Visually Analyzing Overall Equipment Effectiveness (OEE) using ValQ

December 24, 2019

Organizations use KPIs to evaluate how effectively it is achieving its business objectives. Some of the indicators help us observe and plan short term performance while others make an organization think and ensure long term performance sustainability.

Overall Equipment Effectiveness (OEE) is a very popular Key Performance Indicator (KPI) in manufacturing. The KPI is generally considered ‘Manufacturing Best Practice’ and has been historically used to deliver improvements to the production process over time.

OEE is an absolute measure but a comprehensive one that assesses three factors:

  1. Availability (aka ‘Uptime’) is the percentage of scheduled time the operation is running during the planned production time. Here the time loss is due to ‘Planned’ & ‘Unplanned’ stops.
  2. Performance is the speed at which an operation is running. E.g., a 100% performance score means that your production process is running equivalent to its designed max speed. ‘Small Stops’ & ‘Slow Cycles’ contribute to speed loss.
  3. Quality is the percentage of goods produced as per specification out of the total goods produced. Any and every product which has defect or needs re-work will contribute to yield loss.

Mathematically OEE is computed as follows:

OEE = (Availability %) x (Performance %) x (Quality %)

With ValQ, you can not only monitor the OEE trend over time but also analyze the root cause seamlessly. ValQ also helps your teams analyze opportunities for improvement. Also, you can also benchmark your OEE against your peer group and create several scenarios to analyze what would it take to demonstrate manufacturing productivity improvements.

To learn more about how ValQ, Modern Visual Planning for Microsoft Power BI can help you drive manufacturing productivity, register for the live/recorded webinar on “Production Planning & Control using Microsoft Power BI” here.

More about ValQ: ValQ is a serverless, lightweight, multi-purpose application running on Power BI supporting use cases such as planning, forecasting, budgeting, time series forecasting, and value driver planning.

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ValQ empowers analysts, executives and decision-makers across departments and functions. Model any business scenario in minutes, build complex business plans, what-if simulations, create & compare budgets, forecasts and scenarios – all within Microsoft Power BI. The product is developed by Lumel Technologies (formerly Visual BI), which has a decade of experience in building add-on solutions on top of BI platforms (SAP BI and Power BI) with our suite of innovative products such as xViz, Inforiver and BI Hub.


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