Key Performance Indicators

An Anheuser-Busch Plant Manager once shared that "We measure what we treasure" during a group meeting. By the same token, "we get what we inspect". For many organizations, the challenge is to set the proper expectations and measure the results or performance. Too many organizations simply fly blindly by the seat of their pants with no true or believable key performance indicators (KPIs) or metrics. How do we know where we are going if we don't know where we have been? What targets are we aiming for in Schedule Compliance or Schedule Success, Planned vs. Unplanned, Overall Equipment Effectiveness, and so on? In addition what about the other functions in the organization?

What key performance indicators (KPIs) or metrics must be established to measure results for maintenance, operations, materials management, planning and scheduling, or purchasing? All vital roles within the organization and all contributors to the company's bottom line and most are unmeasured.

Some organizations approach key performance indicators (KPIs) or metrics with a more is better attitude and collect volumes of unnecessary data. Identification of the right key performance indicators (KPIs) or metrics is critical to ensure you truly "measure what you treasure".

Key performance indicators (KPIs) or metrics are the most important foundational element for any continuous improvement effort. Without this critical information an organization will not immediately realize opportunities for improvement exist and react in a timely and cost effective manner.

The collection of key performance indicators (KPIs) or metrics information is a shared responsibility across the organization. With that said, all individuals within the organization must be trained how to collect and utilize the information.

People and Processes helps organizations develop true Key Performance Indicators (KPIs) or metrics that are based on valid data. Addressing the complete process starts with a correctly implemented CMMS and an on-going valid data collection effort, such as correct work order data and valid equipment history.

Look at the key performance indicators (KPIs) or metrics established for your organization, how do they measure up? How can we help you succeed?