What KPI metrics do best-in-class companies monitor?

In an AberdeenGroup benchmark survey report, Global Manufacturing: MES and Beyond, it is demonstrated that best-in-class companies are more likely to have strategies in place to unify processes and systems across locations, primarily by means of business process standardization, as well as enterprise-level initiatives to standardize key performance indicators (KPI) across locations.

10/01/2006


In an Aberdeen Group benchmark survey report, Global Manufacturing: MES and Beyond , it is demonstrated that best-in-class companies are more likely to have strategies in place to unify processes and systems across locations, primarily by means of business process standardization, as well as enterprise-level initiatives to standardize key performance indicators (KPI) across locations.

Companies that have been reporting against KPIs for five years or more are likely to have achieved best-in-class status today. As shown in the accompanying chart, better-performing companies tend to show more long-standing measurement programs in place than their poorer-performing counterparts.

At least one-third more best-in-class companies have monitored scrap or yield, factory throughput, and manufacturing cycle time for the past five or more years than their poorer-performing counterparts. The chart also shows a performance disparity between those companies that have been monitoring time-to-market—an important cross-functional metric—for several years—i.e., 50 percent from best-in-class versus 13 percent for others.





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