Overall Equipment Effectiveness (OEE)

Overall Equipment Effectiveness OEE

How do you measure and evaluate plant floor productivity?

Do you use data or real-time actionable intelligence to identify areas of improvement?

Can you consistently run your plant at the highest level of productivity and quality? 
What tools do you use to ensure continuous improvement?

Overall Equipment Effectiveness (OEE) is a way to monitor and improve the efficiency of your manufacturing process. It’s an internationally accepted management tool to measure and evaluate plant floor productivity.

OEE = Availability x Performance x Quality

World-сlass OEE for discrete manufacturing plants is considered to be 85% or better; however, the average OEE score for discrete manufacturing plants is usually 60%.

To assist you in fulfilling the promise of OEE, RTS provides real-time visibility and anomaly alerts to OEE laggard KPIs. We also can provide an Apple SIRI app which can query OEE and provide feedback on your command. This solution, part of an overall manufacturing execution system, empowers manufacturing companies to improve their processes using real-time operational information to minimize causes of inefficiency, ensuring quality, consistency, and productivity measured at the bottom line.


Some of the common productivity losses are:

Downtime Losses

events requiring maintenance

  • machine breakdowns
  • machine adjustments & setups

Performance Losses

events requiring management awareness and action

  • machine stops
  • machine reduced speeds

Quality Losses

rejects occurring during initial startup & full production runs

  • machine startup bad parts
  • gradual degradation of manufacturing parameters
  • machine production bad parts

OEE can have significant benefits to your manufacturing operations, such as:

1. Real-Time Visibility and Actionable Intelligence

  • Comprehensive visibility to real-time production trending information to address production issues before they occur
  • Actionable intelligence to address production anomalies as they happen, driven by immediate e-mail alerts
  • Ensured order specifications compliance, communicating customized production orders, customers quality information and testing procedures to the shop floor

2. Fully Integrated Solution

  • Multi-plant capability: Can be deployed as a standard solution across all plants and sites, regardless of underlying production and IT systems
  • It allows you to compare plants based on OEE analysis (including cost allocation) to identify “best of breed” manufacturing performers:
    • Plants / processes
    • Production shifts / lines
    • Departments / assets
    • Days/week/weekend
    • One single system of record for production management, providing robust analytics and consolidating information from all disparate shop floor sources and processes
    • Increased data transparency & accuracy, automatically recording and delivering to the business system, production information from meters, significant assets, Historians, PLCs, DCSs, LIMS
    • Effective OEE analysis via standard and custom reports
    • Enhanced user acceptance and learning, through interactive role-based dashboards

3. Manufacturing Continuous Improvement

  • Loss reason code system, captured by the operators during the production process and analyzed later during root cause meetings
  • Allowing you to take necessary actions to:
    • Reduce bottlenecks
    • Implement machine operator training
    • Reduce machine setup time
    • Improve machine reliability
    • Maximize optimal run rates and capacity
    • Eliminate down time
    • Optimize/prioritize maintenance tasks
Watch this short video clip to learn how the RTS OEE solution on the SAP MII platform, empowers manufacturing companies to improve their processes using real time operational information to minimize causes of inefficiency, ensuring quality, consistency, and productivity measured at the bottom line.

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