Summary Financial OEE

Where OEE visualizes the effectiveness losses on manufacturing machines, financial OEE visualizes its financial impact.

OEE Losses are expressed in ‘Time’, ‘Units’ or Percentages.

However, depending where and how such losses might occur, they may have a different financial impact.

E.g. Items not produced due to “no raw material available”, versus due to a “breakdown”, will have a different cost effect.

Items not produced versus items wrongly produced, both are items that cannot be sold. In the first lost product, only little money got in. In the last one ALL money went in, and maybe even more since scrapping or dumping might be even costing money.

‘Financial OEE’ follows the lost cascade in a specific OEE situation and translates each activity (time) and output (items) element to its financial consequences. This results in an OEE specific financial result.