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Warehouse manufacturing testing and adjustment equipment of optical instruments

Warehouse manufacturing testing and adjustment equipment of optical instruments

There is a lot of confusion out there about OEE Operational Equipment Effectiveness and about the words efficiency and effectiveness. Let us look at these things in an objective and clear manner. Is OEE just a nice-to-have? No, it is a simple yet powerful roadmap that helps production floor people and management to visualize and eliminate equipment losses and waste. OEE is not a fad.

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S.I. No. 136/2018 - European Union (Personal Protective Equipment) Regulations 2018

There is a lot of confusion out there about OEE Operational Equipment Effectiveness and about the words efficiency and effectiveness. Let us look at these things in an objective and clear manner.

Is OEE just a nice-to-have? No, it is a simple yet powerful roadmap that helps production floor people and management to visualize and eliminate equipment losses and waste. OEE is not a fad. First of all, OEE has been around for decades in its elemental form. The words efficiency and effectiveness have been around longer, but have only been used in a confused manner in the last decade or so. To start, we have to make a clear distinction between effectiveness and efficiency before we can discuss OEE.

Effectiveness is the relation between what theoretically could be produced at the end of a process and what actually came out or was produced at the end of the process. The same goes for yield or more commonly known as quality basically saleable product. Basically OEE is about as the name says effectiveness: it is the rate between what a machine theoretically could produce and what it actually did. So the fastest way to calculate it is simple: If you take the theoretical maximum speed for example 60 products per minute you know that at the end of a minutes shift there should be 28, units.

What do these words mean and what value do they bring? Here is the power of OEE. OEE, when broken into its three main components, is going to track down where we lost it. Making the right thing — the right product or SKU at the right speed Performance. Making it the right way — no rework, no defects, no waste Quality.

Making it at the right time — producing as planned, keeping the machine up and running, minimizing time losses Availability. So how do we find out what we lost and where?

And how do we prevent it from happening in the future? A standard shift takes minutes. The rest of the time the machine is in the running mode. This means we lost minutes and there are only minutes left to be effective. Even if we run the rest of the time at full speed with no quality losses, we can never be more than Let us also assume our packaging system has an ideal cycle time or takt time of 1 second per bottle, which is 60 bottles per minute. Takt time, derived from the German word Taktzeit which translates to cycle time, sets the pace for industrial manufacturing lines.

If production would be at a slower speed, let us say the cycle time would be 1. The actual output now at Running at If at this point all output would be within specification or saleable, what would be the effectiveness?

Whether this is the actual effectiveness depends on how many bottles were within specification. In other words, we lost minutes by not running; from the remaining minutes we lost minutes by slow running; from the remaining minutes we lost 50 minutes making scrap.

As a result the line yielded minutes of perfect running at quality and at rate. At the end there were 9, bottles that were saleable, so the Overall Equipment Effectiveness was OEE is purely time based time converted , but since 1 takt time equals 1 bottle, OEE can be calculated in bottles for ease of use. OEE helps to create this kind of awareness; with operators, with engineers, with logistic departments, and with anybody else involved in the value adding process.

It gives a common language to everybody involved in manufacturing and leads to effective and efficient improvements. OEE and its basic approach have been around for decades in other industries and have recently moved into the packaging area. Although the concepts are fairly simple, their definitions and application have varied considerably, preventing any ability to use them as benchmarks and performance tools within and between plants, let alone between companies.

The idea is to present a common definition and straightforward spreadsheet format to bring about clear, common approach. OEE is the Overall Equipment Effectiveness of a defined production process during the defined operative period or mode in which all activities related to production, personnel and inputs are accounted for during all producing or dependent activities within a defined scheduled time or operative mode time.

The defined production process is the start and end boundary under review such as depalletizing to palletizing or making it through to warehousing. OEE is defined as the product or cost function or interplay of all availability or uptime of the operative mode multiplied by the performance or actual resultant production speed from actual dialled rate and ramping rates divided by the normal or steady state speed and then multiplied by the quality or the output of quality product divided by the input of the critical component or aggregate of all the inputs components consumed, lost, reworked, destroyed or unaccounted for during the production process.

For a diagram, please refer back to Figure 1, page Quality is a fraction that is 1 minus the waste waste and rework. Rework is usually considered within quality, but is the most difficult to segregate out. Quality does not typically relate to defective components not staged to the production line, but once staged to the production line they have to be considered.

This forces out pre-checks, because once it hits the production line, there are time and impacts to the ongoing production process such as removing and replacing staged defective products, materials and supplies.

Looking at less than 10, minutes one week of operating time is not significant in and of itself for decision making, but may be adequate for trends and verifications of a decision implemented earlier to insure positive directions or to ensure the anticipated results are being achieved. The reason for this definition of operative mode is to capture all activities required to ensure the production process could be carried out.

Some companies in the past hid their changeover, PM, holidays, training and cleaning by doing it in the so-called unscheduled production time or dumping it on a particular off time, but really it is part of the nature of the production process.

The production scheduled time is the time period in which allotted defined products are to be produced, but process dependent activities or situations must be done or considered beforehand such as holidays to ensure the schedule can be met or be reasonable.

