From total interest payments for a loan to how much longer you can expect to live, you can find an online calculator for almost anything that can be quantified, and many things that can’t. There’s even a calculator on a Swedish manufacturing website for estimating ROI from total productive maintenance (TPM) and lean manufacturing.

To estimate the return on investment of your TPM or Lean Manufacturing project, first calculate the current OEE (i.e., today). Next estimate how OEE will increase over the years, and then exchange the default values in this form. All figures in millions of dollars.

Applying 5S in year 1, TPM in year 2, kaizen in year 3, and so on, the sample posits an Overall Equipment Effectiveness (OEE) increase of 5% per year (from 50% to 85%). Any productivity gains are applied to boost output and sales. With a cost payback of less than one year, the net …. Continue reading Lean ROI Calculator: If Only It Was So Easy