Equipment Productivity Monitoring System


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What is OEE

OEE stands for Overall Equipment Efficiency and is a key measurement in a lean manufacturing implementation. It was developed by Seiichi Nakajima in the 1960's as a hierarchy of metrics based on Harrington Emerson's philosophy on labour efficiency. It evaluates and indicates the efficiency of the manufacturing floor. Today OEE is the Standard Measurement Index used by leading manufacturers worldwide.

Measuring and Tracking the Overall Equipment Effectiveness is crucial in your efforts to reduce equipment and process related wastages.

The High Level formula for OEE is:


OEE = Availability x Performance x Quality


    Availability: Actual vs Planned Production Time


  • Equipment Setup
  • Major Equipment breakdowns



    Performance


  • Represents the speed loss
  • Any factor that causes the process to operate at less than the maximum possible speed
  • Eg: operator inefficiency, downtime due to machine failure or material quality



    Quality


  • Quality Loss for produced pieces that do not meet quality standards
  • Reworks that is required.