1. Throughput:
- Refers to how many products are produced in a specific timeframe.
- Indicates the efficiency of the manufacturing process.
- Higher throughput suggests better performance and capacity to meet demand.
2. Total Effective Equipment Performance (TEEP):
- Measures how well equipment is utilized during production.
- Considers both availability and efficiency of machinery.
- A high TEEP score means machines are working effectively, while a low score highlights potential issues.
3. Labour Efficiency:
- Assesses how effectively the workforce is used in the production process.
- Compares actual output to the total hours worked.
- High labour efficiency indicates that employees are productive and making good use of their time.
4. Employee Productivity:
- Measures the output of each worker over a given period.
- Useful for evaluating individual and team performance.
- Helps identify top performers and those who may need additional support or training.
5. On-Time Delivery (OTD):
- Tracks the percentage of orders delivered by the promised date.
- Critical for customer satisfaction; timely deliveries keep customers happy.
- A high OTD rate reflects well on the company’s reliability.
6. Lead Time:
- The total time from when an order is placed to when it is delivered.
- Shorter lead times are preferred for better customer satisfaction and inventory management.
- Companies aim to reduce lead time to respond quickly to market demands.
7. Cycle Time:
- Measures the duration to complete one production cycle.
- Understanding cycle time helps identify production bottlenecks.
- Reducing cycle time can increase overall efficiency and speed up delivery.
8. Manufacturing Cost:
- Encompasses all costs associated with producing goods, including materials, labor, and overhead.
- Keeping these costs low is essential for maintaining profitability.
- Analyzing manufacturing costs helps set competitive prices while ensuring healthy profit margins.
Resource Person: Poonath Sekar
