Overall Equipment Effectiveness: Required but not Enough—An Analysis Integrating Overall Equipment Effect and Data Envelopment Analysis

Fabio Antonio Sartori Piran (), Alaércio De Paris (), Daniel Pacheco Lacerda (), Luis Felipe Riehs Camargo (), Rosiane Serrano () and Ricardo Augusto Cassel ()
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Fabio Antonio Sartori Piran: Universidade Do Vale Do Rio Dos Sinos
Alaércio De Paris: Universidade Do Vale Do Rio Dos Sinos
Daniel Pacheco Lacerda: Universidade Do Vale Do Rio Dos Sinos
Luis Felipe Riehs Camargo: Universidade Do Vale Do Rio Dos Sinos
Rosiane Serrano: Federal Institute of Education, Science and Technology of Rio Grande Do Sul- Campus Erechim
Ricardo Augusto Cassel: Universidade Federal Do Rio Grande Do Sul

Global Journal of Flexible Systems Management, 2020, vol. 21, issue 2, No 5, 206 pages

Abstract: Abstract The efficiency levels at which companies turn inputs into outputs may increase their competitive capacity. Nevertheless, in the literature, there is a lack of methods allowing evaluation of the performance of operations in production systems that take into account all of their components. The objective of this study is to present an analysis of efficiency for a production system using DEA and OEE in an integrated manner (DEA/OEE). To achieve this objective, we conducted a case study of a bus manufacturer and a comparative analysis using the results obtained by DEA/OEE compared with the results of the OEE measured in an operation of the company studied. The efficiency measured by DEA/OEE presents differences in relation to OEE results. The analysis of the causes of such differences pointed out that action taken to improve the OEE indicator decreased the efficiency of the operation analyzed. This study evidences that decision-making focused on improving OEE on its own may lead to an increase in the consumption of resources during an operation. Such an increase does not necessarily increase production levels and may reduce technical efficiency.

Keywords: Data envelopment analysis; Operational performance evaluation; Overall equipment effectiveness; Performance measurement (search for similar items in EconPapers)
JEL-codes: C14 (search for similar items in EconPapers)
Date: 2020
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Citations: View citations in EconPapers (1)

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DOI: 10.1007/s40171-020-00238-6

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