The Impact of Employee Qualification on Overall Equipment Effectiveness in Manufacturing

The Impact of Employee Qualification on Overall Equipment Effectiveness in Manufacturing

Overall Equipment Effectiveness (OEE) represents the actual performance of manufacturing machinery or plants in relation to their theoretical maximum performance. While often perceived primarily as a technical metric focused on machinery, the human element—particularly employee qualification—plays a crucial role in determining OEE outcomes. This report examines how employee qualification in the manufacturing industry affects OEE, providing insights into this vital relationship.

Understanding OEE and the Human Element

OEE is calculated by multiplying three key components: availability, performance, and quality. It provides manufacturers with valuable insights into machine performance, downtime causes, and quality issues, enabling informed decisions to optimize efficiency. However, OEE is not solely about equipment—it is equally about the individuals responsible for operating and maintaining it [1].

Although traditionally considered a technical metric, contemporary research highlights the pivotal role of human factors in influencing OEE. Employee performance in operational activities directly affects OEE, making qualification and understanding essential for achieving high OEE outcomes. Prior to OEE implementation, organizations must ensure that employees receive adequate training and comprehend the concept’s significance. The study On the Relationship Between Human Factor and Overall Equipment Effectiveness confirms that operator skills, training, and engagement significantly impact OEE—even in highly automated environments, human actions remain influential [1].

The Three Components of OEE

The Three Components of OEE
To understand how employee qualification impacts OEE, it is necessary to examine its three primary components: 
  1. Availability: The proportion of scheduled production time during which equipment is operational, discounting time lost to breakdowns, downtime, or setup change [1].
  2. Performance: The degree to which operating time is used effectively, factoring in losses from minor stops, reduced speeds, or suboptimal output levels [1] . 
  3. Quality: The percentage of produced parts that meet quality standards on the first attempt, comparable to First Pass Yield [2]. Each component is significantly influenced by workforce skill, knowledge, and capability. 

How Employee Qualification Affects Availability

Technical Knowledge and Downtime Reduction

Proper training equips employees with the technical competence required to operate equipment accurately, reducing errors and unplanned stoppages. Well-designed training programs ensure operational efficiency and directly enhance availability. Studies confirm that effective employee training improves operational performance and minimizes downtime [3].

Preventive Maintenance Capabilities

Qualified employees are indispensable for routine maintenance tasks that prevent equipment failures. Training enables early detection of potential issues and fosters proactive responses. Involving operators in maintenance activities enhances asset reliability and promotes a culture of continuous improvement [4]. Research supports that maintenance performed by trained personnel significantly reduces unplanned downtime and random breakdowns, ensuring optimal equipment availability [5].

Rapid Response to Breakdowns

Skilled operators are critical in identifying and resolving equipment failures promptly. Their expertise facilitates quick troubleshooting and recovery. Di Luozzo et al. (2023) emphasize the significance of human factors—such as experience and training—in influencing OEE. Parida and Kumar (2006) similarly argue that personnel competence is central to effective maintenance performance [1][6].

Employee Qualification's Impact on Performance

Operational Proficiency

Operators with strong technical proficiency optimize machine parameters, maintain consistent speeds, and apply efficient operating techniques. Their input helps equipment reach its full performance potential. Nakajima (1988) and Hansen (2002) highlight the importance of operator involvement in minimizing performance losses and boosting equipment efficiency.

Process Optimization Knowledge

Qualified employees also contribute to performance optimization beyond machine operation. Their participation in continuous improvement initiatives—such as those inspired by Kaizen—leads to sustained efficiency gains. Kaizen promotes employee-driven process improvements by leveraging their firsthand operational knowledge [7].

Minimizing Minor Stoppages

Trained employees prevent performance losses caused by minor stoppages and slow cycles. Their swift interventions and proper equipment handling ensure a consistent production rhythm, positively affecting OEE.

OEE starts with people

Employee Qualification's Role in Quality Improvement

Quality Control Expertise

Well-trained personnel are essential for upholding quality standards. Their ability to detect defects and take corrective action reduces waste and improves output quality. Research underscores that effective training strengthens maintenance practices, which in turn enhance OEE in process-driven industries [8].

Error Prevention and Detection

Skilled operators help prevent defects by strictly following procedures and identifying errors early in the process. This proactive approach ensures that defective parts do not continue through the production line, conserving resources and preserving quality [9][10].

Process Standardization

Trained employees adhere to standardized procedures, promoting consistency in production quality. Their disciplined execution of best practices ensures reliability and repeatability, reinforcing the quality component of OEE.

Strategies for Enhancing Employee Qualification to Improve OEE

Comprehensive Training Programs

Investing in structured training programs ensures employees are equipped to manage, maintain, and optimize equipment. These programs significantly contribute to improvements across OEE metrics—availability, performance, and quality [11][12].

