Overall Equipment Effectiveness as a Strategic KPI in Intelligent Manufacturing: A Case Study in Plastic Injection Moulding
Abstract
1. Introduction
2. Materials and Methods
2.1. Industry and Case Background
2.2. Data Acquisition and Digital Monitoring System
- Machine runtime and downtime, with timestamps and categorised reasons for stops when entered by the operator;
- Cycle time for each shot;
- Parts produced, including conforming and defective units;
- Relevant operator annotations (e.g., comments on issues encountered).
2.3. Observed Variables and OEE Component Calculation
2.3.1. OEE Dimensions and Observed Variables
- In this study, Availability was operationalised using the plant’s production-accounting structure. Specifically, the scheduled production window was first defined at the plant level, and recorded stoppages were then subtracted to obtain operating time. Because the factory logged preventive maintenance together with other stoppage categories in the same production database, these events were retained in the stoppage accounting used for the case analysis. This choice reflects the plant’s digital traceability structure and is reported here explicitly so that the calculation can be interpreted in its operational context. Availability was defined as:
- Date: Production date in DD/MM/YYYY format.
- Start/End Time: Boundaries of each manufacturing session.
- Shift: Day, evening, or night shift, enabling shift-level performance comparison.
- YearMonth: Monthly code (2504 for April 2025) used for aggregation.
- Total operation time (h): Planned machine usage time after excluding holidays and maintenance.
- Downtime (h): Total downtime from unplanned stops, including:
- (a)
- Machine failure.
- (b)
- Mould failure.
- (c)
- Auxiliary equipment failure.
- (d)
- Material/component shortage.
- (e)
- Preventive maintenance.
- Performance was calculated by relating the theoretical production time at the ideal cycle to the actual operating time. Because the mould had two active cavities, the total part count was converted into equivalent moulding cycles before the calculation. Accordingly, Performance (%) was computed as:
- ContIni/ContFin: Counter readings at the start and end of the shift, used to compute:
- Actual cycle time (s): Average cycle time measured for the shift.
- Target cycle time (s): Ideal cycle time (fixed at 45 s for the analysed part).
- Theoretical production time (h): Time required to produce all parts at the ideal cycle time.
- Number of active cavities: Fixed at 2 for this mould and used to convert part count into effective cycles.
- Quality is the yield rate, that is, the proportion of output that meets quality specifications. Any defective units, including those scrapped during start-up or process tuning, count against Quality. A Quality score of 100% indicates that no defects or rework were generated.
- OK/NOK Units: Conforming and defective counts, respectively.
- Defect Types:
- Burrs: Flashing caused by mould misalignment or excessive injection.
- Underfilling: Short shot.
- Breakage: Structural integrity failure.
- Strikes: Surface damage.
- Start-up parts during thermal stabilisation.
- Oxidised or burnt parts.
- NOK Units: Units automatically rejected by the vision system.
- Operator comments: Short notes recorded during production.
- Downtime stop types: Selected by the operator from a drop-down menu (e.g., mechanical, material, or maintenance).
- Operator and shift: Variables enabling analysis of human factors (training impact and shift variability).
- Material and batch: Traceability of defects to specific raw-material batches.
2.3.2. OEE Calculation
2.4. Analysis Procedure
3. Results
3.1. Availability
3.2. Quality
3.3. Performance
3.4. OEE Performance Overview
- Initial Period (until half 2025): OEE remained at relatively low levels. In December 2024, OEE was 73.5%, with Availability of about 87% and Performance of about 85% (Table 1), indicating moderate downtime and cycle speeds below the ideal, while Quality remained high (99.6% yield). In January 2025, OEE fell to 53.9%, the lowest value observed, driven by excessive downtime (Availability 75.6%) and very low Performance (71.4%). In practical terms, the machine stopped frequently and, even when running, achieved only about 71% of its ideal throughput. Quality in February 2025 remained almost perfect (only two defects out of 15,544 parts), indicating that poor OEE was due almost entirely to time losses. In March 2025, OEE rebounded to 64.1% as Availability improved to 85% and defects remained negligible (Quality 100%). In April 2025, OEE decreased again to 60.4%, coinciding with the highest defect count in the period (50 defective parts; Quality 99.1%) and low Availability (73.4%). Overall, these early months show that Availability losses (downtime) and Performance losses (speed) were the main causes of low OEE, whereas Quality had only a limited direct effect. OEE remained in the 58–65% range through mid-2025 (for instance, May 65.4%, July 58.1%, and September 64.1%), with Quality above 99% throughout. The machine, therefore, produced good parts when running but suffered from frequent interruptions and slow cycles.
