Transcript Performance Management System

Performance Management System
Aims and Objectives
Target Audience : Cell leaders, Line managers, Operations
Management, Support functions
Purpose of Module :To develop the practical ability to achieve
the timely control of value stream resources in order to achieve the
desired outputs (as visualised by KPI’s)
Aims & Objectives :
• Understanding of Issue Resolution
• Ensure people can interpret KPI’s and be able to
translate into effective management of their resources
• Enable people to set up and run a performance
management system
• To understand the impact of performance management
on the value stream
• Explain the importance of inputs control and
importance of visual management / andon
Welcome to the Performance Management
Training
Fire Exits: Everyone know the procedure?
Group Agreements:
We Will………
We Will Not…….
Introductions
• Name
• Department
• Current knowledge of Performance Management
How KPI’s & Issues Management interact to
make a complete Performance Management
System.
Design a
KPI
Hierarchy
Set
Targets
Build
Incentives
Performance
Mgt System
Plan
Improvement
Capture
Issues &
Resolve
Install
tracking
systems &
process
Information Centre / Team board
An information centre will be located line side and provide a key communication
tool, meeting point and focus for managing line performance
TEAM BOARD : STATION 99
QUALITY
SCRAP
CONCESSIONS /
DEFECTS
COST
PRODUCTIVITY
DISRUPTIONS
DELIVERY
PEOPLE
TAKT ADHERENCE
SKILLS MATRIX
CURRENT
ISSUES RESOLVED
ATTENDANCE
HEALTH & SAFETY
PREVIOUS
LOCAL INFORMATION
SHIFT :
TEAM LEADER :
PRD
File
SIGN OFF
5C
Performance Management
Aim:
To enable you to leave the session able to set up
& run a Performance Management System in your
area.
Performance Management
‘There are no world class
manufacturing companies without
Performance Management in place’
“Having no performance management system is like having a
‘plane without altimeter, compass or gyroscope!”
Performance Management
What is Performance Management?
Performance Management is a structured
visual approach to monitoring the business
performance, highlighting issues & reacting to
them in a timely manner.
How Performance improves with Management
There can be no data without operator involvement
Data
There can be no
improvement
without
measurement
Improvement
Information
There can be no
information
without data
Measurement
There can be no measurement without information
Performance Management relies on gathering accurate data about how
processes perform in order to stimulate improvement activity
Aims & Benefits of
Performance Management
Aims:
Benefits:
•
• Make our performance
visible
•
• Drive us to take action
• Provide timely feedback Flip Chart
•
on the effects of our
actions
•
•
Highly visible performance
gap
Increased pressure to
improve
Indication where
improvement is needed
Continuous and sustained
improvement in quality, cost,
delivery and safety
Satisfied customer,
shareholders and employees
A performance management system is needed to ensure we meet our
obligations to customers, shareholders & employees
Key Elements of a Performance
Management System
Elements
Monitoring
Actioncentred
management
Key tools
 Visible KPIs with agreed targets
 Cascaded objectives for all
 Progress tracker for each section
 Central information system
 Regular review process
 Andon system (line stop)
 Formal and well understood escalation procedure
 Standard work
 Line side rebalancing mechanisms
 Kaizen
The performance management system needs to focus not only on
monitoring but on action centered management
Performance Management Framework
Define the key Drivers (QCDP)
Cascade K.P.I.’s through the organisation
Design a
KPI
Hierarchy
Set
Targets
Performance
Mgt System
Create achievable
‘stretch’ targets for
each KPI
Typical KPI’s
KPI - examples
Quality
Defects
(Defects per unit)
Errors
(errors per unit)
Delivery
Schedule adherence
Target
1 Defects per unit
2 errors per unit
0 delta (nil Hours behind or ahead of plan)
(Hours delta to plan)
Cycle Time
To be agreed
(Hours per Unit)
Cost
Manning
(man hours per set)
(Cost per unit)
270 hours per unit
People
Skill Level
Training Hours
