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What is OEE (Overall Equipment Effectiveness)?

OEE (Overall Equipment Effectiveness)
OEE measures manufacturing productivity as the product of Availability, Performance, and Quality rates — world-class OEE is 85%; most plants achieve 40–60%.

OEE Formula

OEE = Availability × Performance × Quality. Availability = Actual Run Time / Planned Production Time (reduces for breakdowns). Performance = Actual Speed / Ideal Speed (reduces for slow cycles). Quality = Good Units / Total Units Produced (reduces for defects/rework). 100% OEE means perfect production with no losses.

OEE Data from ERPNext

ERPNext provides OEE components: Job Card time logs give actual run time vs scheduled time (Availability), BOM target time vs actual job card time (Performance), and Quality Inspection acceptance rate vs total inspected (Quality). Build OEE dashboards from these raw data points.

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