10kpi(keyperformanceindicators)

8/6/2019 10KPI(KeyPerformanceIndicators)

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Improving Competitiveness through Engineering & Management SolutionsImproving Competitiveness through Engineering & Management Solutions

The PAC Group

Prepared by The PAC GroupVersion: 2.0 CM 10

Key Performance Indicators (KPI)

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- What is it? -

Key Performance Indicators (KPIs) are a set of Metrics which show

graphically the Actual Performance against pre-defined Targets of key

Business Parameters.

It provides the proof that the related strategies and/or actions deliver the

required results.

KPI Management comprises of:

KPI Metric

KPI Report

KPI Review


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- What does it look like (concept)? -

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Jan Feb ar pr ay J n J l Sep Oct Nov Dec

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ar e t is 50

Grease C

broke do n

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ct als

rend line

a r e t line

KPI etric


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- Who participates, who owns it? -

The KPI is owned by the respective Department Manager.

The people who are involved in the process to the Metric are involved.


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- ow is it Taught and Implemented? -

Leadership to define which Metrics (and owner) are key for managing the

usiness.

wner to define and implement a robust process which ensure the MetricsReport with correct and accurate data is available at the required time.

Relevant associates trained/instructed in line with the process requirements.

Metrics to be posted, reviewed and decisions and/or issues acted upon as

appropriate.


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- What are the uccess actors? -

Identify what is really a Key usiness Parameter, internal or e ternal. (not justsomething you can measure or something you happen to have data for)

KPIs should relate to the rganizational goals (leading and lagging indicators)

ave clearly assigned owners of Metrics, people who have the responsibility todeliver the required performance

Agree on what, how and where in the process to measure

To have robust action plans in place which will improve the trend

To have regular KPI reviews with action plans

ot too many KPIs (start with 5-6)

Robust Problem Solving process in place


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Improving Competitiveness through Engineering & Management SolutionsImproving Competitiveness through Engineering & Management SolutionsThe PAC Group



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- ow do we Measure Performance? -

Meeting the goals set within the organization

KPIs are actively used for making decisions (if not, we measure somethingthat apparently is not important)

aving up-to-date KPIs


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Improving Competitiveness through Engineering & Management SolutionsImproving Competitiveness through Engineering & Management SolutionsThe PAC Group



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- xamples -

ustomer atisfaction efects, PPM

n Time eli ery

A eports

ccupational ealth & afety Injuries

ost Time

Quality & Manufacturing irst Time Through ( TT)

erall quipment fficiency ( )

Man- ours per Part

People Training ours

ost ost per Part

Marketing & ales Market hare

Volume per Area

10kpi(keyperformanceindicators)

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