Calculate Availability × Performance × Quality in one click. Get the loss-zone breakdown (downtime, speed gap, rejects) so you know exactly where to focus.
ERPDrive does this kind of calculation in real-time across your entire item master, vendor list, and production orders. See how, in a 30-minute demo personalized to your factory.
OEE (Overall Equipment Effectiveness) measures how well a machine or production line uses its available time to produce good parts. Formula: OEE = Availability × Performance × Quality. Availability = run time / planned production time. Performance = (ideal cycle time × total units) / run time. Quality = good units / total units. The result is a single percentage between 0 and 100.
Industry-standard benchmarks: 40% is the global average; 60% is good for most manufacturers; 85% and above is considered 'world-class' (typically only achieved by Toyota, Bosch-level plants). Most Indian SMEs we audit start at 35-50%. Lifting OEE by 15-20 points typically yields the same throughput from existing equipment without buying new machines.
The Six Big Losses break down OEE component loss: Availability losses = (1) unplanned breakdowns and (2) setup/changeover time. Performance losses = (3) minor stops/idling and (4) reduced speed. Quality losses = (5) startup rejects and (6) production rejects. Each loss has its own root cause and corrective action.
Availability is killed by breakdowns and long changeovers. To improve: (1) implement TPM (Total Productive Maintenance) with daily operator checks and a planned maintenance schedule, (2) practice SMED (Single-Minute Exchange of Die) to bring changeover time below 10 minutes, (3) track every stoppage with reason codes so the top recurring causes are visible, (4) keep critical spares on the shop floor, not in central stores.
Performance gaps usually come from operators running below the machine's ideal speed or unrecorded minor stops. To improve: (1) define an ideal cycle time per part (not per operator), (2) install machine sensors or scanners to capture every cycle automatically, (3) review the top 3 part numbers with biggest performance gap weekly, (4) audit operator practices - sometimes 'expert' operators run slower because of unwritten 'safety margins'.
Yes - ERPDrive captures planned time from production orders, actual run time from operator scan-in/scan-out (or IoT machine sensors), units produced from production declarations, and good units from QC inspection records. Real-time OEE updates per shift per machine, with drill-down to the Six Big Losses. Book a demo to see live OEE dashboards from real manufacturing customers.