Toward Zero Blog

3 Steps to Uncover Hidden Manufacturing Production Capacity

Are manufacturers aware they have hidden production capacity?  Companies that find and free up hidden production capacity can avoid costly equipment purchases, open the door for additional sales, or reduce the time and cost of existing production.

I’ve been a part of organizations that were struggling to satisfy customer demand — we simply could not produce enough product, or at least the right product at the right time. Determining how to resolve the issue would often put the operations engineering and production planning teams at odds. The solution most obvious to engineering was to continue running products in basically the same lot sizes, but at higher speeds. This approach required expensive new equipment. Besides the equipment purchase, there were other significant costs: inventory builds, downtime for installation, debug after installation, and operator training.

Performance Improvement: When Conditions Change, Find a Hidden Factory

Manufacturers are always eager to balance efficiency, reputation, and the many other factors that affect overall business performance.  Everyone agrees that performance improvement in manufacturing operations is one powerful tool companies leverage to achieve their strategic business objectives.  Even when there’s a status quo in market conditions, regulatory requirements, and other factors, nearly every manufacturing enterprise is doing something to improve manufacturing performance.  When something happens to disrupt circumstances — whether it affects just your business, many companies, or an entire group — there’s no doubt you’ll respond to your company’s best advantage.  But will you also use the experience to uncover “the hidden factory,” and discover new ways to create capacity without adding equipment?

Discovering Lean Tools and OEE

Not everyone in manufacturing roles has a lot of experience with Lean or OEE.  In fact, here we are nearly 40 years after OEE was first described in Introduction to TPM: Total Productive Maintenance , and people are still asking how to calculate OEE.  Everyone has a story about how they learned about OEE and Lean, including me.  What’s fascinating is that despite all that’s been written on these topics, manufacturing companies still struggle to capture significant value from Lean tools and OEE calculations.

How to select the right OEE software

You want to select OEE software that matches your manufacturing process, integrates with your existing manufacturing technology, and will be accepted by your people.  

Goals of Overall Equipment Effectiveness

 
Goals of Overall Equipment Effectiveness (OEE) OEE is a proven metric used in manufacturing to achieve three goals: 
1

3 Steps to Uncover Hidden Manufacturing Production Capacity

Are manufacturers aware they have hidden production capacity?  Companies that find and free up hidden production capacity can avoid costly equipment purchases, open the door for additional sales, or reduce the time and cost of existing production.

I’ve been a part of organizations that were struggling to satisfy customer demand — we simply could not produce enough product, or at least the right product at the right time. Determining how to resolve the issue would often put the operations engineering and production planning teams at odds. The solution most obvious to engineering was to continue running products in basically the same lot sizes, but at higher speeds. This approach required expensive new equipment. Besides the equipment purchase, there were other significant costs: inventory builds, downtime for installation, debug after installation, and operator training.

Performance Improvement: When Conditions Change, Find a Hidden Factory

Manufacturers are always eager to balance efficiency, reputation, and the many other factors that affect overall business performance.  Everyone agrees that performance improvement in manufacturing operations is one powerful tool companies leverage to achieve their strategic business objectives.  Even when there’s a status quo in market conditions, regulatory requirements, and other factors, nearly every manufacturing enterprise is doing something to improve manufacturing performance.  When something happens to disrupt circumstances — whether it affects just your business, many companies, or an entire group — there’s no doubt you’ll respond to your company’s best advantage.  But will you also use the experience to uncover “the hidden factory,” and discover new ways to create capacity without adding equipment?

Discovering Lean Tools and OEE

Not everyone in manufacturing roles has a lot of experience with Lean or OEE.  In fact, here we are nearly 40 years after OEE was first described in Introduction to TPM: Total Productive Maintenance , and people are still asking how to calculate OEE.  Everyone has a story about how they learned about OEE and Lean, including me.  What’s fascinating is that despite all that’s been written on these topics, manufacturing companies still struggle to capture significant value from Lean tools and OEE calculations.

How to select the right OEE software

You want to select OEE software that matches your manufacturing process, integrates with your existing manufacturing technology, and will be accepted by your people.  

Goals of Overall Equipment Effectiveness

 
Goals of Overall Equipment Effectiveness (OEE) OEE is a proven metric used in manufacturing to achieve three goals: 
1