See where the hours go.
From one period's time and output: availability, performance, quality, OEE and TEEP, and the hours each loss takes.
How it is worked outHow OEE is worked out.
Three ratios, each a standard one, multiply into OEE. The calendar time beside them gives TEEP, the share of all the hours that made good units.
- Availability
Run time ÷ planned production time, where run time is planned time less stops.
ISO 22400-2 defines it as actual production time over planned busy time.
- Performance
Ideal cycle time × units produced ÷ run time.
ISO 22400-2 calls it effectiveness. Slow running and short stops nobody writes down show up here.
- Quality
Good units the first time ÷ units produced.
The quality ratio of ISO 22400-2. A reworked unit counts as lost, because its first pass was not good.
- OEE
Availability × performance × quality: the share of planned time that makes good units at the ideal speed.
Nakajima's ideal conditions give about 85%, often called world class. A study of about 20 cases measured around 55%.
- TEEP
Fully productive time ÷ calendar time.
OEE judges the hours that were planned. TEEP counts every hour, so it shows the capacity the plant leaves unused.
Every figure is yours and every formula is a standard one. Measured at the machine instead of written down after the shift, the same formulas show which losses are real.
Sources
- ISO 22400-2:2014, Automation systems and integration: key performance indicators for manufacturing operations management, Part 2: definitions and descriptions. International Organization for Standardization. iso.org
- Seiichi Nakajima, Introduction to TPM: Total Productive Maintenance, Japan Institute of Plant Maintenance, English edition 1988: availability above 90%, performance above 95% and quality above 99%, together about 85%.
- Örjan Ljungberg, “Measurement of overall equipment effectiveness as a basis for TPM activities”, International Journal of Operations & Production Management 18(5), 1998: about 20 cases, OEE around 55%. doi.org
