Introducing OEE as a measure of lean Six Sigma capability

Purpose – The current paradigm for assessing overall equipment effectiveness (OEE) is challenged as being anachronistic to the needs of businesses that now require a more holistic indicator of plant and process effectiveness. The purpose of this paper is to introduce a new framework that expands the original OEE measure to inform business performance at multiple levels focusing on adding benchmarkable indicators of asset management effectiveness and process capability. The ability to compare internal performance against external competition and vice verse is argued as being a critical attribute of any performance measurement system.Design/methodology/approach – The research methodology taken incorporated an action research approach using a pilot study combining case study research with an action research process of planning, observing and reflecting summarized as taking an action case research design.Findings – The OEE and related literature is replete with many different enhancements to the original OEE ...

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