Measuring the Savings from Metrics

July 5, 2010
Enterprise Resource Planning vendor SAP Americas, in Newtown Square, Pa., did a survey of its manufacturing customers and found direct savings related to viewing metrics as different aspects of plant operations.
Following are the findings on tracking a metric and using the metric to optimize the plant. The survey results translated metric tracking into performance improvements.Metric: capacity utilization• Tracking personnel during work shifts based on qualification and availability led to 15 percent higher capacity utilization• Allocating equipment and tools to operations based on production plan, and tracking their usage and status in real-time led to 15 percent higher capacity utilization• Real-time monitoring and tracking of processes, orders, operations and exceptions led to 10 percent high capacity utilization.Metric: overall equipment effectiveness (OEE)• Allocating equipment and tools to operations based on production plan and tracking their usage and status in real-time led to 40 percent higher OEE• Enabling real-time monitoring and tracking of data processes, orders, operations and exemptions led to 15 percent higher OEE.Metric: on-time delivery• Consumer products companies that ensured tracking and directing of personnel during work shifts based on qualification and availability led to 10 percent improved on-time delivery• Consumer products companies that enabled real-time monitoring of data about processes, orders, operations and exceptions led to 10 percent improved on-time delivery. Related Feature - Metrics are spreading to the Manufacturing DashboardTo read the feature article relating to this story, go towww.automationworld.com/feature-7258.Related Sidebar - Going Green on CampusTo read the article accompanying this story, go towww.automationworld.com/feature-7260.

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