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What is the Meaning of OEE? (Overall Equipment Effectiveness Meaning)

There are three parameters for Overall Outfit Effectiveness) monitoring– What is OEE?

  1. Availability,
  2. Performance
  3. Quality

What is OEE ( Overall Equipment  Effectiveness)?

  • OEE ( Overall Equipment Effectiveness) is an indicator to judge product run in terms of machine Productivity, product rate & quality rate of the product.
  • For TPM ( Total Productive Conservation) and Spare Manufacturing programs, OEE is a key metric.
  • It’s an important specific of capacity planning, material planning, and other resource planning.
  • OEE is also popularly known as TEEP ( Total Effective Equipment Performance).
  • Overall Equipment Effectiveness is a Spare Manufacturing Tool
What is OEE
Overall Equipment Effectiveness – OEE

What’s the Availability rate?

  • Availability failure,
  • Material deficit,
  • Redundant change over timing, etc.

What is the Performance Rate?

  • Performance shows the redundant time taken for manufacturing as compared to standard operating timing.
  • The performance takes into account Speed Losses.
  • Speed Losses include any factor that leads to operating a product with further cycle time than the maximum admissible.

Exemplifications of performance losses

  • Low speed of job loading/ unloading,
  • Fatigue of the driver,
  • Redundant cycle time in homemade work, etc.

What’s Quality Rate in OEE?

  • Quality shows the Good Quality of the Product
  • It takes into account the losses ( loss due to the manufacturing of a bad part).
  • Quality loss can only be present due to the manufacturing of an imperfect part or non-conforming part.

Read More :

  1. Top Lean Tools
  2. VSM
  3. Kanban
  4. JIT
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