Driving Profitability- Loss Tree Analysis

Driving Profitability- Loss Tree Analysis

Loss tree is one of the effective continuous improvement tools used to drive productivity through Overall Equipment Efficiency losses elimination. Preliminary steps of measuring and analyzing will be followed with improvement plans and strategies.

Chools Competent team of Scholars and consultants will guide your teams through the process CADD – Collect –Analyze- Develop-Deploy to capture the gains.

Predicted Gains 

➤   5-7% productivity savings out of Manufacturing Base spend.

➤   > 90% Line Capacity Utilization

➤   Standard Work & Continuous Process Flow.

➤   Equipped, Engaged and Empowered Work force.

➤   Automation Solutions and Interfaces.

Our Methodology 

✔   P&L- Manufacturing overheads DATA – Direct /Indirect Labor, Maintenance, Utilities, Operating Supplies, .

✔   Process Key Performance Measures -OEE, Line Capacity -Non utilized time, Availability losses, performance losses, Quality losses, Equipment downtime.

✔   Gemba walks | Line As -Is Audits | Employee Diagnostics – Cultural assessments

✔   Tree Loss Tool

✔   Brainstorming , Nominal Group Technique

✔   Problem solving Techniques: FMEA, 8D, 5 whys,BDA, FISHBONE

✔   Gap Analysis- Current OEE VS Glide path

✔   Effort /Impact Matrix , SWOT

✔   OEE Glide path

✔   Standard Work Strategies

✔   Continuous process Flow strategies

✔   Total Productive Management Plan and pillar teams

✔   Vertical Startups -VSU


✔   Create Balanced Scorecards for tracking

✔   Workforce Training

✔   Visual Controls , Andon , Poka-Yoke, Jidoka

✔   Kanban

✔   MES/ERP — Data Capturing

Related Case Study

Case : Chools was hired by 100 fortune Food and beverage company in North America-North East Region to drive and develop its Productivity, Lean Six sigma, performance and TPM journey. Loss Tree Analysis was one of the methodologies used to drive OEE Improvement.

Act : Chools Consultants conducted Loss tree analysis across 7 plants -23 production lines. Our consultants inside our CADD Methodology leveraged several Lean problem solving tools , Total productive Management, line studies – SMED, V Curves and above all trained the team.

Results : An annual Increase of 11% OEE points was realized for the NE region, this translated to $7.3MM .Savings captured encompassed all MOH ; Labor utilities , Maintenance and operating supplies costs.

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