Global businesses face the constant problem of satisfying evolving consumer demands and value systems while keeping prices for their goods and services reasonable. In other words, prices meet the needs of the current or potential target market. For businesses that deal with the manufacture of goods, manufacturing facilities, and companies that specialize in providing a wide range of services, this can be difficult.It is important for managers, team leaders, and staff to comprehend during critical stages of the workflow and decision-making process.
Some examples of metrics for a manufacturing company:
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Data accuracy: BOM, inventory, WIP, Master schedule, forecast cycle time, etc.
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Velocity of materials through the system
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Production Volume: Track the quantities that you can produce
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Production Downtime: Analyze and optimize your maintenance
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Production Costs: Monitor the costs implied in the production
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Overall Operations Effectiveness (OOE): Evaluate your operational efficiency
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Overall Equipment Effectiveness (OEE): Assess the scheduled efficiency
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Total Effective Equipment Performance (TEEP): Track overall effectiveness
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Capacity Utilization: Maximize the use of your capacities
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Throughput: Measure your production capabilities (Takt Time)
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First Pass Yield: Monitor your production quality
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Scrap Rate: Track the amount of failed units
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Defect Density: Track the damaged items right away
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Rate of Return: Measure how many items are sent back
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On-time Delivery: Ensure your products are delivered on time
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Right First Time: Understand the performance of your production process
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Revenue Per Employee: Measure the success of your workforce