Line efficiency is one of the common measures analysed by factories on daily and also one of the factory KPIs.
You might be measuring line efficiency and analyzing data on daily basis. Do you know why you should measure this?
There are many reasons for calculating line efficiency. Some of those are listed here
You might be measuring line efficiency and analyzing data on daily basis. Do you know why you should measure this?
Why measure line efficiency?
- To compare actual line efficiency with the target efficiency of the factory
- To perform comparative study between stitching lines and floors (even product wise comparison) and motivate low performing lines.
- Production team and industrial engineers are responsible for maintaining line efficiency as well as average factory efficiency up to certain level. To know their line performance they can’t avoid measuring line efficiency.
- Actual direct labour cost is reverse proportional to average efficiency of a line. Labour cost can be reduced by increasing line efficiency. If factory measures its performance on daily or monthly, they can check how much they are improving their performance in each month.
- To analyze performance trend of the individual lines
- To find improvement potential and impact on saving by increasing line efficiency
- Used in capacity planning for the factory
- Garment making cost estimation is done based on average factory efficiency.
- Calculating performance incentive for stitching operators and other personnel involved in production.
This post is the tiny part of my new ebook "Garment Maker's KPIs: Why to measure & how to measure?"
In this book I have discussed about 10 factory level KPIs and department wise KPIs. Each KPI is explained in the following format.
In this book I have discussed about 10 factory level KPIs and department wise KPIs. Each KPI is explained in the following format.
- Intro of the KPI
- Reasons behind measuring the KPI
- Method of measuring KPI (information that you need to gather for calculating the KPI)
- Formula used to calculate the KPI
- An example for measuring the KPI
- Data capturing form (template) for measuring the KPI