The Three OEE Factors & Six Big Losses
Overall Equipment Effectiveness (OEE) is the industry standard for measuring manufacturing productivity and asset utilization. By breaking production losses down into Availability (downtime), Performance (speed slowdowns), and Quality (defective parts), maintenance and operations teams can pinpoint root causes.
Formulas
Worked Industrial Example
During an 8-hour shift (480 planned minutes), a stamping press experiences 47 minutes of unplanned breakdown downtime. The press has an ideal cycle time of 1.0 minute per part. It runs a total of 400 parts, of which 380 meet quality inspection standards.
Results:
- Availability: (480 - 47) / 480 = 90.21%.
- Performance: (400 × 1.0) / 433 = 92.38%.
- Quality: 380 / 400 = 95.00%.
- OEE: 0.9021 × 0.9238 × 0.95 = 79.17%.
Frequently Asked Questions
Can Performance ever exceed 100%?
Mathematically yes, if parts are produced faster than the entered Ideal Cycle Time. However, in practice this indicates that the Ideal Cycle Time standard is outdated or underestimated and should be recalibrated to reflect actual equipment capability.