75% people trained to Practitioner Level
40 hrs per man per year
£5,000 per unit
Key performance indicators need to be simple and focused
Performance Management Framework
Design a
KPI
Hierarchy
Set
Targets
Performance
Mgt System
Install
Create support
tracking
work streams & have
systems & issues logged with
process them visually
Performance Management Indicators
Work Package Progress Tracker
WORKPACKAGE 1 PACKAGE PROGRESS TRACKER
Task
Description
Unit
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date
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Start Time
4
Cycle Time
Target finish
5
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A work package progress tracker will be used to monitor how the unit build
is progressing against takt and drive corrective action
Takt Time
Performance Management Indicators
Shift: _____
Team Attendance
M
T
W
Th
F
M
T
Week 1
W
Th
Defects Per Unit
W/P: ______
F
Week 27
Week 2
Week 28
Week 3
Week 29
Week 4
Week 30
Week 5
Week 31
Week 6
Week 32
Week 7
Week 33
Week 8
Week 34
Week 9
Week 35
Week 10
Week 36
Week 11
Week 37
Week 12
Week 38
Week 13
Week 39
Week 14
Week 40
2001
Week 15
Week 16
Week 41
Week 42
Week 43
Week 17
Week 18
3456
3456
3456
3456
Week 44
Week 45
Week 19
Week 20
Week 46
Week 21
Week 47
Week 22
Week 48
Week 23
Week 49
Week 24
Week 50
Week 25
Week 51
Week 26
Week 52
M
T
W
Th
F
M
T
W
Th
F
Team Leader: _______________
Andon board
On plan
1 2 3 4 5 6 7 8
Issues
1 2 3 4 5 6 7 8
Stopped 1 2 3 4 5 6 7 8
• Andon call
system and
line stop
Performance Management Indicators
Productivity
Shift: ______
Takt Achievement
SHIFT: ______
Scrap / Lost on Shop
Issues Outstanding
Scrap
W/P: ______
Lost
34
35
36
37
38
39
40
41
42
43
43
44
45
43
44
45
46
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Management Audit
Process
•Every day Team Leader self audits
workplace & performance against a
check list.
•Forms part of the Team Leader
handover from shift to shift.
•Agreement between Team Leaders on
the current state.
Looking for:
•Housekeeping to the required standard.
•Performance management measures up
to date and on target.
•Quality standards are adhered to.
•Work is being performed to the
standard.
•Issues identified & customer
protection/counter measure underway.
Management Audit
Process
•At the appropriate frequency (every
shift/every day/once per week) the Cell
Leader to audit team performance.
•Audit scores feed into a weekly HUD info. centre
•Every month senior management
complete “Go & See” tour; audits &
signs.
Looking for:
•Housekeeping to the required standard.
•Performance management measures up
to date and on target.
•Quality standards are adhered to.
•Work is being performed to the
standard.
•Issues identified & customer
protection/counter measure underway.
Audit process ensures the performance
management process is being used
appropriately
29/04/02
27/04/02
25/04/02
23/04/02
21/04/02
19/04/02
17/04/02
15/04/02
13/04/02
11/04/02
09/04/02
07/04/02
05/04/02
03/04/02
01/04/02
30/03/02
28/03/02
26/03/02
Cell Score
Management Audit Scores
F lo wlin e Pe r fo r ma n c e a n d Wo r k p la c e Ma n a g e me n t
Au d it
100
90
Cell 1
80
70
Cell 2
60
Cell 3
50
TARGET
40
30
20
10
0
Da t e
Audit Process Schematic
C/L to understand/
address any
shortfalls then file
in C/Ls Office
Ongoing Maintenance
of the Department
The handover document
to C/L for archive
DAILY
WEEKLY
PUM
C/L
T/L
Handover
- Weekly PUM must conduct an audit
using the Area Map (support
personnel to attend) +adhoc
dip check ofT/L Handover archive
- Weekly C/L(with or without PUM) must
Complete the Cell Performance/
Workplace Mgnt Audit Sheet
- Daily T/L must complete
at the end of shift
and hand to the
incoming T/L
- Daily The incoming T/L
needs to decide
whether the dept.is in an
acceptable condition
YES
- Weekly PUM to review the audit
With Ops Manager/HoB
Before the HUD is updated
- Weekly PUM must then feed
the results into the
HUD
NO
T/L off the previous
shift to rectify the
issues with immediate
effect
- Weekly Results communicated to
T/Ls at the morning brief,
then communicated to Operations
(via PMS Board)
T/L can now
continue to deploy
operators onto job
ACCEPTABLE
HANDOVER ?
