{"id":15347,"date":"2024-01-16T14:24:39","date_gmt":"2024-01-16T21:24:39","guid":{"rendered":"https:\/\/limblecmms.com\/?page_id=15347"},"modified":"2025-05-29T21:11:14","modified_gmt":"2025-05-30T03:11:14","slug":"operations-effectiveness","status":"publish","type":"page","link":"https:\/\/limblecmms.com\/learn\/metrics\/operations-effectiveness\/","title":{"rendered":"What is Overall Operations Effectiveness"},"content":{"rendered":"

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Overall Operations Effectiveness (OOE)<\/h1>

Overall Operations Effectiveness (OOE) calculations provide insights into the performance of assets and systems, taking into account performance, quality, and availability.<\/h2><\/header>Free Guide to Maintenance Metrics<\/span><\/a>\n
\n \n <\/span>Last updated on May 29, 2025<\/span>\n <\/span>\n bBrinton<\/span>\n <\/span>\n <\/div>\n\n [\/vc_column][\/vc_row][vc_row kd_background_image_position=”vc_row-bg-position-top” css=”.vc_custom_1687442797424{margin-top: 40px !important;}” el_class=”limble-page-blog-width”][vc_column][vc_column_text]<\/p>\n

What is overall operations effectiveness?<\/h2>\n

Calculating <\/span>Overall Operations Effectiveness<\/span> (<\/span>OOE<\/span>) is a method for assessing the performance of <\/span>production lines<\/span>. Though the two are easily confused, it is distinct from the more common <\/span>KPI<\/span> Overall Equipment Effectiveness<\/span> (<\/span>OEE<\/span><\/a>).\u00a0<\/span><\/p>\n

Tracking <\/span>OOE<\/span> and other <\/span>metrics<\/span> on an ongoing basis is an important part of managing <\/span>Total Preventive Maintenance<\/span><\/a> and promoting <\/span>continuous improvement<\/span>. Close attention to these figures leads to better <\/span>decision making<\/span>, reduced costs, and improvements to <\/span>operational efficiency<\/span>.\u00a0\u00a0\u00a0<\/span>[\/vc_column_text][\/vc_column][\/vc_row][vc_row kd_background_image_position=”vc_row-bg-position-top” css=”.vc_custom_1687442797424{margin-top: 40px !important;}” el_class=”limble-page-blog-width”][vc_column][vc_column_text]<\/p>\n

Table of Contents<\/span><\/h2>\n

Overall Operations Effectiveness vs. Overall Equipment Effectiveness<\/a>
\nThe 3 factors that affect OOE<\/a>
\nThe six big losses in manufacturing processes<\/a>
\nSome benefits of tracking and improving OOE<\/a>
\nBest practices for improving OOE<\/a>[\/vc_column_text][\/vc_column][\/vc_row][vc_row kd_background_image_position=”vc_row-bg-position-top” css=”.vc_custom_1687440273251{margin-top: 40px !important;}” el_class=”limble-page-blog-width”][vc_column][vc_column_text]<\/p>\n

Overall Operations Effectiveness vs. Overall Equipment Effectiveness<\/h2>\n

OEE<\/span> and <\/span>OOE<\/span> look similar and they\u2019re often calculated together to assess <\/span>production processes<\/span>. Their differences lie in how they define maximum availability.<\/span><\/p>\n

OEE calculations<\/span> do not factor in <\/span>unscheduled time<\/span>. When you calculate <\/span>OOE<\/span>, however, you broaden your focus and take into account all potentially <\/span>productive time<\/span>. If your plant is operational, the time counts toward your <\/span>OOE<\/span> value. <\/span>Planned downtime<\/span>, <\/span>changeover<\/span>, training, and other stoppages will ultimately affect the <\/span>total number<\/span>.<\/span><\/p>\n

Total Effective Equipment Performance<\/span> (<\/span>TEEP<\/span>)<\/span><\/h3>\n

Calculating <\/span>TEEP<\/span> is a way of measuring <\/span>manufacturing productivity<\/span> that takes <\/span>all available <\/b>production time<\/b> into account. Whereas <\/span>OEE<\/span> looks at scheduled and <\/span>planned production time<\/span> alone and <\/span>OOE<\/span> looks at <\/span>total operating time<\/span>, <\/span>TEEP<\/span> assesses performance against a 24\/7\/365 calendar.\u00a0\u00a0<\/span><\/p>\n

