Total Effective Equipment Performance (TEEP)

What is Total Effective Equipment Performance?

Total effective equipment performance (TEEP) measures the overall efficiency of manufacturing operations by comparing the actual vs. planned uptime for all equipment in production lines. TEEP is an extension of overall equipment effectiveness (OEE), it uses the OEE percentage in its calculation, but goes beyond what OEE measures.

While OEE measures the efficiency of equipment during scheduled production time, TEEP extends this by including both actual production time and total time available for production. Therefore, managers get a more complete picture of machine performance.

Although it’s traditionally used in the manufacturing process, tracking total effective equipment performance as one of your performance metrics is useful for any facility. That’s because this metric provides a comprehensive overview of your current equipment performance.

Breaking Down TEEP

Total effective equipment performance gives facility managers data that informs overall operations effectiveness as well as overall equipment performance and is calculated using a formula that measures the following 4 factors.

1. Availability

An asset’s availability refers to the ratio that compares the percentage of time that it is operating vs. the total time it should be available. The availability factor provides key insights into how often a particular asset experiences unplanned downtime.

2. Performance

The performance metric measures how closely the actual speed of equipment matches its intended speed during planned production time. This metric helps assess whether or not the equipment is running at its full capability.

3. Quality

Quality measures the ratio of good units produced to the total units started. This ratio highlights how effective your production line is at delivering products that meet quality standards.

4. Utilization

Utilization calculates the percentage of total calendar time that is actually spent on production. This metric helps companies understand how much of the available time is being effectively used for production.

The Formula for TEEP

To calculate total effective equipment performance (TEEP), you first need to calculate overall equipment effectiveness (OEE). Here is the formula for OEE.

OEE = Availability x Performance x Quality

Once you have determined your OEE, you can calculate TEEP using the following formula.

TEEP = OEE % x Utilization %

For a more comprehensive breakdown of these formulas, please consult ServiceChannel’s more extensive TEEP guide.

Importance of TEEP in Facilities Management

Despite its association with manufacturing plant performance and metrics, TEEP has several other usages. Here are some of the reasons why facilities managers need to measure TEEP.

• It helps identify potential areas for increasing production capacity without the need for new equipment.
• It allows managers to gauge overall operations effectiveness and the impact that maintenance, unplanned downtime, equipment failure, or any other disruptions have on their current production schedule.
• You can determine how much total calendar time spent has equipment performing at full production capacity, including unscheduled time such as weekends and holidays.
• It helps facilities enhance efficiency by identifying non-productive times so they can adjust production schedules accordingly.
• You can optimize your operational efficiency by analyzing equipment effectiveness over time.

How to Implement TEEP at Your Facility

1. Collect Data

First, gather data on equipment availability, performance rates, and quality output. Assess all relevant equipment and record their operational statuses and production output.

2. Calculate TEEP

After collecting data, use it to calculate the TEEP metric for your facility. This calculation will help you understand the total effectiveness of your equipment.

3. Analyze Data

With the TEEP calculated, analyze the results to identify bottlenecks, trends, and areas needing improvement. This analysis helps pinpoint inefficiencies and allows managers to gain insights that can support strategic decision-making.

4. Put Insights Into Action

Finally, use these insights to develop strategies to enhance equipment efficiency, increase production output, and minimize downtime. Example strategies include optimizing maintenance schedules and providing additional training for operators.

Challenges With TEEP

Data Collection

Accurate data collection is a must for TEEP, but collecting it can be labor-intensive. This challenge intensifies if you work in a large facility that handles a large volume of data. Plus, equipment conditions and operational demands can change rapidly, which means production teams must constantly update systems.

Interpretation

Correctly interpreting TEEP data demands a deep understanding of both the metrics used and your facility’s operational goals. Misinterpretation can lead to misguided strategies that might hinder production performance rather than improve it.

Continuous Improvement

Using TEEP as part of your improvement strategy requires a lasting commitment and consistently available resources. Ensuring commitment often demands significant changes within your organization’s culture. Moreover, there’s a risk that teams may become complacent after seeing early success.

How to Mitigate TEEP Challenges

Invest in Automated Data Collection

Investing in automated data collection systems can significantly alleviate the challenges associated with manual data gathering. Automation reduces staff workloads, prevents human error, and increases operational efficiency.

Set Clear Benchmarks

Setting clear benchmarks is essential for effective TEEP interpretation. These benchmarks serve as a standard against which equipment performance is measured. As a result, it’s much easier to determine when processes fall below expectations.

Foster a Culture of Continuous Improvement

Cultivating a culture of continuous improvement is key to maximizing the benefits of using TEEP. Doing so involves the regular use of TEEP and other performance metrics, to guide maintenance decisions and operational practices. Encourage plant managers to understand what TEEP measures and how to use it.