Posts Tagged ‘downtime’

Fareva rolls out Shoplogix™ Plantnode® across its contract packaging operations

In the competitive world of contract manufacturing, reducing costs, improving efficiencies and maintaining margins is essential. Leading European contract cosmetic and pharmaceutical manufacturer, Fareva, is committed to improving productivity at its operations with a Continuous Improvement program supported by Shoplogix™ Performance Management Solution Plantnode®. “There’s more and more pressure from our customers to cut costs, decrease the lead time and improve the service level,” says Marc Spiniella, Fareva’s Continuous Improvement and Methods Director. “If we want to lower costs, we really need to be extremely efficient in our manufacturing. You cannot improve performance if you don’t measure it.”

That’s where Plantnode comes in. The Plantnode Performance Suite provides manufacturers with an accurate, uniform and automated source of plant level performance data which is critical to strategic and operational decision making. At Fareva, Plantnode is being used to measure run speed, downtime, OEE, scraps helping to uncover opportunities for improvement. “This project is an important step for Fareva in our goal to achieve ‘industrial excellence’,” says Spiniella.

ABOUT FAREVA
Fareva is a high-volume contract manufacturer in cosmetics, pharmaceuticals and household goods. The family-owned business, which employs 5,000 people at 27 plants in Europe and around the world, offers customers impeccable service by providing tailored R&D, production and packaging facilities. Fareva has more than 800 customers worldwide. For more information about Fareva, visit the company’s web site at www.fareva.com.


shopTALK – Episode #2: OEE for Continuous Improvement

 

 
 

QUESTION: How do you use OEE as a measurement for Continuous Improvement?

ANSWER: A lot of people are using OEE, overall equipment effectiveness is what it stands for. However, you can calculate it without having a tool like Plantnode, you can take just the total number of units that have been produced, divide it by the amount of time you’re planning to run and the expected rate the machine should be running at so you can get an OEE number. Though, it’s really a target, it’s something that you’re trying to hit, and it’s a percentage, a percentage of the expected time you were supposed to be running, and a percentage of the run speed rate that you’ve entered.

After all that’s been calculated the real benefit of OEE is to understand who can I make my OEE better? How can I improve? Ultimately OEE is an efficiency measure it’s a way to measure how am I doing against where I expect to be, our best customers actually move the bar frequently throughout their lifecycle of adoption of OEE so today they might be at 95% OEE and they might change the expected rate to be higher than what it is today so their OEE drops the next day their 75%. So the OEE of “World Class 85%” or whatever the world class happens to be for your industry is merely a measurement point it’s not an end goal. You can improve and improve on where you are, you can always get better, and the way you get better is by making your standards harder and harder to achieve.

What a lot of our customers that use OEE really like about the Plantnode tool is that it provides more information and a breakdown of where your losses are coming from. OEE as a number is really not that meaningful unless you understand the elements that make it up. There are those three elements of: Availability – which is your uptime percentage, your Performance – which is your run speed as a percentage of the target you are trying to hit. And your Quality ratio – Which is your good product divided by the total product, or a measure of scrap or first pass at yield. What’s interesting is, when you look at the individual components: they are mutually exclusive and collectively exhaustive, you can’t hide one really good result with another really poor one, or cover up a poor result with a really good one because the OEE will still be reflected when you multiply the two.

Based on our customers experience using OEE, the value that they get out of our tool is that they’re able to use it to diagnose why their OEE gets low or why their OEE is where it is currently, they can also universally apply that same standard across all their plants in their entire enterprise. So we can help them diagnose the issue: if the OEE is low, is it because of a run speed problem?, is it because you have a lot of downtime?, and if it is downtime, what’s the reason for the downtime?, is it shortstops?, is it changeovers? Is it other unexpected maintenance problems you weren’t planning on happening? Those types of things are what really makes OEE useful is once you understand what the components are that are causing your OEE to not be what you want it to be.

 


 

 

Michael Dedrick

Michael Dedrick is the Marketing Campaign Specialist at Shoplogix Inc.
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Use Lean Thinking to Remove Inefficiency in your Blending Operation

How do you track the utilization of your blending tanks?

In most cases you probably don’t track product utilization – or you rely on the operator to manually record product run times and quantities. In fact, most companies have no idea how many gallons of product are flushed down the drain during a changeover. What you do know is that there is a tremendous amount of unaccounted for product at the end of the week / month / quarter etc.

Understanding the real flow of product into and out of tanks and the amount of product consumed during a changeover has been eye opening for one customer in the contract packaging space.

Most contract packagers bring product in bulk which is stored on site in tanks. This is then blended to a recipe and pumped to the packaging lines. The amount of product is estimated based on the order size and expected losses. These losses include over runs and rework – but most losses can be attributed to the large amount of material remaining in the piping after a job is complete.

