The Human Performance Impact on OEE in the Adoption of New Production Technologies

Abstract

The initial adoption phase of new production technologies is the period between the first production run or technology reconfiguration and the achievement of a stable target output. This time frame is generally characterized by productivity unsteadiness, quality performance variability, and unexpected machine failures together with increasing production volumes due to the process setup and instability, which inevitably affects production output. In this context, human performance represents an additional source of variability and process instability that is dependent on the workers’ productivity, learning curve and related training activities. Hence, to effectively assess the ramp-up phase of new production technologies, an appropriate evaluation of human performance is required. This paper proposes a comprehensive framework and criteria to perform a consistent assessment of the initial adoption phase of new production technologies by introducing two OEE measurement methodologies that distinguish between human performance, process configuration and technical features of the production technology. The proposed framework is then applied to and validated by a case study concerning the introduction of a semi-automatic packaging machine in a primary multinational company in the logistics industry. This case study shows the difference between the two OEE measures, along with the values interpretation and useful insights for achieving a stable production output.

Linking resource bundling and logistics capability with performance: study on 3PL providers in India

“…According to strategy literature, firm's competitive advantage increases as its technical resources increase (Barney and Clark, 2007) Advanced technology and equipment, as track-and-trace systems, and web-based systems, enable 3PLs to monitor shipments in novel ways and offer prompt customer service (Senthil et al, 2020). Luozzo et al (2021) in their study proposed a framework of two different OEE measurement methodologies that distinguish between human-technological factors for an organisation.…”

“…, 2020). Luozzo et al. (2021) in their study proposed a framework of two different OEE measurement methodologies that distinguish between human-technological factors for an organisation.…”

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“…9 While attention was originally focused on assessing equipment, machinery, and other tangible factors in manufacturing processes, investigating the relationship between human factors and Overall Equipment Effectiveness has become crucial to achieving a competitive advantage. 10 As stated by Nakajima, 1 even highly automated plants cannot eliminate the positive and negative impact of manpower on manufacturing outcomes. For example, manual maintenance and retooling activities can affect execution times, Performance Efficiency, or Quality Rate during visual inspection.…”