waste and
manufacturing loss
• Manufacturing losses are categorized into 12 losses:
 Equipment losses (6)
 Manpower losses (4)
 Material losses (2)

. Equipment losses
 . Equipment failure / breakdowns
DOWNTIME LOSS
Set-up / adjustments
Minor stopping
Speed loss
Reduced speed
Process errors
Quality loss
Rework / scrap

Manpower and material losses
Cleaning and checking
• .
Waiting materials
Manpower losses
Waiting instructions
Waiting quality confirmation(inspection)
Material yield
Material losses Energy losses

3.Planned maintains
Objectives : Establish periodic and predictive maintenance system
for equipment and tooling.
• Natural life cycle of individual machine elements must be achieved
 correct operation
 correct set-up
 cleaning
 lubrication
 feedback and repair of minor defects
 quality spare parts
4.Early management of new equipments
Objective: : start-up, commissioning and stabilization time for
quality and efficiency
 New equipment need to be :
• easy to operate
• easy to clean
• easy to maintain and reliable
• have quick set-up times
• operate at the lowest life cycle cost
5.Process quality management
Objectives: to set and maintain condition to accomplish zero

defect.
Quality rate has direct correlation with
• material condition
• equipment precision
• production methods
• process parameters

6.TPM in office
• Administration and support departments can be seen as

process plans whose principles tasks are to collect, process and
distribute information.
• Process analysis should be applied to streaming information

flow

7.Education and training
TPM is a continuous learning process

 Two major components :
• soft skills training : how to work as a team, diversity

training and communication skills
• Technical training : upgrading problem-solving and
equipment-related skills

8.Safety and environmental management
• Assuring safety and preventing adverse environment impacts

are important priority in the TPM effort.

Overall Equipment Effectiveness
• Objective :to maximize the efficiency of machine or

equipment.
• OEE figures are determined by combining the availability and
performance of your equipment with the quality of parts made
• OEE measures the efficiency of the machine during its loading
time.
• Planned downtime does not affect the OEE figure

Overall Equipment Effectiveness (OEE)
• .
Overall Equipment Effectiveness = Availability *performance * Quality yield
Availability = Time available for production -- Downtime

Time available in production
Performance = Ideal cycle time * number of parts produced

Operating time
Quality Yield = total number of parts produced – defect number

Total number of parts produced

Overall Equipment Effectiveness (OEE)
• . Overall equipment effectiveness = Availability * performance * Quality yield
Availability Downtime loss
Performance Speed loss
Quality Yield Quality loss

The Six Big Equipment Losses
1. Breakdowns
2. Setups and adjustment
3. Idling and minor stoppages
4. Speed
5. Quality defects and rework
6. Start-up (loss of yield)

Overall equipment effectiveness = Availability x Performance rate x Quality rate
(OEE)
Breakdown
Setup and adjustment
Others Idling & minor stoppages Quality defects & rework
Reduced speed Start-up yield

Example: OEE Calculation
Item Data
Shift length 8 hrs = 480 min.
Short Breaks 2@ 15 min. = 30 min
Meal Break 1 @ 30 min = 30 min
Down Time 47 min
Ideal Run Time 60 pieces per min
Total Pieces 19,271 pieces
Reject Pieces 423 pieces

Availability =
Operating time
Planned production time
= 373 minutes / 420 minutes

= 0.8881 (88.81%)

Performance =
(Total pieces /Operating time)
Ideal Run Time
= (19,271 pieces/373 minutes)/60 pieces per

minute
= 0.8611 (86.11%)

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

OEE =
Availability X Performance X Quality
= 0.8881 X 0.8611 X 0.9780

= 0.7479 (74.79%)

Fundamental improvements of TPM
• Increasing motivation: changing people attitudes
• Increasing competency and people skills
• Improving the work environment, so that it supports the
establishment of a program for implementing TPM

TPM Implementation
Announcement to TPM introduction
preparation Introductory education campaign for workforce
• . TPM promotion
Establish basic TPM policies and goals
Preparation and formulation of a master plan
Kick-off Invite customers, attitude companies and subcontractors
Develop an equipment management program

