TPM

Hand Book
By
Jayant Kumar
(TPM Expert)

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TPM Handbook _ 16 Losses of TPM
 2.
16 Losses
of TPM

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TPM Handbook _ 16 Losses of TPM
 16 Losses of TPM :
Equipment related Losses :
1. Breakdown
2. Setup and Adjustment
3. Cutting Blade Replacement
4. Startup
5. Minor Stoppage & Idling
6. Speed Reduction
7. Defect & Rework
8. Shutdown

Losses related to Manpower :

9. Management Loss
10. Motion Loss
11. Line Organization Loss
12. Internal Logistic Loss
13. Measurement & Adjustment Loss
Losses related to Resource Consumption :
14. Yield Loss
15. Energy Loss
16. Consumable Loss
Equipment Related Loss :
1. Breakdown loss / Failure Loss:
The equipment breaks down causing the function of the line or process to stop.
Often this is considered as a sporadic failure, typically caused by equipment
component failure.
Breakdown Loss is the loss of time in hours due to equipment shutdown / system
shutdown resulting in complete failure of operations.

Losses due to failures. Type of failure include sporadic function stopping failures and
function – reduction failure in which the function of the equipment drop below normal
levels like replacement of parts and repair, cases requiring 5 minute or more for
repair.
Target is zero failures. To attain zero failure, it is necessary to correct the
misconception about breakdown maintenance that failures are unavoidable

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TPM Handbook _ 16 Losses of TPM
Examples: (Manufacturing)
 Bearing failure due to wear,
 Electrical fault,
 Snapped belt.
 Pneumatic failures

2. Set up & Adjustment Loss:

This loss occurs during a changeover between products. Set up time is defined as
the amount of time taken to change a process over from the last part of a production
run to the first good, repeatable part of the next production run. Adjustment within the
set up time is often hidden, and involves tweaking settings until optimal run
conditions are achieved.
Setup or Adjustment loss is the loss due to changeover of products which results in
changing the machine setting to make it ready for the next operation run.
Examples (Manufacturing):
 Changing products,
 Changing packaging,
 Adjusting the feed rate
 Die & Knife change
 Feeder belt rate change

3. Cutting Blade Replacement Loss:

The time loss incurred swapping any consumable tooling item when it has become
worn/ineffective or damaged.
Cutting Blade replacement loss is the time loss incurred by the company when a
worn out component of the machine is replaced.
Examples:
 Time spent replacing saw blades,
 Machine component wear out.

4. Start-up Loss / Setup Loss:

The loss incurred whilst starting up equipment, to get to steady state operating
conditions, after planned or unplanned shutdown.
Setup loss is the time loss incurred by the organization needed to setup / start up
their equipment to a steady state so that manufacturing commences.

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TPM Handbook _ 16 Losses of TPM
Examples:
 Time spent warming/cooling equipment to operating temperature,
 Compressor/Hydraulic power pack run-up time.
 Start of the day machine set up.

5. Minor stoppage & Idling Loss:

These are typically small stoppages not logged as breakdowns and issues causing
the machine to pause or idle for short periods. They are often chronic losses,
regularly repeated, often not recorded and usually less than 1 minute duration.
Idling Loss is the time loss incurred by the organization due to minor stoppage to
work due to certain machine faults / service breaks etc.
Examples:
 Waiting for a machine to index,
 Emptying a mould during press operation,
 Sensor fault or product blockage.

6. Speed Reduction Loss:

This loss occurs from operating at a speed less than the design speed.
Speed Reduction loss is the production capacity loss incurred due to machines
running less than their design speed.
Examples:
 Line speed reduced due to quality issues or mechanical problems,
 Gaps in the product on conveyors.
 Poor quality of Belts
 Lack of maintenance of the machine components

7. Defect & Rework Loss:

This is the loss of defective product i.e. Not Right First Time which requires rework,
repair or scrap.
Defect & Rework loss is the production capacity loss due to products that are made
either out of specifications or products that required Rework.
Examples:
 Out of spec product,
 Low weight product requiring top-up,
 Poor surface finish,
 Incorrect labelling.