Performance Management Framework
Design a
KPI
Hierarchy
Set
Targets
Performance
Mgt System
Formalise the shift hand
over & IPT around the
tracking system & Capture
Issues for resolution
Capture
Issues &
Resolve
Install
tracking
systems &
process
Issue Management - Information Flow
Issues Resolution Process
Team Member
Team Leader
Shift Leader
PUM
Mgr
Issue Escalation
Who
What
Where
T/L
Andon Light
As disruptions occur, they are logged.
Any disruptions causing delay are
entered into the log. The description,
time length of delay and owner are
recorded.
On Team-Leader board, shop floor
When a problem has occurred that will
prevent the Team from achieving
planned productivity.
Light mounted on Team-Leader
Board is switched on. Dept
responsible is contacted and rep.
summoned. Light off only when
problem owned & plan in place
(Rules change with Andon maturity)
T/L
& Problem Owners
S/L
As information / issues become
available. Should be updated at earliest
opportunity to display the real time
state
As per Issue board process
Shift Report
1 2 3 4
Work Package
Totals
At Team-Leader board, shop floor
Set review for each team, 16:30 w/p 1
16:40 w/p 2
16:50 w/p 3
17:00 w/p 4
5 minute status review of key
metrics displayed on board. 5 minute
discussion of pertinent issues /
suggestions
conference room
Each morning, start of shift
PUM and C/L review prior to IPT
Concessions
Productivity
Takt Achievement
Scrap / Lost
Issues Outstanding
& Team Leaders
S/L
On Team-Leader board, shop floor
T/L
Issues Board
Shift Report
Notes:
Integrated Production Team
Direction set for the day. Major
issues discussed briefly.
& Support Dept.
PUM
Escalation Meeting
PUM Office
Thursday, 08:30-09:00
PUM’s propose strips and debate
which to raise / which are
appropriate
Thursday, 09:00-09:45
Assembly Mgr and PUMs review
progress over week using key
metrics on the Shop information
board. PUM’s propose Strips to
Assembly Manager
Friday, 08:00-08:30
Head of Business chairs meeting.
Assembly managers and managers
from support departments review
progress on Strips
(PUMs in attendance as required)
ISSUE ESCALATION STRIP
Raised on Issue Board: ____/____/____
A. Mgr
W/P No.______
Issue No. ______
Weekly Review
Information Centre
Strip Meeting
Information Centre
& PUMS
H.O.B
Assembly Mgrs
Support Mgrs
How
On shop floor with team
Disruption
Log
T/L
Escalation
When
Disruption Log - Shift Report
How to Review The Issues Board
a
b
c
d
e
f
g h i
j
k
l
The number of issues raised versus the number closed can be quickly established by comparing column a with column L.
This is an immediate appraisal of success rate.
Where there are outstanding issues, firstly look at column f to establish if there are plans in place. Look firstly for
completed circles that promise implementation. Reference to column k to ensure that the date committed to has been
achieved, and that the issue is on monitor. Assess the success of the countermeasure. Green = Ok, Red = NOk
Where the countermeasure has failed on monitor, re-raise the issue. Where plans have lapsed, contact the owner to
establish why.
Where countermeasure tracking is blank, column j will reveal if an owner has accepted responsibility for the issue. If this
is not the case, columns h and i will reveal the individual and the department that are identified for ownership.
If the owner has not signed to accept the issue, look at column b to establish when it was raised.
Issue Resolution - PUM
ISSUE ESCALATION STRIP
The Product Unit Manager;
Thursdays, 11:00 - 12:00
•Holds weekly ‘Issues Review Meeting’ with operational equivalents from the
supporting departments.
