What's the best way to calculate OEE for your machines?

This definition of OEE is incorrect but it is an easy confusion, and OEE is, in fact, a metric that is too complicated to be of much use. It’s not the ratio of actual to potential output. A machine that can process 400 units/shift has a daily potential of 1200 units/day. If, however, only 800 units/day are required, its OEE is 100% if it makes 800 good units in two shifts/day, 400 units short of its potential.

A basic and proven method of tracking and maintaining performance improvement. OEE is an organizational way of achieving shared cross functional success and results that leads to overall improvement culture.

Depends what your using this measure for and in what circumstance as to wether it’s a worthwhile measure or not. For example if your using it to compare identical machines operating in identical situations then maybe it’s ok. If your using it to drive improvement then your first action would be to look at the component parts of the measure to decide your priority for action. In that case why combine the measure in the first place? Much better methods are possible in this case.

You lost me when you said "Lean". OEE includes availability, when lean (aka TPS not the fake one) is against over production, just what is needed when it is needed, in such case availability of equipement in terms of maximization is irrelevant, just linked to real orders AND NOTHING ELSE. both are interesting just the true north is about not thinking that they are directly related. Just drilling down

I think this definition is not correct…, Availability only excludes planned downtime, unplanned affects. However, we should analyze deeply this comment, planned downtime cannot be considered than in case machine is not working you replace the product in other machine. First one must still being in unplanned downtime.

The method described above is the long way to calculate it. There’s a much quicker way. OEE = good pcs / maximum target pieces. Or OEE = effective time / scheduled available time. There is value in both the short way and long way depending on what you’re trying to do. If you’d like to understand that better, shoot me a message and I’ll point you to a great video explaining that.

Based on experience, it’ worth remembering that OEE is a holistic metric that provides insights into the overall efficiency of your machinery and processes, but It's important to understand and consider the nuances of your specific operations and adapt the calculation methodology as needed.

I recomend you calculate that time the company pay for, some countrys do not pay for breaks, and if you dont pay not include the Av time! It could impact the efficiency but then you have to take decisions to run the machine over breaks with other crew

In addition to Michel Baudin’s commentary from the Takt Time group, OEE tends to be a lagging indicator that rarely drives behavior. Also, it lacks scheduling waste, like starved supply and holidays. Should you want an OEE-like metric, use TEEP.

Those general benchmarks are useless. Stick to the first sentence in this paragraph. If you can compare apples to apples maybe you can have general benchmarks within your company/process. But its not about the number, it’s about improving the throughput!

As per the First sentence of this paragraph, we can't determine the good or bad OEE score. Because OEE score depends on the manufacturing practices as per lean Manufacturing and your production performance. Hence to determine good OEE or bad OEE, we should first illustrate the availability rate, performance rate and quality rate and their correlation with manufacturing performance.

I will say: automotive and component (electronical) are at top, medico and medical device are at the lower end, thats my 30 year in general

Well, definition is ok, there are many factors to understand these percentages, as example is not the same a product which runs 24/5 in one machine, then definition is perfect to measure, than a machine which have many product, small production lot and too many. Due to downtime for changeovers.

To improve Overall Equipment Effectiveness (OEE), focus on reducing downtime, increasing machine speed and optimisation, enhancing product quality through proactive design, process optimisation, and continuous improvement.

An example I have seen of this is to track and define the downtime on the machine. Using the 5 why method to get to root causes of the down time. If you have to reduce speed then 5 why the reason you are reducing speed. If you are having startup rejects what is the root cause of those startup rejects. PDCA ,5s, and the Six big losses are great starts, the 5 why process can help dog into the root causes .

Given that addressing the root causes of inefficiency in production machines is always welcome, we must identify the bottlenecks at first to improve OEE. And this might not be easy since many machines in a production plant means different brands and different vendors particularly. OMRON i-BELT is one of the best framework ever to ensure the balance-of-line and improve over losses by understanding customer's issues.

Importat to define what's the periodicity that makes more sense for your process. Also ensure from time to time that the data is reliable by verifying it in the shopfloor.

To monitor OEE is necessary to equip with modern technologies that allow interconnection and dialogue between cyber-physical systems and which contribute to increasing the precision, efficiency and quality of the production process such as the Internet of Things (IoT), Artificial Intelligence (AI) and Machine Learning (ML). The combination with collaborative robotics also generates greater harmony and interaction with the factory operator. The advantages of a solution like the one proposed are multiple and range from the improved efficiency of the production process to the reduction of waste and a rational use of energy to a more sustainable production oriented towards carbon neutrality or net-zero.

In my personal experience, I track First Time Right, as all other factors can be more easily resolved. And for me being FTR is an accumulation of bring tested at every stage of the Product Lifecycle, till de-commissioned after end-of-life.

All 3 elements in the OEE calculation is critical - Availability - Performance - Quality meaning each element caries equal weight therefore improvements in each spectrum must be understood across the complete value chain.... Many calculate OEE per machine or resource however as the term indicates it is "overall equipment effectiveness" NOT efficiency (a totally different metric) That being said, there needs to be clear accountability / responsibility assigned across the value chain ... it's not purely an Operations or Production problem it is a an organization problem that must be driven with strong leadership across the value chain...Problem Solving, and particularly Root Cause Analysis is vital to the success, and improvement of OEE

In understanding OEE, you need to question: Are you using the machine effectively and efficiently in various operations of different processes? I identified 17 items to analyze the use of the machine. 1. Purpose of operation. 2. Productivity Measurements of the Operation 3. Design - Part 4. Tolerances 5. Material. 6. Production Machine/Equipment 7. Fixture 8a. Cutting Tools 8b. Tool Holder 9. Cutting Parameters 10. Cutting fluid 11a. Machine Setup b. Material handling. 12. Inspection Gages used. 13. Working conditions. 14. Operator method. 15. Common possibilities for job improvement - Are they being used? 16. Operation Defects 17. Operation Batch Quantity

From experience, I would also agree that "First time right" is crucial in manufacturing due to its cost-saving and efficiency benefits. When products are manufactured accurately from the outset, it minimizes the need for rework, reducing waste and saving on resources. This approach speeds up production timelines, leading to faster time-to-market and improved customer satisfaction. Consistently delivering high-quality products initially not only enhances reputation but also lowers the risk of defects and recalls.