By: Mahzad Pakzad SSBB Consultant

February 19, 2015

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EngineeredSix Sigma Measure Methodology for OEE!

or:

OEE FOCUSED SPC

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This presentation is designed to simplify the Six Sigma Methodologies used to support management to apply strategically planned operations management and practical statistical process control tools, in order to Effectively Monitor and Control the Process Equipment and their outputs, and focused on Overall Equipment Effectiveness and SPC Measurements.

Main justification for applying the methods suggested here in an actual operations is Cost of Quality, which may not be as important to low end products in todays’ markets.

Cost of Quality not only can be calculated as loss during production (labor + materials), it also needs to be evaluated and priced as loss of sales and even customers to the competitors.

Doing it right the first time might look more expensive on paper, at first, however, if the justification is prepared by “Experienced People”, it can be proven that a well engineered operation that applies innovative solutions to align products’ designs, processes, and process controls, not only can deliver a more cost effective product, but it could also increase sales by increasing customer loyalty and establishing a brand name that can be “Trusted for Reliability and Quality”.

INTRODUCTION

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• Expenditures on R & D and Production are Limited based on ROI.

• Innovative solutions can justify the expenditure on Advanced Technologies or Methods to improve both Quality & Productivity.

• Improved Quality & Productivity can result in “Increased Sales”, and enable companies to increase their expenditure on R & D, New Products Development, and New Processes & Production Equipment Development, which in return support more jobs and Improved Economy.

• This presentation is a combination of “Industry Practiced Standards” & “30 years of Practicing Proven Advanced Engineering Methods used for Reliable Equipment Design & Development” to justify investment in production for a variety of industries & to increase profit by aligning Customer Needs with Design Specs, Processes, Equipment, & Quality Systems.

INTRODUCTIONCont’d

In a nut shell we want to “Apply Methods Engineering to Improve on Effectiveness of Six

Sigma Methodologies Overall Equipment Effectiveness, Reliability”, and SPC

Measurement”, used by many industries, by calling the audiences’ Attention and Focus on Developing

Measurement Systems based on a Thorough Knowledge of Their Specific Products and Equipment

Design Requirements to Deliver Customers’ Requirements Consistently, & Support Increased

Sales & Profits Earnings, That Support Economy & Jobs.

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QUALITY SYSTEMS CAN ONLY SUPPORT OTHERS

WITHIN ORGANIZATION TO DELIVER CUSTOMERS’

REQUIREMENTS

FINISHED GOODS

QUALITY

CUSTOMER

VOICE

FINANCE

INTERNAL BUSINESS

PROCESSES

QUALITY SYSTEM

COMPANY LEARNING & GROWTH

SUPPLIER

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OBJECTIVE SUMMARY:Overall Equipment Effectiveness Programs are not processes that could be cookie cut copied. That is why implementing industry standards for OEE, Reliability, and SPC may not prove effective for all.

Equipment efficiency depends on equipment’s ability to handle the products’ variations per specified requirements for the processing the parts, and control variables’ limits as required in order to maintain the output consistent. The tuning and or calibration requirements must be pre-determined for a scheduled Preventive Maintenance. For each application these criteria may vary based on:

• Built equipment structure, & controls needed to have the ability to deliver reliably;

• Processes Speed, Sensitivity and Equipment Accuracy/Precision needed to handle the variation of incoming materials/products, while maintaining a robust output per design spec and quality needs.

• Installation and Reliability of Services/Utilities needed.• Effects of Production or Operational Environment on

Machinery Performance• Operations / Set-up Training and Adequacy • Preventive Maintenance Requirements / Management

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OBJECTIVE SUMMARYCont’d

I) SET THE REQUIRED PRODUCTS’ SPECIFICATIONS:

First and most important step that many overlook is: • to clarify design specs for parts/media being processed, and identify the required

specification limits for outputs and inputs as well.

II) DETERMINE PRODUCTION & PROCESS REQUIREMENTS:• by collaboration between Manufacturing Engineer, Production (PM + Operations),

and Quality Team, Project Manager (May be Mfg. Eng.) • to develop a Realistically Practical and Reliable quality system for monitoring and

controlling the processes/equipment and their outputs. • This includes having appropriate SPC tools to monitor products and processes as

needed, & decide if they need to be automatically managed.

III) MANAGE DESIGN & DEVELOPMENT OF EQUIPMENT:

The Equipment Project Engineer (ME?) must work with equipment Suppliers/ Manufacturers to choose best options for each Specific Application.

HINT:

For those with existing equipment that have limited capability: • the limitations (inconsistencies due to materials variation, environmental temperature

changes,…) must be identified, by tests, DOE,..• Appropriate measures for monitoring and controlling processes & Products Quality

must be set as a Regular Part of Operation, not after the interruptions due to quality issues or machine breakdowns,

• then a careful adjustment to standard procedures for production (operations, PM,..) and IE standards, must be made.

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JURAN ‘S HANDBOOK QUOTES:A business process is the logical organization of people, materials, energy, equipment, and information into work activities designed to produce a required end result (product & / or Service).

Three principal dimensions for measuring the quality of this process are:

• Effectiveness: how well the output meets customer needs

• Efficiency: the ability to be effective at least cost.

• Adaptability: the ability to remain effective and efficient in the face of change

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Equipment

Processes

Products + Process Design

Specifications

Quality System

QUALITY SYSTEMS MAINLY

• SUPPORT & ENFORCE “CORRECT” DEPLOYMENT OF PRODUCTS, & PROCESSES DESIGN SPECIFICATIONS DEVELOPED BY OTHER BUSINESS UNITS.

• KEEP ON SUPPORTING PRODUCT QUALITY BY MONITORING / CONTROLLING LIMITS SET BY DESIGN.

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An Advanced Quality System Monitors and Manages Control of all Designs:DESIGN For x:

QUALITY CONTROL

MANUFACTURING METHODS

CUSTOMER REQUIREMENTS

• Design for Manufacturing• Design for Assembly• Design for Service• Design for Cost

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