•Reviews resolution progress as presented by the shift leader for each team.
•Identifies areas where extra support is required
•Tasks operational equivalents from support departments to provide
appropriate support where it is required
Thursdays, 12:00 - 12:30
•Determines with the PUM team any issues that require escalation
•Raises ‘Escalation Strips’ as appropriate
Issue Resolution - Ops Mgr
The Assembly Manager
Fridays ?????
•Attends weekly ‘Strip Meeting’ with Head Of Business for all stakeholders in
the Natural Workgroup
•Presents ‘Escalation Strips’ to senior team
•Pins strip under the department responsible on the ‘Strip Board’
•Seeks support and accountability from Senior Team
•Does not discuss individual issues, but aspects that are appropriate for
senior level review
•Records actions on strip, and seeks to ensure review of the ‘Escalation
Strip’ outside of the meeting
Performance Management Framework
Design a
KPI
Hierarchy
Set
Targets
Tackle issues locally
where possible; utilise
systems to solve
high priority issues.
Performance
Mgt System
Plan
Improvement
Capture
Issues &
Resolve
Install
tracking
systems &
process
How to Plan Improvements
Through use of the Problem Solving Techniques identify the issues
have most impact and prioritise
Use current systems to solve the issues:
Focused Improvement Team – FIT
Problem Resolution
Document - PRD
Flip Chart
Engineering Query Note - EQN
Corrective Action Board - CAB
Non-Conformance Review Board - NCRB
Maintenance request
Tooling Modifications
Improved Method & Improved Control - Work Instructions
Line Balancing
Improve Environment - 5 C
Performance Management Framework
Create an environment
of continuous
improvement for a better
workplace
Design a
KPI
Hierarchy
Set
Targets
Build
Incentives
Performance
Mgt System
Plan
Improvement
Capture
Issues &
Resolve
Install
tracking
systems &
process
Performance Management Framework
Create an environment for Kaizen
Involve the Team Leaders and Operators:
Solve the issues which curtail production
Use the operators knowledge in problem solving
Display the results of workshops
Flip Chart
Have the Team leaders own the data on their area board
Use the boards for team hand-over and briefings
Use the boards for IPT information and support ownership allocation
Have Management audits of the boards and the information gathered
Regularly review the appropriateness of the information presented
Performance Management Framework
Design a
KPI
Hierarchy
Set
Targets
Build
Incentives
Performance
Mgt System
Install
Plan
tracking
Improvement
systems &
process
Capture
Issues &
Resolve
Performance Management Assessment
•Performance Management – Performance Management is a structured visual approach
to monitoring the business performance, highlighting issues & dealing with them in a timely manner.
Attributes of Performance Managment
1. Clear, visible and succinct mission
No
2. Simple KPIs each with a target
3. Less then 10 KPIs
4. Targets linked to individual performance
5. Information centre based on shop floor
6. Single location for information
7. Graphs to be owned and updated by production
8. Team leaders and team own process performance
9. Engineering and logistics support line issues
10. PERFORMANCE MANAGEMENT SYSTEM USED TO “MANAGE”
List Items To Be Improved
Responsible
OK
Performance Management
Why do Performance Management?
Flip Chart
Creating a Performance Management System for
your area!
Define the system:
Define the information need to be displayed and where
Involve the all stakeholders
support team, team leaders and operators
Define the frequency of update and who
Flip Chart
Define and provide location for information centre and cell boards
Train people in definitions of Cause, Customer Protection, Countermeasure.
Create & implement K.P.I.’s
Create & implement other lower level indicators
Action Plan Sheet
NO.
ISSUES
ACTION
WHO
WHEN
STATUS
Summary
•
Why do Performance Management
•
Main Principles of Performance Management
•
Tools of Performance Management
•
How to implement
Design a
KPI
Hierarchy
Set
Targets
Build
Incentives
Performance
Mgt System
Plan
Improvement
Capture
Issues &
Resolve
Install
tracking
systems &
process
Performance Management Course
Aim:
To enable you to leave the session able to set up
& run a Performance Management System in your
area.
Are you able?