Develop a plan maintenance program
implementation Develop a Autonomous maintenance program
Increasing skills of production and maintenance personals
Develop early equipment management program
Standardization Perfect TPM implementation and raise TPM levels

Announce top management decision to
introduce TPM
• State TPM objectives in a company newsletter

• Place articles on TPM in a company newspaper

Introductory education campaign
• Seminars for managers

• Slide presentation for all employees

TPM Promotion
• Special committees at every level to promote TPM

• Newsletter
• Articles
• Videos
• Posters

Establishing basic TPM policies and goals
• Analyze existing conditions

• Set goals
• Predicting results

Preparation and Formulation of a master plan
• A master plan lays out your goals, what you will do to achieve
them and when you will achieve them
• Detailed plans for each pillar have to be prepared

TPM Kick-off
• The main kick-off to TPM should take the form of a formal
presentation with all the employees attending.
• This opportunity can be used to gain the full support of the
employees.
• Invite external customers, affiliation and subcontracting
companies .
Develop an equipment management program
 The maintenance prevention can be design of new products ,
new machine and existing machines.
 New products: must be easy to produce on new existing
machines
 New machines : must be easy for operation, changeover and
maintenance.

Cont..
 Existing machines: Determine how to eliminate the problem
and reduce maintenance through an equipment design change
or by changing the process

TPM Benefits
• zero equipment-caused defects

• Increased plan capacity
• Increase equipment productivity
• Increase return on investment
• Enhance job satisfaction
• Lower maintenance and production cost
• Reduced equipment downtime

conclusion
• TPM may be the only thing that stands between success and
total failure for some companies.
• It can be adapted to work not only in industrial plants

Thank You For your
attention

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Ministry of Education

Teppi TVET College

federal Tvet agency and EKI 2

federal TVET agency and EKI 3

• Waste/MUDA is any activity of

federal Tvet agency and EKI 4

• QCD is the source of

federal Tvet agency and EKI 6

federal Tvet agency and EKI 7

PROFIT= PRICE - COST

federal Tvet agency and EKI 8

• Do we have any choice?

federal Tvet agency and EKI 10

• Value Adding/Net Operation

federal Tvet agency and EKI 11

federal Tvet agency and EKI 12

(2) Non-Value adding Operations

• Operation that adds no value but

• Muda is a Japanese word meaning Wasteful

• Is anything unnecessary in operation.

• Can be eliminated immediately

• Muda affects the quality of the product

federal Tvet agency and EKI 15

Non-value adding and Value adding

Suppliers Value Chain Consumers

Reduce Lead Time

federal Tvet agency and EKI 17

federal Tvet agency and EKI 18

• Materials and tools

federal Tvet agency and EKI 19

4 Putting the two 3 Sec Non-Value

5 Staple the papers 2 sec Net Operation

federal Tvet agency and EKI 20

Net Operation(Value adding)=2 Sec(2.6%)

federal Tvet agency and EKI 21

• What if the job order was to produce a car?

federal Tvet agency and EKI 22

federal Tvet agency and EKI 23

federal Tvet agency and EKI 24

MUDA-Capacity exceeds load.

MURI(Physical or mental overburden)-Load

federal Tvet agency and EKI 27

federal Tvet agency and EKI 29

Value added work

federal Tvet agency and EKI 31

federal Tvet agency and EKI 32

federal Tvet agency and EKI 33

federal Tvet agency and EKI 34

federal Tvet agency and EKI 35

federal Tvet agency and EKI 36

• Eliminating mura is fundamental to

federal Tvet agency and EKI 39

federal Tvet agency and EKI 41

federal Tvet agency and EKI 42

If we look carefully at the flow of goods, you will see

federal Tvet agency and EKI 45

federal Tvet agency and EKI 46

federal Tvet agency and EKI 50

federal Tvet agency and EKI 52

This includes all kinds of waste of time such as