The First Steps to Operational Excellence
Operational Excellence Overview
As an increasing amount of companies look to improve their productivity and reduce the cost of goods produced, the focus turns to consolidating the various processes within their business. With multi-site organisations, it is more important that they have consistent approaches to how they conduct business. This has many benefits, including the ability to compare performance across sites, knowing that the methods and systems are common within the organisation.
Consistency is Key
Over the years businesses have consolidated and standardised, for example, their human resource practices, their finance systems and practices, their information systems and production methods but one area that has generally been allowed to develop on its own is maintenance and, more recently, asset management.
It is not uncommon in multi-site organisations to see that the approach to the maintenance of the manufacturing and utility equipment is left to the individual sites to develop their own approaches. The problems this produces become apparent when, as is increasingly common, software systems are introduced across the organisation, for example, systems such as SAP and Maximo.
The use of such systems requires consistency of approach and therefore, it becomes more important that there are consistent maintenance processes across the organisation. This consistent approach allows sites to compare their performance, their equipment reliability, failure and maintenance programmes and take huge steps towards Operational Excellence.
The Benefits of Achieving Operational Excellence
MCP has supported clients with their Operational Excellence programmes and have delivered reductions in unplanned breakdown maintenance; typically, removal of 25% to 50% of wasted, unnecessary preventive maintenance hours and increased productivity by 40 to 80%.
Typical benefits from our Operational Excellence programme can include:
manufacturing cost reduction by 20%
maintenance costs were reduced by 20%
breakdowns reduced by 50%
quality costs reduced by 30%
productivity gains by 20%
How Can You Achieve Operational Excellence?
In our eBook – First Steps to Operational Excellence, we look in more detail at the main Key Performance Areas (KPAs) that form part of an Operational Excellence programme, these are:
Business Focus
Management Values and Leadership
Organisation
Communication
Structure and Performance Management
Rewards and Benefits/Recognition
Operations Skills and Development
Health and Safety
Product Planning and Control
Quality Control of Processes
Supply Management
Operations
Productivity
Plant Maintenance
Continuous Improvement
eBook - First Steps to Operational Excellence
Download our eBook to read an overview of each KPA, to find out what the first steps are to achieve Operational Excellence, and how you can take them…
