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Glossary · Manufacturing and logistics

OEEOverall Equipment Effectiveness

OEE (Overall Equipment Effectiveness) is the indicator that sums up in one percentage how much a machine or a line really produces against what it could produce.

OEE: the details

It is calculated by multiplying three factors. Availability: the time the machine was running over the planned time. Performance: actual speed against ideal speed. Quality: good parts over total parts made. A line with 90% availability, 95% performance and 98% quality has an OEE of 83.8%.

Its value is in the breakdown, not the figure. The same OEE can hide long stops, micro-stops nobody writes down or a quality problem, and each cause calls for a different action. The number is only reliable if stops and quantities are captured automatically or on the spot: an OEE calculated from reports filled in at the end of the shift usually looks better than it is.

OEE in a project

We read the machine’s signal when there is one and complete it with a digital report on the line. The dashboard shows OEE by line and by part number, with stops classified, so the production meeting talks about causes.

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Related terms

See the whole glossary
  • MESManufacturing Execution System
  • SCADASupervisory Control and Data Acquisition
  • OPC UAManufacturing and logistics

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