IATF mandatory KPI?

#1
Dear All,

I've read it a few time through but I am still confused about the Key Performance Indicators.

As I understood it there are a few mandatory KPI which is appointed by IATF (or ISO) based on the main processes.

I'd like to ask your help (some explanation) how I should start working on this.

Are there any mandatory KPIs?

If not, I can just make my own based on the main processes?

Thank you in advance for all the replys.

David-
 
Elsmar Forum Sponsor

Mikey324

Quite Involved in Discussions
#2
You need to monitor the KPI's that are valuable to your operation. For some manufacturing, it pay be a parts per hour target. For some manufacturing processes, PPH may not be applicable. You just need to measure what works to show effectiveness of your individual processes.
 

AMIT BALLAL

Super Moderator
#3
@David_F , following KPIs can be considered as mandatory at some extent:

Maintenance objectives such as (requirement of clause 8.5.1.5.f):
- MTTR
- MTBF
- OEE
- Preventive maintenance compliance

Cost of Poor quality (requirement of 9.3.2.1.a).


Can you please elaborate which process you consider as main processes?
I recommend you to determine effectiveness & efficiency measures (KPIs covering both of these aspects) for each process.
 

malasuerte

Involved In Discussions
#4
Well - you can just look at 9.3.2 and 9.3.2.1 of the standard and start there. Simply drop those into and excel sheet and opposite each one, define how you will measure those in your org.

Example:
d) product conformance - it could be size, weight, color, electrical performance, temperature performance, CPK, etc etc
 
#5
@David_F , following KPIs can be considered as mandatory at some extent:

Maintenance objectives such as (requirement of clause 8.5.1.5.f):
- MTTR
- MTBF
- OEE
- Preventive maintenance compliance

Cost of Poor quality (requirement of 9.3.2.1.a).


Can you please elaborate which process you consider as main processes?
I recommend you to determine effectiveness & efficiency measures (KPIs covering both of these aspects) for each process.
I would like to hear some further thoughts on 8.5.1.5.f, especially the aspect of MTTR, MTBF, OEE, OM compliance being mandatory. I am interested because I have a different view of this clause as compared to my European corporate office. In my mind, these metrics are merely examples and suggestions - not requirements for an organization. However, my corporate office and many of the quality staff that work there state that these are, in fact, mandatory metrics that a company must maintain.

The requirement plainly states that the organization shall include.... (f) documented maintenance objectives, for example: OEE, MTBF, MTTR, and PM compliance. The "for example" is key to me since this tells me that the following items are merely suggestions. I read this as very clear and do not see how it could be interpreted differently. My guess is that the translations vary a little and give a different meaning?

Anyway, I saw your comment and am just interested in reading someone else's thoughts. Thank you
 

Howard Atkins

Forum Administrator
Leader
Admin
#6
would like to hear some further thoughts on 8.5.1.5.f, especially the aspect of MTTR, MTBF, OEE, OM compliance being mandatory. I am interested because I have a different view of this clause as compared to my European corporate office. In my mind, these metrics are merely examples and suggestions - not requirements for an organization. However, my corporate office and many of the quality staff that work there state that these are, in fact, mandatory metrics that a company must maintain.

The requirement plainly states that the organization shall include.... (f) documented maintenance objectives, for example: OEE, MTBF, MTTR, and PM compliance. The "for example" is key to me since this tells me that the following items are merely suggestions. I read this as very clear and do not see how it could be interpreted differently. My guess is that the translations vary a little and give a different meaning?
you are correct
They are examples and not mandatory, you must use what is useful to you.
The other aspect is that as it says objectives, some auditors claim you must have at least 2
 
#7
I appreciate your input Howard, I see it the same way. The metrics listed in the clause are very useful in most situations but the organization should be able to determine if they see benefit in it.
 

malasuerte

Involved In Discussions
#8
I would like to hear some further thoughts on 8.5.1.5.f, especially the aspect of MTTR, MTBF, OEE, OM compliance being mandatory. I am interested because I have a different view of this clause as compared to my European corporate office. In my mind, these metrics are merely examples and suggestions - not requirements for an organization. However, my corporate office and many of the quality staff that work there state that these are, in fact, mandatory metrics that a company must maintain.

