People, Product quality, Material flow and other critical metrics

[peach]

hi everyone,

We are a metal forming company and going to start CI programs with the help of our customer.
Can anyone tell me the important metrics under each category?. Categories are People, Product quality, Material flow and other critical metrics

1) People

i) Safety Training
ii) Employee motivation and empowerment (I don’t know how to measure this)
Any other key metrics which will be useful for Improvement.

2) Product quality

i) Non conforming parts produced.
ii) Number of items returned from customer.
iii) Non conforming internal audits.

Any other key metrics which will be useful for Improvement.
3) Material flow

i) Utilization of machine.
ii) Percentage overtime
iii) Cleanliness
Any other key metrics which will be useful for Improvement.

4) Other critical metrics.

i) Number of non conforming parts shipped.
ii) Scrap COPQ
iii) Status of action from previous management review.
Any other key metrics which will be useful for Improvement.

Thanks in advance

[Al Rosen]

Originally Posted by peach

hi everyone,

We are a metal forming company and going to start CI programs with the help of our customer.
Can anyone tell me the important metrics under each category?. Categories are People, Product quality, Material flow and other critical metrics

1) People

i) Safety Training
ii) Employee motivation and empowerment (I don’t know how to measure this)
Any other key metrics which will be useful for Improvement.

2) Product quality

i) Non conforming parts produced.
ii) Number of items returned from customer.
iii) Non conforming internal audits.

Any other key metrics which will be useful for Improvement.
3) Material flow

i) Utilization of machine.
ii) Percentage overtime
iii) Cleanliness
Any other key metrics which will be useful for Improvement.

4) Other critical metrics.

i) Number of non conforming parts shipped.
ii) Scrap COPQ
iii) Status of action from previous management review.
Any other key metrics which will be useful for Improvement.

Thanks in advance

1. The items you listed under people are not metrics for continuous improvement. Something like # of lost days due to on the job accidents and employee absences are.
2. Non conforming internal audits is not a product quality metric.
3. Percentage of overtime and cleanlines (How would you measure it?) is not a metric for material flow.
4. Scrap is only one element of Cost of Poor Quality.

[peach]

Thanks for the reply,
Could you suggest critical metric for product quality, material flow.
I think i know the other elements comes under COPQ, are there any other citical metric's that we have to take into consideration.
thanks once again for the reply

Originally Posted by Al Rosen

1. The items you listed under people are not metrics for continuous improvement. Something like # of lost days due to on the job accidents and employee absences are.
2. Non conforming internal audits is not a product quality metric.
3. Percentage of overtime and cleanlines (How would you measure it?) is not a metric for material flow.
4. Scrap is only one element of Cost of Poor Quality.

[peach]

I have the revised list,, please comment on this, thanks inadvance.
One important thing i forgot to mention in my previous mail. The metrics that i am looking now should have an impact on the customer too. Our customer asked for metrics ,that are critical to both customer and for us.
People.
i) # of lost days due to on the job accidents
ii) employee absences
iii) Employee satisfaction.

Product Quality

i) CAR
ii) Paperwork availability(how many times we miss all the proper doccuments for the customer)
iii) Material quality verification (check the quality of incoming material)
iv) Process performance PPk

Material flow

Dont have much idea what go here, that are critical to both customer and us.

Other critical metrics

i) On time delivery
ii) Shipping cost
iii) Packaging
iv) Labeling

are there anything that are important and should add ....
please guide me.
thanks

[Jim Howe]

Material flow

Dont have much idea what go here, that are critical to both customer and us.

Some folks use # of feet traveled from start to finish in their VSM. Please actually measure it using a "dog". then when you implement your future state measure again. For example, in a recent VSM we measured 6,196 ft that the product traveled before it got shipped. Thats over a mile! in the future state we reduced it to 2816 ft. quite a reduction!
Another metric we used was the # of times a fork lift picked up the product (try 34 times) in the future state we reduced to 21 times.
The point is to be creative in picking your metrics!
Hope this helps.

[peach]

Originally Posted by Jim Howe

Some folks use # of feet traveled from start to finish in their VSM. Please actually measure it using a "dog". then when you implement your future state measure again. For example, in a recent VSM we measured 6,196 ft that the product traveled before it got shipped. Thats over a mile! in the future state we reduced it to 2816 ft. quite a reduction!
Another metric we used was the # of times a fork lift picked up the product (try 34 times) in the future state we reduced to 21 times.
The point is to be creative in picking your metrics!
Hope this helps.

Thanks for the reply. Sounds good. Those are good metrics.

[Jim Howe]

Originally Posted by peach

Thanks for the reply. Sounds good. Those are good metrics.

I might add that cycle time vs. wait time is also very good but harder to get. In the above example we discovered a cycle time of 49 hours and a wait time of 43 days.

cycle time = amount of labor recorded at each step of the processes.
wait time = actual time needed from the taking of the order until ship.

in our future state map we reduced wait time to 20 days and cycle time to 23 hours.

[peach]

Originally Posted by Jim Howe

I might add that cycle time vs. wait time is also very good but harder to get. In the above example we discovered a cycle time of 49 hours and a wait time of 43 days.

cycle time = amount of labor recorded at each step of the processes.
wait time = actual time needed from the taking of the order until ship.

in our future state map we reduced wait time to 20 days and cycle time to 23 hours.

Thanks for the suggestions ...
I will considor those tooo