Leveraging the Six Big Losses for Manufacturing Excellence

By Emily Himes 

In manufacturing, the Six Big Losses are pivotal in identifying and correcting inefficiencies that impact Overall Equipment Effectiveness (OEE) and production time. This framework, which is integral to the methodologies of OEE and Total Productive Maintenance (TPM), provides a granular view into the types of losses that can occur, from availability to performance and quality. 

Understanding the Six Big Losses 

Mitigating inefficiencies is crucial for optimizing production processes. The Six Big Losses framework addresses common challenges that impact productivity. These losses encompass various factors that hinder manufacturing efficiency, affecting both output and quality. Let’s delve into each of these loss categories. 

• Availability Loss: Downtime events that halt production. These losses include unplanned and planned stops. 
• Performance Loss: Factors that slow down the manufacturing process, including small stops and slow cycles. 
• Quality Loss: Defects that occur during production, affecting the end product’s quality. In the framework, these losses fall under production defects and startup defects. 

Strategic Approach to OEE Improvement 

By analyzing these losses manufacturers can boost efficiency, and as a result, significantly improve their OEE scores. Since its inception in 1971, the Six Big Losses framework has evolved alongside the manufacturing industry, offering precise definitions and effective strategies for loss mitigation. 

Digital Solutions: The Game Changer 

The advent of digital manufacturing solutions has revolutionized how leaders approach OEE and CI efforts. These tools offer real-time data capture, minimizing manual efforts and enabling a swift response to production issues. They provide an objective assessment of losses, revealing the true cost of even the smallest problems. 

Success Stories in Digital Transformation 

Companies embracing digital transformation, like the automotive leader Tofaş, report remarkable improvements upon their digital transformation journeys, such as a 60% drop in safety incidents and a 12% boost to OEE metrics. Similarly, Brembo’s adoption of digital solutions has enhanced quality and increased throughput. 

The Competitive Edge 

In today’s competitive landscape, manufacturers cannot afford to rely on outdated methods. Innovative solutions can be a huge help in reducing production time loss, leading to potential revenue generation in the millions. Those who invest in digital transformation position themselves at the forefront of the industry, ready to outpace competitors. 

For manufacturing leaders, it’s crucial to stay ahead of the curve. Check out PTC’s eBook to learn more about how companies like Thermo Fisher Scientific are implementing digital manufacturing solutions to propel the industry forward. Share your experiences and insights on maximizing efficiency and embracing innovation in the comments below.