Page 36 - TPM A Route to World-Class Performance

2

Assessing the true costs and

benefits of TPM

The justification of expenditure is a rational management activity and, in an
ideal world, all choices would be made directly by comparing cost and benefit.
In reality, many important decisions are made on gut feeling because
information is not available or the options are so complex that the benefits
are uncertain.
One of the underlying strengths of TPM is its ability to reduce complexity
and provide the route towards systematic decision making (see Figure 2.1).
Early problem detection and resolution through self-managed teams also
helps reduce the volume of matters requiring management attention - providing
management with time to manage. The benefits can be significant (see Table 2.1).
Experience shows that such benefits are delivered progressively with wider
involvement of personnel (see Figure 2.2). Despite such evidence, many
continuous improvement programmes involve only a small percentage of
the workforce in anything other than implementation activities.

1. Systematic decision

< 20% firefighting

2 Expenence/gut
feel review 60%

Figure 2.1 Potential decision styles