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OEE (overall equipment effectiveness) drives improvements in manufacturing efficiency. By monitoring and addressing key waste areas, lost production time can be turned into profits. Many companies have yet to realize bottom line improvements by addressing OEE. With the advent of browser-based manufacturing software applications, it is now easier than ever before. Equipment downtime can be easily monitored, recorded and reported to allow management to effectively address the areas which need the most improvement. Defects and scrap can be tracked accurately. An accurate picture of OEE can also help companies make appropriate equipment purchasing decisions. Downtime losses typically come from equipment availability, performance rate and quality rate.
Typical losses include:'
Availability
• Planned downtime
• Set up time
• Unplanned recorded downtime or breakdowns
Performance Rate
• Reduced speed
• Minor unrecorded stoppages
Quality Rate
• Rejects
• Rework
• Yield and start up losses
The Tuppas Blog offers a nice article on OEE Calculations that you might want to check out if you're looking for more info. It explains the calculation and reviews different ways to assemble the data.
There is a formula for calculating the OEE of a piece of equipment. But you do have to know the machine's availability, performance rate and quality rate to use it.
Example: 50% Availability (0.5) X 70% Performance Rate (0.7) X 20% Quality Reject Rate (results in 80%(0.8) acceptable) = 30%OEE
More attention paid to improving equipment productivity can help manufacturers become leaner and improve bottom line profits to allow for competition with overseas manufacturing. A good place to start monitoring productivity is at a bottleneck. Using OEM production rates, accounting for change-overs, planned downtime and unscheduled downtime, manufacturers can benchmark the productivity of their machines and processes. The idea is to then leverage this information to make improvements in the processes or the equipment.
How to leverage OEE data to improve production'
Few vendors specialize in software for manufacturing which helps manufacturers utilize productivity data to improve their processes and ultimately their bottom line. Configurable browser-based applications are the ultimate solution for collecting and reporting production data, due to a number of advantages:
Scalability. Can be used at any size plant and multiple plants with anywhere access.
Real time availability. Gathers, summarizes and presents plant floor data in real time.
Integration. Can be integrated with almost any data source.
Export data to other systems. Browser-based software systems can export data for use in other enterprise-wide systems such as supply chain management or Enterprise Resource Planning (ERP).
Flexibility. Customizable reporting structure allows for viewing the data a manufacturer wants to see.
Easy to use interfaces. Employees log occurrences with an easy to use interface or automation can be used to gather data.
Quick implementation. Since these applications are browser-based, there is no installation process at individual computer work stations. This allows for easy upgrades and modifications as well as decreases IT and computer equipment costs. The software can be located on internal or external servers.
Rapid configurability. Entry screens and reports are built on an object oriented structure which allows changes to be implemented in a fraction of the time required by conventional systems.
Data Push. This is the ability to warn plant management in real time that production problems are occurring on the floor. The software can send auto email or text messages to the appropriate management personnel. This enables staff to become proactive instead of reactive.
These browser-based applications allow for so much more flexibility, lower cost of ownership and such a shorter time to implementation that its hard to believe that they have a much lower Total Cost of Ownership than their old legacy system counterparts. As global competition in the manufacturing arena increases, and the economy becomes even more challenging for manufacturing SMEs, (small to medium enterprise), an increasing number will no doubt be turning to browser-based systems which help improve efficiency and ultimately, the bottom line.