Capacity & Capability Modeling involves a complex study of how your processes, equipment, and products all fit together. The term used for this is OEE and can be defined as follows:
"Overall equipment effectiveness (OEE) is a hierarchy of metrics which focus on how effectively a manufacturing operation is utilized. The results are stated in a generic form which allows comparison between manufacturing units in differing industries.
OEE measurement is also commonly used as a key performance indicator (KPI) in conjunction with lean manufacturing efforts to provide an indicator of success.
OEE can be best illustrated by a brief discussion of the six metrics that comprise the system. The hierarchy consists of two top-level measures and four underlying measures.
The two top-level metrics
Overall equipment effectiveness (OEE) and total effective equipment performance (TEEP) are two closely related measurements that report the overall utilization of facilities, time and material for manufacturing operations. These top view metrics directly indicate the gap between actual and ideal performance.
Overall equipment effectiveness quantifies how well a manufacturing unit performs relative to its designed capacity, during the periods when it is scheduled to run.
Total effective equipment performance (TEEP) measures OEE effectiveness against calendar hours, i.e.: 24 hours per day, 365 days per year.
The four underlying metrics
In addition to the above measures, there are four underlying metrics that provide understanding as to why and where the OEE and TEEP performance gaps exist.
The measurements are:
The staff at QMS have extensive experience performing OEE metrics. If you would like to discuss this in greater detail please contact us.