Topics: Advanced Planning and Scheduling, manufacturing, KPI, production planning, Implementation, APS, theory of constraints, analytics, Capacity Modeling, challenges in supply chain, bottleneck visibility, materials planning, Automation
In manufacturing, it is essential to measure the performance of the production facility to evaluate the organization and its success. Key Performance Indicators (KPIs) are often used to do this. KPIs can be defined by a set of quantifiable measures that are used to indicate the performance of the manufacturing operation.
The goal of using KPIs is to understand how well your manufacturing organization is doing and track its performance over time. These help managers understand which areas are in need of improvement and can help set short-term or long-term goals to improve performance. KPIs can also be incorporated into visual management tools for bench-marking and goal-setting.
One important note is that manufacturing organizations must choose KPIs that reflect the goals of the company and can be measured. Not all KPIs are relevant to all industries or organizations.
Choosing the best KPI will likely depend on the organization, industry, or even department it will be used in. Using the SMART criteria can help you during this process.
Using the SMART criteria, you can go from a vague KPI like “Improve Production” to something like “Reduce machine down-time by 10% in the next 3 months”. Then, you will know what to measure (percent of down-time), your goal (10% reduction), and a time-frame (next 3 months).
The following section will cover some common KPIs used in manufacturing and production operations.
KPIs can vary by department or industry. However, the following examples are commonly used within many manufacturing organizations:
KPIs are being used by manufacturing operations around the globe and are promoting intuition about productivity awareness and enhancement. Advanced Planning and Scheduling (APS) software such as PlanetTogether APS offers a KPI Pane that allows planners to make informed scheduling decisions.
In PlanetTogether, KPIs within a What-If scenario environment can be helpful in determining the most optimal production schedule. This allows planners and schedulers to create multiple iterations of the schedule and see how each change to the schedule affects the relevant KPIs.
A great benefit of the PlanetTogether KPI Pane is that it tracks the KPI values at each schedule iteration. This means that you can easily undo changes to the schedule to return to the version that will give you the best KPI value.
We work with What-If scenarios until we find the schedule that works best for us, then we take it Live.BRUCE HAYS, DIRECTOR OF MANUFACTURING, J&J SYNTHES
All of these adjustments can be done in a ‘What-If’ environment so that you are confident that you do not disrupt the current Live schedule. Once you are satisfied that you have found the best production schedule to meet your business goals, you can convert it to the Live scenario with the simple click of a button.
Advanced planning and scheduling systems (APS) are compatible with any size manufacturing operation and are a step in the direction of enhancing productivity, accuracy, and overall production efficiency.
Advanced Planning and Scheduling Softwares have become a must for modern-day manufacturing operations as customer demand for increased product assortment, fast delivery, and downward cost pressures become prevalent. These systems help planners save time while providing greater agility in updating ever-changing priorities, production schedules, and inventory plans. APS Systems can be quickly integrated with an ERP/MRP software to fill the gaps where these systems lack planning and scheduling flexibility, accuracy, and efficiency.
With PlanetTogether APS you can:
The implementation of an Advanced Planning and Scheduling (APS) Software will take your manufacturing operations to the next level of production efficiency by taking advantage of the operational data you already possess in your ERP system. APS is a step in the right direction of efficiency and lean manufacturing production enhancement. Try out a free trial or demo!
Topics: Advanced Planning and Scheduling, manufacturing, KPI, production planning, Implementation, APS, theory of constraints, analytics, Capacity Modeling, challenges in supply chain, bottleneck visibility, materials planning, Automation
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