SMED (Single-Minute Exchange of Die): Definition & Benefits in 2025

In modern manufacturing, efficiency is crucial for staying competitive. Single-Minute Exchange of Die (SMED) is a lean technique that reduces machine setup times, enabling production changes to occur in minutes instead of hours.

Research by McKinsey indicates that companies implementing lean methods, such as SMED, can increase productivity by 30% and reduce production time by more than 50%. This proves that faster setup is not only about saving time, but it also strengthens profitability and agility.

For manufacturers in Singapore and across the region, technology has become an enabler for adopting SMED more effectively. Solutions like HashMicro Manufacturing Software help businesses streamline production processes, minimize downtime, and enhance overall efficiency.

With the basics in mind, let’s dive deeper into how SMED works and explore the benefits it brings to modern manufacturing in 2025.

What is SMED?

SMED (Single-Minute Exchange of Die) is a lean manufacturing method that focuses on reducing machine setup or changeover time. It works by simplifying and separating internal and external setup tasks, allowing production shifts to be completed in under ten minutes.

Shigeo Shingo, a pioneer of lean production, first introduced this concept. The main idea is to identify which setup tasks can be performed while the machine is still running (external) and which must be done when the machine is stopped (internal), then reorganize them to minimize downtime.

By applying SMED, manufacturers can achieve faster product changeovers, greater flexibility, and lower production costs. It also enables companies to respond quickly to customer demand and produce in smaller batch sizes without sacrificing efficiency.

What are The Benefits of SMED?

Applying SMED is not just about saving setup time; it also creates broader impacts on efficiency, flexibility, and profitability. Here are the key benefits:

1. Reduced downtime

A shorter setup allows machines to resume production quickly, reducing long idle times. As a result, factories can produce more within the same working hours and maximize return on equipment investments.

2. Greater flexibility

Faster changeovers facilitate the handling of multiple product types within a single facility. This enables companies to accept varied or smaller orders, adjust production schedules, and remain competitive in dynamic markets.

3. Lower operating costs

Efficient setups reduce wasted labor, energy, and materials during transitions. Over time, this reduces expenses related to overtime, excess inventory, and unplanned machine maintenance, while maintaining smooth workflows.

4. Improved quality control

Standardized procedures create more reliable and accurate changeovers. This minimizes defects, rework, and scrap rates, ensuring products consistently meet quality standards and enhancing customer trust.

5. Higher profitability

When downtime is minimized and costs are controlled, businesses achieve faster delivery, leaner operations, and greater efficiency. These improvements enhance competitiveness and contribute to sustained long-term profit growth.

What are The Key Steps in the SMED Process?

Implementing SMED requires a structured approach to ensure that setup time is reduced effectively. Here are the key steps in the process:

1. Identify the setup process

Start by observing and documenting the entire changeover sequence. This helps reveal every activity involved and highlight where time is being wasted.

2. Separate internal and external tasks

Classify tasks into two groups: internal tasks (done while the machine is stopped) and external tasks (done while the machine is running). This separation is the foundation of SMED.

3. Convert internal to external tasks

Reorganize activities so that as many tasks as possible can be completed externally. For example, preparing tools or materials in advance can significantly reduce downtime.

4. Streamline and simplify

Eliminate unnecessary steps, utilize standardized procedures, and employ quick-release mechanisms or specialized tools to streamline remaining internal tasks and make them faster and easier.

5. Standardize and sustain

Once improvements are in place, create clear guidelines, train operators, and ensure consistent application. Continuous monitoring will help maintain and refine the gains over time.

SMED Example

SMED can be applied across different industries, not only in large-scale factories. Here are a few examples:

1. For manufacturing

In automotive plants, changing stamping dies used to take several hours, resulting in lengthy downtime. 

By applying SMED preparing tools in advance, using quick clamps, and standardizing alignment, manufacturers like Toyota reduced die changeover times to under 10 minutes. This allowed smaller batch production and supported Just-In-Time practices.

2. For food & beverage

In a restaurant or beverage facility, switching from one menu item or drink flavor to another often requires cleaning equipment, adjusting settings, and restocking ingredients. 

With SMED, many of these tasks (like ingredient preparation and equipment setup) are done beforehand, minimizing machine idle time and ensuring faster service during peak hours.

3. For electronics

Electronics manufacturers frequently shift between different product models or circuit board designs. 

SMED helps by organizing tooling, pre-setting components, and automating testing setups. This reduces downtime and enables a high variety of products without compromising efficiency.

These examples demonstrate how SMED extends beyond traditional factories. It’s a versatile method that benefits any operation requiring frequent changeovers.

Conclusions

SMED (Single-Minute Exchange of Die) is a lean manufacturing method designed to reduce setup and changeover times, thereby increasing production speed and efficiency. 

Its benefits include reduced downtime, greater flexibility, lower operating costs, improved quality, and ultimately higher profitability across industries.

To maximize these advantages, businesses can leverage HashMicro Manufacturing Software, which streamlines production, reduces errors, and supports lean practices, such as SMED, with ease.

Ready to transform your manufacturing process? Book a free demo with HashMicro today and see how SMED and automation can take your business to the next level.

FAQ About SMED

• What is the concept of SMED?

  SMED, short for Single-Minute Exchange of Die, is a method used to minimize setup or changeover time. The approach focuses on spotting and removing nonessential steps in the process. Since equipment replacement in manufacturing often causes delays, reducing changeover time helps prevent costly and unplanned downtime.

• What are the three stages of SMED?

  SMED is implemented in three stages: Separate external tasks that can be done while machines run, Convert internal tasks into external ones where possible, and Streamline the remaining steps to make changeovers faster and more efficient.

• What is the difference between SMED and JIT?

  SMED allows manufacturers to run smaller batch sizes and keep inventory low, making production schedules more efficient and aligned with Just-in-Time (JIT) practices. This approach cuts storage expenses, reduces the risk of outdated stock, and creates a more agile and cost-effective production system.