SAP OEE (Overall Equipment Effectiveness) optimises production services

OEE (Overall Equipment Effectiveness) is a familiar indicator within the TPM concept (Total Productive Maintenance). As a key performance indicator it serves to determine, supervise and optimise availability, performance level and quality in relation to the production process.

With the help of measurable KPIs, the SAP ME- / MII-based OEE also serves to keep production services within view at all times as well as to recognise where and why losses in performance occur. An order-related profitability calculation can be carried out and goal-oriented counter-measures can be implemented quickly and effectively.

OEE 4.0 in overview

The term Overall Equipment Effectiveness (OEE) describes a key performance indicator created by the Japan Institute of Plant Maintenance. It is one of the results which arose from the decades-long development of the TPM concept (TPM: Total Productive Maintenance).

Overall Equipment Effectiveness (OEE) measures the actual effectiveness of a plant in which it sets the output quantity free from defects in relation to the maximum possible quantity. The OEE KPI is comprised of the plant, the performance level as well as the quality level. OEE is a measurement for the added value of a plant and allows the operator a further economic view of the technical plants.

Key performance indicators, like the OEE, process throughput, set up level or level of document use (capacity) are always available in their latest form thanks to automated recording. Goal-oriented opportunities for optimisation follow from the analysis of production units, individual products, time periods, defect times and sources. Losses in time, performance and quality reduce effectiveness. Because these sources of loss affect both sides, an integral form of optimisation is required. In summary, the record of the OEE offers an integral instrument which monitors the effectiveness of the plants and thereby facilitates a rapid, goal-oriented reaction to losses.

Here, integral means that all areas of the company are included. So, for example, logistics is decisive for the preparation and supply of raw materials, maintenance is responsible for running the plants free from disruptions and quality management is responsible for products free from defects.


OEE 4.0 creates greater effectiveness

Reduction of plant downtime resulting from disruptions as well as reductions in waiting times caused by setting up and installation

Reduction of short shut-downs and idle periods and optimisation of a consistent clock speed

Reduction of unstable production phases as well as reduction of loss in quality and reject rate


  • Online monitoring of overall equipment availability
  • Detailed reporting on availability, performance and quality
  • Automated data collection and classification
  • Creation of transparency for machine usage times
  • Basis for integral process optimisation (TPM)
  • Extensive analysis and reporting functions (overall, order, shift, ...)
  • Active support for serving and maintenance (idle time analyses, ABC disruption classification, …)
  • Integral recording and analysis of sources of losses
  • Derivation of specific, goal-oriented measures
  • Review of effectiveness of measures introduced

Key Facts

  • Can be used in SAP ME (SAP Manufacturing Execution) and SAP MII (SAP Manufacturing Integration and Intelligence)
  • Numerous live dashboard included
  • Extensive reports and analyses available
  • Supports global or cross-plant analyses
  • Support of various OEE standards (including Weihenstephaner Standard, OMAC, …)
  • High level of adaptability to company-specific standards
  • Can be used without ERP adaptations
  • Detailed order management