GITNUX MARKETDATA REPORT 2023
Must-Know Production Planning Metrics
Highlights: The Most Important Production Planning Metrics
- 1. Production Capacity
- 2. Resource Utilization
- 3. Cycle Time
- 4. Lead Time
- 5. Throughput
- 6. Takt Time
- 7. Work-in-Progress (WIP)
- 8. Finished Goods Inventory
- 9. Manufacturing Cycle Efficiency (MCE)
- 10. Overall Equipment Effectiveness (OEE)
- 11. Downtime
- 12. Production Yield
- 13. Changeover Time
- 14. Scrap Rate
- 15. Labor Productivity
- 16. Return on Assets (ROA)
- 17. Order Fulfillment Rate
- 18. Supplier Lead Time
- 19. Order Backlog
- 20. Forecast Accuracy
Table of Contents
Production Planning Metrics: Our Guide
Understanding key production planning metrics is critical for any manufacturing business that aims to optimize its operations and enhance efficiency. In this blog post, we’ll explore the must-know metrics as highlighted by a recent comprehensive study. Equip yourself with this vital knowledge to keep your production planning strategy ahead of industry standards and drive your business growth.
Indicates the maximum amount of products that can be produced within a specific time frame, considering available equipment, workforce, and resources.
Measures how effectively the available resources (e.g,, machines, labor, materials) are being used in the production process.
The total time it takes for a product or batch to go through the entire production process, including setup, production, and teardown.
The time it takes from receiving a customer order to delivering the finished products.
The number of units produced within a given period, reflecting the production system’s efficiency.
The maximum amount of time allowed for producing one unit, in order to meet customer demand.
The number of partially finished products in the production process at a given time.
Finished Goods Inventory
The quantity of completed products available for sale or delivery.
Manufacturing Cycle Efficiency
A ratio of value-added time to total production time, indicating how efficiently the production process occurs.
Overall Equipment Effectiveness
Measures the percentage of planned production time during which the production process is truly productive.
The time during which a machine or production line is not operating due to maintenance, repairs, or other issues, leading to reduced productivity or output.
The proportion of products that meet quality standards compared to total products produced.
The time it takes to switch a production line from producing one product to another, including setup and testing.
The percentage of materials discarded during the production process due to defects, rework, or other issues.
Measures the output per labor hour, reflecting how effectively the workforce is contributing to the production process.
Frequently Asked Questions
What are production planning metrics?
Why are production planning metrics important to a company's success?
What are some common production planning metrics that companies track?
How can a company effectively use production planning metrics to improve its operations?
Are production planning metrics applicable to all industries and sizes of businesses?
How we write these articles
We have not conducted any studies ourselves. Our article provides a summary of all the statistics and studies available at the time of writing. We are solely presenting a summary, not expressing our own opinion. We have collected all statistics within our internal database. In some cases, we use Artificial Intelligence for formulating the statistics. The articles are updated regularly. See our Editorial Guidelines.