IDEAS home Printed from https://ideas.repec.org/a/ids/ijpqma/v47y2026i1p1-22.html

Implementation of overall equipment effectiveness and financial performance assessment framework in a semiconductor manufacturing facility: a case study

Author

Listed:
  • Chen Fung Liew
  • Joshua Prakash
  • Kok Seng Ong

Abstract

This paper expands the overall equipment effectiveness (OEE) so that the financial performance of the equipment at any OEE can be evaluated. The equipment performance in operationally and financially completely narrates the effectiveness of the operation. Prior studies related OEE to profit, revenue, equipment acquisition cost, operating cost, and maintenance cost to measure equipment financial performance in OEE. A discussion is provided why the profit, revenue, and operating cost are not relevant to OEE. This study suggests the equipment cost efficiency (ECE) metric in the framework to quantify how much of the equipment acquisition cost and maintenance cost are wasted by OEE losses. The ECE framework is demonstrated by a semiconductor manufacturer. The framework effectively saves 48.7% cost wastage by increasing the OEE by 21.6%.

Suggested Citation

  • Chen Fung Liew & Joshua Prakash & Kok Seng Ong, 2026. "Implementation of overall equipment effectiveness and financial performance assessment framework in a semiconductor manufacturing facility: a case study," International Journal of Productivity and Quality Management, Inderscience Enterprises Ltd, vol. 47(1), pages 1-22.
  • Handle: RePEc:ids:ijpqma:v:47:y:2026:i:1:p:1-22
    as

    Download full text from publisher

    File URL: https://www.inderscience.com/link.php?id=150896
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ids:ijpqma:v:47:y:2026:i:1:p:1-22. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sarah Parker (email available below). General contact details of provider: http://www.inderscience.com/browse/index.php?journalID=177 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.