Overall Equipment Effectiveness (OEE) measures how efficiently a machine, process, or production line is performing by comparing the number of defect-free products it produces to its maximum potential output. An OEE score of 100% indicates that the equipment is operating at peak capacity with no losses, downtime, or defects.
OEE is composed of three critical components:
By analyzing these three factors, manufacturing professionals, production managers, and maintenance teams can identify bottlenecks, inefficiencies, and waste, implement process improvements, and maximize equipment productivity. OEE provides a powerful metric for continuous improvement, lean manufacturing, and overall operations excellence.