A manufacturing performance management system – Plantnode, was installed to track the tank utilization and accurately report product consumption, additive addition, blending, filling, draining, along with process related downtime. All of these measurements are used to report efficiencies and point out losses related to different jobs.

With their data collection now completely automated, this customer is setting aggressive new efficiency benchmarks in their operations. Blend tanks are now measured for efficiencies and there is no longer any finger pointing at the end of the month when it’s time to account for the delta between product in and product out. Real standards are being developed with real data and jobs/batches are looked at in a different light to determine if they actually make money.

By the way this blend tank is pushing 20 years old and the only way to connect to it is via a serial cable to the weight scale. There is no PLC or automation. Aside from the weight scale the tank controls are all manual and pneumatic.


3% Improvement in Operating Efficiency Translates to Big Savings

One of the greatest benefits of my job is the opportunity to be in front of the customer the very first time they look at the Plantnode reports. It’s the expressions on their faces – sometimes shock, sometimes concern – but mostly amazement. Before implementing some type of performance monitoring solution it is not uncommon for folks to think they’re running as efficiently as possible, more so, that they’re running a tight ship. They may have some downtime periodically but the assumption is they are already at the limits of their production capacity…

…then they see the Machine Status report.

Imagine you have the tools to monitor daily production on a minute to minute basis.  You can see how often your assets are running and how often they’re not. You are able to respond to issues immediately, as they occur. If you could see how much downtime truly occurs in a full day and how much it greatly affects your productivity, all in real-time, you’d be amazed. Maybe the issue is start up time, maybe it’s break time creep, or maybe it’s maintenance response time. Whatever the case, a few minutes of lost time over the course of a full day can certainly add up. How much money could you potentially save, or how much more production could you gain in a week, a month, or even a year?

To answer that question I need to share an experience I recently had with a well known pharmaceutical company.  A month after Plantnode was installed, I had the opportunity to present the monitoring results for two tablet-packaging machines.

Now – this customer was aware they had inefficiencies in their process, but despite a looming recession they were still running at what they considered full capacity. I distinctly remember their faces when they saw all the idle time. It didn’t make sense to them.  How could they be running at capacity when they were struggling with at least ten to twelve minutes of downtime an hour? Some hours their machines hadn’t run at all – what exactly constitutes “capacity” at that point? Comparing the Machine Status and Production reports our customer could clearly see how all that idle machine time directly affected their output and how overlooking “a little bit of downtime” could quickly turn into huge losses in productivity.

Plantnode provides insight. It gives our customers the ability to really see where their inefficiencies lie and how greatly these inefficiencies impact their business. In this case the customer realized exactly how much time and production they were losing and when exactly it was occurring, down to the very minute. While the initial reaction may have been complete surprise, the results of this business case were even more startling – if the customer could eliminate just 15 minutes of downtime per shift this translated to a benefit of approximately $33K in just one month. And that is just a 3% improvement in efficiency!

If you had the opportunity to gain that much insight into your process, how much would you benefit?


Plant Manager Settles Score between Operations and Maintenance

Heard from a buddy last week who works at an automotive supplier with whom I have worked closely. They’ve finally put an end to the age old epic battle between the operations staff and maintenance staff.

Whenever management tried to minimize downtime losses from machine breakdowns they brick-walled.  They did not know where their best opportunities for downtime improvement could be found – maintenance requests, maintenance response, actual maintenance time or operator response time?

Of course asking either group led to finger pointing and situation-exacerbation.

Operator Maintenance Finger-Pointing on Breakdown Downtime
Then they implemented maintenance barcode scanning on their Shoplogix system to track various losses during a machine breakdown… response times were down drastically by the NEXT DAY! (Interesting, the effect of a little accountability). With nobody hiding behind the data (or lack thereof), the operators and maintenance staff now get along better, and management know where to dedicate their improvement efforts. Huzzah!

Looking forward to a wedding at Jay Peak this weekend.. Also have some unfinished business with a glade-trail by the name of Timbuktu..

Sadly, not all epic battles are resolved by barcode scanners…


 

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Shoplogix is the leading developer of manufacturing performance management solutions designed to enable manufacturers to reduce operating costs, increase manufacturing profitability and drive rapid time to value.

Our patented Plantnode® solution is the market’s only
integrated technology solution, combining the power of
software analytics with the strength and stability of
embedded technology.

Seeing our customers uncover their hidden potential to
realize dramatic performance improvements inspires us to continue to innovate in order to help them to further escalatetheir success.

Shoplogix was founded in 2002, and is headquartered in
Mississauga, Ontario Canada.