Performance measurement on lease equipment with overall equipment effectiveness

The paper proposes equipment maintenance strategies using age reduction methods. The chosen maintenance strategy is the optimal preventive maintenance (PM) policy, which is expected to minimize total costs. In addition, the proposed strategy is expected to improve equipment performance as measured by the Overall Equipment Effectiveness (OEE). PM is done to reduce failure and avoid penalties as a result of failure. Meanwhile, Corrective Maintenance (CM) is carried out by the lessor (equipment owner) to correct the failure with minimal repairs in the lease period. In the present study, an efficient algorithm was developed to obtain an optimal PM policy and a closed form solution was obtained for case where the lifetime distribution of the equipment was Weibull. The total cost expected to use the optimal PM policy under the proposed maintenance scheme was then compared with the performance of other policies under various maintenance schemes through numerical examples.