The requirement plainly states that the organization shall include.... (f) documented maintenance objectives, for example: OEE, MTBF, MTTR, and PM compliance. The "for example" is key to me since this tells me that the following items are merely suggestions. I read this as very clear and do not see how it could be interpreted differently. My guess is that the translations vary a little and give a different meaning?

Anyway, I saw your comment and am just interested in reading someone else's thoughts. Thank you
As Howard states - those are not mandatory. In 6.2.1 & 6.2.2.1 and also in 9.1.1 & 9.1.1.1 provides the guidance. To me 9.1.1 of ISO provides the most direct guidance:

The organization shall determine: a) what needs to be monitored and measured; b) the methods for monitoring, measurement, analysis and evaluation needed to ensure valid results; c) when the monitoring and measuring shall be performed; d) when the results from monitoring and measurement shall be analyzed and evaluated. The organization shall evaluate the performance and the effectiveness of the quality management system. The organization shall retain appropriate DOCUMENTED INFORMATION as evidence of the results.

You need to establish what is meaningful to your organization. But, you must also continue to evaluate if those metrics are effective. I can't tell you how many times I have audited an org, a review of their metrics takes place and I find that the metrics they have do nothing to provide a measure of how the process, qms, product, etc are doing.

On a side note: you do need to consider customer requirements as well for metrics. Easy example is Auto customers want a Cpk of 1.67 for special characteristics. So you would need to have that in place. Or the agreement with customer could be 10 dpm.
 
#9
Are there any mandatory KPIs?
What's required are objectives. These should flow from your Quality Policy. Coming up with a bunch of KPIs isn't what the QMS is about. What is your Quality Policy? It's supposed to be a reflection of your Interested Parties' "needs and expectations". If you'd share your policy, it would help.

For example, if you state that you "exceed customers' expectations" (good luck with that BTW) then your objectives had better align with this. If you struggle with timely delivery to the dates you agreed to, then you might need to rethink the policy...

RoxaneB posts that she has used "OTIS" - On Time, In Specification" as the basics of setting objectives. You can apply these to most processes and set realistic goals (call them KPIs if you will) for those.
 
#10
@Chase S , the maintenance objectives mentioned are just for examples. You can determine the metrics useful to you.

However, I find the suggested metrics very useful. And there is also a thin line between examples, recommendations and requirements, hence I prefer adopting relevant metrics (And it is also difficult to defend non-usage of these metrics- in audits in such a case).
 
