OEE: realtime performance management
OEE stands for Overall Equipment Effectiveness, a percentage from 0 to 100% which indicates how a business or department uses its production line(s). Simply put, OEE shows how efficiently a specific machine is used. Preferably, the production process should run at maximum speed, without a loss of quality, faults or machine stops.
How is the OEE calculated
OEE is rendition, calculated as follows:
Number of good products manufactured in a specific timeframe divided by the theoretical possible output in that same timeframe
The theoretical output (Nameplate Capacity) of a machine is 1,000 pieces per hour. During an 8-hour shift this machine produces 3,200 items that are suitable for reselling. The OEE is 3,200/8,000 = 40%. In other words, during this shift, only 40% of the total available production capacity was realised. An OEE of 50% is not exceptional. If the OEE value is 45%, losses account for 55%. In order to make up for these losses, information on the losses suffered must be made available. This will allow for improvements to be made in the production process.es.
Improving your OEE
In order to improve your OEE, you need information about your losses. The six main losses are:
- Waiting for changeovers
- Technical faults
- Short stops
- Machines not running at full speed
- Rejected products
OEE = degree of availability * performance rate * quality level.
OEE = B/A * D/C * F/E
OEE improvement is a lucrative business. Just consider that with a 40% OEE (like the example mentioned above), a 5% improvement equals 12% more output with the same resources!
The potential for improvement is there, but how do you address it? That is where the so-called ‘improvement culture’ comes in. Identifying and measuring a problem is one thing, implementing changes is another. And it is precisely by making changes that the OEE can improve.
MyPlantFloor, your OEE software solution
Looking for an OEE software solution that also provides support for improvement methods such as TPM, SMED and Lean Manufacturing? MyPlantFloor combines automated collection and analysis of OEE data with real-time links between up-to-date production order data and OEE. The result is reliable data and a contribution to the improvement culture. The production management system can be used in virtually any industrial environment and can be extended with extra modules, e.g. for conversion time reduction, graphic planning and maintenance management. Contact us for more information and an obligation-free demonstration