According to Deming’s process definition created in the ’50s: The Process would be divided into stages; the work would enter a certain stage, change state and continue, having as client the next stage. The final step would be for the user, buyer of the product or service, the main link of the production line. At each stage there would be production, that is, something would happen in the assets that enter the stage, causing its exit in a different state. ...
Inspired on Goldratt’s indicators for the Theory of Constraints, the Financial Indicators are listed below. The simplicity of the equations is vital to their general acceptance and understanding. This is the basic financial information that companies of any type and size should maintain. Financial Indicators Initials Indicator Description RI Return on Investment Equals Net Profit divided by Investment. I Investment It is all the money the system invests by buying Inventory that the system intends to sell. ...
TPM consists of a systematic program for enterprise development that addresses maintenance by optimizing equipment effectiveness. TPM consolidates failures and waste into a creative approach, using time as a common link. Working Time Working Time is defined as the total journey time that company works. From then on, we will be discounting the time spent on failures and waste, creating indexes that will selectively signal machine and equipment performance problems, operation failures and product defects. ...
This is the Process used as a sample when a process is needed in this project. The P&Q Factory gives no room for apology and demonstrates how the “Theory of Constraints” (ToC) can help managers with their decision-making logic. The fictional factory portfolio has products P & Q. P&Q Factory Using TPM to describe the P&Q Factory, there are very few reasons to blame poor corporate results: ati = 1 Equipment runs nonstop for the working time, available time index is 1. ...