Putting lean and TPM at the heart of MRO

The UK manufacturing sector continues to become ever more competitive, with companies striving to find every possible means to improve productivity and reduce costs. Manufacturers recognise that more and more frequently their competitiveness is benchmarked by customers on a global rather than a country-by-country basis, making the adoption of best practice in every area absolutely key if they are to maintain and grow their market share. Efforts to adopt principles such as lean manufacturing and total productive maintenance (TPM) to maximise overall equipment effectiveness and so extract maximum value from production assets are now more prevalent than before. However, the full benefits of these processes can only be realised by manufacturers if they are adopted across all aspects of operations – and the right partners, with the requisite knowledge and understanding of lean manufacturing and TPM, are selected to work with the manufacturer to drive forward improvements in key areas. One area where significant efficiencies and improvements can be achieved through correct implementation of TPM and lean techniques is that of asset management. Maximising the service life of existing production assets – and thereby delaying the need for further capital investment – is a core facet of the drive to reduce operational costs and increase profitability. Maximising OEE requires efficient, reliable plant, which makes a strategic approach to maintenance and asset management, with vital spares available when needed, absolutely critical to ensure delivery of operational performance, service levels and overall profitability. What this means is that manufacturers are seeking much more from suppliers of production spares than the core capabilities of a broad range, competitive pricing and rapid delivery. Manufacturers are invariably seeking to achieve reductions in their total maintenance, repair and overhaul (MRO) costs – indeed this is more and more frequently mandated within service contracts with suppliers – and they will only accept an increase in spend if tangible extra value to their business can be demonstrated. MRO product suppliers need to be able to meet growing expectations surrounding the volume, value and quality of efficiencies achieved, hence an understanding of the key tools around Lean and TPM is vital among those suppliers. With this deeper understanding and knowledge, an MRO supplier can add significant value by helping to identify areas for operational improvement – for example, by assessing a customer's production line or machine and recommending enhancements or ways to operate it more efficiently – as well as supporting manufacturers' own improvement activities. Lean and TPM cultures both employ a number of tools aimed at understanding and then rectifying problems and areas of waste. For example, in TPM, the focused improvement, autonomous maintenance and planned maintenance pillars are critical improvement drivers, while in the world of lean, 5S workplace organisation, standardised work, and the seven wastes are foundations to success in efficiency and profit improvement. A thorough understanding of all these presents major opportunities for MRO suppliers to add value to their manufacturing customers. Brammer's approach to many of these areas is frequently driven by the use of an A3 problem-solving methodology, consisting of four key stages – plan, do, check and act. The first stage is to identify the 'performance gap' in the areas of quality, cost and delivery. Brammer analyses the current condition and investigates the root causes of the problem before setting the goal or target condition. Countermeasures to eliminate the root causes are identified, with an associated cost/ benefit analysis prior to an implementation plan being agreed with the customer. The results are then validated. The versatility of this methodology is such that it can be employed for projects as varied as product re-specification, energy management or inventory profiling – indeed any activity where there is the opportunity to improve production efficiency, reduce working capital or reduce total acquisition costs. Brammer's identification that building understanding of tools such as lean and TPM can help add further value for its customers has led it to develop a multi-level training programme for its employees based around these methodologies. The programme has been developed in partnership with consultant subject matter experts and is enabling the Brammer team to deliver further significant cost savings for its customers – savings which, in 2013, totalled £60 million. www.brammeruk.com