Formula
Downtime Rate = (Total Downtime Hours ÷ Total Available Production Hours) × 100
Calculation Example
If a factory experiences 50 hours of downtime out of 1,000 production hours, Downtime Rate = (50 ÷ 1,000) × 100 = 5%
Data Source
SCADA Systems, ERP Systems, Maintenance Logs
Tracking Frequency
Weekly, Monthly, Quarterly
Optimal Value
Lower is better; under 5% is ideal.
Minimum Acceptable Value
A high rate suggests maintenance or equipment reliability issues.
Benchmark
Industry benchmarks: Manufacturing ~2-5%, Automotive ~3-6%, Food Processing ~1-3%
Recommended Chart Type
Bar chart (to compare departments), Line chart (to track trends)
How It Appears in Reports
Displayed in operational reports to assess machine reliability.
Why Is This KPI Important?
Indicates operational stability and equipment performance.
Typical Problems and Limitations
Unexpected failures can disrupt production and lead to financial losses.
Actions for Poor Results
Implement predictive maintenance, upgrade outdated equipment, improve staff training.
Related KPIs
Production Efficiency, Defect Rate, Supply Chain Efficiency
Real-Life Examples
A manufacturer reduced downtime from 7% to 3% by implementing IoT-based predictive maintenance.
Most Common Mistakes
Focusing only on downtime without ensuring cost-effectiveness of maintenance solutions.