<\/p>\n

This graphic illustrates the relationship between <\/span><\/i>OEE<\/span><\/i>, <\/span><\/i>OOE<\/span><\/i>, and <\/span><\/i>TEEP<\/span><\/i>.<\/span><\/i><\/p>\n

Calculating <\/span>OOE<\/span><\/h3>\n

OOE<\/b> = Performance\u00a0 x Quality x Availability (Total Operational Time \/ <\/b>Uptime<\/b>)<\/b><\/p>\n

You can calculate <\/span>OEE<\/span> by multiplying your performance score against your <\/span>quality rate<\/span> and your equipment\u2019s availability. In this context, you\u2019ll calculate availability by dividing total operational time by the actual amount of time your assets spend in production.\u00a0\u00a0<\/span><\/p>\n

If you were calculating <\/span>OEE<\/span> instead, you\u2019d follow the same formula while determining availability by looking at your planned and scheduled <\/span>production time<\/span> alone.\u00a0<\/span><\/p>\n

The ideal <\/span>OOE<\/span> score will vary from organization to organization. Internal <\/span>benchmarks<\/span> or industry standards could help set your definition of <\/span>world-class<\/span> performance. <\/span>[\/vc_column_text][\/vc_column][\/vc_row][vc_row kd_background_image_position=”vc_row-bg-position-top” css=”.vc_custom_1687440273251{margin-top: 40px !important;}” el_class=”limble-page-blog-width”][vc_column][vc_column_text]<\/p>\n

The 3 factors that affect OOE<\/h2>\n

To better understand <\/span>OOE<\/span>, let\u2019s take a closer look at the <\/span>metrics<\/span> that contribute to it. You\u2019ll need a formula for calculating each of these if you want an accurate <\/span>OOE<\/span> number.\u00a0<\/span><\/p>\n

Performance<\/span><\/h3>\n

Maintenance teams<\/span> score an asset\u2019s performance with a percentage. This represents its ability to fulfill its full performance potential. A machine that maintains peak performance throughout its production cycles would have a performance score of 100%.<\/span><\/p>\n

Performance = (<\/b>Actual Production Time<\/b> \/ Ideal <\/b>Production Time<\/b>) x 100<\/b><\/p>\n

Quality<\/span><\/h3>\n

Your <\/span>quality rate<\/span> is also expressed with a percentage. It tells you how many of the products you\u2019ve produced over a given period were <\/span>good quality products<\/span>. Products featuring defects or requiring <\/span>rework<\/span> do not qualify as good.\u00a0<\/span><\/p>\n

Quality = (Good Products Produced \/ Total Products Produced) x 100<\/b><\/p>\n

Availability<\/span><\/h3>\n

In the context of <\/span>OOE<\/span>, <\/span>availability<\/span><\/a> is measured against total <\/span>production time<\/span>. You should not factor out planned stoppages like those for scheduled maintenance tasks when calculating <\/span>OOE<\/span>. Like the other two <\/span>metrics<\/span>, it is expressed as a percentage.\u00a0<\/span><\/p>\n

Availability = (<\/b>Total Operating Time<\/b> \/ <\/b>Actual Production Time<\/b>) x 100<\/b>[\/vc_column_text][\/vc_column][\/vc_row][vc_row kd_background_image_position=”vc_row-bg-position-top” css=”.vc_custom_1687440273251{margin-top: 40px !important;}” el_class=”limble-page-blog-width”][vc_column][vc_column_text]<\/p>\n

The six big losses in manufacturing processes<\/h2>\n

Calculating and improving on your <\/span>OOE<\/span> and <\/span>OEE scores<\/span> helps to address the <\/span>six big losses<\/span> that contribute to waste and <\/span>inefficiency<\/span> in manufacturing.\u00a0<\/span><\/p>\n

These losses fit into two categories that coincide with the factors affecting <\/span>OOE<\/span> and <\/span>OEE<\/span> values.\u00a0<\/span><\/p>\n

    \n
  1. Availability losses: Equipment failure and setup & adjustments<\/span><\/li>\n
  2. Performance losses: Idling & minor stops and reduced speed<\/span><\/li>\n
  3. Quality losses: Production scrap and startup scrap<\/span><\/li>\n<\/ol>\n

    Availability losses in manufacturing<\/span><\/h3>\n