What is OEE?

Overall Equipment Effectiveness
Availability * Performance * Quality

Standard to calculate machine effectiveness and manufacturing productivity, but moreover it also shows how and when the effectiveness got lost.

It started as an indicator to measure the effectiveness of production machinery, but can be perfectly used to measure any repetitive production process, even if it is workstations and production cells or lines with fully manual operations.


The total production time is affected by the various unplanned stops, such as machine breakdowns, waiting, machine starts, tool changes, material shortages, etc.


This part is affected by defective manufactured parts that do not meet the set standard.


This loss is affected by all the factors that cause it to operate at a lower speed than the maximum, such as tool wear, poor quality materials, operator inefficiencies, jams, etc.

Benefits of using OEE

The OEE is simple and practical. It takes into account the most common and important sources of productivity losses in manufacturing, classifies them into three main categories and extracts metrics that provide an excellent indicator to determine your current situation and from there to be able to face the improvement.

The calculation of the OEE is interesting because in a single indicator all the fundamental parameters of industrial production are evaluated and it constitutes one of the keys to Lean, helping to reduce production problems in a simple presentation

Companies invest heavily in machinery and production equipment and need to get the highest return on investment in the shortest time possible. The OEE allows you to track how efficient the equipment is being used.

Identifying how, when and where losses are occurring helps to attack, reduce or eliminate them.

It allows a more adequate and efficient use of the resources that a company uses.

When managed correctly, OEE fosters a collaborative workplace with a single source of information to search for problems and opportunities for improvement.

What are the leaders of manufacturing companies saying?



Have adopted OEE as one of their main metrics to measure manufacturing performance.



It is extremely / very important to track overall equipment effectiveness (OEE) levels in real time per machine to improve production line efficiency.



Consider increasing OEE accuracy as extremely important / very important.