How to inform MANAGERS
Although the OEE data are first and foremost meant for the production team, the OEE information is most definitely very useful for managers. Among other things, the information generated helps managers to:
- Get a clear picture of the losses that influence the profitability of the company;
- Make choices when drawing up plans for improvement;
- Make choices when making investments;
- Make decisions with regard to allocating resources (“Where can I best produce this specific product?”);
- Have the various parties communicate on the basis of facts.
How to use it
Managers can consult the tables and charts of the OEE Coach to get an overall picture of the OEE value, availability-, performance-, and quality rate, of each machine and each shift. In its efforts to increase the profitability, the OEE Coach answers important questions, such as:
- How high is the hidden capacity?
- Do we really have to add another machine/team?
- By how much does the OEE have to increase in order to produce without having personnel working overtime?
- By how much do we have to increase the OEE for installation X not to be a bottleneck any longer?
- Where can that increase of the OEE be obtained?
- Does the team have any ideas on how to effectuate that increase?
- How much more good product can I expect if I were to make a large investment in, for example, a maintenance management system or an industrial robot?
- Are maintenance and time allocated for cleaning a mere expense or are they actually improving the effectiveness?
- How effective is the new machine, and how is the performance of the old one?
- Is machine X a real improvement or is it just a matter of cosmetics?
- How much capacity can I promise with confidence?
The focus effect
Every production line manager knows the effect: if you are standing beside a machine it starts to run better ‘spontaneously’.
Such an effect can occur with the implementation of OEE: due to the focus it created, the OEE increases. Generally speaking, this effect is, however, temporary in nature. Management (from all levels and disciplines) can maintain this effect by analyzing the figures at the production line on a regular basis, preferably together with the team. In addition, management must continually ask ‘how did this happen?’ and ‘what can we do to…’.
Important: Be there to HELP, not to BLAME. If you still believe the team is to be blamed for their performance we strongly advise you to join the team for just ONE shift, in order to experience their actual problems (and frustrations…).
The message the manager sends by doing this is explicit:
- What is happening here, is important to me.
- I am thinking along with you.
- I am taking you seriously.
- I understand your problems that we see in the losses of OEE diminish your quality of life ánd raise our cost
- I would like to help you – and I am offering active support.
- I am asking for your help with realizing our company’s higher objectives.