The calendar hours or calendar time are the sum of operative mode activities and potential mode activities that make up a week 10, minutes or month average 43, minutes or defined period in which the asset as a functioning production element exists in the plant. If any asset is removed from the process in such a way as to make the process for a given product not viable then the expected OEE number is considered zero. This also applies to product recalled from the market that is reworked or scrapped.

A total recall in reality yields zero OEE for the period that produced the recalled product. A partial recall will only deal with the loss of the defined Lot or Batch within the total, but will depress the OEE for that period considerably. Any scheduling and labor considerations are considered integrated within OEE. One could expand out from OEE with other ratios such as schedule capability in which labor and scheduling times are evaluated and their interplay is calculated as ratios or costs to operations, but OEE keeps a top line view that fits for the vast majority of industries and conditions in a simple but powerful way.

High OEE numbers are indicative of high schedule fulfillment and optimized labor. Schedule fulfillment and optimized labor are a byproduct of the optimized process. OEE is the roadmap for insight, direction and verification of all other activities such as continuous improvement, lean, six-sigma and upper level accounting information.

It gives the correct window in viewing the Cost of Quality. When talking about waste, we can define or look at many definitions, variations or types of wastage such as: waste of waiting, over-production, inventory or work-in-process, transport, motion, input defects, producing defective products, unnecessary process steps, delaying.

In looking at operations, OEE simply gives the clear and powerful picture window view of the ability to sustain quality production or how availability time , quality good product and performance speed interact. The Losses portion is the fraction of the time that is lost due to the inability of the production process to be consistent and under control. These losses relate to time down or downtime, rate losses in the process and the scrap and rework generated during the operative mode.

The operative mode is not only the planned scheduled production time but that time that encompasses the nature of the production process and its supporting activities that are connected, dependent or required to be done to ensure the timely production of the scheduled product.

The concept of Downtime as understood in availability. For simplicity and order, the downtime of any machine or system can be divided into two parts — planned downtime events and unplanned downtime events.

Holidays are always mandated activities dictated by management, government or both. One could argue that holidays should be left out, but that is incorrect, since it is a management decision to not use that time during a normally operative mode and it is not proper to slip it into the potential mode. One can break down planned events into as many categories as one likes. Beware, when holidays are included in the analysis, some days or weeks or months will show depressed numbers and need to be highlighted.

Because of this, there is a tendency to not include them. But one should include them as they happen. One can break down unplanned events into as many categories as one likes, but the most common ones are the unit ops or machines. The unit ops could be further subdivided into primary and secondary machines, zones, faults, etc.

Primary machines PM are unit ops that are capital equipment that has a direct involvement in assembling the package such as unscramblers, rinsers, fillers, cappers, labelers, cartoners, case packers, palletizers, etc. Secondary machines SM are minor unit ops that convey, manipulate, collate, inspect, code or mark the package such as conveyors, combiners, dividers when separate from a primary unit op , coders laser, inkjet, impression, etc. Most companies, especially companies with no or poor ability to identify unplanned downtimes or losses, should use the OEE macro analysis and use the lumped or aggregate estimate number until improved data acquisition approaches the estimate number.

All times should be in minutes not hours, with precision down to a tenth of a decimal, for a more granular view of the problem. A proven technique in manufacturing comes to packaging. Typically OEE is confined to the production or packaging process, but does not need to be. Making, distribution, etc. In fact, OEE was embraced by manufacturing industries, from automotive to electronics, long before it trickled down to packaging.

It is a proven technique, with extensive resources available in the marketplace, and a useful methodology that can be applied to the smallest operation with manual data collection to the largest organization with sophisticated OEE software tools and automated data acquisition systems. Liked this article? Download the entire playbook here. A simple example Basically OEE is about as the name says effectiveness: it is the rate between what a machine theoretically could produce and what it actually did.

Not rocket science so far. Effectiveness is: Making the right thing — the right product or SKU at the right speed Performance Making it the right way — no rework, no defects, no waste Quality Making it at the right time — producing as planned, keeping the machine up and running, minimizing time losses Availability So how do we find out what we lost and where?

The straightforward approach to OEE OEE and its basic approach have been around for decades in other industries and have recently moved into the packaging area. A practical definition of OEE OEE is the Overall Equipment Effectiveness of a defined production process during the defined operative period or mode in which all activities related to production, personnel and inputs are accounted for during all producing or dependent activities within a defined scheduled time or operative mode time.

When talking about waste, we can define or look at many definitions, variations or types of wastage such as: waste of waiting, over-production, inventory or work-in-process, transport, motion, input defects, producing defective products, unnecessary process steps, delaying In looking at operations, OEE simply gives the clear and powerful picture window view of the ability to sustain quality production or how availability time , quality good product and performance speed interact.

The concept of Downtime as understood in availability For simplicity and order, the downtime of any machine or system can be divided into two parts — planned downtime events and unplanned downtime events. A proven technique in manufacturing comes to packaging Typically OEE is confined to the production or packaging process, but does not need to be. Temperature Control Tips for Enclosures Proper temperature control of automation electronics enclosures can be more complex than it may initially appear.

This is particularly true in high temperature and hazardous environments, or where wide temperature swings are common.

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How to Calculate Overall Equipment Effectiveness: A Practical Guide

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  1. Shaktigore

    In my opinion here someone has gone in cycles