OEE (Overall Equipment Effectiveness) vs. TEEP (Total Effective Equipment Performance)
1️⃣ Definition 🔷 OEE: Assesses how well equipment performs during scheduled production time 🔷 TEEP: It shows how effectively equipment is utilized relative to its full capacity. 2️⃣ Objectives 🔷 OEE: Identify and eliminate losses during scheduled production time (availability, performance, quality) to Improve equipment efficiency and reliability. 🔷 TEEP: Maximize equipment utilization over its theoretical full capacity and highlight opportunities to increase production by reducing downtime or extending operational hours. 3️⃣ Formula for Calculations 🔷 OEE = Availability × Performance × Quality Availability = (Uptime ÷ Scheduled Production Time) Performance = (Actual Output ÷ Ideal Output) Quality = (Good Units ÷ Total Units Produced) 🔷 TEEP = OEE × Utilization Utilization = (Scheduled Time ÷ Total Time Available) 4️⃣ Example to Illustrate OEE and TEEP 🔸 🔦 A factory operates a machine that is capable of running 24 hours a day, 7 days a week (168 hours per week). 🔸 Scheduled Production Time: The machine is scheduled to run for 100 hours per week. 🔸 Actual Run Time: The machine runs for 90 hours during the scheduled 100 hours (10 hours lost due to breakdowns). 🔸 Performance Loss: During the 90 hours of actual run time, the machine runs at 80% efficiency due to minor stoppages or slowdowns. 🔸 Quality Loss: Out of 10,000 units produced, 9,500 units are good (5% defect rate). ➡️ Step 1: Calculate OEE: 1. Availability = Uptime / Planned Production Time = 90 / 100 = 0.90 (90%) 2. Performance = Actual Output / deal Output = 0.80 (80%) 3. Quality = Good Units / Total Units Produced = 9500 / 10000 = 0.95 (95%) ✔️ OEE= Availability × Performance × Quality = 0.90 × 0.80 × 0.95 = (68.4%) ➡️ Step 2: Calculate TEEP: 1. Utilization = Planned Production / Time Total Time Available = 100 / 168 = 0.595 (59.5%) ✔️ TEEP = OEE × Utilization = 0.684 × 0.595 = 0.407 (40.7%) 5️⃣ Explanation of Results: 🔷 OEE (68.4%): Indicates that the machine is performing at 68.4% effectiveness during the scheduled 100 hours. This highlights the losses during scheduled time (availability, performance, and quality). 🔷 TEEP (40.7%): Reflects that the machine is utilized at only 40.7% of its full potential (168 hours per week). This emphasizes the opportunity to increase production by either extending operational hours or addressing unscheduled downtime.