16 LOSSES IN THE TPM

LOSSES IN THE TPM:

                In the TPM practice, the loss is nothing but the difference between input given to process and the desirable output from that process. Hence the study of 16 losses is important, in order to improve productivity, quality and finally overall process & net profit. To identify all losses in the manufacturing process and thus to eliminate them, these 16 losses are divided into 3 categories like equipment-related losses, manpower related losses and yield losses. 

• Equipment Related Losses:

1) Equipment Failure (Breakdown) Losses:
                 The equipment failure or breakdown causes the functioning of process or manufacturing line to stop. Often this is considered as the sporadic failure, typically caused by the failure of equipment component or program.

2) Set-up And Adjustment losses:
                These losses occur during the changeover between products. Set up time is defined as the amount of time taken to change the process from the last part of existing production to the first good part of new repeatable production process. These losses can't be reduced, because of the requirement of multi-model production system through little changes only of program and machine settings, but without changing the machine or conveyor.

3) Cutting Tool And Jig Change Losses:
                This type of losses incurred swapping any consumable tooling item or jig, when it become worn out, ineffective or damaged.
E.g. time spent to replace worn out cutting/ grinding tool.

4) Start Up Losses:
                This type of losses incurred while starting the equipment or process to get steady state operating conditions after planned or unplanned shutdown.
E.g. time required by the pneumatic compressor to develop enough operating pressure or the time required by the paint oven to reach operating temperature.

5) Minor Stoppages And Idling Losses:
               These losses are typically small stoppages or issues causing the machine to pause for short time or to remain in the idle condition and not logged as the breakdown. These losses are often crossed over chronic losses or may be regularly repeated, and not recorded usually, as time duration is less than 1 minute.
E.g. Machine stoppages due to safety sensors or position sensors or due to the unskilled person working on the assembly line, who makes the assembly line to stop very often and whole line become idle at that time.

6) Reduced Speed Loss:
                This loss occurs due to operating at the speed less than designed speed of the process, caused by mechanical problems in the process or the quality issues about production.
E.g. Line speed reduction due to low output quality or repetitive missing of components of the product.
                 
7) Defect And Rework Losses:
                 This type of losses occurs due to manufacturing defective products and rework involves in process i.e. product is not made in RFT process (RFT means Right First Time), that requires to rework or repair otherwise it has to be scrapped.
E.g. Product manufactured out of design, poor surface finish or incorrect packing or labeling.

8) Shutdown Losses:
                This type of losses incurred by deliberately shutting down the equipment or stopping production line within the production plan, because of maintenance works or insufficient production demand. For changing current production process layout to completely new one, you have to take shutdown for planned time.
E.g. Routine maintenance, periodic overhaul or market seizure for your product.

• Manpower Related Losses:

9) Management Losses:
                 These are the waiting time losses generated by the management issues like delay in decisions or in providing the essential utilities required for production.
E.g. The Failure to provide the raw material and consumables for assembly  smoothly.

10) Motion Losses:
                  This type of losses is occurred due to the unnecessary or the excessive movement of operators & the material, as a result of the poor layout of the workplace, roughly organized work and not being in ergonomic condition. Some of the examples of motion losses are walking loss, bending loss, lifting loss and twisting loss.

11) Line Organisation Losses:
                  This type of losses results from the shortage of the operators on the workstation or lack of proper line balancing i.e. the excessive workload on some stations and some stations in remain in idle condition.
E.g. No additional cover or contingency for break time & training or the shortage of required men for smooth production.

12) Logistics Losses:
                    This type of losses is the waiting time that is experienced in the incorrect or inefficient delivery of raw material, packaging or products to and from the factory or the production line.
E.g. Incorrect delivery of the fasteners on assembly conveyor, late delivery or excessive handling of inventory.

13) Measurement & Adjustment Losses: 
                    This type of losses is caused by the frequent measurement and adjustments to prevent reoccurrence of problems like excessive inspection integrated into the process as a result of poor quality and the failure, to find the root cause of the problem. Adjustment loss is experienced when adjusting equipment back to the standard after routine cleaning and periodic consumable replacing i.e. labels, film, ink.
E.g. After tappet setting is done once, we are required to check tapper clearance again to ensure the gap between the valve stem and tappet screw, or adjusting the pointer of dial torque wrench after checking torque value of bolt or nut.

• Yield Related Losses 

14) Yield Losses:
                    This type of losses is the total difference between input given in the form of the raw material and the output in the form of finished goods. Yield losses may consider as the difference in volume, weight, and any physical property. Every company tries to reduce the yield losses as the cost involved in it is very large and this goes to the waste for no cause.
E.g. The material yield loss in machine shops in the form of chips formed due to machining operations or the paint yield loss due to the spray of paint on automobile parts.

15) Energy Losses:
                    Energy losses are mainly due to use of energy ineffectively for manufacturing processes. Every operation of the process requires energy as input resource so that it has to be saved by appropriate design of work & methods in order to utilise it in the future.
E.g. The wastage of energy when equipment remains in idle condition for long period of time or switching the electric appliances on when there is no one is working.

16) Die, Tool And Jig Losses:
                   This is the cost for physical consumption of the spare parts, tools and dies etc. or the refurbishment and maintenance of equipment or items needed for the manufacturing process.
E.g. The cost of equipment spares as the failure occurs of any component or the cost involved in replacement and maintenance of tooling, dies and jigs.
                  
                    After the deep research, some other losses are separated from their core categories and being studied for improvement in manufacturing. These losses have a big contribution in the overall losses to the company and may hamper the reputation of the company, and these losses are as given below.

* Design losses:
                    This type of losses occurs due to poor design of product and process. And if production remains to continue, then defect may occur throughout the products and it becomes the big issue and there is the chance of getting in the market. For improving design, DRBFM (Design Review Based on Failure Mode) and FMEA (Failure Mode Effect & Analysis) are the key tools.

* Distribution Losses: 
                    This type of losses occurs due to the random distribution of  inventory and finished goods. Improper distribution leads to increase in overall cost. JIT (Just In Time) and Lean Manufacturing are the best way to reduce distribution losses.

* Purchase Losses: 
                    This type of losses occurs due to inadequate knowledge of inventory planning and store functions. Bill of material is the department responsible for this type of losses. Studying  EOQ (Economic Order Quantity) in details and statistical controls over process and inventory movement may help you to deal with this problem. 

* Communication Losses:
                    This type of losses occurs due to improper communication among the people from supplier end to the distribution network. It may affect on the large scale when the hierarchy is involved in that process.