What are the three factors of OEE?

OEE combines Availability (losses from breakdowns and changeovers), Performance (losses from minor stops and slow cycles), and Quality (losses from scrap and rework). Together these capture the "Six Big Losses." Yamazo Studio's video time study makes performance and availability losses visible — exactly the ones that are hard to spot in real time.

How is OEE calculated?

OEE is calculated by multiplying three factors: OEE = Availability × Performance × Quality. For example, 90% Availability × 95% Performance × 99% Quality = 84.6% OEE. Each factor is itself a ratio — Availability = run time ÷ planned time, Performance = (ideal cycle time × total count) ÷ run time, and Quality = good count ÷ total count. Because the factors multiply, a low score in any one of them caps the whole result.

What is considered world-class OEE?

World-class OEE is generally considered to be 85% or higher (90% Availability × 95% Performance × 99.9% Quality). Most manufacturers operate between 60-75% OEE, meaning significant improvement opportunity exists.

Does Yamazo Studio calculate OEE directly?

Yamazo Studio is a video-based time study tool, not a real-time OEE monitoring system. However, its analysis directly supports OEE improvement by identifying the root causes of availability, performance, and quality losses through detailed video analysis.

Glossary

OEE (Overall Equipment Effectiveness) | Manufacturing KPI Guide

OEE (Overall Equipment Effectiveness) is the gold-standard manufacturing KPI for measuring how effectively a machine or production line is used during planned production time. It multiplies three factors: Availability — actual run time versus planned production time, reduced by breakdowns and changeovers; Performance — actual speed versus the ideal cycle time, reduced by minor stops and slow running; and Quality — good units versus total units produced, reduced by scrap and rework. The formula is OEE = Availability × Performance × Quality, expressed as a single percentage. World-class OEE is typically 85% or higher (roughly 90% Availability × 95% Performance × 99.9% Quality), while most manufacturers operate between 60% and 75%, leaving substantial room for improvement.

Get Your FREE Demo See the Workflow

How to Create

Yamazo Studio is a video-based time study tool, not a real-time OEE monitoring or MES system — it does not read machine signals or display live OEE dashboards. Instead, it pinpoints the root causes behind each OEE loss so you can act on them. Map the Six Big Losses to Yamazo analysis: availability losses (changeover and setup) through SMED breakdowns; performance losses (minor stops, reduced speed, operator wait) through cycle-time and line-balance study; and quality losses (defects, rework) through standard-work deviation analysis. The video evidence turns an abstract OEE number into a prioritized list of concrete improvements.

Example

A packaging line measured 62% OEE (95% Availability × 80% Performance × 82% Quality). Video analysis with Yamazo Studio showed that 23% of downtime came from changeovers — addressed with SMED — and 15% from operator wait time caused by poor line balance, addressed through yamazumi-based rebalancing. Standard-work analysis removed a recurring quality defect. After the improvements, Availability, Performance and Quality each rose, lifting overall OEE from 62% to 78% — a 26% relative gain without buying new equipment.