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How to measure Overall equipment effectiveness (OEE) ?

Overall Equipment Effectiveness (OEE) is a metric that measures the performance of a manufacturing process or equipment. It is used to identify and track inefficiencies, and to prioritize areas for improvement. The OEE metric is typically calculated using the following three factors:

  1. Availability: This is a measure of how often the equipment is available to run production. It is calculated by taking the total time the equipment is available to run production, and dividing it by the total time the equipment could have been available to run production.
  2. Performance: This is a measure of how well the equipment is running when it is available. It is calculated by taking the total production output, and dividing it by the expected production output, based on the equipment's design speed.
  3. Quality: This is a measure of how much of the production output is free of defects. It is calculated by taking the total good production output, and dividing it by the total production output.


The overall OEE score is then calculated by multiplying the availability, performance, and quality scores together. The resulting percentage represents the overall efficiency of the equipment.



To measure OEE, it is important to collect data on the equipment's availability, performance, and quality. This can be done through manual data collection or by using automated data collection systems. Some manufacturing systems have OEE monitoring built in, also. Once data has been collected, it can be analyzed to identify areas for improvement and to track progress over time.

It's also important to note that OEE calculation is not only limited to manufacturing equipment, but it can also be used in service, logistics and healthcare operations

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