What is OEE? Overall Equipment Effectiveness Explained

OEE = Availability × Performance × Quality. Availability is run time ÷ planned production time. Performance is actual speed ÷ ideal speed. Quality is good units ÷ total units.

A line at 90% availability, 95% performance and 99% quality is 84.6% OEE — already excellent. The discrete-manufacturing benchmark for 'world-class' is ~85%. Most plants sit at 40–60% when they first measure honestly.