Overall equipment effectiveness measures the effectiveness or productivity of a machine tool or other production system. It quantifies the percentage of manufacturing time spent being truly productive. A manufacturer that scores 100% OEE means that they are only producing 100% quality parts, at 100% performance with 100% availability.
OEE is a critically powerful metric. It captures the availability of your machine tools, their speed of production, and the number of products manufactured to the right specifications. It also enables operators to make corrective decisions speedily, increasing production efficiency and reducing the number of defective parts.
OEE Calculation
Your entire production is dependent on the effectiveness of your equipment. One slow performing stream will drag back the entire operation. This weighs down profitability, compliance, employee safety, and machine uptime.
The only way to improve production practices is by consistently reporting key performance indicators. This begins by standardising equipment performance metrics.
OEE can be calculated as:
OEE= Availability x Performance x Quality
Availability= Operating Time / Available time
The availability of a machine is measured by the percentage of time it was running, in comparison to the available or specified time. For instance, if a machine was available for 10 hours but was only running for 8 hours then availability would be 80% (8/10). The two hours lost are considered as downtime or setup time.
Performance= Total Production / (Target Production Rate x Operating Time)
Performance quantifies the running speed of operations in comparison to maximum capability. For instance, if a machine produced 700 pieces an hour but its capability is 1000, performance would be 70% (700/1000). If the factory where to take an order while specifications could only be produced at say 500 pieces an hour, this would negatively impact OEE. However, 1000 (capability per hour) would be used the measure for OEE.
Quality= Good Production / Total Production
Quality compares the accurate parts to the total number of parts produced. If there were 1000 parts made, and only 900 were up to specification, then quality would be 90% (900/1000).
Keeping detailed reports of equipment utilisation and production performance data allows engineers to diagnose the root cause of capacity issues. This makes it a lot easier to determine areas that require continuous improvement.
OEE analysis by MTT machine tool technology consultants
MTT experts can now carry out OEE analysis with the help of digital tech such as cloud computing and smart devices. Automated capturing of production data and recording of equipment downtime produces more accurate than manual data collection.
Having access to real time performance measures allows MTT’s OEE analysis consultants to give stakeholders actionable information and advice. This contributes to reduced machine tool downtime, increased operational efficiency, and profitable manufacturing operations.
OEE analysis by MTT machine tool consultants has resulted in gains such as improved OEE, reduced manufacturing costs, improved production quality, and improved equipment uptime.
Overall Equipment Effectiveness
OEE is an important way of communicating improvement opportunities to operators, engineers, maintenance technicians, management, and even sales representatives. As part of LEAN manufacturing tools, it can create value by eliminating waste.
MTT machine tool consultants have successfully combined OEE with relevant tools. This is part of an integrated approach to produce significant improvements in performance.
Increase productivity using OEE with the help of MTT consultants
If you are interested in achieving accurate points of control that are close to the source, contact Machine Tool Technologies. We measure availability, performance, and quality at the machine in real time to give you accurate results.
OEE that is managed in real-time gives you greater control to implement continuous improvement strategies as well as increase scales of profitability and efficiency.
