Don't buy new equipment until you know your OEE

OEE is a simple and powerful KPI which can help you to identify the bottlenecks in your production process. Don't upgrade equipment before understanding whether you're addressing the root cause of performance concerns.

The tool below allows you to understand the relationship between the OEE performance of a machine, line, or an entire facility on the profit & loss statement. Enter some approximate numbers for your business together with the OEE estimate you created here to see the impact mprovements in OEE would deliver.


OEE Improvement Impact

Plug some approximate numbers from your own business into the form below.

Total planned hours per year (e.g. 365 x 24 = 8760)

Maximum throughput under ideal circumstances (never achieved)



Max. production

219,000 units

Baseline OEE

60%

Improved OEE

70%

Baseline scenario

Actual production

131,400 units

Revenue

£657,000.00

Cost of sales

£394,200.00

Gross profit

£262,800.00

Fixed costs

£155,000.00

Net profit

£107,800.00

Net profit (%)

16%


Improved scenario

Actual production

164,250 units

Revenue

£821,250.00

Cost of sales

£492,750.00

Gross profit

£328,500.00

Fixed costs

£155,000.00

Net profit

£173,500.00

Net profit (%)

21%