📊 What is OEE (Overall Equipment Effectiveness)?
OEE is a key Lean & TPM metric used to measure how effectively a machine or process is utilized compared to its full potential.
OEE = Availability × Performance × Quality
🕒 Availability
Measures losses due to downtime
Breakdowns
Changeovers
Unplanned stops
Formula:
Run Time ÷ Planned Production Time
🔧 Focus: Reduce downtime and improve maintenance discipline
⚡ Performance
Measures speed losses
Slow cycles
Minor stoppages
Running below ideal speed
Formula:
(Ideal Cycle Time × Total Count) ÷ Run Time
🚀 Focus: Run the process at designed speed
✅ Quality
Measures defect losses
Scrap
Rework
Formula:
Good Count ÷ Total Count
🎯 Focus: Right-first-time production
📌 Example OEE Calculation
Availability = 87.5%
Performance = 83.3%
Quality = 95%
👉 True OEE = 87.5 × 83.3 × 95 = 69.2%
🔑 Key Takeaway
OEE is NOT just one metric.
Weakness in any one leg reduces overall effectiveness.
🧠 Improve Availability, Performance, and Quality together for sustainable productivity.
source : Six Sigma Manufacturing
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