Factory operating control
Build a Saleable Output Loss Tree
A loss tree starts from one time period and one line boundary, then converts rated opportunity into saleable product through scheduled time, planned stops, running time, speed loss, production quantity, rejects and quality disposition. Each branch needs a defined source rather than a borrowed benchmark.
01 · Buyer or factory inputs
Information the decision needs
- Defined line boundary and reference SKU
- Rated basis and scheduled production calendar
- Planned-stop categories and actual durations
- Run time, speed and count sources
- Reject, rework, hold and release records
- Consistent shift, day or campaign reporting period
02 · Operating objective
What completion should achieve
Explain where the nameplate-to-saleable-output gap occurs without double counting losses or hiding quality status.
03 · Required controls
Turn the objective into controlled work
- 01
Freeze one reporting period, SKU basis and line boundary
- 02
Separate unscheduled calendar time from scheduled production opportunity
- 03
Remove planned stops before calculating availability loss
- 04
Quantify running-speed loss against the documented reference condition
- 05
Reconcile produced units with rejects, holds and released saleable product
- 06
Keep unknown or unreconciled loss as a visible branch for investigation
04 · Factory interfaces
What connects to this decision
- Production plan to scheduled opportunity
- Machine counters to complete-line boundary
- Downtime codes to availability
- Quality status to saleable product
- Warehouse receipts to released count reconciliation
05 · Evidence to collect
Records that make review possible
- Versioned loss-tree definitions
- Source map for time, count and quality data
- Period reconciliation worksheet
- Unknown and adjustment register
- Improvement action linked to a specific branch
06 · Common failure modes
Do not confuse a pattern with a confirmed cause
1Losses use different time periods or SKU boundaries
2Rejects and quality holds are combined without status
3Planned stops are counted again as availability loss
4Theoretical factors are presented as achieved factory performance
07 · Responsibility boundary
Name who confirms each part
| Role | Possible responsibility in this stage |
|---|---|
| Operations owner | Defines the operating condition, assigns the record and confirms that actions fit the production plan. |
| Quality owner | Defines product-status, sampling, release and escalation controls within the factory system. |
| Maintenance owner | Confirms safe technical work, equipment condition, evidence and restart requirements. |
| Supplier / Allot Tech | Reviews the documented interface or symptom and coordinates project-specific questions within the agreed scope. |
08 · Completion criteria
Evidence that the stage can advance
- All branches share one period and boundary
- Time and quantity totals reconcile
- Saleable output follows an explicit release definition
- Unknowns are visible rather than allocated arbitrarily
- The factory can identify which loss branch needs evidence next
Decision support
Questions operating teams ask
Is a loss tree the same as OEE?
It can use related categories, but the factory must define its own boundaries, factors and saleable-product status before comparing results.
Why keep quality holds separate from rejects?
Held product may later be released, reworked or rejected, so its status and timing affect reconciliation.
Editorial responsibility: Allot Tech (Suzhou) Co., Ltd. · Last updated .