CHAPTER THIRTEEN
Measurements for the Production Department
PRODUCTION MEASURES ARE UNIQUE in that they involve very few financial inputs. Instead, most of the information from which they are derived is obtained from other sources, such as tracking systems for units of production, machinery utilization time, and scrap tracking. These systems may not be as tightly controlled as financial systems, so the data used for these measurements should be tested to ensure that it is of a sufficient quality to yield accurate information.
The measurements described in this chapter fall into several categories: the utilization of key production constraints, also known as bottleneck operations; overall productivity and effectiveness; asset usage; and overhead expense utilization. The measurements discussed in this chapter include:
| Constraint Productivity Takt Time Constraint Rework Percentage Constraint Schedule Attainment Constraint Utilization Operational Equipment Effectiveness Degree of Unbalance Throughput Effectiveness Manufacturing Critical Path Time Manufacturing Efficiency Break-Even Plant Capacity Manufacturing Effectiveness Productivity Index Unit Output per Direct Labor Hour Average Equipment Setup Time | Unscheduled Machine Downtime Percentage Mean Time between Failures Acceptable Product Completion Percentage Work-in-Process Turnover Work-in-Process to Standard Work-in-Process Scrap Percentage First-Time-Through Yield Warranty Claims Percentage Maintenance Expense to Fixed Assets ... |
