What is Overall Equipment Effectiveness (OEE)? Factors and Benefits of OEE?

 

OEE:

Overall Equipment Effectiveness (OEE) is a metric that identifies the percentage of planned production time that is truly productive. An OEE score of 100% represents perfect production: manufacturing only good parts, as fast as possible, with no down time.


OEE: Overall Equipment Effectiveness (OEE) is a metric that identifies the percentage of planned production time that is truly productive. An OEE score of 100% represents perfect production: manufacturing only good parts, as fast as possible, with no down time. OEE is calculated from three underlying factors: Availability, Performance, and Quality. Each of these factors represents a different perspective of how close your manufacturing process is to perfect production. OEE Factor Perfect Production Availability An Availability score of 100% means the process is always running during planned production time (it’s never down). Performance A Performance score of 100% means when the process is running it is running as fast as possible (at the theoretical maximum speed; each part at the Ideal Cycle Time). Quality A Quality score of 100% means there are no defects (only good parts are produced). Another way to look at the three factors is in terms of loss: · Availability Loss includes all events that stop planned production for an appreciable amount of time (usually several minutes). Exam- ples include equipment failures, unplanned maintenance, material shortages, and changeovers. · Performance Loss includes all factors that cause the process to operate at less than the maximum possible speed when running (including both slow cycles and small stops). Examples include machine wear, substandard materials, and misfeeds. · Quality Loss includes productivity lost from manufacturing parts that do not meet quality standards after the first pass (similar to the concept of first pass yield). This includes scrap and parts that require rework. BENEFITS: In the short term, OEE identifies the total opportunity for improvement (sometimes referred to as “uncovering the hidden factory”) for a given piece of equipment (or process). In the long term, OEE helps you drive improvement through a better understanding of losses. It also provides an objective way to set improve- ment targets and track progress towards reaching those targets.


OEE is calculated from three underlying factors:  Availability, Performance, and Quality. Each of these factors represents a different perspective of how close your manufacturing process is to perfect production.

 

OEE Factor

Perfect Production

Availability

An Availability score of 100% means the process is always running during planned production time (it’s never down).

Performance

A Performance score of 100% means when the process is running it is running as fast as possible (at the theoretical maximum speed; each part at the Ideal Cycle Time).

Quality

A Quality score of 100% means there are no defects (only good parts are produced).

 

Another way to look at the three factors is in terms of loss:

·         Availability Loss includes all events that stop planned production for an appreciable amount of time (usually several minutes). Exam- ples include equipment failures, unplanned maintenance, material shortages, and changeovers.

·         Performance Loss includes all factors that cause the process to operate at less than the maximum possible speed when running (including both slow cycles and small stops). Examples include machine wear, substandard materials, and misfeeds.

·         Quality Loss includes productivity lost from manufacturing parts that do not meet quality standards after the first pass (similar to the concept of first pass yield). This includes scrap and parts that require rework.

OEE: Overall Equipment Effectiveness (OEE) is a metric that identifies the percentage of planned production time that is truly productive. An OEE score of 100% represents perfect production: manufacturing only good parts, as fast as possible, with no down time. OEE is calculated from three underlying factors: Availability, Performance, and Quality. Each of these factors represents a different perspective of how close your manufacturing process is to perfect production. OEE Factor Perfect Production Availability An Availability score of 100% means the process is always running during planned production time (it’s never down). Performance A Performance score of 100% means when the process is running it is running as fast as possible (at the theoretical maximum speed; each part at the Ideal Cycle Time). Quality A Quality score of 100% means there are no defects (only good parts are produced). Another way to look at the three factors is in terms of loss: · Availability Loss includes all events that stop planned production for an appreciable amount of time (usually several minutes). Exam- ples include equipment failures, unplanned maintenance, material shortages, and changeovers. · Performance Loss includes all factors that cause the process to operate at less than the maximum possible speed when running (including both slow cycles and small stops). Examples include machine wear, substandard materials, and misfeeds. · Quality Loss includes productivity lost from manufacturing parts that do not meet quality standards after the first pass (similar to the concept of first pass yield). This includes scrap and parts that require rework. BENEFITS: In the short term, OEE identifies the total opportunity for improvement (sometimes referred to as “uncovering the hidden factory”) for a given piece of equipment (or process). In the long term, OEE helps you drive improvement through a better understanding of losses. It also provides an objective way to set improve- ment targets and track progress towards reaching those targets.


 

BENEFITS:

In the short term, OEE identifies the total opportunity for improvement (sometimes referred to as “uncovering the hidden factory”) for a given piece of equipment (or process).

In the long term, OEE helps you drive improvement through a better understanding of losses. It also provides an objective way to set improve- ment targets and track progress towards reaching those targets.

 

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