Specialists in Aerospace Safety, Control and Automation Systems.
On average- WE Have Helped our clients reduce their manufacturing time by 50%

key performance indicators

Business is all about knowing your numbers.The important question to consider is what are  the correct numbers that impact your business.

When looking at what numbers are important, it is best to refer to the Six Sigma methodology, where there are a number of ways to ensure that you choose the correct  key performance indicators (KPI).

For the application of a Six Sigma project, it is important that well defined key performance indicators are provided. These indicators are the only means to correctly assess the overall success rate of the performance of an enterprise and will also assist in tracking the implementation of specific procedures that are designed to achieve objectives. The KPIs will be different for every organization depending on size and complexity.

A good indicator will prove most consistent and will be able to correlate to the specified areas of the business

Lean key performance indicators and Process/performance

Determining Lean KPI's and Process performance metrics help in the following ways

  • Determining the current performance of the system or process being evaluated
  • Determine the appropriate performance benchmark
  • Evaluate the Progress of lean and process improvement or Kaizen

Having the correct metrics in place allows you to increase productivity and increase profit within your company and the supply chain when you use the data to create strategies to improve the process and to take action and implement them.

 

Instant Sushi anyone?

A good example of the efficiency that can be achieved can be seen in a video I found  on YouTube (I’ve added the video at the end) of a chain of restaurants in Japan where they had taken the traditional sushi conveyor belt to infinity and beyond.

Apparently there are 300 restaurants in the chain, but the clip concentrated on just one. The tables and seats are laid out in an ‘E’ shape, which is far more efficient than the traditional circle – So far so good. The diners place their orders via a touchscreen at their table, totally eliminating the need for any waiting staff. The food is then assembled in the kitchen area (where there are no trained chefs) before being hurtled to the right table via the conveyor belt. After eating, the customers post (quite literally) their plates through a slot in the table to send them back to the automated dish-washing machines. Finally, the payment is made at the table via the same touchscreen. No need, or reason to leave a tip!

 Apparently the largest of these restaurants can serve 20,000 plates of sushi in one day! That means 196 customers at any one time (they whizz them through) using just 15 low-paid, low-skilled staff. Now that is efficiency.