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TPM Handbook _ 16 Losses of TPM
 8. Shutdown Loss:
The loss incurred by deliberately shutting down the equipment within the production
plan.
Shutdown Loss is the loss of production time by completely shutting the equipment
down to carry out periodic maintenance activities.
Time when equipment is shut down for maintenance. However shut down related
work generally affect the operating time rate of equipment. Shutdown related work
must be regarded as a loss and reduction of shutdown work time must be sought
Examples:
 Preventive Maintenance , Routine maintenance,
 Periodic overhaul, Statutory inspections
 Cleaning
Equipment Loss - Highlights :
 There is a very fine line of difference between Breakdown & Shutdown
Loss.
 Shutdown loss is a planned activity whereas Breakdown Loss is an
unplanned activity
 Most of the time, an organization plans their production targets considering
the shutdown time

Losses related to Manpower :

9. Management Loss:
These are waiting time losses generated by management problems.
The productive hours lost by the organization due to waiting for instructions and
materials.
Examples:
 Failure to provide materials,
 Failure to provide spare parts,
 Failure to provide manpower resource,
 Failure to provide utilities,
 Meeting
 Setting up reports
 Waiting for materials
 Waiting for instructions

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TPM Handbook _ 16 Losses of TPM
 10. Motion Loss:
Losses are created due to unnecessary/excessive operator movement and
transportation, as a result of poor layout and work organisation.
The productive hours lost by the organization due to equipment performance,
methods, procedures and skill gaps.
Examples:
 Walking loss,
 Wasted motion e.g. unnecessary reaching and lifting
 Equipment shutdown
 Equipment maintenance
 Inadequate calibration of equipment
 Slow machines
 Incorrect maintenance procedures
 Incorrect maintenance staff

11. Line Organisation Loss:

This loss results from a shortage of operators on the line and operators having to
work on more equipment than was originally planned.
The productive hours lost by the organization due to lack of automation, failure to
automize and poor organizational practices.
Examples:
 No additional cover or contingency for break times, training and time spent off
the line
 Manual data collection of reports
 Lack of automated downtime / defect flagging mechanism
 Offline training for operators.

12. Internal Logistic Loss:

This loss is the wasted time that is experienced in the incorrect or inefficient delivery
of raw materials, packaging or products to and from the factory or the production
line.
The productive hours lost by the organization due to inefficient method of movement
of materials within the organization
Example:
 Incorrect delivery of materials from supplier to store,
 Late deliveries,
 Excessive handling of deliveries (double handling)

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TPM Handbook _ 16 Losses of TPM
  Wasteful movement of materials / goods in the factory
 Wasteful work in progress inventory
 Unnecessary forklift / EOD Cranes movement
 Waste due to excessive container / pack size

13. Measurement and Adjustment Loss:

This loss is caused by the frequent measurement and adjustment to prevent the
recurrence of problems.
The productive hours lost by the organization due to frequent measurement &
adjustment done by the organization.
Example:
 Excessive inspection integrated in the process as a result of poor quality and
failure to find root cause.
 Adjustment loss is experienced when adjusting equipment back to the
standard after routine cleaning and periodic consumable changes (e.g. labels,
film, and ink).
 Inaccurate and not precise measurement system
 Data recording errors
 Bad calibration of measurement system

Losses related to Manpower – Highlights :

 Total shift time = 540 Minutes >> Operating Hours
 Meeting time + Lunch break = 90 Minutes >> Operating Hours
 Idle time + Waiting time = 60 Minutes
 Net Working Hours = 540 – 90 – 60 >> 390 Minutes
 Logistic + People movement time = 10 Minutes
 Effective Working Hours = 390 – 10 >> 380 Minutes
 Measurement error adjustment = 20 Minutes
 Value added production hours = 380 – 20 >> 360 Hours
 Manpower Effectiveness = 360 / 540 * 100 >>> 66.67 %
Therefore, the organization losses approximately 33 % of its time due to
ineffectiveness of manpower operations.

