Manufacturing efficiency is a vital goal for every business. To survive in a competitive market and increase profitability, production processes must be optimized to the highest level. In this regard, Total Equipment Effectiveness is a key indicator used to measure and increase production efficiency.

Equipment effectiveness provides a measure of how available, how quickly, and how error-free a piece of equipment is over a given period. This allows you to identify the source of production losses and make improvements.

Total Equipment Effectiveness is calculated by multiplying three key factors:

• Availability Rate: It indicates how long the machine is operational according to the planned production time.
• Performance Rate: It is an indicator of how fast the machine operates relative to the ideal production rate.
• Quality Rate: It is an indicator of how many of the products produced are error-free.

Benefits of Total Equipment Effectiveness

Total Equipment Effectiveness is an indicator used to measure and increase efficiency in production. Tracking and improving this metric has many benefits, including:

Identify Production Losses and Bottlenecks: Equipment effectiveness helps you identify the source and extent of production losses. This gives you a clear picture of where you need to improve.

Improving Production Planning and Control: By tracking equipment effectiveness, you can better plan your production capacity and control your production processes more effectively.

Accelerating the Return on Equipment Investments: Increasing equipment effectiveness shortens the return on your investments by ensuring more efficient use of your equipment.

Improving Product Quality and Customer Satisfaction: Improving equipment effectiveness increases product quality and customer satisfaction by reducing errors and defects in production.

Reducing Costs and Increasing Profitability: Improving equipment effectiveness reduces losses and waste in production, thus reducing costs and increasing profitability.

Additionally:

• Equipment effectiveness can be used to justify equipment investments.
• Equipment effectiveness can be used to evaluate employee performance.
• Equipment effectiveness can be used to compare between different production facilities and companies.

Monitoring and improving equipment effectiveness is an important step in increasing production efficiency and boosting the competitiveness of your business.

Total Equipment Effectiveness Calculation Formula

Total Equipment Effectiveness = Availability Rate x Performance Rate x Quality Rate

The future

Total Equipment Effectiveness is a key indicator used to measure and increase productivity in production. Equipment effectiveness is expected to continually improve and improve in parallel with technological advancements and changes in production processes.

Some key trends for the future development of equipment efficiency are:

• Artificial intelligence and machine learning: Artificial intelligence and machine learning technologies can be used to make equipment efficiency calculations more automated and accurate. These technologies can also be used to predict losses and bottlenecks in production processes and take preventative measures.
• Internet of Things (IoT): IoT sensors can be used to collect real-time data from manufacturing equipment and processes. This data can be used to track and analyze equipment activity more instantly and in greater detail.
• Cloud computing: Cloud computing platforms can be used to store, analyze, and visualize equipment activity data. These platforms can also be used to aggregate and compare equipment activity data across production facilities in a single platform.
• Augmented reality (AR) and virtual reality (VR): AR and VR technologies can be used to visualize equipment activity data and provide operators with information that helps them optimize production processes.

The future of equipment efficiency looks brighter with more data, more automation, and more connectivity. These advancements will help companies increase their competitiveness by driving greater production efficiency and profitability.

 Ways to Increase Overall Equipment Effectiveness

Many different methods can be used to increase Overall Equipment Effectiveness. Some of the most common and effective methods include:

Maintenance and Repair Activities: Regular and effective maintenance and repair activities increase equipment effectiveness by reducing equipment failures and downtime.

Operator Training: Training for machine and equipment operators increases equipment effectiveness by ensuring more accurate and efficient use of equipment.

Optimization of Production Processes: Optimizing production processes using methods such as lean manufacturing principles plays an important role in increasing equipment effectiveness.

Quality Control Systems: Improving quality control systems in production and preventing defects increases equipment effectiveness.

Data Collection and Analysis Systems: By establishing data collection and analysis systems, it is possible to analyze equipment effectiveness, components and production losses in detail and to carry out improvement studies in these areas.

Automation and Technology Investments: Investing in automation and new technologies can significantly increase equipment effectiveness by making production processes faster, more reliable and more efficient.

Motivation and Employee Engagement: Increasing employee motivation and engagement increases equipment effectiveness by encouraging them to take better care of equipment and pay more attention to production processes.

5S Principles: Applying 5S principles (order, tidiness, cleanliness, health, discipline) to the workplace increases equipment effectiveness by making the workplace more organized and safer.

Total Quality Management: Implementing total quality management (TQM) principles increases equipment effectiveness by ensuring continuous improvement of production processes.

By calculating equipment effectiveness and tracking it over time, you can identify production losses and make improvements. This allows you to improve production planning and control, accelerate the return on your equipment investments, improve product quality and customer satisfaction, reduce costs, and increase profitability.

As Yalın,   we provide consultancy and training services on all the subjects that companies need to increase equipment efficiency.