In ’The Roadmap to Lean Success: The Measurement and Control Benchmark,’ 55% of respondents cited the need to improve profitability among the top three factors driving Lean adoption, reflecting the link between measurement and control and the higher strategic goal of profitability. In the quest to "go Lean," better performers are leveraging "drill down" measurement and control capabilities to not only improve manufacturing performance, but also to support customer requirements, compliance, and ultimately bottom line results-granular data that is critical for synchronized measurement and control from the shop floor to the top floor. The ability to integrate Lean production KPIs to financial scorecards is directly dependent on these drill-down capabilities.
"Top strategic actions vary depending upon where a company is in its journey toward Lean, but it is clear that metrics have come of age for Best in Class manufacturers who are leveraging their Lean investments," says Michael Bittner, Research Director for Manufacturing at AberdeenGroup. "More mature Lean companies are focused on deploying operational scorecards whereas those earlier in their journey are more focused on initial programs like 5S and creating value stream maps."
To achieve Best in Class status, companies should:
Scale Lean programs with cross-functional, coordinated measurements
Drive continuous improvement via measurement and control
Leverage technology to fuel continuous Lean process innovation
’The Roadmap to Lean Success: The Measurement and Control Benchmark’ report, which includes end-user testimonials collected in follow-up interviews, arms readers with actionable frameworks to benchmark their performance management operations against industry average and Best in Class performers. [August 2, 2006]
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