| Advantages of the OEE Calculation |
| Focus on losses |
The OEE provides information about the effectiveness level of a specific machine or line. Besides, relating the effectiveness to the absolute maximum with regard to availability, speed, and quality, renders a wealth of information about the losses and/or potential for improvement. |
| One figure connects the parameters |
By multiplying the three components by one another, the OEE calculation generates one figure that reflects the actual performance of the equipment. This figure is a ratio between the actual good output and the theoretical output of the time span considered (usually one shift). (See Outline of the OEE Calculation) |
| Easily to understand for the team |
The OEE is an excellent reflection of what is actually happening on the shop floor. If there are many disruptions the OEE will be low, just as it will be high when there are hardly any disruptions. The OEE uses ‘shop floor language and definitions’. The daily experience of the shop floor team is reflected in the OEE. |
| The team can influence the OEE |
The clear information about losses enables the team to initiate specific improvements. The shop floor team can influence each parameter of the OEE directly and thereby guide the OEE in the right direction. Subsequently, the results of those improvements can be seen in the OEE. |
| Balanced figure |
The OEE calculation cannot be fooled. As soon as the standards have been established, it makes no sense to provide incorrect information. Each of the three factors may be altered, but the OEE figure remains the same (the ratio between the actual good output and the theoretical output of the time span considered does not change). The production team only hinders itself in determining which loss is actually the biggest and/or if improvements have the expected effect. |
| Quality of the information |
Once it has become clear that the OEE cannot be fooled, the quality of the available information will improve. This, in combination with implementing specific improvements instead of looking for the culprit, provides an ideal breeding ground for creating an environment of continuous improvement. |
