Overall Equipment Efficiency | OEE

Overall Equipment Efficiency or OEE measures the detailed activity of a workstation and differentiates between times that add value and those that do not. It identifies areas of waste and will help prioritize the improvement actions to be implemented.



The calculation of OEE is comprised of 3 components:

  1. equipment availability
  2. equipment performance
  3. quality provided by the equipment



Sources of performance losses:

  • Failures
  • Organization
  • Micro-stops
  • Slowdowns
  • Production start-ups
  • Quality issues

Related definitions

Cycle Time Lean Management