Optimizing Auto Manufacturing: A Holistic Approach Integrating Overall Equipment Effectiveness for Enhanced Efficiency and Sustainability

Abstract

In the face of pandemic-induced emergencies and unpredictable natural disasters, industries are compelled to implement rescue plans to mitigate unexpected risks. In this context, Overall Equipment Effectiveness (OEE) is considered as a key metric, followed by sustainability efforts to manage unforeseen risks, encompassing social, environmental, and economic aspects. OEE is considered as a lean tool to determine the efficiency of equipment or processes on par with the world class OEE standard, i.e., 85%. Performance, Availability and Quality as three main drivers of OEE. This research study explores the implementation of OEE in conjunction with sustainability principles in an auto sector manufacturing firm, aiming to enhance operational efficiency and sustainability practices. The research involves a 12-week initial session from April to June 2022, followed by an analysis of July to September 2022, resulting in an impressive OEE value of 48%. Notable improvements in Availability (89.75%), Performance (72.68%), and Quality (73.82%) contribute significantly. The analysis reveals enhancements in scrap rework (17%), training (16%), maintenance (13%), material availability (12%), and production capability (11%). Achievements include improvements in green profile (25%), health and safety (20%), and energy efficiency (25%), along with reductions in carbon dioxide emissions (21%), waste management (17%), and scrap (15%). This research underscores the commitment of the case study industry to sustainable development and economic growth, showcasing significant enhancements in product quality and efficiency. The integration of sustainability principles into OEE initiatives is pivotal for modern industrial optimization. The study results highlight the profound significance of this synergistic relationship, particularly within the blending section, driving substantial positive outcomes in manufacturing processes and operational excellence. The implementation of sustainability efforts not only mitigates risks and fosters growth for automotive manufacturers but also yields environmental benefits. Based on findings of this study, a roadmap for automotive manufacturers is devised to achieve robust OEE while concurrently reaping economic and environmental rewards by employing sustainability principles.