OEE is an indicator that represents the percentage of time in which a facility should produce quality parts, compared to the time it took to do so
Provides a measure of actual equipment productivity compared to ideal productivity, over a specified period of time
The difference between the actual and the ideal manufacturing time is TIME OF NO VALUE ADDED OR WASTE and should be eliminated or reduced as much as possible
The Overall Equipment Effectiveness (OEE) principle is applied to maximize productivity in three areas:
- AVAILABILITY: The percentage of actual operating time compared to the potential operating time
- PERFORMANCE: The percentage of the actual production generated with the total expected production
- QUALITY: The percentage of the production without defects compared to the actual production generated
OEE = Availability x Performance x Quality
We must take into account that OEE (present in a machine, line or a complete staff of workers) is only an indicator that marks the effectiveness of the production equipment.
Therefore, this indicator alone will not help improve productivity and efficiency. It has to be combined with as detailed as possible record of inefficiency causes and the realization of an improvement action plan.
Another important aspect of OEE is the three points of view it offers. By controlling the three OEE coefficients (Availability, Performance and Quality), it allows an improvement team to find the optimum value for each of the components.
For example, people who don't know how the equipment works tend to force performance and this can lead to quality problems. Development is achieved, but quality is lost. By reducing performance a bit, quality may improve, resulting in a better OEE and production.
If the improvement team ceases to review the causes of downtime, the plant would revert to a more chaotic state and the OEE would be reduced again.
OEE supervision and maintenance improvement program must be part of the company's philosophy so that it can become part of the privileged companies that achieve high levels of effectiveness.