I would recommend this explanation to anyone working in IT in manufacturing. It will help you grasp how software and overall application landscape may impact OEE.
I see to many machine shops without a metrology lab in the proper environment, and many calibrate there precision hand tools but forget the surface plate the base of all the measurements. This causes Quality within the OEE calculation to be wrong due to parts not in a temperature and humidified environment.
Clear explanation of the different types of rates for calculating the performance component of OEE: theoretical, standard and scheduled. Great video describing the difference and why you would use each one in a mature Industry 4.0 organization. Looking forward to more insights following your trip to Slovenia!
I don't think I completely understand the part about the three types of OEE. 1. in the theoretical and standard OEE I would calculate without downtimes, setup times and scrap parts? What is the theoretical OEE good for if it is never achievable in practice? 2. with the scheduled OEE, the OEE is calculated after creating the production plan for a shift/day? So taking into account setup times and different cycle times due to different products? 3. what statements can be made based on the different OEEs? 4. the fourth OEE would then be the actually measured OEE, correct?
I would love to make this kind of calculation work in my machine shop. There is just never enough consistency to make it work. Even on long runs there are so many ways to make things run faster, most cycle times are 300 percent faster by the time you get to the last part. Or the dreaded stainless part that breaks tools on Tuesdays and slows everything down. I wish there was a way that wasn't so rigid. Making things faster is easy, just communication, knowing how long something is going to take is elusive.
great Video Walker! We have had the OEE discussion many times in our operation, this gives a good explaination on the diferent types of OEE. it would be great to have you visit our plant in Monterrey Mexico, thats where the new Giga Factroy is going to be built as well!
I don't think I completely understand the part about the three types of OEE. 1. in the theoretical and standard OEE I would calculate without downtimes, setup times and scrap parts? What is the theoretical OEE good for if it is never achievable in practice? 2. with the scheduled OEE, the OEE is calculated after creating the production plan for a shift/day? So taking into account setup times and different cycle times due to different products? 3. what statements can be made based on the different OEEs? 4. the fourth OEE would then be the actually measured OEE, correct?
How would you consider "rework" parts in the OEE calculation, meaning that part that fails in one part of a substation are allowed to re-run through that station ( not a bad part but increase the cycle time for part production)?
Rework is a function of the reason it is re-worked. Most commonly, re-work is an increment on raw material in for 1 part produced (2:1 instead of 1:1) but there are several scenarios where the cycle time for the rework is added to downtime in seconds to ding availability.
Our plant has 100 machines but due to low season, we only run 70 machines. How shall I compute the OEE? I'm currently computing it as 70 machines running but my manager wants to see the OEE including machines that are totally shutdown (100 machines). I have no value for 30 machines that are completely shut down. How shall I do this? How can I show the low season vs high season?Looking forward to your response.
I would love to make this kind of calculation work in my machine shop. There is just never enough consistency to make it work. Even on long runs there are so many ways to make things run faster, most cycle times are 300 percent faster by the time you get to the last part. Or the dreaded stainless part that breaks tools on Tuesdays and slows everything down. I wish there was a way that wasn't so rigid. Making things faster is easy, just communication, knowing how long something is going to take is elusive.
I would recommend this explanation to anyone working in IT in manufacturing. It will help you grasp how software and overall application landscape may impact OEE.
This is the best explaination of what OEE is that I have seen so far.
Simen 🙏
We’re glad to help❤️
Simen, I agree with you!
I am exactly in one of those company that Trick themselves thinking their oee is at 95% to please end automotive manufacturer. Great video Walkers
It’s important to calculate true OEE… even if the OEE number you’re showing someone else is different.
I just shared this to my colleagues... Definitely recommend...
Thank you Josh🙏🏻
I see to many machine shops without a metrology lab in the proper environment, and many calibrate there precision hand tools but forget the surface plate the base of all the measurements. This causes Quality within the OEE calculation to be wrong due to parts not in a temperature and humidified environment.
Excellent video, definitely worth the watch and I am recommending it to my IT staff as well....
Glad you enjoyed Kevin!
Nice explanation Walker, many thanks.
Glad to help!
Great stuff Walker. I’d like to see a followup on how to combine the three oee calcs and include teep and how that can be best used
Noted!
Clear explanation of the different types of rates for calculating the performance component of OEE: theoretical, standard and scheduled. Great video describing the difference and why you would use each one in a mature Industry 4.0 organization. Looking forward to more insights following your trip to Slovenia!
Thanks Jeff! We’re working on a series from the trip for our RUclips members, and Mentorship and Mastermind. Stay tuned!
I don't think I completely understand the part about the three types of OEE.
1. in the theoretical and standard OEE I would calculate without downtimes, setup times and scrap parts? What is the theoretical OEE good for if it is never achievable in practice?
2. with the scheduled OEE, the OEE is calculated after creating the production plan for a shift/day? So taking into account setup times and different cycle times due to different products?
3. what statements can be made based on the different OEEs?
4. the fourth OEE would then be the actually measured OEE, correct?
I would love to make this kind of calculation work in my machine shop. There is just never enough consistency to make it work. Even on long runs there are so many ways to make things run faster, most cycle times are 300 percent faster by the time you get to the last part. Or the dreaded stainless part that breaks tools on Tuesdays and slows everything down. I wish there was a way that wasn't so rigid. Making things faster is easy, just communication, knowing how long something is going to take is elusive.
great Video Walker! We have had the OEE discussion many times in our operation, this gives a good explaination on the diferent types of OEE. it would be great to have you visit our plant in Monterrey Mexico, thats where the new Giga Factroy is going to be built as well!
Thank you Stefan! Reach out to contact@40solutions.com and we can see what we can do 😉
Stefan 🙏 Please reach out to the team and we can get something set up.
I don't think I completely understand the part about the three types of OEE.
1. in the theoretical and standard OEE I would calculate without downtimes, setup times and scrap parts? What is the theoretical OEE good for if it is never achievable in practice?
2. with the scheduled OEE, the OEE is calculated after creating the production plan for a shift/day? So taking into account setup times and different cycle times due to different products?
3. what statements can be made based on the different OEEs?
4. the fourth OEE would then be the actually measured OEE, correct?
How would you consider "rework" parts in the OEE calculation, meaning that part that fails in one part of a substation are allowed to re-run through that station ( not a bad part but increase the cycle time for part production)?
Rework is a function of the reason it is re-worked. Most commonly, re-work is an increment on raw material in for 1 part produced (2:1 instead of 1:1) but there are several scenarios where the cycle time for the rework is added to downtime in seconds to ding availability.
Our plant has 100 machines but due to low season, we only run 70 machines. How shall I compute the OEE? I'm currently computing it as 70 machines running but my manager wants to see the OEE including machines that are totally shutdown (100 machines). I have no value for 30 machines that are completely shut down. How shall I do this? How can I show the low season vs high season?Looking forward to your response.
best!!!
HOW TO START ?
You start with Digital Transformation Maturity Assessment - Strategy, Architecture, Minimum Technical Requirements.
Did teep&oee for our production and watched all these mistakes done. The whole calculation got bastardised and now it is not used for anything.
I would love to make this kind of calculation work in my machine shop. There is just never enough consistency to make it work. Even on long runs there are so many ways to make things run faster, most cycle times are 300 percent faster by the time you get to the last part. Or the dreaded stainless part that breaks tools on Tuesdays and slows everything down. I wish there was a way that wasn't so rigid. Making things faster is easy, just communication, knowing how long something is going to take is elusive.