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TPM Handbook _ 16 Losses of TPM
Losses related to Resource Consumption :
14. Yield Losses:
This is the total loss between the input of raw material and the output of finished
goods.
The loss due to difference in input provided to the production line and the output of
the finished goods.
Examples:
 Loss due to over-packing ,
 Loss due to in process scrap
 Insufficient methods of dealing with materials

15. Energy:
Energy loss is the input energy which cannot be used effectively for processing
Examples: Start-up losses, Idling losses.
The productive hours lost by an organization due to setup, overload or any other
mechanical characteristics of an equipment
Examples:
 Start-up heating of furnace to reach ambient temperature,
 Thermal dissipation of a natural property,
 Overloading of equipment causing breakdown / energy loss

16. Consumable Losses:

This is the cost of the physical consumption of the spare parts or the
refurbishment/maintenance of items that are used on the line.
The cost incurred by the organization by consumption of spares, dies, tools, jigs as a
part of endeavour to keep machines running .
Examples:
 Cost of spares,
 Cost of replacement and maintenance to tooling, dies and jigs.

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TPM Handbook _ 16 Losses of TPM
 6 Big Losses

Why Losses Occur ??

Single Causes : When only one cause is the result of losses , its referred as Single
Causes.
Example :
 Misoperation
 Improper supply of raw material
 Breakage of V-Belt
 Bearing seizure
Multiple Causes : When there are more than one reason simultaneously. All
reasons are independent to each other in its effect.
Example :
 Changes in operating condition like – Minute changes in atmospheric
temperature, humidity etc.
Complex Causes : when plural causes exist, but none of them results in losses by
itself. Losses occur only when a particular combination of these causes comes in to
existence simultaneously and by chance, which is very seldom.

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TPM Handbook _ 16 Losses of TPM
 Causes of Losses

Major Defect : A single defect in a part of equipment that can cause its breakdowns
and operation stoppages i.e. function- loss breakdowns. Usually classified as “Single
Cause”.
Medium Defect : A single defect in a part of equipment that can reduce its function
i.e. function- reduction breakdowns, but allows for continuous operation. Usually
classified as “Multiple Causes”.
Minor Defect : A single defect in a part of equipment that can not cause the losses
by itself. Only when a particular combination of such single defects occurs by chance
results in to losses. Usually classified as “Complex Causes”.
The traditional common sense approach to factory management never envisioned
that the Minor Defects defined here causes breakdowns – for example : Scant dirt,
Abrasion, Distortion, Play, Looseness, Tightness or Scratches in equipment. It is
very rare, however, for a single minor defect to eventually result in losses. Such
troubles, furthermore, are never resolved by a conventional approach.
From the TPM point of view, Minor Defects are regarded as the probable cause of
losses, unless these defects are absolutely determined to be completely unrelated to
losses. Therefore, Minor Defects must be thoroughly eliminated without deliberation
as to whether they contribute to losses. If Minor Defects are ignored, based on an
overly optimistic view, they grow in to Medium and then Major Defects. That
progression constitutes a deterioration of equipment as caricatured in below figure .

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TPM Handbook _ 16 Losses of TPM
 Forced Deterioration & Natural Deterioration :

Each component of a piece of equipment has its own lifetime and breakdown
characteristics. Below figure shows a composition of breakdown rates of
components parts or the probability of the occurrence of equipment breakdowns in
accordance with the servicing time. This figure is known as Bathtub Curve and is
divided in to three periods :

1. Early Breakdown Period :

All parts of equipment installed on the shop floor, especially mass produced parts,
are presumed to be highly reliable. In reality, however, large number of early
breakdowns due to engineering mistakes occur during start-up and commissioning.
Plant engineers often make mistakes either because they underestimate the
allowance of the part’s strength (a result of an inadequate understanding of kinetic
operating condition), or because they fail to respect the design conditions and
instructions given by the equipment manufacturer.
Occurrences of these early breakdowns widely vary in accordance with the structure,
component parts, fabrication, installation and operating conditions of the equipment.
Generally, occurrences are less frequent when qualified, mass produced equipment
is installed. When equipment is procured according to the user’s own specifications,
or is self designed or self fabricated by the user, the breakdown rate is higher.
Breakdowns are purposely hastened to occur as early as possible by means of test
runs during fabrication or after installation and during the initial start-up operation of
the entire plant. In other words, this commissioning period is the time to shift plant
condition from an early breakdown to a “Chance Breakdown Period”. In TPM, is is
known as “Preventive Engineering” whereby every effort is made through
engineering, purchasing, construction and commissioning to minimize or prevent
troubles so that commercial production may begin as early as possible.

