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  • Copyr i gh t 2015 O SIs o f t , LLC .

    Presented by

    OEE

    Overall Equipment Effectiveness

    an important KPI for Operational

    Intelligence

    Thomas J. Lang

    Copyright: Thomas J. Lang

  • Copyr i gh t 2015 O SIs o f t , LLC . 2

    OEE and the usage within BCS

    Special application of OEE at Frankfurt site

    Benefit

    Agenda

    Copyright: Thomas J. Lang

  • Copyr i gh t 2015 O SIs o f t , LLC .

    The meaning of OEE

    3

    OEE (Overall Equipment Effectiveness) is a best practice metric that

    identifies the percentage of planned production time that is truly productive.

    An OEE score of 100% represents perfect production: manufacturing only

    good parts, as fast as possible, with no down time.

    Therefore OEE can be also an important number/metric within an MES

    system, for global and local Management.

    Copyright: Thomas J. Lang

    100% (Perfect) 90% (World Class) 80% (Typical) 60% (Low)

  • Copyr i gh t 2015 O SIs o f t , LLC .

    The classical OEE definition is mainly used by the

    global management with a focus on ROI

    4

    Maximum

    OutputMax. performance

    of production line

    Equipment, personal,

    material, logistics

    available

    Required

    quality

    Overall

    Equipment

    Effectiveness (OEE)

    = Availability x Performance x Quality

    KPI for the return on

    invested capital

    calendar year

    percentage of the

    real losses

    Rate of losses generated

    by downtimes

    Downtimes

    missing personal

    disruption of plant

    no order

    Missing material

    Missing energy or

    other supplies, etc.

    Changeover times

    Produced quantity/

    planned quantity

    Target quantity

    means the theoretical

    plant quantity (or the

    ever shown best

    quantity)

    Quality is the criteria for

    in spec product

    and calculated as:

    Quality =

    Good Pieces / Total Pieces

    =

    Copyright: Thomas J. Lang

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    The KPI OEE is explicitly important for capital

    intensive industries

    Business sector:

    Services

    Retail business

    Banks

    Automotive

    Machine building

    industry

    .

    .

    Chemical

    industry

    Leverage to increase ROI:

    Maximum usage (productivity) of

    invested capital

    KPI: OEE

    Ca

    pita

    l in

    ten

    sve

    ind

    ustr

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    Imp

    ort

    an

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    ofR

    etu

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    Inve

    stm

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    t (R

    OI)

    Copyright: Thomas J. Lang

  • Copyr i gh t 2015 O SIs o f t , LLC .

    Within a 24/7 production - the global OEE definition can

    be used on a production site

    6

    OEE is the identical definition

    Demand is real high, the production plant

    runs continously without any stops

    Quality: First pass rate

    OEE is product from the factors availability,

    performance and quality

    Availability: 365 d - 24 h

    Perfomance: Performance takes into account

    Speed Loss or maximum production

    Quality: First pass rate

    2009 Agamus Consult - All rights reserved

    090515_OEE_Steuerung.PPT6

    Die technische Kapazitt orientiert sich an den technischen Mglichkeiten der Anlage

    Definition technische Kapazitt

    DefinitionDefinition

    Die technische Kapazitt ist die vorgegebene Menge fr eine Anlagengruppe oder einen Fertigungsbereich und ...

    orientiert sich an den technischen Mglichkeiten der Anlage weil eine zu hohe technische Kapazitt zu berhhter Abnutzung und damit zu hohen Kosten fhren kann.

    ... ist an den Engpassanlagen der Anlagenkette orientiert: GA 50: Verseifer; ACM: Destillation

    ... ist bezogen auf den Tag um den Bezug zum Abrechnungsmonat herzustellen

    ... kann sich ndern durch nderungen in der Anlage bzw. dem Verfahren

    GA 50: 25 to/Tag

    Die technische Kapazitt ist die vorgegebene Menge fr eine Anlagengruppe oder einen Fertigungsbereich und ...

    orientiert sich an den technischen Mglichkeiten der Anlage weil eine zu hohe technische Kapazitt zu berhhter Abnutzung und damit zu hohen Kosten fhren kann.