Thread starter Similar threads Forum Replies Date
earl62 What is the best way to control special characteristics in Control plan? Is it Mandatory to have SPC for IATF 16949? IATF 16949 - Automotive Quality Systems Standard 12
S IATF 16949: Is "Certified" Internal Auditor mandatory? IATF 16949 - Automotive Quality Systems Standard 9
N IATF 16949 - Mandatory Corporate Documents IATF 16949 - Automotive Quality Systems Standard 10
SATHYABALARAMAN IATF 16949 2016 Mandatory procedure IATF 16949 - Automotive Quality Systems Standard 2
SATHYABALARAMAN IATF 16949 2016 Mandatory procedure Imported Legacy Blogs 0
V IATF 16949 GM CSR 10.2.4 Error-proofing requirement IATF 16949 - Automotive Quality Systems Standard 2
W Minor NC - IATF Rules 5th Edition Sanctioned Interpretations against 4.2 IATF 16949 - Automotive Quality Systems Standard 7
L Internal audits for IATF IATF 16949 - Automotive Quality Systems Standard 7
L IATF and ISO9001 IATF 16949 - Automotive Quality Systems Standard 15
D IATF NC Interaction of process diagram - Missing contingency plan Process Maps, Process Mapping and Turtle Diagrams 9
D IATF 16949 Clause 7.2.2 - On the job training IATF 16949 - Automotive Quality Systems Standard 2
G IATF Remote Location audit timing IATF 16949 - Automotive Quality Systems Standard 3
Sidney Vianna IATF 16949 News IATF Performance Complaint Management System (IATF CMS) within the IATF Database IATF 16949 - Automotive Quality Systems Standard 4
malasuerte Resourcing for ISO and or IATF? IATF 16949 - Automotive Quality Systems Standard 0
G IATF 7.1.5.2.1 Calibration/verification records :Program/software verification IATF 16949 - Automotive Quality Systems Standard 7
L IATF 16949 8.3 Exclusions Manufacturing and Related Processes 3
M IATF external audit NC closure IATF 16949 - Automotive Quality Systems Standard 4
D IATF 16949 7.3.1 Awareness- Supplemental IATF 16949 - Automotive Quality Systems Standard 2
W IATF 9.2.2.1 Internal Audit how to determine risk IATF 16949 - Automotive Quality Systems Standard 12
Q IATF 16949 8.4.2.4 Supplier Monitoring IATF 16949 - Automotive Quality Systems Standard 2
J Implementation, establishment and certification of IATF 16949. IATF 16949 - Automotive Quality Systems Standard 6
xfngrs 3 year audit cycle IATF 16949 IATF 16949 - Automotive Quality Systems Standard 10
D IATF 16949 Process Map IATF 16949 - Automotive Quality Systems Standard 19
Vader22 IATF 16949 extended manufacturing site help IATF 16949 - Automotive Quality Systems Standard 4
J PROBLEM SOLVING - IATF and GM CSR IATF 16949 - Automotive Quality Systems Standard 0
D IATF 16949 Certification and Letter of Conformance expiry (Help!!!) IATF 16949 - Automotive Quality Systems Standard 8
D AS9100 VS IATF 16949 AS9100, IAQG, NADCAP and Aerospace related Standards and Requirements 4
Ashland78 Need IATF 16949 ISO Gap Analysis Excel File Internal Auditing 3
J Internal Audit Schedule IATF Internal Auditing 4
D IATF Requirements if remote plant has no interface with OEMs who are part of IATF? IATF 16949 - Automotive Quality Systems Standard 6
G IATF NC - Contingency Planning IATF 16949 - Automotive Quality Systems Standard 2
T Justification of "Design Excluded" in IATF 16949 Design and Development of Products and Processes 5
Sidney Vianna Job Opening in the USA - IATF 16949 Lead Auditor Position Job Openings, Consulting and Employment Opportunities 0
Ron Rompen IATF 16949 8.5.1.4 IATF 16949 - Automotive Quality Systems Standard 7
I Work Instruction Update- IATF Impact IATF 16949 - Automotive Quality Systems Standard 6
P IATF 16949:2016 Letter of conformity IATF 16949 - Automotive Quality Systems Standard 5
D IATF PROCESSES IATF 16949 - Automotive Quality Systems Standard 2
D IATF 16949 SI 10, External non-accredited lab IATF 16949 - Automotive Quality Systems Standard 4
A Control plan for IATF - example? FMEA and Control Plans 1
J IATF CB Auditor questions Internal Auditor Competence IATF 16949 - Automotive Quality Systems Standard 19
A IATF MSA study Type 1 General Measurement Device and Calibration Topics 7
S IATF 16949 - Summary at a glance Clause wise - changes from ISO TS IATF 16949 - Automotive Quality Systems Standard 4
Azaarus Help with CAPA for an IATF finding regarding inspection documentation IATF 16949 - Automotive Quality Systems Standard 10
W Do Reference materials for IATF need to be 17025? IATF 16949 - Automotive Quality Systems Standard 15
D Special IATF audit of sub-supplier IATF 16949 - Automotive Quality Systems Standard 18
R IATF and ASPICE level 2 Design and Development of Products and Processes 9
T IATF 16949 Recording inspection results IATF 16949 - Automotive Quality Systems Standard 2
S IATF 16949 Supplier selection criteria 8.4.1.2 IATF 16949 - Automotive Quality Systems Standard 5
G Remote support - IATF allowed words defined? IATF 16949 - Automotive Quality Systems Standard 15
D "certified" in ISO 19011, as well as IATF required? IATF 16949 - Automotive Quality Systems Standard 6

Similar threads

Top Bottom