Key Performance Indicators

[Russ At Index]

Hi All,

Can anyone help out here?? ...... i am tasked with producing
some KPI's for our Distribution Centre.( Non Manufacturing ,
just warehousing & distribution).

Any ideas / thoughts / comments greatfully accepted !

TIA

Russ

 

[malehot888]

Hi Russ,

I create KPIs for a very large retail company in Canada. Although I do not know what metrics you will be focusing on, I suggest you talk to your boss and find out what important metrics that needs to been on a monthly basis. I woud include stats like producitivity.

In my KPIs, I have PTD (TY vs LY) and YTD (TY vd LY) numbers for about 15 metics on one summary page. I also have supporting documents (drill down details) that are in other supporting files.

In a nutshell, thats what I have for my KPIs. Please reply back if you want further details.

If anyone else does KPIs, I would like to find out how everyone does theirs b/c knowledge is power (and sharing is caring!)

 

[Russ At Index]

Hi Malehot888,

Thanks for the reply , we had an infromal discussion earlier
today about what my boss would like !!!!

I have some previous knowledge of KPI's but am i right in
thinking my best approach is going to be along the unit KPI's ?

Thanks , have a good evening

Russ

 

[pooratlas]

Russ
Consider your centre's mission, and stakeholders.
What are the objectives of your centre for each stakeholder group (customer external / internal, employees, owners, community)?
List the easily collected attributes (hours, loads, throughput).
Consider the ratios of different attributes (eg: loads per hours worked)
Start some run charts of daily performance using excel or access, or manually on a board.
Don't be too concerned about variation until you have some history in the charts.

 

[konew1]

Hi
I suggest that you don't try to make too many. Remember they are called "key" because they are the things that really matter to deliver the objectives of the stakeholders. Also avoid setting up a process that requires data that is not readily available, because to be of much use KPIs should be delivered very quickly, and there is no point if you have to wait a week to extract the data.
Unit KPIs suggested by the boss will be a good start. I think:
shipments per day,
shipments per employee (on daily basis),
possibly someting on processing time - like time from receipt of order to despatch (x% of shipments processed in <2hrs, y% between 2 to 4 hours).

 

[Russ At Index]

Hi Pooratlas , Konew1,

Sound advice guys , i was thinking along the lines of "over data-ering"
myself so i could cut out what i really wanted , but if someone wanted
it all i would be able to provide it. That , as you point out would be a dangerous
road to travel down ! Do not want to over complicate this fledgling process !!

I have an update meeting with my boss tomorrow , if its ok with you guys i will
keep you posted on the proposed data capture / layout etc.
As we said before , sharing knowledge is knowledge in itself !

Thanks Again Chaps

Russ

 

[pooratlas]

As key indicators, the results communicated are often "the 50,000 foot (or meter) view".
Collect as much detail data as you / the boss feel you'll need to "drill down" into source of the key results.
Keep in mind, that you'll need to maintain confidence in the source data through the ability to (not need to) audit the data. Once goals or benchmarks are established and posted, people seldom measure themselves towards poor performance.

 

[thu062012]

Hi

You can find this info by using search box in the top of website with some keywords related before posting questions.

 

[Smitty]

Russ, if you have Excel 2010 take a look at www.powerpivot.com. There are several KPI examples there. It's a great tool and allows you to slice and dice your data in dashboard views.

HTH,