Employee Engagement in Improvement Processes

Encouraging operators to participate in problem-solving and continuous improvement efforts leverages their insights and fosters ownership. This strategy aligns with the Kaizen philosophy, promoting a collaborative approach to performance enhancement [7].

Transparent communication of OEE data also empowers employees to understand performance expectations and contribute meaningfully to organizational goals.

Clear Communication of OEE Concepts

Educating employees on OEE components and their roles in influencing outcomes facilitates better decision-making. A clear understanding of availability, performance, and quality enables more targeted and effective actions [13].

Continuous Learning Culture

Ongoing education maintains employee competence amid technological and procedural changes. Regular skill updates support long-term improvements in OEE by ensuring employee qualifications remain current.

Measuring the Impact of Employee Qualification on OEE

Before and After Training Assessments

Analyzing OEE metrics before and after training initiatives provides insights into the value of employee development. Establishing a baseline and tracking changes in availability, performance, and quality highlights the impact of training investments [14].

Root Cause Analysis

When OEE declines, distinguishing whether the root cause lies in equipment performance or employee qualification enables targeted interventions—whether equipment upgrades or enhanced training.

Employee Engagement Benefits

Qualified employees involved in improvement processes experience higher morale and job satisfaction, creating a cycle of ongoing engagement and performance improvement. Research affirms the link between employee engagement and productivity, highlighting its effect on reduced turnover and elevated performance [15].

Conclusion

Employee qualification is a fundamental determinant of Overall Equipment Effectiveness in manufacturing. Skilled personnel contribute to reduced downtime, consistent performance, and superior quality—all critical components of OEE.

The evidence affirms that OEE is not merely a technical measure but a holistic indicator of both equipment capacity and human performance. To maximize OEE, organizations must invest in comprehensive training, foster employee engagement, and sustain a culture of continuous learning. Such a human-centric approach ensures durable improvements in operational effectiveness and manufacturing excellence.

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  2. OEE calculation: Definitions, Formulas, and Examples | OEE. (n.d.-b).oee.com/…
  3. Herjuna, Silvester & Marhaeni, Vindy & Alvira, Mila & Putri, Faiqah & Anastasya, Fiona. (2024). Impact of Training and Development Programs on Employee Performance in the Manufacturing Sector. Acta Psychologia, 3, 140-151.
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  4. Blanchard, M. (2016, August 22). How (and why) to train operators on maintenance. Plant Services.
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  5. Gupta, D., Günalay, Y., & M. Srinivasan, M. (2001). The relationship between preventive maintenance and manufacturing system performance. European Journal of Operational Research, 132(1), 146-162.
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  6. Aditya, Parida & Kumar, Uday. (2006). Maintenance performance measurement (MPM): Issues and challenges. Journal of Quality in Maintenance Engineering, 12, 239-251.
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  7. Hargrave, M. (2024, October 8). Kaizen: Understanding the Japanese business philosophy. Investopedia.
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  8. Sulistiyowati, Wiwik & Adamy, M & Jakaria, Ribangun. (2019). Product quality control based on lean manufacturing and root cause analysis methods. Journal of Physics: Conference Series, 1402, 022038.
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  9. Kumar, C.s & Naidu, N. (2011). Performance improvement of manufacturing industry by reducing the Defectives using Six Sigma Methodologies. IOSR Journal of Engineering, 1, 1-9.
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  10. Saad, H., Nagarur, N., & Shamsan, A. (2021). Analysis of data mining process for improvement of production quality in industrial sector. Journal of Applied Sciences, 21(1), 10-20.
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  11. Kasim, Nazrul Idzham & Musa, Mohd & Razali, Akhtar & Noor, Noraishah & Wan Saidin, Wan Ahmad. (2015). Improvement of Overall Equipment Effectiveness (OEE) through Implementation of Total Productive Maintenance (TPM) in Manufacturing Industries. Applied Mechanics and Materials, 761, 180-185.
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  12. Patel, Chetan & Deshpande, Vivek. (2016). A Review on Improvement in Overall Equipment Effectiveness. International Journal for Research in Applied Science & Engineering Technology, 4, 642-650.
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  13. Journal of Quality in Maintenance Engineering | Emerald Insight. (2025b).
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  14. Duarte, A. L. C. M., & Scarpin, M. R. S. S. (2022b). Maintenance practices and overall equipment effectiveness: Testing the moderating effect of training. Journal of Quality in Maintenance Engineering, 29(2), 442-459.
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  15. Mohanty, Manoj & Choudhury, Sasmita. (2018). Employee Engagement and Productivity – Linking connectivity from manufacturing industry perspective.
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  16. Nakajima, S. (1988). Introduction to TPM: Total Productive Maintenance. Productivity Press.
  17. Hansen, R. C. (2002). Overall Equipment Effectiveness (OEE): A Powerful Production/Maintenance Tool for Increased Profits. Industrial Press.
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