Overall equipment effectiveness, or OEE, is a metric that's used in manufacturing to measure how efficiently production resources are being utilized versus their maximum potential. OEE is actually a combination of three other metrics: availability, performance, and quality. Availability is a measure of uptime. 100% availability means that resources are available for all of their scheduled operational time. In other words, there's no unscheduled downtime. Performance is a measure of production speed or capacity. 100% performance means that production is occurring at maximum speed or capacity. Quality is a measure of the production of good parts versus bad parts. 100% quality means that only good parts are being produced. Availability, performance, and quality are measured as percentages, and OEE is simply the product of multiplying availability, performance, and quality.
This measure demonstrates how to calculate availability, performance, quality, and ultimately, OEE.