# Efficiency

Efficiency is defined as:

Where:

• The results are valid outputs from the process.
• Consumption is the total process inputs.

We consider these types of efficiency:

• Total efficiency is when we analyze the total results and consumption. It uses the standard ratio OPCE.
• Productive efficiency is when we analyze the results. It uses the standard ratio OEE.
• Consumption efficiency is when we only examine the consumption. It uses the standard ratio OCE. When we just analyze energy consumption, we know the efficiency by the energy efficiency.

Efficiency can be considered for processes, process groups or an entire organization. In fact, the economic performance of a company, its annual profits are nothing other than pure efficiency.

If a process does not have an efficiency of 100%, we say they have losses.

As you can see, the efficiency improvement means improving the benefits directly, because we are producing more and better results and we are spending fewer resources: money, time, energy, materials, etc.

This has huge direct benefits, such as generating:

• Greater economic benefits.
• Less impact on the environment.

But there is also an effect of additional interesting virtuous cycle. In the analysis of energy efficiency, you can detect steps or processes that generate excessive consumption that further analysis may determine that the process can be adjusted. This will improve production efficiency, which will mean an improvement in energy efficiency.

Therefore, although it is not a direct improvement of the efficiency in general is confirmed that the most efficient organizations:

• Produce results in less time.
• Produce better results with higher quality.
• Have lower consumption and thus more profitable.