What is TRS?
Definition and importance of OEE
The Overall Equipment Effectiveness (OEE) is a key performance indicator used to measure the efficiency of industrial equipment. It is calculated as a percentage and takes into account three main factors: availability, performance, and quality. These elements are crucial for understanding how a machine or production line operates relative to its theoretical maximum potential.
Availability evaluates the time during which the equipment is operational compared to the total time planned for production. Performance measures the actual production speed compared to the theoretical maximum speed. Finally, quality examines the number of conforming parts produced compared to the total number of parts made. A high OEE indicates efficient and optimal use of resources, which can lead to cost reduction, better product quality, and increased production capacity.
Differences between OEE and TRS
While OEE focuses on the performance of a specific piece of equipment, the Synthetic Yield Rate (TRS) takes into account the entire production chain. OEE integrates additional variables such as losses related to logistics or other processes upstream and downstream of production. Thus, OEE is a more targeted tool for diagnosing and improving the performance of individual machines, while TRS provides a broader overview of overall production efficiency.
How is the OEE calculated?
Total time
Total time is the complete period during which a piece of equipment is supposed to be operational, including all planned and unplanned downtimes. It serves as the basis for measuring the machine’s availability.
Opening time
Opening time refers to the planned time during which production is expected to take place. It excludes planned downtime for maintenance or other scheduled interruptions.
Required time
Required time is the time needed to produce a certain amount of products, assuming the equipment is running at its maximum speed.
Operating time
Operating time is the duration during which the equipment is actually running and producing parts. It is crucial for determining availability.
Net time
Net time is the operating time minus performance losses due to slowdowns or small interruptions.
Useful time
Useful time is the net time adjusted for quality losses, i.e., the time spent producing conforming parts.
OEE calculation formulas
OEE is calculated by combining three main ratios that reflect the equipment’s performance.
State time ratio
The state time ratio is calculated by dividing the operating time by the opening time, expressed as a percentage. It indicates the equipment’s availability.
Produced quantities
The performance ratio is determined by comparing the actual quantity produced with the theoretical possible quantity, taking into account the maximum speed.
Availability
Availability is calculated by dividing operating time by total time. It shows how operational the equipment is when it is supposed to be.
Performance
Performance is the ratio between the actual production speed and the theoretical maximum speed. It reflects the efficiency of the machine.
Quality
Quality is the percentage of conforming parts produced compared to the total number of parts made. It indicates the proportion of defect-free products.
OEE = Operating time / Total time × Actual speed / Theoretical speed × Conforming parts / Total parts
Practical example of calculating OEE
Let’s consider a machine with a total time of 16 hours per day. Of these 16 hours, it is scheduled to operate for 14 hours (opening time) and actually operates for 12 hours (operating time). It produces 1,000 parts per day, with a theoretical speed of 100 parts per hour, meaning it should produce 1,400 parts in 14 hours. However, of these 1,000 parts, 950 are conforming.
- Availability: 12/16 = 75%
- Performance : 1000/1400=71.4%
- Quality : 950/1000=95%
Thus, OEE = 75% × 71.4% × 95% = 50.9%.
This example illustrates how each component of OEE contributes to the overall evaluation of the machine’s efficiency.
Why OEE is crucial for industrial performance
Continuous improvement and OEE
OEE is a fundamental tool for continuous improvement in the industrial sector. It helps identify inefficiencies and target areas that need improvement. By focusing on the three main areas – availability, performance, and quality – companies can develop a global strategy to optimize their operations.
Availability axis
The availability axis concerns the time during which equipment is operational and ready to produce. High availability means that machines are less prone to unplanned downtimes, which reduces time losses and improves production flow. By monitoring availability, companies can better plan preventive maintenance and reduce downtime.
Performance axis
The performance axis focuses on the actual production speed compared to the maximum theoretical speed. Optimal performance means that the equipment is running at its full potential, minimizing slowdowns and inefficiencies. By analyzing this axis, companies can identify bottlenecks and adjust processes to improve production speed.
Quality axis
The quality axis evaluates the proportion of conforming products compared to the total number of products made. Maintaining a high level of quality is essential to minimize product returns and scrap costs. Monitoring this axis helps detect and correct production defects quickly, ensuring customer satisfaction and the company’s reputation.
