EFFECT OF OVERALL EQUIPMENT EFFECTIVENESS IMPROVEMENT OF CORRUGATING MACHINE USING TOTAL QUALITY MANAGEMENT ON CARBON FOOTPRINT OF CORRUGATED BOARD.

Abstract

Environmental friendly production is an emerging trend in industrial production. Enhancing environmental protection and ensuring company’s profitability have gained great attention from manufacturers. The application of Overall Equipment Effectiveness (OEE) using Total Quality Management (TQM) to reflect efficiency of production has been widely implemented in the manufacturing process. However, the full advantage of OEE using TQM techniques as a measure to simultaneously facilitate reduction of carbon dioxide (CO2) emissions and to sustain the existing profitability has not been utilized. This study aimed to investigate the application of OEE using TQM techniques to improve the manufacturing process of corrugated board production using two indicators including CO2 emission and profitability. The research showed a model of measuring OEE, CO2 emission and Profitability. The proposed model was a useful tool in predicting Carbon Footprint (CFP) and Profitability when improving OEE. The experiment was done in Vietnam. The tendency of OEE, CFP and Profitability was similar in both experiments. It suggested that the corrugating machines should have the same conditions. In Vietnam, nowadays there are over 90% of second hand corrugating machines used in corrugated box industry. The study clearly demonstrated the relationship between OEE and CFP and Profitability of corrugated paper producers in that when improving OEE, CFP would decrease and Profitability would increase. The TQM techniques used in this study were one of the suggestions for improving OEE.