Overall Equipment Effectiveness (OEE) 01-January-2014 Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.com; www.factorypulse.in

Overall Equipment Effectiveness (OEE) Elements of OEE OEE OEE is the way to Measure Effectiveness How to increase OEE ? Prime Cause of Production Loss OEE Calculation Fundamental Concept of plant Effectiveness Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.com; www.factorypulse.in

Overall Equipment Effectiveness (OEE) Overall equipment effectiveness (OEE) is a hierarchy of metrics to evaluate how effectively a manufacturing operation is utilized. In an ideal factory, equipment would operate 100 percent of the time at 100 percent capacity, with an output of 100 percent good quality. The difference between the ideal and the actual situation is due to losses. Calculating the overall equipment effectiveness (OEE) rate is a crucial element of any serious commitment to reduce equipment- and process-related wastes. Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.com; www.factorypulse.in

Elements Of OEE Inconsistent Timings, Insufficient Skills. Poor Planning & Scheduling, Different methods, Poor Tooling, Poor start up controls, Missing Parts, Insufficient support, Excessive start-up adjustment Set-up Breakdown Availability losses Performance losses Quality losses Lack of Maintenance, Low Operator Interest, Not knowing of problems, Poor Training, Design Problems, Inferior Material Minor Stoppages Speed losses Material not Available, Change over at start/end, Jams/misfeeds/ overloads, Operator Error, Operator Absence Overall Equipment Effectiveness Unclear Design Specs., Poor Maintenance History, Incorrect Settings, Poor Training, Speed Deliberately Reduced, Inconsistent Material Start-up losses In process losses Poor Product Changeover, Inconsistent Materials, No start-up check lists, Waiting for Temp. Pressures, Minor adjustments Environmental Conditions, inconsistent Materials, Process not followed, Poor Calibration, Gauges not calibrated properly etc. Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.com; www.factorypulse.in

OEE is the way to Measure Effectiveness OEE is the way to measure how effectively Machine / Equipment hours are used. Total time e.g. 480 min. (1 shift) OEE goes down due to following Losses Planned Downtime - breaks, planned maintenance, training Available time - breakdowns, repairs - changeover - adjustment - start up Running time Downtime Productive time Performance Losses - machine speed - short stoppages - lower yield Effective time - scrap - reject - rework Quality Losses Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.com; www.factorypulse.in

Prime Cause of Production Loss A production line seldom operates at optimum speed. A myriad of reasons or Negative Performance Impacts, mostly in combination, cause losses in productivity and therefore loss of money. These include: Line Saturation There is no place for more output from the machine. For example, a filling machine of a bottling line is running at its max. speed. Equipment Failure Machines break down, wear out, are not used properly and so on. All ends up in lost production time. Product changes During the change over from one product to another the machine settings must be changed, breakdown may occur and speed must be reduced. Short Stops For example, a bottle falls down in a bottling machine and the operator picks it up. These short but frequent events can be the reason for major time loss. Operator Inefficiency The operators like to have it nice and easy. They run with lower speed in order to guarantee smooth operation. Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.com; www.factorypulse.in

Prime Cause of Production Loss External reasons Sometimes, the production runs out of orders and the machines have to shut down. Or there can be a failure in the electrical power network far away from the factory. Product Type Some products are more difficult to make. There are more breakdowns and quality problems. Speed Losses For one reason or another, the speed of the machine is not optimum. In order to save costs, someone has purchased cheap but poor quality raw material. Quality Although the machine is running, the products are not good enough for the customers. These are the most expensive kinds of losses. Missing Material The raw material storage is empty and machines can not produce any more. Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.com; www.factorypulse.in

Overall Equipment Effectiveness Calculation Available time - Downtime OEE (in %) = Running Efficiency = Availability 420 min - 80 min factor 81% 420 min X Running time - Performance loss Productive Performance= Running time 340 min – 70 min = factor 79.4% 340 min X Productive time - Quality loss time Quality = Productive time 270 min - 20 min = factor 92.6% 270 min Overall Equipment Effectiveness = 59.6% Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.com; www.factorypulse.in

How to Improve OEE ? Data collection is the most important action to increase OEE Collect data for all downtimes and losses on the machine Data analysis and visible measure Make improvements visible and implement Analysis 5 10 15 20 25 30 35 Repair Changeover Tool change Scrap Minor Stopp. 33 26 16 7 3 Repairs Autonomous Mainten. Change over, Adjustm. Preventive Maintenance Tool change Changeover reduction Minor stoppages Standardize tooling Scrap, rework J F M A S O N D OEE Trend Target 2003 Improved machine reliability Standardisation Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.com; www.factorypulse.in

Fundamental Concept of Plant Effectiveness 16 Kinds of loss 8 availability losses 5 productivity losses 3 production/ cost losses – not part of OEE - Machine Failure Management losses Loss of energy Set up & adjustments Motion Die, Jig and tool losses Tool changes Line organization Yield losses Start-up losses Logistics Minor stoppages Adjustments Speed Losses Defects and Rework Shutdown Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.com; www.factorypulse.in

For more information on OEE or our other services Thank You For more information on OEE or our other services Logix Automation Systems Pvt. Ltd. Ph. +91-98140-35599; +91-92167-36975 Email : info@logixind.com; info@factorypulse.in Website : www.logixind.com ; www.factorypulse.in Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.com; www.factorypulse.in