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    Aerospace Lean Manufacturing Metrics

    Uploaded by

    Mani Rathinam Rajamani
    This document defines 17 metrics organized into four categories to measure Lean Manufacturing performance. The metrics measure Process Flow (e.g. process throughput, line efficiency), Quality (e.g. scrap rate, rework rate), Financial/Cost (e.g. cost per part, inventory cost), and Productivity (e.g. labor productivity, capital productivity). Each metric is defined and includes its unit of measure and whether a lower or higher value is better. The metrics provide a way to quantify and track key aspects of Lean Manufacturing like process flow, quality, costs and productivity.

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    Aerospace Lean Manufacturing Metrics

    Uploaded by

    Mani Rathinam Rajamani
    158 views2 pages
    This document defines 17 metrics organized into four categories to measure Lean Manufacturing performance. The metrics measure Process Flow (e.g. process throughput, line efficiency), Quality (e.g. scrap rate, rework rate), Financial/Cost (e.g. cost per part, inventory cost), and Productivity (e.g. labor productivity, capital productivity). Each metric is defined and includes its unit of measure and whether a lower or higher value is better. The metrics provide a way to quantify and track key aspects of Lean Manufacturing like process flow, quality, costs and productivity.

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    Aerospace Lean Manufacturing Metrics

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    This document defines 17 metrics organized into four categories to measure Lean Manufacturing performance. The metrics measure Process Flow (e.g. process throughput, line efficiency), Quality (e.g. scrap rate, rework rate), Financial/Cost (e.g. cost per part, inventory cost), and Productivity (e.g. labor productivity, capital productivity). Each metric is defined and includes its unit of measure and whether a lower or higher value is better. The metrics provide a way to quantify and track key aspects of Lean Manufacturing like process flow, quality, costs and productivity.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    158 views2 pages

    Aerospace Lean Manufacturing Metrics

    Uploaded by

    Mani Rathinam Rajamani
    This document defines 17 metrics organized into four categories to measure Lean Manufacturing performance. The metrics measure Process Flow (e.g. process throughput, line efficiency), Quality (e.g. scrap rate, rework rate), Financial/Cost (e.g. cost per part, inventory cost), and Productivity (e.g. labor productivity, capital productivity). Each metric is defined and includes its unit of measure and whether a lower or higher value is better. The metrics provide a way to quantify and track key aspects of Lean Manufacturing like process flow, quality, costs and productivity.

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    1

    AEROSPACE MANUFACTURING LEAN METRICS



    A set of performance measures for Lean Manufacturing, 17 metrics organized into four
    categories of: Process Flow, Quality, Financial measures (Cost), and Productivity
    (Throughput). The metrics, as well as their units of measure, metric orientation
    (lower is better [ ] or higher is better [ ]), and definitions are shown in Table 1 below.

    Table 1: Lean Manufacturing Metrics

    Performance Metric Unit of Measure Definition
    PROCESS FLOW METRICS
    1 Process Throughput
    PT Jobs per Hour Process output rate per hour of sellable product.
    2 Line Efficiency
    LE Percent (%) Ratio of actual process Throughput to the
    theoretical ideal throughput based on the pace
    and cycle time at the bottleneck station.
    3 Total Manufacturing
    Leadtime
    TML Hours Total time from receipt of raw material to
    shipping of the final product.
    4 Processing time quotient
    PTQ Percent (%) Ratio of value added processing time to total
    manufacturing leadtime (TML).
    5 Material Handling time
    quotient
    MHTQ Percent (%) Ratio of material handling time to total
    manufacturing leadtime (TML).
    6 Setup Time quotient
    STQ Percent (%) Ratio of setup time to total manufacturing
    leadtime (TML).
    7 Equipment & Personnel
    Waiting time quotient
    EPWQ Percent (%) Ratio of equipment and personnel queuing and
    waiting time to total manufacturing leadtime
    (TML).
    8 Materials Waiting Time
    quotient
    MWTQ Percent (%) Ratio of waiting time for materials to total
    manufacturing leadtime (TML).
    9 Information Waiting Time
    quotient
    IWTQ Percent (%) Ratio of waiting time for information to total
    manufacturing leadtime (TML).
    QUALITY METRICS
    10 Scrap Rate
    SR Percent (%) Percentage of units starting as raw material
    that are lost as scrap from all steps in the
    process.
    11 Rework Rate
    RR Percent (%) Percentage of units starting as raw material
    that have to be reworked at least once in the
    process.
    FINANCIAL/COST METRICS
    12 Cost per Part
    CPP $/Unit Total cost per unit for raw materials,
    processing and indirect overhead.
    13 Inventory Level
    IL Units Inventory level of raw materials, work in
    process and finished goods.
    14 Inventory Cost
    IC $/Month Holding cost per month for raw material, work
    in process and finished goods inventory.
    2

    PRODUCTIVITY METRICS
    15 Labor Productivity
    LP Percent (%) Ratio of monthly product value shipped to
    monthly labor expenditures.
    16 Capital Productivity
    CP Percent (%) Ratio of monthly product value shipped to
    monthly capital charges [for tools, equipment
    and facilities] depreciation and direct
    expenditures.
    17 Setup Intensity
    SI Percent (%) Ratio of setup time to scheduled plant
    operating time.

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