Case studies and recent examples
Many companies have leveraged OEE to transform their operations. For example, a large manufacturing company managed to increase its OEE by 15% in one year through better maintenance management and process optimization. By focusing on continuous improvement through OEE, it not only reduced production costs but also improved product quality, strengthening its competitiveness in the market.
Another example is a consumer goods manufacturing plant that used OEE to identify recurring quality issues. By analyzing OEE data, it implemented targeted training for its operators and adjusted its processes, leading to a significant reduction in production defects.
These examples demonstrate how OEE can serve as a strategic lever for improving industrial performance by providing measurable data to make informed decisions and guide continuous improvement efforts.
Tools and methods to optimize OEE
Evaluation software and tools
To optimize OEE, many companies turn to specialized software that allows them to track and analyze performance in real time. These tools provide custom dashboards, making it easier to visualize critical data such as operating time, downtime, and product quality. Some of the most commonly used software includes MES (Manufacturing Execution Systems) and CMMS (Computerized Maintenance Management System) solutions that integrate advanced features for OEE tracking and optimization.
These tools help not only to collect accurate data but also to quickly identify the root causes of inefficiencies. By using this software, companies can easily compare current performance with set objectives and make data-driven decisions to improve their production processes.
Digital transformation and technological tools
Digital transformation plays a key role in optimizing OEE. The integration of advanced technologies such as the Internet of Things (IoT), artificial intelligence (AI), and data analytics allows for real-time monitoring of equipment status and the anticipation of potential failures. IoT sensors, for example, can provide valuable data on temperature, vibration, and other performance indicators of a machine, contributing to more effective predictive maintenance.
Furthermore, automation and robotics technologies can reduce human errors and increase the speed and accuracy of production, positively impacting OEE. Digitizing production processes also improves traceability and resource management, which is essential for maintaining a high OEE.
Strategies to reduce costs and increase efficiency
Optimizing OEE also involves implementing strategies to reduce costs and improve overall efficiency. One common approach is the adoption of Lean Manufacturing methods, which focus on eliminating waste and continuously improving processes. By reducing non-value-added activities, companies can significantly increase their OEE.
Moreover, continuous employee training is crucial to ensure they are fully competent in using equipment and new technological tools.
Finally, analyzing historical data and regularly evaluating processes helps identify opportunities for improvement and implement effective corrective actions. By adopting a proactive approach and using the right methods and tools, companies can not only improve their TRS but also enhance their competitiveness in the market.
FAQ
How is TRS Calculated?
TRS is calculated by multiplying three key ratios: availability, performance, and quality. Each ratio is expressed as a percentage and reflects a specific aspect of equipment efficiency. The formula is:
TRS = (Running Time / Total Time) × (Actual Speed / Theoretical Speed) × (Conforming Parts / Total Parts)
For an accurate calculation, it is essential to measure each element correctly and take into account all time and quality losses.
What is a Good TRS?
A good TRS varies by industry, but generally, a TRS of 85% is considered excellent. This means the equipment is being used effectively and losses are minimized. However, achieving a TRS of 100% is rare and often unrealistic, as it would imply no downtime, performance losses, or quality defects. It’s important for each company to set its own goals based on its specific processes and constraints.
What’s the Difference Between TRS and OEE?
TRS (Overall Equipment Efficiency) and OEE (Overall Equipment Effectiveness) are both performance indicators used to evaluate production process efficiency. TRS specifically focuses on the efficiency of a single piece of equipment by analyzing availability, performance, and quality. OEE, on the other hand, considers the entire production chain, including logistical and organizational factors. Thus, OEE provides a broader view of overall company efficiency, while TRS is more targeted at individual machine performance.
How Do You Implement TRS?
Implementing TRS involves several key steps. First, it’s essential to gather accurate data on running times, downtimes, and product quality. Next, you should use a tracking tool or software that enables real-time TRS calculation and analysis. It’s also important to train staff on the importance of TRS and how to optimize it. Finally, regular meetings to review performance and identify opportunities for continuous improvement are crucial to maximizing the benefits of TRS in the company.
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