Key Performance Indicators (KPIs) to Monitor With an MES 

May 13, 2022

Manufacturers need to strive for efficiency. The best way to do this is by having an effective Manufacturing Execution System (MES) that can create a more efficient manufacturing process. One way an MES can do this is by tracking productivity and by measuring efficiency. But how can it do this?

An MES uses several Key Performance Indicators (KPIs) to measure production line efficiency.  These KPIs are a reflection of manufacturing performance. It serves as a benchmark for different processes so that the MES can do its work and optimize the functions that need to be improved.

KPIs have six main categories that are used in assessing the efficiency of a manufacturing process: 

KPIs to Monitor 

  1. Overall Equipment Effectiveness

Overall Equipment Effectiveness (OEE) is calculated by multiplying the availability (machine use rate), performance (efficiency rate), and quality (compliant product rate). This identifies where processes should be improved based on the different performances of the equipment used. 

  1. Machine Downtime

This is a combination of scheduled and unscheduled downtime. It shows all times a machine is unavailable for use. Monitoring this allows you to understand the main reasons for the loss of productivity and how you can work on them to lessen downtime.

  1. Inventory Turns

Many manufacturers could experience inventory shortages or saturation. This KPI ensures adequate inventory rotation to ensure good production flow.

  1. First Pass Yield

This KPI is used to evaluate the quality of a finished product and the quality of the production process. Only products that have been assessed to be of the highest quality are counted.

  1. Scrap

Opposite to the first pass yield, scrap refers to the finished products that did not meet the quality check. These wouldn’t be marketed because they are seen as low quality or defective. High scrap rates are far from good and can be a cause for concern.

  1. Rework

This KPI is used to assess the rate of manufactured products that had to be reworked. This needs to be closely monitored considering that reworks take up valuable production time and resources.

When it comes to measuring production success, the KPIs in an MES are extremely important. With these metrics, you can make better decisions that are backed by accurate real-time data. The decisions you will make based on these can greatly impact your production line.