TPM Award Outline

1.
Evolution of TPM due to its expansion

Social System
Present 8 pillars of
the 70’s TPM
Overall company system
AM
1. Individual Improvement
PM 2. Autonomous Maintenance
3. Planned Maintenance
R＆D，sales, logistics Production Education 4. Quality Maintenance
control,etc. & Training 5. Education & Training
6. Initial control
MP
Production system 7. SHE
activities 8. Office TPM
SHE
Equipment
Worldwide Related
Companies
Cost Maintenance
Globe Maintenance
展開適用 the 2000’s
Copyright All Rights Reserved 2001 JIPM
2. TPM Award Concept & Requirements
1. Introduction
TPM has claimed consistently that

Reduce equipment Improve Reduces
centered losses productivity costs
However Getting unclear concept of loss
Too much
expanded scope for losses
TPM Award Category Expanded

The establishment of the World Class Award generated the
following confusions:
Three big classifications of the

TPM Award (Part I, II, III)
TPM Activity level ----- Challenge requirements
Confusion due to lack of clearness in the relation among the above

mentioned

For the 21st century, JIPM established the following
objectives
・Further contribution to Business Management

・New Leap in TPM activities
Thus, clarifying the concept of the TPM Award

and the challenge requirements

2．Summary of the TPM Award and the
Challenge requirements (TPM activity achievement level)
(1) Model
Corporate Management Varies
Difficult to establish Unified Concept and Requirement
Concept based on the below
Manufacturing company: Fabrication and Assembly

Capital:more or less 300 million yens (360 million US)
Employees: 500
Considered as stable and middle sized.
This company has independent sales and production activities
and owns technological capacity and the skills to develop
TPM activities’ standpoint.
（２）Basic concept
Management objectives of a company are achieved
when the following conditions are accomplished
High Quality knowledge(知）: Effective strategy, policy and objectives

High Quality action（行）: Efficiency and continuous efforts
knowledge（知）×action（行）: Must both be at a high level
High Quality knowledge（知） Concept of TPM award
High Quality action （行） Challenging requirement for

8 pillars of TPM
TPM Award activities

TPM activities: for achieving business objectives
and reforming the company’s constitution
Expressed simply…..Ticket to Profit Making
Profit making … to eliminate the elements that hinder earning

profits (limiting conditions and losses)
The size of “the elements that hinder profit earnings” =

the size of the business domain/territory

(3) TPM Award Excellence Concept (Guideline)
TPM　Excellence Award TPM Special Award TPM World Class Award
（PartⅠ）（PartⅡ） (Part III)
Reinforcing physical constitution of the Consolidate capacity to respond in a new Consolidation of the capacity to respond to the
plant competition scenario conditions of a prosperous company
1. Maximization of the efficiency of the invested
resources
1.Reduction of manufacturing cost 1. Reduction of product cost (total cost)
Develop activities that eliminate the limiting
Develop activities that eliminate the Promote activities that eliminate the
conditions and losses that hinder the
limiting conditions and losses that hinder limiting conditions and losses that hinder
improvement of the company’s general cash
Target the reduction of manufacturing costs. the reduction of manufacturing costs.
flow.
2. Through the above mentioned activities, 2. Activities that generate added value
2. Become No. 1 of the industry in some output
reinforce the physical constitution of the 3. Consolidate the capacity to respond
indicator.
manufacturing site. in a new competitive scenario.
3.Consolidate the capacity to respond to the
conditions for a prosperous company.
1. Consolidate the mechanism that further
reinforces the basic physical condition of
1. Develop basic physical condition of the the manufacturing site 1. Continuity and maintenance of the basic
manufacturing site so as to contribute 2. Establishment of QCD in the product, sales physical conditions of the manufacturing site.
to the administration. and manufacturing. （make it a routine）
2. Reinforce QCD in the manufacturing (1)Activities that totally eliminate tangible and 2.Consolidation of QCD in R＆D and D＆PP
site latent losses
(1) Total elimination of tangible losses (1)Maintain the tangible and latent losses at its
Activity (2)Centered in the manufacturing department minimum,
3. Control of product and equipment
keypoints development →Total participation of departments (2)Prevention of losses
(1) Vertical startup of products and 4. Value adding type, Individual 3.Reinforce and consolidation of company wide
equipment Improvement activities activities that generate value added
(2) Construction of a basic development (1) Development of new kaizen type (1)Development of innovative new products
control system products (2)Development of innovative productionsystms
4. Safe and happy working environment (2) Development of new kaizen type 4.Resource conservation activities
production system
4.Environmental conservation activities
1. Further reinforcement and consolidation
1. Execute the 8 pillars for TPM activities 1.Make 8 pillars of TPM activities a routine
of 8 pillars of TPM activities
in an organized and systematic way. 2.Creative TPM activities
Pillars for 2. Epoch-making TPM activities
※ The 8 pillars are the base of TPM Established by the company being audited
3.The companies that will be audited for the
TPM TPM award should define them on their own
activities thus in Part II and III, continuity for the TPM award.
activities （ From the standpoint of achieving the
is a principle. Consolidation of the content, （ From the standpoint of achieving
refer to the Audit checklist. administrative objectives）
administrative objectives）
(3) TPM Award Excellence Concept (Guideline)
TPM　Excellence Award TPM Special Award TPM World Class Award