- Notable Anomalies: In July 2025, OEE rose to 69.3%, representing a relative improvement driven mainly by Availability, which increased to above 91%, indicating that downtime was substantially reduced in that month. Performance remained at 76%, similar to previous months, so the improvement in OEE resulted mainly from keeping the machine running for more of the scheduled time. Conversely, an OEE of 90.0% was recorded in September 2025, which appears unusually high relative to the broader trend. However, as noted above, the September result is based on only two operating days because a planned overhaul took place mid-month. During those two days, the machine recorded no downtime (Availability 100%), maintained 90.7% Performance, and achieved 99.3% Quality. The calculated OEE is therefore better interpreted as an exceptionally favourable short run than as a stable level of performance. In the first full month after the overhaul, November 2025, OEE fell back to 70.3%, with Availability of 91.7% and Performance of 76.8%. This suggests that, by late 2025, uptime had improved substantially, but cycle-time losses were still limiting OEE. Quality remained excellent.
- Improvement Phase (2025): From December 2025 onwards, a step change in performance is evident. OEE reached 95.8% in December 2025, the highest value observed for this machine and well above the world-class benchmark of 85%. This result was achieved through near-maximal scores in all three components: Availability 98.0% (virtually no unplanned downtime), Performance 97.7% (an average cycle only 2–3% slower than the ideal 45 s), and Quality 99.99% (only one reject out of 11,535 parts). These figures indicate that, following the interventions implemented in late 2025, the machine was operating close to its optimum. In January 2026, OEE remained high at 89.94%, with only minor downtime and a small reduction in speed (Availability 96.8%, Performance 92.9%). In February 2026, OEE was 86.9%, and in March 2026, it was 84.1%, representing a gentle decline but still remaining in the 84–87% range. In these months, Availability fell to around 91% in March and Performance to around 93%, while Quality remained around 99.2%. The slight reduction in March was associated with a rise in the defect count (133 defects; Quality 99.24%), which is discussed later. Overall, the first four months of 2026 show a marked improvement, with average OEE increasing to 89% compared with 64% in January–September 2025. Availability and Performance both remained above 90%, indicating that the main causes of downtime and speed loss had been effectively mitigated, while Quality remained consistently high.
3.5. Detailed Component Breakdown
3.6. Production Volume and Defect Rates
4. Discussion
4.1. Diagnosis of Efficiency Losses
- Equipment Downtime (Availability Losses): Detailed downtime logs showed that the machine experienced both frequent short stoppages and occasional long breakdowns during the initial period. The most common causes recorded were as follows:
- Mould jams and resets—minor stoppages in which the mould failed to close or open correctly, or an ejector pin became stuck, requiring operator intervention. These events were frequent but usually lasted only a few minutes.
- Machine adjustments and setup, especially during shift changes or after idle periods. These activities included material purging, barrel-temperature stabilisation, and process-setting adjustments, and typically lasted 10–30 min.
- Mechanical failures. Notably, a hydraulic pump failure during one of the worst-performing early months caused about 8 h of unplanned downtime and was a major contributor to the low Availability observed in that period. A cooling-circuit leak in another early production month caused an additional multi-hour stoppage.
