KPI Software - Our weakness is in KPI's

[JulieFall]

Hello,

We are a new manufacturing company ( January 2018) however we are not new to the business, sold a previous machine shop couple years ago. Although are "home grown", learned what we needed at the time. We were ISO certified and knew how to pass the audits but did not work it or use it properly. We are currently, working towards obtaining our AS9100 certificate, an would like to build this business to work the process, not just "pass the audit". Our weakness is in KPI's. I am looking for recommendations on an easy to use and understand software that will get us by till we have the time to for one of us to take some training classes in it ( 1 yr goal). I don't want to spend a lot of money for a stepping stone, I would spend more and to grow into a system, would need to be a system that is widely know. I am considering hiring a consultant help me get it set up and tracking what we need to be.

Thank you in advance for all your help. This forum has been a wealth of information for me, someday I hope to be able to give back

~ Julie

 

[AndyN]

When you say, Julie, it's a weakness, what do you have in place?

 

[JulieFall]

Hi Andy,

Not much, excel spreadsheets

 

[AndyN]

OK, so the way they are documented is a spreadsheet, but it would help to know WHAT they are. The weakness could be that they aren't well communicated, that they aren't SMART or similar, so it would help us to know WHY you think they are weak.

 

[JulieFall]

okay, long story short .... I really don't know what I should be tracking and what information I need to make them meaningful. My core processes and what I think should be Performance Indicators are:

Contract Review
Quote turn around (would like to have a 24 hr quote turnaroun)
# of quotes received orders
Actual vs estimate (my estimated time on production vs actual - maybe this should be on my production process)

Purchasing
On time delivery
Accuracy of orders received
Trends in material cost

Production
Production rate accurate vs estimate
% of scrap
% of rework
I would like to track the cost of poor quality, but have no idea what my inputs need to be

Outside service
On time delivery
Quality (NCP)

Quality Control
NCP at final
Customer returns

Shipping
Customer on time delivery
% of required documentation missed

So not such a short story. I really don't know what the inputs should be for these. I'm not sure if this is too many to start with. I think that on some of these ie % of scrap, % of rework, and production rate, I should have one of my inputs be the employee which would/could give us an option to see if more employee training is needed.

We are a small company, 6 people, MRP not fully implemented. I think that we could just manually input the numbers for now.

PHEW .... Its all out there

 

[Golfman25]

With a small 6 person company, I would stick to what you really need to measure. On time delivery to your customer would be one. You can then use a Pareto chart to capture the incident which cause a late delivery. For example, material was late from supplier, equipment/tooling issue, excessive scrap/rework, etc. That can cover every issue in your small organization pretty easily -- a good global number.

Then with each job, you could track production metrics -- rates, scrap, etc.

I would keep it as simple as possible. Good luck.

 

[JulieFall]

thanks, just spoke with someone that can help me with creating the charts in excel. I know ASD9100 puts a lot of emphasis on supplier performance, could you give some inputs that I should be tracking. How do you compensate for or allot for UPS delivery of supplies. IE when we buy tools from a distributor, 9 of 10 times, are being shipped directly from the manufacturer. I don't see much that i have for metrics for outside suppliers besides OTD and accuracy of the order. Suggestions?

 

[Golfman25]

thanks, just spoke with someone that can help me with creating the charts in excel. I know ASD9100 puts a lot of emphasis on supplier performance, could you give some inputs that I should be tracking. How do you compensate for or allot for UPS delivery of supplies. IE when we buy tools from a distributor, 9 of 10 times, are being shipped directly from the manufacturer. I don't see much that i have for metrics for outside suppliers besides OTD and accuracy of the order. Suggestions?

Well with a six person company supplier performance is probably known. They can't hide. You know who's good and bad. What we do is an exception log. If it's a late delivery it gets logged. If there is a quality issue it gets logged. if you're not on the log, you're doing pretty good. And we only include suppliers of materials applicable to our production. We don't worry about the everyday misc stuff.