Three Ways To Avoid Potential OEE Pitfalls
Overall Equipment Effectiveness (OEE) is a metric that has become a go-to standard across numerous industries. With its roots in automotive manufacturing and assembly, this calculated key performance indicator (KPI) has become the measurement standard for food & beverage (F&B), consumer packaged goods, processing, life sciences and other “classic” discrete manufacturing/assembly industries and sectors.
In its most basic form, OEE is a key performance indicator (KPI) used to measure performance in a given process and is calculated by combining constituent components of availability (uptime), (performance) rate, and quality/yield. OEE is a simple metric that provides a wealth of information that can be useful in directing engineering, continuous improvement, safety, quality and other efforts.
Planned strategically and implemented tactically, OEE can be a valuable key in unlocking your production potential. However, having a “singular” KPI drive all shop floor activities can lead to pitfalls if you aren’t careful.