- Peripheral issues, such as an empty material hopper or a fault in the robot arm used to pick parts, also occasionally halted production. Many of these issues correspond to the classic OEE loss categories of breakdowns, setup, and minor stops. The absence of a structured preventive-maintenance plan also contributed to breakdowns, because maintenance was largely reactive. For example, the hydraulic failure in February 2025 was traced to a worn sealing component that had exceeded its service life without prior replacement. This suggests that a preventive or predictive-maintenance strategy could have prevented at least part of the downtime. The measures introduced in late 2025 addressed this point directly.
- Speed Losses (Performance Losses): The Performance factor, which hovered around 75–85% throughout most of 2025, indicates that the machine often ran more slowly than the ideal 45 s cycle. The cycle-time data showed average values in the range of 53–60 s for much of 2025.
- Quality Losses: Although Quality remained high overall, the small fraction of defects observed still provided useful diagnostic information. The main defect types were start-up rejects (the first few shots after machine start-up or after a long stoppage, which often failed dimensional requirements) and occasional short shots (parts that were incompletely filled because of momentary pressure loss or inadequate melt temperature). Plant personnel consistently indicated that, after significant stoppages (for example, longer than 30 min), the first few parts were often scrapped until stable conditions were restored. This links Quality to Availability: frequent stops lead to more restarts and therefore to more scrap. Indeed, months with more stops, such as March 2025, showed slightly higher defect counts, suggesting a cross-relationship between Availability and Quality. This is consistent with the start-up loss category within the ‘six big losses’, which straddles both time loss and quality loss. Short shots, by contrast, were symptomatic of machine wear or suboptimal process settings. When they occurred, operators typically stopped the machine to troubleshoot the problem, further linking quality issues to downtime. Although Quality had only a limited direct effect on OEE because yields remained close to 99%, it had indirect effects on both Availability and Performance. Huang et al. [24] similarly note that optimising injection moulding for both speed and quality requires careful control because shorter cycles can increase defect risk. Our case confirms this trade-off: when cycle time was reduced too aggressively during trials, the defect rate increased.
4.2. Cross-Relationships Between OEE Components
- Availability vs. Quality: Frequent machine stoppages tended to increase scrap during restart, whereas persistent quality problems could themselves force production stops. In March 2026, for example, an emerging flash defect led to several short stoppages for inspection, affecting both Quality (133 rejects) and Availability (inspection-related downtime). The data suggest only a modest relationship between downtime and quality at the monthly level because defect rates were generally low; however, from an operational perspective, the link was clear. Operators consistently reported that every significant stop was followed by a small number of rejected parts during restart. Improving Availability can therefore also improve effective yield by reducing the number of restarts.
- Availability vs. Performance: A second relationship was observed between Availability and Performance. In principle, a machine may have low Availability because of many stops while still running at full speed when it operates. In our data, however, months with low Availability often also showed low Performance, as in January 2025. This occurred because some stoppages were very short and went unrecorded, or because the machine was operating under suboptimal conditions around those stops. Conversely, once breakdowns, mould issues, and micro-stops were reduced, the process became stable enough to sustain higher speed. This interpretation is consistent with Piran et al. [25], who argue that improving OEE usually requires a holistic approach because actions that reduce minor stops often improve both Availability and Performance simultaneously.
- Performance vs. Quality: In this case, the relevant issue was not simply “running faster” but narrowing the process window through changes in cooling time, thermal stabilisation, and machine settings. When cycle-time reduction was attempted before the process had fully stabilised, defect risk increased; once mould condition and process parameters were improved, the machine could operate closer to the target cycle without compromising conformity [24]. March 2026 is informative in this respect: a slight drop in Quality coincided with somewhat lower Performance than in December 2025, suggesting that the process was approaching its operational limit. OEE is useful here because it helps identify the optimum balance: if a small gain in speed produces a disproportionate increase in defects, overall OEE may decline rather than improve.