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TPM Handbook _ 16 Losses of TPM
 2. Chance Breakdown Period :
If all malfunctions are remedied, plant operations are successfully initiated and
stabilized as a system. The breakdown rate, thereafter, becomes nearly regular.
Equipment and its component parts breakdown by chance. Unusually frequent
breakdown is caused by the neglect of proper operation and maintenance rather
than by inherent equipment weakness due to poor engineering and construction
which were not corrected during the commissioning period.

3. Wearout Breakdown Period :

Every component of piece of equipment breaks as the end of its life expectancy
approaches. The breakdown rate of equipment as a system increases at this time. A
critical breakdown of this type terminates the service of equipment. If, however, parts
are replaced by timely maintenance, the life of equipment can be extended during
the “Chance Breakdown Period”, as it may be cost effective to do so.
The deterioration of component parts causes equipment to breakdown. Deterioration
of equipment is divided in to two types : Natural Deterioration & Forced Deterioration.
As the time passes, equipment is continuously worn according to the deteriorating
characteristics of each component part, even though the equipment was properly
designed, fabricated, installed, operated and maintained. The type of deterioration is
referred to as Natural Deterioration. Equipment life is in case is labelled as inherent
life.
Forced Deterioration is defined as equipment that deteriorates more rapidly due to
human performance rather than inherent characteristics. Examples are particularly
overloading particular parts by poor design, lack of cleaning & lubricating, and under
tightening of bolts. More radical cases are mistakes in operating, manipulating and
repairing equipment. As a matter of fact, most breakdowns recurring daily in many
factories is caused by this Forced Deterioration.

Hidden Defects and Exposed Defects :

Hidden Defects are invisible for certain physical reasons .
 Equipment is contaminated with dust, dirt or any other foreign substance,
and as a result, defects are invisible. Ultimately, when equipment gets
grossly contaminated, nobody even gets close enough for adequate
inspection.
 Critical areas of equipment are not visible by the way of ordinary human
posture because of poor configuration of equipment.
 An excessive safety cover is installed. Its removal and installation requires
too much time and effort. As a result, the cover is not removed often for
inspection.

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TPM Handbook _ 16 Losses of TPM
  Equipment is designed without careful consideration for ease of inspection
& cleaning. Neither an inspection port nor an entry hole is installed. Or ,
defects may remain undetected due to lack of proper human vision or
attitude.
 The importance of visible defects is underestimated on the basis of
traditional thinking.
 Visible defects are not recognized as potential causes of losses because
of the lack of proper education.
On the other hand, those defects that anyone readily recognises are called Exposed
Defects. In the presence of proper education, along with a certain amount of
common sense and technical skill, even most hidden defects are recognized at a
glance. With these point in mind, several simple prescriptions are suggested.
 Expose the Hidden Defects.
 Deliberately stop or interrupt equipment operations for inspection prior to the
occurrence of breakdowns.
 Restore equipment defects promptly and completely.
With this kind of regimen, breakdown never occur.

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TPM Handbook _ 16 Losses of TPM
 The 8 Pillars of TPM

1. Health and Safety : .

This is crucial as it sets the goal of zero accidents. Its importance is emphasized by
the need to protect operators, who will be trained, initially, to carry out simple
technical tasks. Bear in mind that most of the operators that will be participating in
AM were not employed with maintenance in mind, no matter how simple. To this
end, we must cover risk assessments, hazard maps, and some other safety
concepts in detail. To build confidence in the operators, they should be trained in
how to carry out risk assessments. They are also encour-aged to help with the
development of the safe working procedures.

2. Education and Training :

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TPM Handbook _ 16 Losses of TPM
In many companies, training is not given the importance it deserves. Procedures are
often passed on informally on the job, and the trainee is required to make his own
shorthand notes in his log book. These are the instructions he is expected to use in the future
when he carries
out the tasks by himself. This is highly ineffective as a training
technique, as it assumes
—the qualified technician—actually knows the correct
method;

of the steps and relevant facts in the correct order;

is capable of understanding the topic;

-taking;

following instructions.
Reliance on this method of training will cost the company lots of
money in the long run.

Overall Equipment Efficiency (OEE) :

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TPM Handbook _ 16 Losses of TPM