（PartⅠ）（PartⅡ） (Part III)
Reinforcing physical constitution of the Consolidate capacity to respond in a new Consolidation of the capacity to respond to the
plant competition scenario conditions of a prosperous company
1. Further reinforcement and consolidation

1. Execute the 8 pillars for TPM activities 1.Make 8 pillars of TPM activities a routine
of 8 pillars of TPM activities
in an organized and systematic way. 2.Creative TPM activities
Pillars for 2. Epoch-making TPM activities
3.The companies that will be audited for the
※ The 8 pillars are the base of TPM Established by the company being audited
TPM TPM award should define them on their own
activities thus in Part II and III, continuity for the TPM award.
activities （ From the standpoint of achieving the
is a principle. Consolidation of the content, （ From the standpoint of achieving
refer to the Audit checklist. administrative objectives）
administrative objectives）
Same as Part II
Divide to general administration indicators Remarkable Indicators for Part III should be
Same as Part I
and TPM indicators
Tangible Remarkable Indicators for Part II should be setup by site.
TPM indicators must be shown in (capital effectiveness/efficiency, world no. 1
Effects setup by site.
PQCDSM classification idicator etc)
(sales ratio of new product, market share etc)
For details refer to the PM Awards manual

3. TPM Excellence Award (TPM part 1)
(1) Aim (Concept)

“Reduction of
production costs”
Equipment centered Contribute to
activities Reinforcement of machine business
and people
Equipment centered activities －“maximization of equipment efficiency”

No matter how the market environment changes, the principle of “making
” is the same
Impede Limiting
Reduction of conditions
manufacturing costs reduction
Losses
Make tangible and implement eliminating activities
Basic construction of reinforced plant constitution

(2)Key points of the activities
（Challenge requirements, （3)(4)(5) Mentioned below are challenge requirements too)
a. Build up basic physical conditions that allow manufacturing

sites to contribute to company
b. Beef-up QCD at the manufacturing sites
c. Product and equipment development control

Building of a basic development control system
・Shorten development lead time
・Vertical start up for new products and equipment
d. Create a safe and happy working environment

(3) Mechanism of the activities
To execute the “8 TPM activity pillars” in an organized
and systematic way
(4) Tangible effects（See details in the PM Award guide)
“Company-wide indicators” ＋“TPM indicators”
※TPM indicators show the foundation of the improvements
in the company indicators
(5) Intangible effects
Increased kaizen motivation among employees
Birth of a new company culture and climate
Invaluable company patrimony…
an engine with unlimited possibilities
4. TPM Special Award （TPM Part II）
(1) Aim (Concept)

“Securing the capacity to adapt to new entrepreneurial
competition scenarios
(the basis is the plant constitution reinforced in Part I)
Paradigm shift from an era where

you can sell what you make to
you make what you can sell

“TPM Core is machine-oriented” doesn’t change but, a wider
concept that can evolve and adapt to the market environment is
necessary
Part I Pursuance of a partial efficiency rate by
the manufacturing dept.
Part II Pursuance of an overall efficiency rate for
“making things” in a broad sense
The direction is towards
“Reducing manufacturing costs (total costs)”
＋“value added generating activities”
Reduction of manufacturing costs (total costs) :complete
elimination of the limiting conditions and losses.
Value added generating activities: because in a mature market,
the above mentioned loss reductions aren’t enough.
(2) Key points of the activities
a Further reinforce and secure the basic physical conditions of

the manufacturing site
b Establish QCD in the products, manufacturing and sales
Part I Loss reduction in the manufacturing site will be the

key for competition
Part II Product, manufacturing and sales’ QCD will be

the key for competition

c. Value added generation type Individual Improvement
activities. (Activities centered in the development)
Development of new kaizen type products
Development of new kaizen type production systems
d. Environment conservation activities

