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Measuring Overall Equipment Effectiveness (OEE) is important for identifying areas of improvement within a Manufacturing Process such as Quality, Performance and Availability losses. In many cases one maybe related to the other. This paper explores how “OEE on the Cloud Computing platform” offers a unique value proposition that can greatly help reduce Production downtime and other losses. This solution enables the enterprise to monitor the production process in real-time and in a cost effective manner. This paper also analyzes some of the challenges faced in implementing such a solution and means of overcoming these challenges.

OEE or Overall Equipment Effectiveness is the metric that ties machine availability, performance and part quality together. OEE is calculated using the formula, OEE = Machine Availability x Machine Performance x Quality of parts produced by the machine. The ideal value for plant OEE is 100% which means all machines have zero downtime, full availability and are not making any non conforming parts. Studies show that average OEE in the manufacturing industry is about 60% whereas world class OEE is 85%. Most manufacturers have room for improving their OEE. In order to improve OEE, this metric needs to be monitored for all machines or equipment in the plant. And there is nothing simpler than a dashboard to monitor OEE for plant equipment.

Increasingly Automotive OEMs and their suppliers find themselves spread across different continents. This in turn gives rise to knowledge, physical assets and key decision makers also being spread across the globe. This poses significant challenges for the companies to effectively manage and keep track of their resources. It is also challenging to work with teams spread across globe and for the team to arrive at intelligent decisions quickly and efficiently. In last few years we have spent significant amount of person hours trying to create systems and Software to help manage Workflow and Assets spread across diverse Geographic and Political areas.