    ... ist an den Engpassanlagen der Anlagenkette orientiert: GA 50: Verseifer; ACM: Destillation

    ... ist bezogen auf den Tag um den Bezug zum Abrechnungsmonat herzustellen

    ... kann sich ndern durch nderungen in der Anlage bzw. dem Verfahren

    GA 50: 25 to/Tag

    Technische Kapazitt

    Technische Kapazitt

    Plan-Taktzeit

    Ist-Menge

    : Ist-Taktzeit

    technischeKapazitt

    VerfgbarkeitVerfgbarkeitLeistungs -

    faktor

    Leistungs -faktor

    Qualitt-faktor

    Qualitt-faktor

    x x =Anlagen-

    effizienz(AE)

    Anlagen-effizienz

    (AE)

    OEE- definition by BCS Global Production time 7 days 24 h

    =

    Copyright: Thomas J. Lang

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    . but BCS at Frankfurt site made a further development

    to maximize the local benefit of the KPI OEE

    7

    The classical OEE-definition is a good definition for

    plants producing within 24 h/7 d, in a 1- to 3- shift

    production this definition isnt perfect

    In the chemical industry the separation into the

    availability- and the performance -factor is for a

    continuous running plant often very difficult

    The OEE-factors availability and performance dont

    deliver any information about the reasons for the

    downtime (continuous improvement isnt possible)

    In our special case no sufficient information about

    the performance and the weaknesses were delivered

    by this KPI

    Weak points of OEE from a local view

    Enhancement

    of the OEE

    required

    Copyright: Thomas J. Lang

  • Copyr i gh t 2015 O SIs o f t , LLC .

    The separation of availability and performance losses is difficult

    to use for best practice in a continuous operated plant

    8

    Classification of an availability and performance (yield) loss shown in a real time example (e.g. chemical plant)

    100 % OEE

    Copyright: Thomas J. Lang

  • Copyr i gh t 2015 O SIs o f t , LLC .

    on the other hand a local definition has to be adopted

    to the site specific situation

    9

    Equipment

    Staff

    Material

    Utilities, services

    Rework to be done

    Unrecoverable, out-of-spec

    product

    Types of losses classical OEE for Produktion

    can be influenced

    Intentional slowdown

    Market / product demand and

    higher forces

    cant be

    influenced

    max. achievable

    OEE rate for a 1-

    shift production

    can be

  • Copyr i gh t 2015 O SIs o f t , LLC .

    In contrast to the traditional OEE-definition losses

    will be adopted to the origin (company)

    10

    lossess

    OEE

    (global)

    losses

    SEE

    (site)

    SEE = SEEtechnical + SEELogistics + SEEproduktion + SEEothers

    Copyright: Thomas J. Lang

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    Result: OEE/SEE continously improves

    11

    Adaption of 100 % definition by 10%

    96 %

    79 %

    Copyright: Thomas J. Lang

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    As shown above, a measurable additional

    value could be achieved by increasing the

    productivity e.g. production increase from

    e.g. 79% to 96 %

    Solution(s) Results and Benefits

    OEE/SEE a beneficial tool to improve the production

    Business ChallengesOEE is a mixture of a corporate approach

    and helps to identify process goals helps

    to increase yield, improve efficiency and

    effectiveness

    OEE/SEE is a Business solution, which

    can show you a potential weakness in your production assets/process

    OEE (Overall Equipment Effectiveness) is a best practices metric thatidentifies the percentage of planned production time that is trulyproductive. An OEE score of 100% represents perfect production,manufacturing only good parts, as fast as possible, with no down time.

    OEE is useful as both a benchmark and a baseline.

    As a benchmark it can be used to compare the performance of a givenproduction asset to industry standards, to similar in-house assets, or toresults for different shifts working on the same asset.

    As a baseline it can be used to track progress over time in eliminatingwaste from a given production asset.

    12

    Copyright: Thomas J. Lang

  • Copyr i gh t 2015 O SIs o f t , LLC .

    Thomas J. Lang

    [email protected]

    Consultant (former BayerCS AG)

    13

    [email protected]

    Consultant (former BayerCS AG)

    Copyright: Thomas J. Lang

    mailto:[email protected]:[email protected]

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    14Copyright: Thomas J. Lang