Every minute a machine stays idle costs you. Production slows down, it might create a bottleneck in your systems and shipments get delayed. It can even cause safety issues. In addition to the lost revenue, you’ll have to incur additional costs to fix the machine. It’s no surprise every factory manager wants to reduce machine downtime. So, what do you need to do? Let’s find out.
What is Machine Downtime?
Downtime refers to the duration in which a machine is not working. There are 2 types of downtime; planned and unplanned.
No machine can run continuously. Planned downtime refers to instances where production is intentionally paused. This may be done to inspect the machine, clean and replace parts, etc.
Production pauses caused by a power outage, breakdown, lack of material, etc. are referred to as unplanned downtime. This type of downtime is unpredictable. When you talk of reducing machine downtime, the focus is usually on unplanned downtime.
Reduce Machine Downtime: Why is it Critical in Manufacturing?
The average manufacturer faces 800 hours of machine downtime annually. Planned downtime is often beneficial in the long run. However, if not addressed correctly, unplanned downtime can make your systems inefficient and expensive.
The true cost of machine downtime
Whether you’re manufacturing auto parts or children’s shoes, machine downtime comes at a high cost. According to recent studies, industrial manufacturers lose $50 billion each year due to unplanned downtime. It isn’t just the costs associated with a lower production output. Manufacturers also need to account for:
- Unproductive hours
Time is an asset that can never be replaced. Planned or unplanned, machine downtime can eat up as much as 10% of a factory’s production time. The longer a machine stays idle, the more time you lose.
- Increased labor costs
Machine downtime increases labor costs in many ways. Firstly, there’s the cost of paying for labor even though your production lines aren’t moving. Then there’s the cost of in-house maintenance or outside contractor services if required. Once you rectify the issue, you might have to also pay overtime fees to get your production schedule back on track.
- Wasted material
In most cases, before a machine stops working, it churns out defective output. You can’t reuse this material. Thus, it amounts to a loss. If you’re working with perishable raw material, a long machine downtime could lead to spoilage and once again make your material unusable. In addition to this, factories lose a certain amount of material while fixing and testing the machine.
- Higher overheads
Machine downtime can also affect your overall overheads. For example, if you have to delay a shipment, you might see an increase in storage costs. Similarly, you’ll need to account for the cost of spares and parts needed to fix the machine.
These are the obvious costs. Lower production can also lead to lost sales opportunities. Let’s say the order on your production line was for a new customer. They may not accept a delayed shipment. This is a loss of brand value as well as the potential revenue you could have earned. Similarly, you risk lowering customer satisfaction rates. And, dissatisfied customers may start considering a partnership with your competitors.
How to Reduce Machine Downtime: 4 Effective Strategies
Eliminating machine downtime may not be a realistic idea. That said, there are ways to reduce machine downtime and keep your production on schedule.
1. Monitor downtime metrics as Key Performance Indicators (KPIs)
Creating a need to reduce machine downtime is the first step. This begins with making employees aware of how a machine breakdown impacts them. A visual representation of machine performance metrics can help. This includes machine output, as well as metrics like:
- Overall Equipment Effectiveness (OEE)
- Mean Time to Repair (MTTR)
- Total Equipment Effectiveness (TEEP)
- Mean Time Between Failures (MTBF)
These metrics indicate the effect of machine downtime as well as the time between equipment failures. In turn, it helps you understand factors influencing downtime and gain control over them.
2. Conduct a root cause analysis
As far as possible, avoid temporary solutions to fix an issue. A quick fix could address the immediate problem, but it could recur. A root cause analysis can help avoid this.
The 5 Whys are a great tool for root cause analysis. This is a series of 5 questions that begin with ‘why’. Let’s say a machine broke down. Here’s how the root cause analysis might flow:
- Why? Because the motor failed.
- Why? The bearings have worn out.
- Why? The bearings were not lubricated.
- Why? The automated system did not sound an alert.
- Why? The lubrication sensors were not properly calibrated.
Thus, rather than replace the bearings, you can recalibrate the lubrication sensors. Not only is this cheaper, but it also ensures a more long-term solution.
3. Invest in proactive maintenance
A survey found that 51% of industrial manufacturing units follow a run-to-failure maintenance system. This means equipment will continue to be used until it breaks down. It’s the old saying – “Why fix something that isn’t broken…” However, this approach costs you. When a machine needs to be repaired, you’ll need to first order the spaces, call technicians, and wait around till it can get started again. Instead, monitor performance to take early action.
For example, an increase in machine vibrations could signal a component wearing down. Scheduling repairs and part replacements at this stage rather than when the issue becomes critical gives you more control over machine downtime. You can plan your schedule accordingly, arrange for spares in time, limit the overtime required, and so on.
4. Encourage a culture focused on continuous improvement
Small changes can go a long way to help reduce machine downtime. Once your teams are aware of how downtime impacts their efficiency, encourage them to design solutions to reduce this. The idea here is to keep making small changes that help you gradually improve operational efficiency.
For example, something as small as wiping down a piece of equipment at the end of each day can lower the risk of a breakdown. Similarly, integrate regular inspections into your routine so your floor managers can prioritize machine maintenance.
Summing It Up
A certain degree of machine downtime is unavoidable. However, you can limit its impact by implementing measures that reduce machine downtime or replace unplanned downtime with planned downtime. It comes down to keeping an eye on machine productivity, making these metrics visible to everyone and implementing a series of small changes that address the root cause rather than quick fixes.
Digital visual management tools like Fabriq can support your initiatives to reduce machine downtime. Fabriq allows you to collate information from various sources and present the data in a graphic form. You can identify machines that are not functioning optimally, track the effect of any changes you may implement and spot opportunities for further optimization. Want to know more – reach out for a demo.