4.3. Improvement Measures Implemented
- Predictive Maintenance and Downtime Reduction: The present monitoring system does not directly identify wear-prone components at the component level. Instead, it captures indirect symptoms of deterioration, such as repeated mould-related stoppages, auxiliary-equipment failures, prolonged cycle times, or recurring start-up defects. These indicators can support maintenance prioritisation, but they do not by themselves constitute component-level wear diagnosis. Maintenance practices were overhauled, and the company introduced a preventive-maintenance schedule for the injection machine, including regular inspection and replacement of wear-prone components (hydraulic seals, heater bands, and thermocouples) during planned downtime. It also introduced basic condition monitoring: an oil-quality sensor was used to detect hydraulic oil degradation, and vibration sensors on the pump motor were used to detect misalignment or bearing wear. These predictive-maintenance measures were intended to reduce unexpected breakdowns. Indeed, from October 2025 onwards, no breakdown-related stoppages were recorded. McKinsey [27] reports that predictive maintenance can reduce unplanned downtime by up to 50%, and the present results are consistent with that estimate. In addition, the mould underwent one-off refurbishment in September–October 2025, including cavity polishing and cleaning of clogged vents. A well-maintained mould runs more smoothly, reducing minor stoppages due to mould jams or part-ejection problems. This likely contributed to the reduction in short stops and to the improvement in both Availability and Performance [28,29,30].
- Process Optimisation and Cycle-Time Reduction: Cycle-time reduction was not achieved by monitoring alone. It resulted from deliberate process changes, including parameter re-optimisation, mould refurbishment, cleaning of cooling channels, and improved thermal control. The role of the digital monitoring system was to reveal where time losses were occurring and to verify the effect of those process changes on subsequent performance. A series of trials based on Design of Experiments was conducted on clamp pressure, injection-speed profile, and cooling time to identify settings that would minimise cycle time without causing defects. As a result, by November 2025, the cycle time had been reduced towards the ideal 45 s. One important change was the adoption of a scientific moulding approach in which cavity-pressure sensors were used to determine the optimal switchover point from fill to pack, ensuring complete filling without overpacking. As recent research also suggests [31], this change improved part consistency and allowed a slight reduction in pack-and-hold time. Cooling was also optimised by cleaning the mould cooling channels and increasing the coolant flow rate, which removed several seconds from the cooling phase without adverse effects. More broadly, digital tools and production data were used to refine the process by analysing cycle-by-cycle variation and identifying stages in which time was being lost. By December 2025, the machine was consistently operating at approximately 46–48 s per cycle (97% Performance), compared with about 58 s in the earlier period. This demonstrates how a data-driven approach can unlock substantial performance gains without sacrificing quality, consistent with Silva et al. [32].
- Improved Production Planning (Reducing Idling): Another important change concerned production scheduling. Previously, the machine sometimes remained idle while waiting for mould changes or materials for the next order. In late 2025, management adjusted the production plan to group campaigns more effectively and ensure that the machine had the next job ready in sequence. Although planned idling is not directly included in OEE when it falls outside scheduled production time, this change reduced the number of warm-ups and restarts, and therefore, indirectly reduced start-up scrap and unmeasured inefficiencies.
- Operator Training and Human Factors: Recognising the role of operators in responding to stoppages and maintaining throughput, the company introduced targeted training in late 2025. Operators were trained in quick-changeover techniques based on SMED principles [33] to shorten setup and restart times. They were also trained to interpret the new OEE dashboards displayed on the shop floor. This increased awareness and fostered a sense of ownership of efficiency. Operators became more diligent in logging the reasons for stops and took proactive measures such as pre-staging materials and tools to minimise minor stoppages. Response times to minor faults also improved; for example, sensor faults were resolved more quickly and were less likely to escalate into full stops. Previous studies have shown that operator competence can significantly affect scrap and downtime [34], and our observations support this conclusion.
