Where do you Stand

Per industry benchmarks, every organization needs to aim at achieving operational excellence through:

  • No or very low number of customer complaints

  • All processes, irrespective of industry, aimed at 4 and above sigma Levels ( Less than 6210 ppm)

  • Cost of Poor Quality (product/service failure cost) is less than 10%

  • Overall Equipment Effectiveness (OEE) above 85%

  • Control all process RPN scores to <80

  • Keeping cycle time lower than Takt time if & wherever possible

  • Whatever the verticals you operate in/with, it is imperative that the above metrics hold good generally always in measuring your current process performance levels. For example (but not limited to):

    Process Metrics Manufacturing BPO Hospitality Medicare SCM
    Customer complaints Customer complaints Call Abandonment rate Customer complaints Patient satisfaction survey Customer complaints
    Process efficiency Process yield First call Resolution Customer Retention , Repeat Visits, Customer Referral ALOS ( Average Length of stay) Perfect Order Measurement, Cash to cash cycle time
    COPQ Internal and external failure cost Cost of volume of repeat calls in a month to the orginal with the same reason Budgeted cost- Actual cost, Cost of unplanned readmits, surgical site infections returned to emergency room, adverse drug effects resulting from medical errors Failure cost
    OEE OEE Over all Service Efficiency Over all Service Efficiency Over all Service Efficiency On time shipping rate
    Process scheduling Takt >CT TSF < ASA As per realistic internal benchmarks set As per realistic internal benchmarks set Supply chain cycle time