Overall Pricing Effectiveness Takes Lessons from Overall Equipment Effectiveness
Overall Equipment Effectiveness (OEE) is a quality systems management tool. It enables manufacturers to assess the effectiveness of a plant. By looking at equipment availability, performance and quality output, a manufacturer can identify major losses, create road maps to problems and enhance capacity.
While overall equipment effectiveness has proved highly effective in many industries, there is an even better option. Overall pricing effectiveness (OPE) uses OEE as a base layer and improves upon it. By assessing insight, management, and realization, companies are using OPE through Pricefx to fully optimize for profitability.
At its best, OPE takes the lessons learned from OEE in order to reach a more beneficial outcome. Rather than looking just at the plant floor, OPE analyzes all processes with incredible detail. As a result, the OPE SaaS automation model has become a desirable option for manufacturers. In that, it does not looks at the maximum output of a plant, but the maximum profitability from each customer.
Read more about overall pricing effectiveness with Pricefx here from Gabriel Smith in this Automation Media Post.