Many companies in this competitive era are trying to increase productivity and effectiveness by reducing waste and losses in terms of production. So does PT DEX, a leading snack food company in Indonesia. This study aims to obtain the best improvement strategy to increase the effectiveness of the KWSM-3&4 machine in the Atom Nut Division of PT DEX. Efforts to improve were made by measuring machine effectiveness using Overall Equipment Effectiveness (OEE). By applying OEE, the machine effectiveness level parameters will be found. To find the cause of the level of effectiveness of the machine, it will measure the six big losses to determine the critical loss of the problem. Determination of critical losses aims to focus on essential areas of performance that cause the losses. An analysis of the cause of problems and the risk of failure was carried out through a cause-effect diagram and Failure Mode and Analysis (FMEA). These steps determine the causes and potential failures of the proposed corrective measures to minimize the failure. The company will take the best step of the several proposed improvements to require appropriate and effective decision-making. The decision-making used in this research is the Fuzzy Analytical Hierarchy Process (FAHP). The study found that optimization of production planning and control highly affects the performance of production machines.

Keywords: OEE, Critical losses, Six Big Losses, Critical Performance Area, FMEA, FAHP