An OEE Case Study. The Alcorn Fabrication Company has embarked on an aggressive TPM project to cut maintenance cost, improve productivity, and shorten manufacturing lead times. One of the initial steps in the project, involves determining the current Overall Equipment Efficiency (OEE) on their primary slitting machines. The data shown in Table 1, was recently collected during a 24 hour of continuous observation of several slitting machines. Note that the data represent average time for each element per machine. The Alcorn Company operates their plant on a 5 days/week, 3 shifts per day schedule: Determine: 1)- Overall equipment efficiency for each slitter 2)- Actual production rate per hour under the current conditions. 3)- Total manufacturing lead time (MLT) for a customer order size of 8500 units. 4)- As the manager of the TPM project, determine by what % current OEE and MLT could be Improved (You need to suggest how/what elements need to be changed). What are MTTR and MTBF if the company implement your suggestions 5)- Using your answer in "4", estimate % improvement in Machine capacity and production cost/unit. TABLE 1 Major Equipment Losses Data Comments & Calculations A. Planned shutdown losses: (Hours) 1. No production, breaks, shift 2.66 Meeting & shift change change. 2. Planned maintenance 2.00 PM every 24 hours B. Downtime losses (Hours) (or minutes) 3. Waiting for operator 4. Failure or breakdowns 5. Setups & changeover 6. Tooling or part Changes 7. Startup & adjustment 1.66 1.33 Mechanical drive coupling 1.16 2 size changes 0.83 1.00 11-11 8. Material Flow: Input (No material) 0 9. Material Flow: Output (Kanban full) D C. Performance efficiency losses: (Count) Screw station bits shift Monday Waiting for raw materials Output not needed; no room in queue 10. Minor stops 11. Reduced speed or cycle time D. Quality & yield losses: 12 Scrap product/output 13. Defects, rework 14. Yield and other losses E. Other data: * Production cost per unit standard production rate 10 events 100 vs. 167 Jam ups....... Design rate: 180 units/hour Units (Count) 2 Waste, non-salvageable 5 Startup & adjustment related 3.25 S/unit, under current conditions 20 sec/unit * This must be expressed as units/week ** This is MTTR after you improve the situation (the final/suggested average time per breakdown