2013 – 2014 Manufacturing Metrics that Really Matter Summary Report
Are you aware of MESA (Manufacturing Enterprise Solutions Association) MESA.ORG? They are a a worldwide not-for-profit community of manufacturing companies, information technology hardware and software suppliers, system integrators, consulting service providers, analysts, editors, academics and students.
They recently did a web cast on metrics in manufacturing that I found very interesting. The webcast presented the results of a survey conducted jointly by LNS Research and MESA International, which covered inputs from over 200 manufacturing decision-makers across a wide range of industries.
An info graphic summarizing the results of the survey can be found here.
One area that I found interesting and have never seen before was research on was the correlation of operational metrics and other attributes..
For example: Operational Improvements to type of software used.
- Annual Improvement in Total Cost Per Unit was 13.1 %, but for those who used Operational Intelligence / Manufacturing Intelligence Systems they archived a 24.1 % improvement, and for those who use manufacturing Execution Systems archived an 22.5 % improvement.
Another example was Operational Metrics to Financial metrics
- That the top performers in New Product Introduction had a 16 % annual financial improvement vs. 8.6% for all the others
People have been talking for years about metrics, and in the operational space there is are a large number of sources of these metrics, but how often do we we in operations tie our (hopefully improving) metrics to the financial impacts they have.
Are you tying your operational metrics to the financial ones? Do you know the financial impact that your daily operational decisions are making? Do you want to?
You can access a summary of the report here.