“making of a safe and happy working environment”
----- Plant with a minimum waste discharge rate

(3) Mechanism of the activities
Beef up and Up-grading of the 8 pillars

＋ a new pillar “epoch-making TPM activities”
Have to build the “Epoch-making TPM activities” pillar

on their own in the light of “securing the capacity to
respond in the new entrepreneurial competitive scenarios”
(4) Tangible Effects

Internal indicators ＋ External indicators (market standpoint)
Indicators such as “Sales proportion of new products” or ”Market

share” that indicate the capacity to respond to the market situation
are desirable

5 TPM World Class Award (TPM Part III)
(1)Aim（Concept）
“Establishment of the capacity to respond to the

company prospering conditions”
・21st century market: Further instability conditions

・Instabilities: Shorter product life cycles
Concurrent progress of wider product diversity
lead
Drastic market changes
and
Further difficulty to estimate market trends and demands

・Instability Cause:
Loss of business chances＋inventory disposal costs
・Reduction of cash flow efficiency:

will become the major prosperity hindering condition for the
companies.

Part I : Manufacturing cost Reduction in accrual
reduction Cost
Part II : Product cost reduction
Loss of time axle
Cost accruing point ＝ Profit making point
Shorten time lag between the above

-----Important element in company prosperity

TPM’s role in the 21st Century
Improving production productivity (basis) →
Improving company productivity
Company productivity is the capacity to

introduce high quality, low cost products into the market
in a short time and the capacity to respond as needed
in order to securely improve the productivity.

Directions of TPM Part III
“Maximization of efficiency of the Invested Resources”

×“No.1 in Industry Index”
Maximization of efficiency of the invested resources---

elimination of the limiting conditions and losses that hinder the
improvement of overall CF
World No. 1 in an industry index------

Innovative new products, revolutionary new equipments, length
of zero accident working time, resource conservation,etc.
Through these activities, realize

“the conditions for a profitable company”

(2) Actitivity key points（challenge requirements）
a. Continue maintaining basic physical conditions

of the manufacturing site (make it a routine)
b. Establishment of QCD through R&D and D&PP

Part II ----- Total elimination of tangible/latent losses
in product, manufacturing and sales
Part III----Sustain minimum situation of actual losses

＋ prevention of new losses
QCD in R&D and D&PP(Pre Production) is the competitive

key-point

c Beef up and Up grading of the activities that generate added
value in all the company
Development activities for becoming World No. 1 in

an output indicator by industries
For example: ・Innovative new product development

・Innovative production system development

d Environmental and resource conservation activities
Considering the social responsibility of the companies regarding the

negative heritage that results of the materialist culture of the 20th century,
companies should take the initiative in resolving the above mentioned
subjects.
One of the provider decision making elements in the entrepreneurial

environment is becoming the existence of an environmental management
system.

d Environmental and resource conservation activities (cont’d)
The Direction in Part II

Further develop the environmental conservation activities
Reduce, Reuse, Recycle
will be the keywords for the activities starting at the
development/design stage.
This is a new competition scenario where the Environment is its
main axle and will without doubt become an important element
of “the conditions for a profitable company”

(3)TPM activities’ pillars
8 pillars of Part I (have to keep up)

＋ Creative TPM Activities
“Creative TPM activities” is a pillar that should be reflected
in the “consolidation of the conditions for a profitable
company” and built by each company.
AM, Planned(Effective) Maint., and QM

pillars can be integrated as production maintenance or
manufacturing maintenance. However, the audit will be done
for the 8 pillars.
Autonomous Maintenance Manufacturing Autonomous Maintenance

Planned Maintenance integrate maintenance Planned Maintenance
Quality Maintenance Quality Maintenance

(4)Tangible Effects
The indicators are basically the same as in Part II but, some

ideas are required to be able to recognize continuous efforts
through many years.
The new indicators for Part III should be established by the

company as well.
(For example; “capital efficiency” “World No. 1 index”)

6. Complementary explanations for Award challenge requirements
TPM Award in principle is to motivate TPM activities or in other

words, functioned as a milestone. TPM Award shows was
evaluated through the progress of the activities or the improvement
achieved.
Therefore, the mechanism works in such way that you cannot leap
and challenge the superior awards.
Continuity and efforts are strongly required.

