1. Home: Issue 2 2008 › Lead Story › Don't ignore TPM
Don't ignore TPM
06/03/2008 | Channel:Maintenance
By Linda Middleton-Jones
For many consumers sustainabilityconjures up ideas related to the environment.But, when you mention the ‘S’
word to manufacturers,they tend instead to think of embedded processes and how they can make improvements
stick rather than operating in an environmentallyfriendlyway.
Whilstit is apparentthat a real step change has occurred in our views on environmental and sustainable matters,
transferring these principles to the workplace has often proved problematic due to the conflict between corporate
objectives and profit againstmoral and social conscience.
So, what is the solution? Industryis frequently blamed for a greatdeal of environmental degradation,yet it may
have its own in-house solution.The aviation industry, for example,constantly checks and maintains its equipment
for regulatory and safety purposes.Butas a resultof these checks,the industrybenefits from getting the
maximum life outof a product. Surely other sectors could and should follow suit?
This style of working can be classified as TPM, an acknowledged tool within the Lean Toolbox that sits
comfortablywith 5S, SMED and OEE. It can mean differentthings to different people – Total Productive
Maintenance or Total Preventative Maintenance, to mention justtwo interpretations.Through the effective and
sustained adoption ofthis tool, the lifespan ofmachines and equipmentcan be extended, outp utincreased,
costly downtimes avoided and running costs reduced.Itcan also contribute significantlyto the preservation of the
environmentthrough the efficient use of resources.
Improving competitive edge
Traditionally,TPM is known to engender a culture of empowerment,deliver extra skills to the workplace and
provide reliabilityin projected capability. It is a method by which any manufacturing companycan improve its
competitive edge.By taking a strategic decision to employthis tool, a companycould enjoy the benefitof
reliabilityand the empowermentofoperators.
TPM, however, has not been widely embraced as itis perceived to be hard to implementand maintain.
Manufacturers need to know that it can be adapted by degrees to take into account differing production
schedules,stafflevels and planned maintenance.Even if diluted,the process is still an effective way of improving
productivity levels by increasing the Overall EquipmentEffectiveness (OEE).
Companies thathave adopted this methodologysuccessfullyindicate the particular effectiveness of preventative
maintenance.One leading manufacturer in the South West identified a problem when a machine was recorded
as using more oil than usual.The problem was visible and rectified within hours avoiding costlydown times and
potential loss ofproductivity.
Most operators would recognise thatpoorly maintained and neglected machinerycan incur extra energy usage,
may spoil the manufactured productor create defects resulting in additional wastage. Butpossiblymore
significantly,if machines are notcared for within an organisation,this mayimpactthe way the workforce feel
2. abouttheir own role or value, thus decreasing morale and productivity.
Complacencyor disregard for TPM could mean the difference between a successful enterprise making the most
of its machines in a sustainable,responsible and ethical manner,againsta possible scenario ofrecycling and
disposal costs plus,the potential loss ofjobs and opportunities.
Ignore TPM at your peril
There are a number of reasons whyignoring TPM is unwise - the first being economics.Replacing a machine
unnecessarilymeans thata company experiences the loss ofunused (potential) years from the original machine.
In any accounting system,depreciation is added to the balance sheetbutwhen replacing a machine prematurely,
a companycould pay for both machines during the changeover years even though some residual costs maybe
off-set through part exchange.
Secondly, inflation may have made the original machine more expensive and it may have been technologically
upgraded.It may have a different size specification from design modifications and therefore not‘fit in’ the
designated area.This could mean,atthe very least,changing the cell layout and at worse case scenario,building
a new extension or premises.
Thirdly, there is a salary costinvolved in paying employees during the interim period prior to delivery of the
replacementmachine.Workers are measured on how much productivity they bring to a companyand whatthat
means in economic terms.Ifa number of workers are inactive, their salarywould be seen as a pure cost.
Environmental cost
Then there is the environmental cost.If a machine is notmonitored,incorrectlyprogrammed or is suffering
through non-rectified wear and tear, the quality of the work being produced maysuffer and consequentlybe
rejected by the customer.Defects are one of the seven wastes of‘lean manufacturing’ and necessitate the
purchase ofmore raw materials to replace those that were ‘spoilt’ through the unmonitored or inefficientprocess.
Although dematerialisation is on the world agenda,machines are still constructed using a large percentage of
ferrous metal from the diminishing world stock.It is said that there are only 800 billion tons ofcrude ore
containing 230 billion tons ofiron remaining in reserve.Although the mining industryis making improvements
towards environmental managementsystems bylooking at alternative fuel and reducing air emissions,these
improvements come ata costthat is also passed on to the customer.
The intervening period from final and irrecoverable breakdown to delivery and installation ofthe new machine
and running at full productivity could take months – a waiting cost.Only if the work was able to be sub-contracted
out or switched to another machine would these costs be minimal.
During this time the operators fixed overheads and directlabour costs would still have to be paid;there may also
be penalty clauses to currentcontracts that could be invoked should deliverydates be missed or postponed.
Almostcertainly an un-maintained machine will incur extra energy usage.It is another indication ofa lack of
process management.For example, insufficientor contaminated lubrication causes deterioration in the
interaction of surfaces in relative motion.The extra fuel costis incurred as current energy demand outstrips
supplywith a consequential costincrease;this creates yet another costto the environmentfrom the extra usage
of energy resources.
Furthermore,if there is no respectfor machines within an organisation there maybe no respectfor the operator.
This could have a negative effect on the level of skilled labour a companyemploys or attracts. This may resultin
a culture of nonengagementby employees in the aims ofthe companycreating a negative and potentially
destructive culture of disenfranchisement.
For a small company,the time of inactivity and non-production could have severe and irreversible consequences.
If the companydepends on one major customer and production is compromised thatcontractmay well be
removed.Even if the customer does notconstitute a major accountthe implications from non-fulfillmentmayfilter
through to other customers and cause doubtor distrust.
In a worse case scenario,a companymay lose its credibilityin the marketplace leading to potential insolvency.
The costs related to such an eventuality are significantas costs ofdisposal ofmachines would be included in the
winding up order.
It is clear that apartfrom the commercial benefits ofimplementing TPM, the value links to sustainabilitycan
enhance and create a competitive advantage.By combining the notinsignificanteconomic benefits with added
environmental values a companycan differentiate from its competitors.Having a strong Corporate Social
Responsibilityethos can deliver real triple bottom line benefits – profit, planetand people.
TPM is therefore a powerful tool that should notbe consigned to the ‘too difficult’ box because the alternative of
3. doing nothing is reallynot an option. Manufacturing has its very own solution to reducing carbon footprints,
degradation and energyusage.Itneeds to be promoted,adopted and embedded to accrue the benefits.
Justimagine ifby adopting a preventative maintenance regime,justone companyin each city across the world
extended the life of justone of its machines for justone year, obviating the need to manufacture from resources
that are rapidly diminishing.The multiplier effectof this would have a real and significantenvironmental benefit,
not only through reduction in materials mined butalso in avoiding the energy required to make and transport
these new machines.
Linda Middleton-Jones
Linda Middleton-Jones is business developmentmanager atthe South WestManufacturing Advisory Service,
providing opportunities for the team of manufacturing specialists to supportregional manufacturers.Linda
Middleton-Jones studied Sustainabilityin Business - a module embedded in a Masters in Environmental
Sciences course atthe faculty of Geography, University of Exeter.