lean six sigma

CAN OEE BE USED TO REDUCE OPERATING COST?

OEE or Overall Equipment Effectiveness measures manufacturing performance against perfection. It is regarded as the global benchmark for measuring manufacturing efficiency. Any deviation from perfection drives up operating cost. OEE looks at three different losses and multiplies them across to assess total losses. Those losses are:

Availability - This is a measure of downtime (both planned and unplanned)

Throughput - This measures rate loss against the theoretical maximum run rate

Yield - This measures the amount of efficiency lost due to quality issues

The 5 Biggest Continuous Improvement Challenges and How the Factory Operating System Solves Them All

1. Resistance from the Shop Floor and middle managers
As any Lean or Continuous Improvement (CI) practitioner can attest to, the first problem you encounter while trying to drive changes is resistance from the shop floor – and then the management team. The resistance is often created by a fear of change and people being pushed out of their comfort zones. It also arises from conflicting agendas.

Why Your Manufacturing Execution System Is Making Your Job Harder

So, you've spent a ton of money and who knows how much time implementing and getting people to use your Manufacturing Execution System (MES). Performance got a little better in the beginning but now it seems that things have gone right back to the old ways just with more data (a lot of which is incomplete and unreliable) and more meetings. The only change that really happened is that people got better at explaining why they're doing so poorly but still no real tangible results.

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