The 7 deadly sins of Overall Equipment Effectiveness (OEE)
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- Phyllis Young
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1 The 7 deadly sins of Overall Equipment Effectiveness (OEE)
2 Avoiding the pitfalls Overall Equipment Effectiveness (OEE) is an effective methodology to help improve the productivity of manufacturing processes and accurately measure true plant productivity. Its measurable components are availability, performance and quality. Having an automated OEE system can provide accurate data which can highlight significant production improvement opportunities. However, OEE can be complex and there are some pitfalls you should avoid to ensure that your expectations are met and that a rapid Return On Investment (ROI) is achieved. Explore the 7 deadly sins of OEE
3 1. OEE projects are technology projects
4 OEE improvement is about people, culture and attitude. Assuming that an OEE project is a technical/it project can be a big mistake. Clearly, technology plays a key part with any automated OEE solution, but that doesn t make it a technical project.
5 All too often, OEE projects quickly lose the focus of what the primary financial business goals were (reduce scrap, reduce short stoppages, improve lead times), and quickly take on a local agenda (must run in the cloud, must run on a virtual machine, must capture every alarm). When this happens, the project loses momentum, and realisation of the original requirements becomes less likely. Focus on primary business goals
6 2. OEE software is the solution
7 Assuming that investment in the technology alone is the solution, is a big mistake. An automated OEE system is only part of the story. If you do not have a culture of continuous improvement and don t have the resources to invest in improving the system will ultimately be nothing more than an expensive recording system which will fall by the wayside. OEE works hand in hand with continuous improvement
8 OEE is an effective business performance tool which aims to provide real-time accurate information about the manufacturing process as a whole. A software solution that measures OEE can tell us most of the information we need and where the opportunities for improvement are, however it does lack depth. For example, the software can tell you that the machine was stopped for 32 seconds because the emergency stop button was pressed, but only the operator can tell you why they pressed it. There has to be balance struck between automatic data capture and human input.
9 3. Complexity
10 Keep it simple Understand what you would like to achieve in the short, medium and long term, and what is actually needed to achieve your short term needs. Keep your criteria simple and constrained to a meet a minimal set of requirements.
11 Identify your needs Don t look for the end of the rainbow on day one, you will be disappointed. Automated OEE software solutions can be very sophisticated but don t let opportunity for sophistication distract you from a minimal set of needs which promote performance improvement.
12 100% of Cimlogic s projects deliver ROI within 12 months, some take only six. As long as there is cultural buy-in from within the organisation an automated system will assist you in reducing downtime, increasing production, improving quality and reducing waste. The effect an automated OEE system can make to production will vary from plant to plant, but even with only a slight improvement in OEE, the difference this can make over time is significant.
13 4. Unrealistic Expectations
14 Be patient You may learn or be aware that your OEE is just 30%, and expect that the implementation of an automated solution will improve this figure by 10, 20 or 30 points in just a few weeks. It is excellent if you do this, but sustained improvements take time, and are a collection of small progressive steps.
15 5. Skipping a proper trial
16 You wouldn t buy a pair of shoes without trying them on Failure to trial a system, means potentially underestimating the time investment and challenges of collecting automated production data, both technically and culturally. Ultimately this may result in your cash investment not reaping the ROI you would expect.
17 If you are unfamiliar with the journey ahead doing a trial is a critical step in understanding what systems will and won t do, how enthused your operators are, how responsive the suppliers are, how good the technology is and how meaningful the data is.
18 6. Failure to get buy-in
19 Bring the sceptics on board There are plenty of sceptics in the field of OEE and automated data collection. Some operators will fear they are being watched and monitored, managers may feel they are being scrutinised, factories may feel under threat from head office.
20 Everyone needs to own OEE for it to be successful There has to be carrot as well as stick. The upside of improvement has to be understood and believed by all. Failure to do this means operators will not enter the data correctly, managers will not trust the numbers, the system will not have an owner, and it will not be the focal tool for measuring and driving improvement.
21 7. Selecting the wrong provider
22 It has to be more than just a buyer and a seller Collaborate with your chosen solution provider to understand the reality of ROI and the wider project journey. Develop a partnership between yourselves and the vendor, not a transactional interaction between a buyer and seller.
23 Manufacturing Improvement Solutions If like us, you would prefer to avoid unnecessary pitfalls and follow a path which leads to measurable and sustainable improvement, then please contact us. We are here to help you. enquiries@cimlogic.co.uk Cimlogic Cimlogic
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