How do you calculate production efficiency?

(number of hours completed / number of hours  scheduled)*100 or

(quantity executed / quantity planned)*100

Efficiency of measure of resource utilization ratio. In simple terms it is Outputs/Inputs.

It can be any resource - Time, Material, Manpower, Machine, etc.

Depending the resource you are measuring and unit you are using, you should be able to measure the efficiency. In production also, you should be able to measure -

Good product / Mateial used (Units can be Kgs, Nos, etc)

Equipment utilization = No of hours produced / No of hours available

OEE is a parameter, which helps production department to understand overall effectiveness - This covers Quality, Maintenance, Production parameters and gives one index.

This can be measured for single machine as well as for the overall plant.

Percentage of total parts produced on the machine to the production rate of machine.

Effeciency is a percentage of the actual productivity caompared to standards, targets, or historical values.

If normal production capacity (Standard) of an automatic machine is100 units per hour while it produces80 units per hour in acutal. The production efficiency of the machine is80%.

In order to calculate a production line efficiency you need to obtain data of the number of pieces and the number of hours worked. In addition, you will also need to obtain the piece/min data by conducting a time study at the front and end of line (ensure that they are equal). Following the collection of this data you can approach it in this manner: Number of pieces total / number of minutes of production= Avg. pieces per min Now... take your (Avg pieces per min/actual piece per min count) x100= efficiency percentage

Output*100/Input= Production efficiency in a given period of time

This is with example hope give you better clearity.

OEE – Overall Equipment Efficiency is Comparison between “actual output” and “should-be output”.

 Availability Rate X Productive Rate X Quality Rate

i.e   Scheduled Loading Time                 =60 Min X8 Hrs –40 Min =440 Minutes

      (40 Minute is break time)

 Available Time                                        =440 –80 Minute =360 Minutes

80 Minutes lost due to changeover (45 min), Breakdown & Repair (25 min), Broken Tool Replace (10 Min)

Productive Rate                                     =420 pcs produced X40 Sec/pc

(40 sec/pc is engineered cycle time)     =16800 sec /60 =280 Min of Productive Time

 Availability Rate   = (Available Time / Scheduled Time) =360 /440 =0.82 =82 %

Productive Rate   = (Productive Time / Available Time) =280 /360 =0.78 =78 %

Quality Rate         = (Acceptable Quantity / Total Quantity) = (420 -30) /420 =390 /420 =0.93 =93 %

                                                 OEE =0.82 X0.78 X0.93 =0.5848 =59.48 % 

to check on stream factor

then to caculate production quantity divided by maximum capacity all related to on stream factor

By calculating Uph & Upph....... Unite per hour= total production/total time of production ....... Unite person per hour= uph/manpower used for production

Production efficiency=( O/P)/ Machine capacity

Production efficiency=( Production hours/ Available hours)xmachine capacity

Production efficiency= Qty produced/ planned qty

Production efficiency= Machine utilization /machine capacity

.