Towards an extended set of production line performance indicators

Abstract

The scope of this research is the performance measurement of mixed production and packaging lines. The main purpose of this paper is to design an original extended approach to line performance measurement, which will improve the traditional model of calculating the effectiveness by using the overall equipment effectiveness indicator. Real-life data study is an important part of this paper, used to test and confirm in practice the appropriateness of employing the designed approach on the line for the production and packaging of cigarettes. The findings show that it is justified to use an extended set of metrics for measuring the performances of technological lines so that all performances can be measured more comprehensively, continuously and in real time. The proposed framework is a contribution to a more comprehensive diagnostic picture of line performances and it can be a good support for continuous improvements of a technological process in focus.

Balanced Scorecard and Lean Business Concept

“…This is because financial indicators such as income growth, cost reduction, productivity growth, risk reduction provide the necessary links that permeate all other perspectives. The main task within this area is to provide return on shareholders' investment (Vasiljevic et al, 2014). In addition to this measure, revenue and profit growth, rise in market share, cash flow and the like can be monitored.…”