Scopes: Background

When the OEE Industry Standard team started, there were many similar discussions and argumentations heard.
A basic statement was that OEE measures the effectiveness of a machine, the equipment. If well defined, this of course can tell us a lot about how effective the organization uses this equipment and also about the surrounding equipment and even the supply-chain. However, OEE is not the KPI for “operations effectiveness” or “Asset Utilization”, although it’s loss-structure is an essential part of such KPI’s.
The reason for this decision is the principal choice that OEE is a shopfloor tool, a metric that can be influenced by the shopfloor team. Of course, now there are some ‘grey zones’ when we look at how far the span of control of a shopfloor team can stretch and what the definition is of a ‘shopfloor team’.
Nevertheless -as some of you already mentioned- using the same (OEE) data, yet stretching the time-frame more or less, can result in a different ‘scope’ that may be interesting to a different audience, particularly to the operations- and upper management in the question of mr Banzato.
To clarify what we are looking at, what scope is used by what audience, we defined some different scopes that are commonly used in OEE using environments.
http://oeeindustrystandard/definition/scope/
You will see several different formats of the same loss-structure data set.
I agree this is all a matter of nomenclature, but this diagram shows that we are talking about the same loss-data structure, just reshuffling it in different ratios, for the purpose of gaining focus to different audiences.
Important is to create a clear ‘language’ and to use each tool for its most suitable purpose instead of abusing tools for different purposes just because it is there and could be used. (You will understand I hate to see Bahco wrenches and pliers in the factory for the same reason.)
Although slightly outside the scope of the OEE Industry Standard, the different ‘scopes’ are part of the standard. However, they were never subject to serious discussions and reviews.
It seems now would be a fine moment to do so. I would like to invite you to review the currently defined scopes and comment them: Are they clearly enough defined, do they fulfill your needs, are there already other standards that could be included here?
To do so a dedicated (open) group is started to discuss the standard, http://www.linkedin.com/groups/OEE-Industry-Standard-4246823
I hope together we can further improve the standard.

Continuous Improvement in Daily Work

Q: How to make Continuous Improvement Activities a part of daily work?

This question regularly is being asked when companies join a Lean- or TPM journey.

Arno Koch •  Continuous Improvement indeed should not be a project, an incidental activity or a staff-member job. So how to engage everybody in the factory to get involved in improvement activities on a daily basis?

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Quality Rate can not be determined immediately

Q:  Sometimes our process is being interrupted; i.e. the oven is stopped at a different moment than planned. At that moment it is not clear whether the product will be OK or not. We will block the product and take samples to determine the quality. This could take a couple of days. Wen everything is OK the product is released, otherwise it is being scrapped. This would have a retrospective effect on the OEE I guess? A correct OEE for the day is no longer possible in this way. What number should I now use?

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Calculate a monthly OEE

Q: My boss wants me to calculate and present a graphical OEE representation on a monthly basis. I present this as I do with the daily data. I calculate the monthly OEE  by taking the average of the daily OEE’s.

Is it alright to present a monthly OEE of the machines by calculating the average of the daily OEE’s in a month?

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