- Digitalisation and Data Utilisation: In the present study, digitalisation and data utilisation were achieved through a concrete sequence: shop-floor events were recorded through the machine interface and operator tablets, temporarily stored in a structured buffer, consolidated in the SQL database, and then transformed into monthly indicators of OEE, downtime causes, cycle-time deviation, and defect categories. These outputs were not treated as passive records; they were used to identify recurring losses, compare periods, and prioritise maintenance and process actions at the plant level. During the improvement phase, OEE analytics were used to identify patterns such as spikes in minor stoppages at certain hours or shifts; one such pattern was linked to an inexperienced operator and led to targeted coaching. The company also set up email and SMS alerts for maintenance when repetitive short stops or temperature deviations occurred, enabling pre-emptive intervention. This is consistent with Industry 4.0 practices in which real-time data triggers real-time action [35]. OEE also became a shared language across management, engineering, and operations. For example, management set the target of reaching 85% OEE by year-end, providing a clear performance goal that could be tracked daily. In this way, digital OEE monitoring created a rapid feedback loop: whenever OEE fell on a given day, the team investigated immediately. This fast feedback was likely important in sustaining the improvements. Wali et al. [36] similarly reported that digitised visual management of KPIs such as OEE can lead to substantial performance gains.
4.4. Sustainability and Broader Impacts
4.5. Remaining Challenges and Trade-Offs
5. Improvement Proposals
- Implement Advanced Predictive Maintenance: The predictive-maintenance programme should be expanded through additional IoT sensing and more advanced analytics. Relevant examples include real-time monitoring of temperature, hydraulic-line pressure, and motor current, together with machine learning algorithms capable of anticipating failure before it occurs. For instance, vibration analysis of the injection screw drive could provide early warning of mechanical deterioration. Deloitte [42] reports that AI-enabled predictive maintenance can reduce breakdowns substantially, which is consistent with the direction of the present results. By detecting anomalies early—such as a subtle increase in cycle-time variability or a drift in clamp-force readings—maintenance can be scheduled at convenient times and unplanned stops can be avoided. The company could also explore a digital-twin approach to simulate the condition of the injection process and optimise maintenance scheduling further. For these tools to be useful in practice, future AI-based maintenance systems should not operate as opaque alarm generators. They should support maintenance staff with interpretable outputs, such as anomaly localisation, physically meaningful feature trends, and machine-condition explanations that can be checked against shop-floor evidence. In this way, the value of predictive analytics would lie not only in anticipating failure, but also in helping technicians understand why an alert was triggered and how it relates to observable process behaviour [28,29,30,42].
- Enhance Digital OEE Dashboards and Analytics: The current OEE monitoring system could be developed into a more comprehensive manufacturing analytics platform. For example, either a commercial solution or an enhanced in-house dashboard could provide not only real-time OEE values but also automatic breakdowns by loss category. These insights would support faster and more targeted interventions. Benchmarking functions could also be incorporated to compare OEE across machines or shifts and identify best practices or outliers. Integration of the OEE dashboard with ERP and MESs would further align production scheduling with efficiency, for example, by assigning more demanding jobs to the most experienced operators. In essence, the objective is to convert the available data into actionable intelligence.
- Sustain and Deepen Operator Training: The human factor remains critical. Operators should continue to be trained to address the root causes of the six big losses, including how to prevent minor stops and how to adjust machine settings to avoid quality drift. Particular emphasis should be placed on empowering operators to solve small problems before they escalate. As Iberahim et al. [43] note, an efficiency-oriented culture can significantly improve manufacturing performance. Cross-training would also reduce dependence on a small number of specialists and ensure that each shift includes personnel capable of first-line troubleshooting. Management may also consider recognition or incentive schemes linked to continuous improvement in OEE.
- Process Innovation and Automation: To move Performance closer to 100% without compromising Quality, automation upgrades could be considered [44]. Beyond static end-of-line vision inspection, a more advanced direction would be the use of time-dependent sensor streams for in-process quality monitoring. In injection moulding, variables such as cavity pressure, thermal evolution, cycle signatures, and transient deviations during filling and packing can provide dynamic information about process state. Combined with machine learning or deep learning models, these temporal signals could support rapid classification of unstable production conditions and earlier detection of defect formation. This approach is consistent with recent work on AI-assisted quality prediction in injection moulding and with sensor-based diagnosis using in-cavity measurements [32,45]. Automated material handling, such as an IoT-enabled resin feeder, could also prevent hopper-empty events and the associated starvation stops.
