OEE Calculation Formula: Guide

Note: This article has been consolidated into our main guide: How to Calculate OEE, which is kept up to date.

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Frequently Asked Questions

What is the OEE formula?

The OEE formula is OEE = Availability multiplied by Performance multiplied by Quality. Availability is run time divided by planned production time, Performance is actual output divided by the theoretical maximum output, and Quality is good units divided by total units produced. The result is expressed as a percentage.

How do you calculate OEE with an example?

Suppose a shift has 400 planned minutes with 40 minutes of stops (Availability = 360/400 = 90%), runs at 95% of ideal speed (Performance = 95%), and produces 98% good parts (Quality = 98%). OEE = 0.90 multiplied by 0.95 multiplied by 0.98, which is about 84%.

What is the difference between OEE and TEEP?

OEE measures effectiveness during planned production time, while TEEP, total effective equipment performance, measures against all available time, including unscheduled hours. TEEP shows the true capacity potential of an asset, whereas OEE focuses on how well scheduled production time is used.