Using OEE to Improve Production

Adrian PaskVorne Industries

Straw poll

• Everyone raise a hand in the air

• Put your hand down if you DON’T know about OEE

• Put your hand down if you DON’T measure OEE in your plant

Catch up on OEE

• OEE – highly documented measure for identifying loss

• OEE Pocket Guides

• How can you use OEE to improve production?

What is OEE about?

• It’s not about the score !!

• It’s about the losses:– Availability– Performance– Quality

• Improving OEE = taking action to reduce loss at each level of your business

85%

Using Data

• The value of Information is in how it’s used

• Many sites track OEE, cases, downtime, output, productivity, yield, etc etc

• If you don’t use the data to make decisions and to take action – what is it worth?

OEE and sustainable improvement

• Why do most factories audit for Quality, Safety, and Housekeeping?

• Why do very few factories audit how effectively teams improve Output (of which OEE is a measure)?

Audit your OEE improvement process

• What would be the impact to your business if you created standard work for improving output based on OEE?

• All of your managers and sites would work to improve output the same way.

Process for improving OEE

• IF you Act you get Results

I = InformationF = FocusA = Effective Actions

I x F x A = ResultsOriginally developed by our UK Partner, OptimumFX.

What do we want?

A standard business process based on:•Information:

– A foundation of accurate, automated performance data that identifies all losses to OEE

•Focus:– Robust management review meetings that prioritize losses and

identify countermeasures at every level in the organization

•Actions:– Apply countermeasures that directly affect these losses

Breaking the vision down

What OEE Information is needed by:

-Operators-Supervisors-Managers-Directors

To identify losses in a meaningful time period?

How do we Focus to set priorities:

-What time period-How frequently-What questions-What is the process?

To identify priorities and assign resources for action?

How do we take Action for:

-Quick fixes -Long term fixes-Using right lean tools?-Evaluate effectiveness-Start/Stop projects

To close out losses as they occur and prevent re-occurrence?

In real life• As an Operator:

– I use OEE in real time to run my machine to standard – alarms if running slow or off target– I look for my top loss every hour to identify a quick fix

• As a Supervisor– I use OEE every 4 hours and at every shift handover– I look for improvements my team can make during the next 4 hours, training needs, and tasks

for my engineering support team

• As a Manager– I use OEE in every morning meeting and shift change– I look for improvement projects and training opportunities across my teams

• As a Director– I use OEE every month in a strategic review– I look to start/stop improvement initiatives and to identify CAPEX investment needs

Use simple audits to check progress

Information Focus Actions

Why do I want to do this?

• Manage and measure the inputs and the results are guaranteed

• Your inputs = Information , Focus, Actions

• Your output = Sustainable OEE (RESULTS)

What does this mean?

• Let go of the need to measure and compare OEE score

• Measure and compare scores for:– The quality of your information– The effectiveness of your focus process– The effectiveness of your actions

• An improved OEE will be an output of an effective improvement process

Improving production with OEE

How do we use OEE to improve production?

1.Accurately identify losses using Information

2.Create processes for people to Focus on the losses and identify priorities

3.Systematically complete effective Actions to based on the losses

In three easy steps

• Step 1:– Get good quality automated accurate information– Train teams on what their data means for them

• Step 2:– Engage line teams to drive quick shift-level actions based on the information – Build the information into existing daily and weekly reviews– Review and score all daily reviews for effectiveness

• Step 3:– Trigger targeted improvement projects based on your top losses (e.g. SMED)– Use Loss data to create a strategic improvement plan