Improving overall efficiency: understanding OEE and OEMs

Written by Ravinder Singh

Dec 1, 2025

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In today’s industrial context, the constant quest for improved efficiency and productivity is crucial. Overall Equipment Effectiveness (OEE) is a key indicator for assessing equipment performance in plants. Understanding its relationship with OEMs (Original Equipment Manufacturers) is essential for identifying competitive levers and reducing operating costs. However, many companies still struggle to maximize their OEE, hampering their ability to respond effectively to market demands.

One of the main obstacles to optimal OEE is the lack of visibility and understanding of machine stoppages, slowdowns or faults. These factors have a direct impact on productivity, increase unplanned downtime and generate additional maintenance costs. The challenge is all the more complex when equipment is sourced from different OEMs, making it difficult to harmonize practices and benchmark performance.

To overcome these challenges, companies can adopt a systematic approach to continuous improvement and shop-floor digitization. The use of tools such as those from TeepTrak enables real-time monitoring of OEE and analysis of the root causes of inefficiencies. Setting up real-time monitoring and analyzing data from several production lines can help standardize practices and inform strategic decisions.

A concrete example is the application of these principles in an automotive parts manufacturing plant. Faced with variations in performance between its various production lines equipped by different OEMs, the plant adopted TeepTrak‘s real-time monitoring solution. This reduced downtime by 20% and improved OEE by 15% in one year, by quickly identifying bottlenecks and optimizing maintenance processes.

For any company seeking to improve its competitiveness, it is essential to start by accurately measuring its OEE. With appropriate tools, such as those offered by TeepTrak, management teams can not only identify opportunities for improvement, but also implement corrective actions based on concrete data. Launching a structured OEE improvement project can deliver numerous benefits: cost reduction, resource optimization and improved product quality.

FAQ

Question 1: How does OEE impact industrial performance?

OEE provides an accurate measure of equipment efficiency, directly impacting productivity, product quality and operating costs. Improved OEE translates into reduced downtime and increased yield.

Question 2: Where do I start to improve the OEE in my plant?

It’s crucial to start with an accurate assessment of your current OEE. Use real-time monitoring solutions to identify inefficiencies and prioritize corrective actions based on the data collected.

Question 3: What is the relationship between OEM and OEE?

OEMs supply essential equipment for your production. Proper integration and maintenance of OEM equipment has a direct impact on your OEE, enabling smoother operation and optimum maintenance.

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