Real-Time Visibility & Measurement Separates The Good From The Great

Feb. 23, 2007
Best-in-class food manufacturers use metrics to outperform peers.

Looking at metrics such as asset utilization, overall equipment effectiveness (OEE) and operational availability, high performance food and beverage manufacturers outpace their peers. According to a study published by Redwood City, Calif.-based Informance International, 141 worldwide food and beverage packing lines reported gaps in performance between manufacturers that have granular, real-time visibility and measurement of key metrics versus those that do not.

The five-month study revealed that best-in-class enterprises outpace laggard performers in:

  • Asset utilization by 246%
  • Overall equipment effectiveness by 150% and
  • Operational availability by 125%.

Furthermore, laggard performers lose 21% of overall capacity to unknown causes, compared to less than 0.5% for best-in-class manufacturers.

"This study is unique because it was conducted using five months of real-time manufacturing performance data," commented John Oskin, founder Informance International.

Key findings include:

  • Typical plants in the food and beverage industry average over 87,000 "short duration" line interruptions per year.
  • Top manufacturers incur only 1% of line rate losses also known as Cycle Erosion compared to 16% for laggard performers.
  • Best-in-class companies outpace laggards in three key loss areas --shutdown, changeover and process failures.

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