- Extend OEE Tracking to Factory Level and the Supply Chain: Now that OEE has been established for this critical machine, the methodology should be extended to other equipment and, where appropriate, to upstream and downstream processes [46]. The longer-term objective could be a factory-wide view of OEE or a similar composite indicator that identifies system-level bottlenecks. For example, if the injection machine now operates above 85% OEE but a downstream assembly station remains at 50%, the bottleneck has simply shifted. Sharing OEE information with maintenance and supply-chain functions could also improve planning. Maintenance resources could be prioritised according to OEE impact, while production planning could ensure that higher OEE does not translate into overproduction by aligning output with demand.
- Sustainability and Energy-Efficiency Initiatives: To complement OEE improvement, the company could formalise the measurement of energy and environmental gains. Installing a dedicated energy metre on the machine and correlating energy per part with OEE would provide additional evidence for management and support sustainability reporting. The company could also explore recycling or rework loops for the small amount of scrap still produced. Because high OEE naturally aligns with lean and green objectives, making this link explicit would help maintain strategic support for the programme [47].
6. Conclusions
Author Contributions
Funding
Data Availability Statement
Acknowledgments
Conflicts of Interest
References
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| Month | Total Parts | Defective Parts | Operating Time (h) | Downtime (h) | Availability (%) | Performance (%) | Quality (%) | OEE (%) |
|---|---|---|---|---|---|---|---|---|
| Dec 2024 | 17,528 | 71 | 128.69 | 19.06 | 87.10 | 84.78 | 99.59 | 73.55 |
| Month | Availability (%) | Performance (%) | Quality (%) | OEE (%) |
|---|---|---|---|---|
| Jan-2025 (low OEE) | 75.56 | 71.38 | 99.99 | 53.93 |
| April-2025 | 82.76 | 79.33 | 99.69 | 65.45 |
| Aug-2025 | 83.86 | 76.42 | 100.00 | 64.09 |
| Nov-2025 | 91.66 | 76.82 | 99.78 | 70.26 |
| Dec-2025 (peak) | 98.03 | 97.73 | 99.99 | 95.80 |
| March-2026 | 90.99 | 93.08 | 99.24 | 84.05 |
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© 2026 by the authors. Licensee MDPI, Basel, Switzerland. This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license.
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Val, S.; Jiménez, N.; Lambán, M.P. Overall Equipment Effectiveness as a Strategic KPI in Intelligent Manufacturing: A Case Study in Plastic Injection Moulding. J. Manuf. Mater. Process. 2026, 10, 159. https://doi.org/10.3390/jmmp10050159
Val S, Jiménez N, Lambán MP. Overall Equipment Effectiveness as a Strategic KPI in Intelligent Manufacturing: A Case Study in Plastic Injection Moulding. Journal of Manufacturing and Materials Processing. 2026; 10(5):159. https://doi.org/10.3390/jmmp10050159
Chicago/Turabian StyleVal, Sonia, Nicolás Jiménez, and María Pilar Lambán. 2026. "Overall Equipment Effectiveness as a Strategic KPI in Intelligent Manufacturing: A Case Study in Plastic Injection Moulding" Journal of Manufacturing and Materials Processing 10, no. 5: 159. https://doi.org/10.3390/jmmp10050159
APA StyleVal, S., Jiménez, N., & Lambán, M. P. (2026). Overall Equipment Effectiveness as a Strategic KPI in Intelligent Manufacturing: A Case Study in Plastic Injection Moulding. Journal of Manufacturing and Materials Processing, 10(5), 159. https://doi.org/10.3390/jmmp10050159

