Overall Equipment Effectiveness
2 July 2021
Overall Equipment Effectiveness (OEE) measures the extent to which existing machines and equipment is producing the desired output. Overall Equipment Effectiveness (OEE) is a composite KPI that measures output based on capacity taking into account process availability, efficiency and quality.
OEE = Availability x Performance x Quality
This indicator is included in the book: Key Performance Indicators – the 75+ measures every manager needs to know, which contains an in-depth description of this KPI, as well as practical advice on data collection, calculations, target setting, and actual usage.
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Bernard Marr is a world-renowned futurist, influencer and thought leader in the fields of business and technology, with a passion for using technology for the good of humanity.
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