Work out setup time reduction saving instantly with clear inputs, formula shown and shareable results.
Setup reduction releases line time worth the internal cost of that capacity. Annual saving is minutes saved per changeover x changeovers a year x cost per minute of line time, where cost per minute should reflect contribution lost, not just labour, whenever the line is capacity-constrained.
Setup reduction saving
Minutes released = (current setup - target setup) x changeovers per year; saving = minutes x cost per minute
Only if the line is a constraint and the extra output can be sold. On a line with spare capacity the saving is limited to labour and consumables actually avoided.
Separate internal work that needs the machine stopped from external work that does not, convert internal to external, then simplify and standardise fixtures and fasteners. Most first-pass SMED projects cut setup by 50% or more with little capital.