Assume you are Operations Manager in company, which produces furniture. A. Identify the nature of your output (Is it service or product?). B. Identify the degree of customer contact in the company (will it be high or low?). Explain. C. Identify how difficult or easy it would be for you to measure productivity in the furniture producing company. Explain.

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Overall Equipment Effectiveness

Overall equipment effectiveness or OEE as it is known can be defined as a widely standard to measure manufacturing productivity. In other words, it can also be defined as the exact percentage of time which is productive. If the score of overall equipment effectiveness is 100%, it is an indication that only good parts are being manufactured with no stop time. Hence OEE of 100% means 100% quality, performance & also availability.