KPI option
Overview
KPI option calculates KPI (Key Performance Indicators) based on the scheduling results. As a tool for preparing long-term business plans, greater implementation returns can be achieved than is possible with traditional production schedulers.
Characteristics
Based on the scheduling results, KPI option calculates period KPI, order KPI, operation KPI, resource KPI and item KPI.
The value of KPI will be calculated as the "Evaluate KPI" command is executed.
Settings
In order to calculate KPI, the following properties need to be specified.
Factory calendar resource
Specify the resource for which the working time is calculated to the "Factory calendar resource" in the "Settings" tab of the project settings.
KPI calculation start time
Specify the time to start KPI calculation to the "KPI calculation start time" in the "KPI" tab of the "Evaluate KPI" command. The scheduling basis time is set by default.
KPI calculation time span
Specify the time period for which KPI is calculated to the "KPI calculation time span" in the "KPI" tab of the "Evaluate KPI" command. "30d" is set by default.
Item type
Specify the "Item type" of the item. Select what is appropriate from: finished item; manufactured part; intermediate item; purchased part.
Unit price of item
Specify the "Unit price" of the item.
Outsourcing price of item
Specify the "Outsourcing price" of the item. This will be used to calculate the outsourcing cost.
Cost type of resource
Specify the "Cost type" of the resource. "Hourly cost" will be used to calculate the labor cost; "Outsourcing price" will be used to calculate the outsourcing cost.
Hourly cost of resource
Specify the "Hourly cost" of the resource. This will be used to calculate the labor cost.
KPI evaluation steps
The following calculation steps are standard KPI features.
Period KPI
Calculate the earnings, costs, inventory quantities and inventory values for a specified period.
They can be confirmed in the KPI evaluation result table, which is displayed from the menu [Table View] - [Evaluation Result] - [KPI].
| Earnings | Total monetary value of sales orders with due dates within the specified period. |
| Material cost | Total monetary value of purchase orders with due dates within the specified period. |
| Outsourcing cost | Total outsourcing cost for operations during the specified period. |
| Labor cost | Total labor cost for operations during the specified period. |
| Total cost | Material cost + outsourcing cost + labor cost |
| Profit | Earnings - total cost |
| Profit ratio | Profit / Earnings |
| Sales order due date achievement | The due date achievement rate for sales orders assigned within the specified period. |
| Purchase order due date achievement | The due date achievement rate for purchase orders assigned within the specified period. |
| Finished item inventory | Total monetary value of finished item inventory for the calculation start time of the specified period. * Item type: "finished item" or "intermediate item." |
| Parts inventory | Total monetary value of parts inventory for the calculation start time of the specified period. * Item type: "manufactured part" only. |
| Purchased item inventory | Total monetary value of purchased item inventory for the calculation start time of the specified period. * Item type: "purchased item" only. |
| Total inventory | Finished item inventory + parts inventory + purchased item inventory |
| Finished item inventory qty | Total quantity of finished item inventory for the calculation start time of the specified period. * Intermediate item will also be added. |
| Parts inventory qty | Total quantity of parts inventory for the calculation start time of the specified period. * Item type: "manufactured part" only. |
| Purchased item inventory qty | Total quantity of purchased item inventory for the calculation start time of the specified period. * Item type: "purchased item" only. |
| Total inventory qty | Finished item inventory qty + parts inventory qty + purchased item qty |
| ROA | Profit / Total inventory |
Order KPI
KPI by order.
| Cumulative material cost | Total cumulative material cost for operations in the final process. |
| Cumulative outsourcing cost | Total cumulative outsourcing cost for operations in the final process. |
| Cumulative labor cost | Total cumulative labor cost for operations in the final process. |
| Cumulative total cost | Cumulative material cost + cumulative outsourcing cost + cumulative labor cost |
| Earnings | Quantity of sales order * unit price of item |
| Profit | Earnings - cumulative total cost |
| Profit ratio | Profit / earnings |
Operation KPI
KPI by operation.
| Material cost | Quantity of purchase order * unit price of item |
| Outsourcing cost | Number of operations * outsourcing price of item * Cost type of resource: "outsourcing price" only |
| Labor cost | Total production hours * hourly cost of resource |
| Total cost | Material cost + outsourcing cost + labor cost |
| Cumulative material cost | Cumulative material cost of previous process + material cost |
| Cumulative outsourcing cost | Cumulative outsourcing cost of previous process + outsourcing cost |
| Cumulative labor cost | Cumulative labor cost of previous process + labor cost |
| Cumulative total cost | Cumulative material cost + cumulative outsourcing cost + cumulative labor cost |
Resource KPI
KPI by resource.
| Outsourcing cost | Number of operations within the specified period * total outsourcing price of item * Cost type of resource: "outsourcing price" only. |
| Labor cost | Total production time for operations within the specified period * total hourly cost of resource * Cost type of resource: "hourly cost" only. |
| Setup time | Total setup time within the specified period. |
| Production time | Total production time within the specified period. |
| Teardown time | Total teardown time within the specified period. |
| Working time | Total working time within the specified period. |
| Load (including setup) | (Setup time + production time + teardown time) / working time |
| Load (excluding setup) | Production time / working time |
Item KPI
KPI by item.
| Inventory qty | The quantity of inventory for the calculation start time of the specified period. |
| Inventory value | Inventory qty * unit price |
| Consumption qty | Total quantity of consumption within the specified period. * Excluding sales orders and purchase orders. |
| Consumption value | Consumption qty * unit price |
| Production qty | Total quantity of production within the specified period. * Excluding sales orders and purchase orders. |
| Production value | Production qty * unit price |
| Daily demand qty | Consumption qty / working days of factory calendar resource |
| Inventory turnover days | Inventory qty / daily demand qty |
| Earnings | Quantity of sales order within the specified period * unit price * Only when the corresponding item is the sales order item. |
| Material cost | Quantity of purchase order within the specified period * unit price * Only when the corresponding item is the purchase order item. |
Relations among KPI evaluation steps
KPI expressions specified for the "Evaluate KPI" command are supposed to work in order from the top. There are cases in which the result of an expression specified at top will be used by a subsequent KPI expression; thus, the order of specified expressions has a significant meaning.
The relations among KPI evaluation steps set by default are shown below (referred to according to the arrow's direction.):
Item KPI and resource KPI
Operation KPI, order KPI and period KPI
Labor cost of operation stretched by time wise load leveling
The time wise load leveling command stretches operations according to their load. However, performing KPI calculation in the stretched state will result in a larger labor cost for operations. Therefore, KPI expressions use the expansion rate of operations to obtain correct calculation results.
ME.LaborCost=Sum(ME.ProductionTask.UseInstruction,(TARGET.TotalUseTime/TARGET.'Order/Operation/Task'.ExpansionRate)*TARGET.Resource.HourlyCost/1h)
However, the operation's expansion rate will be reset by executing the following commands:
Adjustment
Assign MRP
Assign / peg orders
Assign manufacturing orders
Assign purchase orders
Assign sales orders
Assign privileged operations
Assign time fixed operations
Sequence control
Therefore, when calculating KPI of operations stretched by the time wise load leveling command, make sure to enter the "Evaluate KPI" command immediately after the time wise load leveling command.