Overall equipment effectiveness is a critical metric for manufacturers looking to enhance production processes. Developed in the 1980s by a Japanese industrial expert, overall equipment effectiveness is now a widely used standard for measuring the effectiveness of manufacturing equipment.

The overall equipment effectiveness metric takes into account two essential factors: availability, iso consulting services firm throughput and reliability. Each of these components plays a crucial role in production. Deficiencies in any aspect can significantly affect the manufacturing process.

Availability, or equipment uptime, measures the percentage of time that production is underway. This not only includes the time when the factory is operating but also accounts for scheduled maintenance periods. Availability is heavily impacted by various aspects such as equipment reliability and quality control.

Performance measures the speed at which a piece of equipment operates at maximum capacity. This metric considers the factory's production volume and throughput. To assess efficiency, manufacturers determine the actual production of the factory to its production potential.

Quality is perhaps the most critical element of manufacturing, as it represents the percentage of products that are produced without defects or errors. High-quality output not only improves the manufacturer's reputation but also reduces expenses related to repairs. Quality is impacted by multiple aspects including production processes.

In calculating OEE, manufacturers synthesize insights from each component. When provided with this information, managers can easily spot opportunities for growth within their factory operations. Addressing these issues can have a marked effect on productivity and ultimately, financial results.

In practical terms, an OEE value of 70% is generally considered average. However, manufacturers striving for excellence in manufacturing will strive for OEE values of 99% or higher. By implementing incremental enhancements, manufacturers can drive operational excellence and efficient growth in their operations.

For OEE to be an reliable yardstick of productivity, manufacturers must adopt a analytical framework to collecting and analyzing metrics. Continuous assessment of operational efficiency provides insights for the adoption of best practices, ultimately driving efficiency, product quality, and success.