Are we all familiar with O.E.E?
Are we all familiar with O.E.E? (Overall Equipment Effectiveness).
It is the best, most honest measure of how efficiently we run and maintain our facility, so why don’t we all use it? And when we do why don’t we accept the scores we get and find ways to bend the numbers?
O.E.E. is the product of three other measures:
% Availability – If we run a factory which is staffed 40 hours a week, then lets call the plant available for 40 hours. If we CAN’T run for any reason (shortage of labour, breakdown, planned maintenance) then lets capture that here.
% Productivity – If our plant can produce 5000 units/hour and we are running slowly for some reason then ensure that is accounted for here.
% Quality – it is no good making poor quality product quickly! Ensure all quality defects are measured in this score.
Be careful not to double score yourself.
If you make 100 units in an hour and this is the maximum productivity of your plant then % productivity =100%. However if 10% of these units are ‘not fit for purpose’ then adjust your quality figure (=90%). DO NOT then adjust your productivity figure to 90% as well!!!
So what then?
The O.E.E. Score can then be recorded and improved performance measured.
Root Cause Analysis on the areas where you have marked yourself down in relation to O.E.E. will show you where you need to focus you improvement activities.
So all simple enough.
Report your O.E.E. score with pride, and drive to improve it!