Short for “Overall Equipment Effectiveness,” OEE is a very simple process with very big implications for your business. Measured on a scale of 0% to 100%, OEE identifies the percentage of all manufacturing time that is truly productive in the ways that you need. If you’re able to hit that coveted 100% score, it means that you’re only manufacturing A) top quality parts, B) as quickly as possible, C) with absolutely no stop time to speak of.
Therefore, to truly make the most of your OEE efforts, there are a few key metrics you’ll want to keep a watchful eye on.
Measuring OEE, Measuring Your Business
One of the most important metrics that you should always pay attention to when calculating OEE is availability. This refers to the total amount of time that a machine (or a production line) is ACTUALLY producing parts, versus the amount of time that it is scheduled to be in operation. Watching this metric can give you insight into things like equipment failures or breakdowns, the amount of time it takes to setup machines and adjust them, the amount of time your machines spend idling or dealing with minor stoppages and more.
This segues into a related metric: performance. This looks at the speed at which parts are being produced during a given run. Naturally, the more parts you’re able to produce during a specific period of time, the higher your percentage here will be. Some of the major things that can negatively impact things to that end include reduced speed of operation due to equipment or human issues, machine idling and even minor stoppages.
Another metric you’ll definitely want to monitor over the long-term is quality – an idea that is a fair bit more complicated than most people give it credit for. This metric refers to the percentage of good parts that you’re producing out of the total parts that are produced in a given period. The more parts you reject during a production run, the lower your score here will be. Some of the most common reasons for low quality scores often include but are not limited to things like process defects and reduced yield.
Keep in mind that while an OEE score of 100% means that you’re doing everything perfectly, this is also not necessarily a realistic goal. Most manufacturers consider an OEE score of about 85% to be “best in class” – meaning that this is the real goal that you should be striving for. You can use employee monitoring tools to get a clear picture of how much time your employees are investing on their work while they are at office.
If you’d like to find out more information about all of the most important metrics to monitor when calculating OEE, or if you’d just like to discuss how downtime tracking might fit into your business with someone in a bit more detail, please don’t delay – contact your friends at Thrive today.