Today I will talk about “OEE” or Overall Equipment Effectiveness

As we all understand, OEE is a powerful metric which takes into account various components of the manufacturing process such as Availability, Performance, and Quality, and provides a snapshot of the production effectiveness. However, some salient points are often missed by manufacturers and especially by #Industry40 solution providers.

  • First and foremost, everybody within an organization needs to have a universal definition of OEE. Right? Only partially. Conceptually everyone must have same definition of OEE. However, method of calculation changes depending on type of machines and type of work done.
  • OEE values are affected by how losses are categorized by the organization
  • OEE is not the measure of absolute performance, but it is a good measure as to how effectively you are using your assets and where is the scope for improvement
  • Rather than real-time OEE numbers, manufacturers should focus on OEE over a period of time and along with various other parameters
  • OEE improvements don’t happen overnight, but need sustained Plan-Do-Check-Act (PDCA) cycles
  • Looking forward to your comments, disagreements, and experiences of monitoring OEE