In any business process, the saying “Time is money” is always true. All machines running in the production line can earn money every second. The longer it takes to develop raw materials into finished products, the more money it costs to get them out. What if your machine is idle for a long time? Potential loss of revenue. Downtime refers to a period of unplanned or unscheduled downtime. The OEE module of i-MAG smart factory management software allows manufacturers to identify the cause of loss in the production process.
Actual production cost downtime:
Downtime is something no industry likes to deal with. Every industry in the world is living a nightmare. According to one study, practically every industry loses between 5 and 20% of its output due to downtime, at a huge cost. Machine breakdowns can bring production to a halt and cost a company millions of dollars. This statistic demonstrates the high cost of downtime. As a result, every industry must consider the financial cost of downtime. Unplanned outages can cost a lot of money and have a big impact on a business’ bottom line. To meet financial goals and maintain healthy profits, it’s important to understand the true cost of downtime and how to minimize it.
Why are machines on standby?
Tool failure, machine failure, process failure, unplanned downtime, and other factors can all cause downtime. While most people associate downtime with breakdowns, it’s actually an unplanned issue that has a significant impact on a business’ production processes. Excessive changes, lack of operators, and unplanned machine repairs are all examples of unplanned downtime. To deal with it, a business must first understand each downtime and how it affects revenue in the industry.
To calculate device downtime:
Because the term can refer to any event that causes a production outage, it’s important for a company to first determine the type of downtime they want to account for. Let’s say a factory is having some problems with faulty machinery. They have determined that this is the bulk of their downtime, making it the most important type of downtime to monitor. One method for calculating the cost of equipment downtime is to look at the revenue lost during the downtime period. We can do this by comparing the quantity of products produced in a certain period of time (per hour) with the amount made from each product. We then compare these metrics to the amount of downtime that has occurred.
According to this equation, if we produce 20 units per hour and make a profit of $100.00 each, each hour is worth $1000. If we have 4 hours of downtime, we have lost $4,000.00 in just those 4 hours. Consider how much revenue could be lost if the downtime is longer or the product is more profitable. It’s easy to see why this is so important to monitor and fix as soon as possible.
Track production downtime:
You can control overage losses by tracking how, when, and where downtime occurs. Only when downtime is carefully and thoughtfully measured can it be started early to minimize it. A typical data collection method, which involves the operator manually recording downtime on log sheets, often misses downtime incidents.
Therefore, adopting comprehensive monitoring software that provides a real-time view of the store floor will provide substantial data on downtime scenarios. i-MAG OEE is a tool to measure the productivity and operational efficiency of machinery and equipment, helping businesses determine the cause of losses in the production process, helping to determine the time causing machine downtime, machine stoppage, and downtime.
In addition, it also helps businesses monitor the performance of the machine. Recording downtime and identifying causes will drastically reduce production problems and speed up production. Reducing the amount of time humans or machines are idle will improve a company’s bottom line. Check out the recommendations below to reduce production downtime.
- Regular safety training to limit the risk of dangerous errors for users.
- Make a maintenance schedule.
- Establish critical equipment testing procedures.
- Monitor the life of your device to determine when it’s time to upgrade.
Data analysis:
Availability of a system is related to unplanned downtime and loss due to failure. Thus, OEE assessment is an important factor in eliminating production loss and better understanding production. However, simply tracking OEE and collecting statistics will not help a business increase its output. It is important to develop a strategic plan based on the data obtained to reduce downtime. OEE i-MAG will help you analyze data, identify the causes of downtime, and determine how the information gained can be used to improve predictive maintenance.
Metrics that are not correlated with machine data will not give you an accurate view of your production loss. The real-time data seewhat is happening on the production line that will give downtime events in context. Thus, OEE i-MAG will enable manufacturers to move away from production constraints and towards a more efficient production process. Thus, OEE i-MAG will enable manufacturers to move away from production constraints and towards a more data-driven business model.