1. Overall Equipment Effectiveness (OEE) 1 OVERALL EQUIPMENT EFFECTIVENESS (OEE) Factory Pulse Logix Automation Systems Pvt. Ltd.

2. Overall Equipment Effectiveness (OEE) 2 www.logixind.comwww.factorypulse.in OEE Elements of OEE OEE is the way to Measure Effectiveness Prime Cause of Production Loss OEE Calculation How to increase OEE ? Fundamental Concept of plant Effectiveness Factory Pulse Logix Automation Systems Pvt. Ltd.

3. Overall Equipment Effectiveness (OEE) 3 Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.comwww.factorypulse.in 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.

4. Elements Of OEE 4 Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.comww.factorypulse.in Overall Equipment Effectiveness Availability losses Performance losses Quality losses Set-up Breakdown Minor Stoppages Speed losses Start-up losses In process losses Inconsistent Timings, Insufficient Skills, Poor Planning & Scheduling, Different methods, Poor Tooling, Poor start up controls, Missing Parts, Insufficient support, Excessive start-up adjustments Lack of Maintenance, Low Operator Interest, Not knowing of problems, Poor Training,Design Problems, Inferior Material Material not Available, Change Over at Start/End, Jams/Misfeeds/ Overloads, Operator Error, Operator Absence Unclear Design Specs, Poor Maintenance History, Incorrect Settings, Poor Training, Speed Deliberately Reduced, Inconsistent Material Poor Product Changeover, Inconsistent Materials, No start-up check lists, Waiting for Temp, Pressure, Minor adjustments Environmental Conditions, Inconsistent Material, Process not followed, Poor Calibration, Gauges not calibrated properly etc.

5. OEE is the way to Measure Effectiveness 5 Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.comwww.logixind.com www.factorypulse.inwww.factorypulse.in OEE is the way to measure how effectively Machine/Equipment hours are used Total time e.g. 480 min. (1 shift (8 hrs)) Available time Running time Productive time Effective time Planned Downtime Performance Losses Quality Losses OEE goes down due to following Losses - breakdowns, repairs - changeover - adjustment - start up - machine speed - short stoppages - lower yield - scrap - reject - rework - breaks, planned maintenance, training

6. Prime Cause of Production Loss 6 Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.comwww.factorypulse.in 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.

7. Prime Cause of Production Loss 7 Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.comwww.factorypulse.in 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.

8. Overall Equipment Effectiveness Calculation 8 Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.comww.factorypulse.in = 340 min – 70 min 340 min Quality = Productive time - Quality loss time Productive time = 270 min - 20 min 270 min Running Efficiency = Available time - Downtime Availability 420 min - 80 min 420 min factor 81% factor 79.4% factor 92.6% X X = 59.6% OEE (in %) = Overall Equipment Effectiveness Productive Performance= Running time - Performance loss Running time

9. How to Improve OEE ? 9 Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.comfactorypulse.in Data collection is the most important action to increase OEE Collect data for all downtimes and losses on the machine Data Analytics with graphs and charts Make improvements visible J J F F M M A A M M J J J J A A S S O O N N D D OEE Trend Target 2003 Analysis 5 5 10 15 20 25 30 35 Repair Changeover Tool change Scrap Minor Stopp. 33 26 16 7 7 3 3 Repairs Change over Tool change Minor stoppages Autonomous Maintenance Preventive Maintenance Changeover Reduction Standardize Tooling Improved Machine Reliability Standardisation wastege Adjustments rework

10. Fundamental Concept of Plant Effectiveness 10 Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.comwww.factorypulse.in Machine Failure Set up & adjustments Start-up losses Minor stoppages Speed Losses Defects and Rework Shutdown Management losses Motion Line organization Logistics Adjustments 8 availability losses Loss of energy Yield losses 16 Kinds of loss 5 productivity losses Tool changes Die, Jig and tool losses 3 production/ cost losses – not part of OEE - 3 production/ cost losses – not part of OEE -

11. OEE (Overall Equipment Effectiveness) 11 Factory Pulse Logix Automation Systems Pvt. Ltd. www.logixind.comwww.factorypulse.in Thank You For more information Logix Automation Systems Pvt. Ltd. Ph. +91-98140-35599; +91-92167-36975 Email :info@factorypulse.in Website :www.factorypulse.in