TPM Part I（Award for TPM Excellence 1st Category）
Activity and Results of 3 years of TPM activities
TPM Part II（Special Award）

Activity and Results of 3 years of TPM activities after
receiving the Excellence award
TPM Part III（World Class Award）

Activity and Results of 3 years of TPM activities after
receiving thee Special award

Beyond the Special award, continuous efforts
throughout time are not considered enough, thus,
“TPM’s contribution level to company”
and
“the level of management itself”
will be evaluated.

Due to the above, the challenge requirements for TPM Award are
divided in two as follows:
a. Absolute conditions
Requirements that cannot be challenged unless satisfying the
criteria for “Years of activities” and “no leaping directly
to superior awards”
b. Guideline type requirements

“TPM’s contributions to company” and “the level of
management itself”

PRESS HERE TO
RETURN
Absolute requirements
Progress in AM and occurrence of serious accidents
（See details in the Manual for PM Awards）
Guideline type requirements

It is difficult to establish the same evaluation points and criteria
to different industries of various sizes, etc. thus, please refer to
the present text.

TPM Award Outline

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

TPM Award Outline

Uploaded by

Copyright:

Available Formats

1.

Evolution of TPM due to its expansion

TPM has claimed consistently that

However Getting unclear concept of loss

TPM Award Category Expanded

Copyright All Rights Reserved 2001 JIPM

Three big classifications of the

TPM Activity level ----- Challenge requirements

Confusion due to lack of clearness in the relation among the above

Copyright All Rights Reserved 2001 JIPM

・Further contribution to Business Management

Thus, clarifying the concept of the TPM Award

Copyright All Rights Reserved 2001 JIPM

Manufacturing company: Fabrication and Assembly

High Quality knowledge(知）: Effective strategy, policy and objectives

High Quality knowledge（知） Concept of TPM award

High Quality action （行） Challenging requirement for

Copyright All Rights Reserved 2001 JIPM

Expressed simply…..Ticket to Profit Making

Profit making … to eliminate the elements that hinder earning

The size of “the elements that hinder profit earnings” =

Copyright All Rights Reserved 2001 JIPM

TPM Excellence Award TPM Special Award TPM World Class Award

1. Further reinforcement and consolidation

Copyright All Rights Reserved 2001 JIPM

(1) Aim (Concept)

Equipment centered activities －“maximization of equipment efficiency”

Basic construction of reinforced plant constitution

a. Build up basic physical conditions that allow manufacturing

b. Beef-up QCD at the manufacturing sites

c. Product and equipment development control

d. Create a safe and happy working environment

Copyright All Rights Reserved 2001 JIPM

(1) Aim (Concept)

Paradigm shift from an era where

Copyright All Rights Reserved 2001 JIPM

a Further reinforce and secure the basic physical conditions of

b Establish QCD in the products, manufacturing and sales

Part I Loss reduction in the manufacturing site will be the

Part II Product, manufacturing and sales’ QCD will be

Copyright All Rights Reserved 2001 JIPM

d. Environment conservation activities

Copyright All Rights Reserved 2001 JIPM

Beef up and Up-grading of the 8 pillars

Have to build the “Epoch-making TPM activities” pillar

(4) Tangible Effects

Indicators such as “Sales proportion of new products” or ”Market

Copyright All Rights Reserved 2001 JIPM

“Establishment of the capacity to respond to the

・21st century market: Further instability conditions

Copyright All Rights Reserved 2001 JIPM

・Reduction of cash flow efficiency:

Copyright All Rights Reserved 2001 JIPM

Loss of time axle

Cost accruing point ＝ Profit making point

Shorten time lag between the above

Copyright All Rights Reserved 2001 JIPM

Improving production productivity (basis) →

Improving company productivity

Company productivity is the capacity to

Copyright All Rights Reserved 2001 JIPM

“Maximization of efficiency of the Invested Resources”

Maximization of efficiency of the invested resources---

World No. 1 in an industry index------

TPM　Excellence Award TPM Special Award TPM World Class Award