6 BIG LOSSES IN

MANUFACTURING
THEIR CAUSES AND SOLUTIONS

1. AVAILABILITY LOSSES:
1. BREAKDOWN LOSS - Unplanned stop due to
the machine failure which requires a repair or
replacement. It causes the material and
manpower to wait and also stops the upcoming
processes.

2. SETUP & ADJUSTMENT LOSS - Planned

stop due to major adjustments, tool settings,
planned maintenance, and quality inspection.

CAUSES
unplanned stops are caused by poor
maintenance
Leads to a waste of time and manpower
and in addition stagnation of materials.

SOLUTIONS
Implement lean tools like Andon system,
5S and TPM
Autonomous Maintenance - Train your
operators on different roles to perform
cleaning, lubrication activities, and small
maintenance tasks
Preventive Maintenance - Checking the
machines and equipment on scheduled
basis

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 6 BIG LOSSES IN
MANUFACTURING
THEIR CAUSES AND SOLUTIONS

2. PERFORMANCE LOSSES:
3. MINOR STOP LOSS - Small stoppages due to
tool, insert changes, filling oil, and periodic quick
cleaning. It leads to unwanted movement and
wasting time.

4. SPEED LOSS - Speed loss occurs when the

machine runs at a slower speed than the ideal
cycle time. It leads not to satisfy the customer for
not producing the product in takt.

CAUSES
Inefficiencies (both process and operator-
wise)
Leads to increased costs and lower
productivity.

SOLUTIONS

To identify and eliminate the bottlenecks

and inefficiencies in the processes,
Implement lean tools like SMED (Single
Minute Exchange of Dies), Pokayoke
and Andon system.
Implement process improvements such
as automation and standardization.

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implement lean tools and improve the Productivity

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 6 BIG LOSSES IN
MANUFACTURING
THEIR CAUSES AND SOLUTIONS

3. QUALITY LOSSES:
5. DEFECT & REWORK LOSS - Wasting time &
cost by producing the defective parts and loading
the parts for the rework process.

6. STARTUP LOSS - Producing defective parts

during startup, trial run, and early production
stages.

CAUSES
Product rejections are caused by
producing defective parts and producing
parts by using defective raw materials.
Leads to costly rework, time waste, and
damage to a company’s reputation.

SOLUTIONS
To reduce defects
Implement lean tools such as Pokayoke
(error proofing), Kaizen and 5S.
quality control process like regular
inspections, and invest in training and
equipment that can help to improve the
accuracy and consistency of the
products.

Addressing six big losses and their causes in manufacturing

can improve productivity, quality, profitability, and efficiency for
companies. By implementing the solution outlined above,
companies can improve their operations and meet the needs
of their customers.

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implement lean tools and improve the Productivity

Click here to join the course