Using Amper to Set Annual Goals

Using Amper to Set Annual Goals

Every year, the team should meet internally to set your company’s annual goals and determine True North KPIs. You can use your Amper data to determine these KPIs.

Example Amper KPIs

  • Utilization: This metric demonstrates how efficiently your machines are running. In some cases, you might want to break up overall utilization into Capacity and Performance Utilization.
    • Performance Utilization: Performance utilization doesn’t take into account downtime that is scheduled (like lunches, breaks or vacations). This metric takes out planned downtime to answer the question: “when we are scheduled to run, how well do we run?”
    • Capacity Utilization: This is the true up/down of a machine over a period of time. It considers everything: including scheduled downtime. Our customers typically start with an average Capacity Utilization of 28%.
  • Paid Labor Utilization: This metric helps you measure how well your labor is utilized. Essentially, if your labor is being utilized fully, but your machines are not, then it’s a good indication that you need to hire. Conversely, if your labor is not fully utilized the way you would like, you may need to make some process changes (cross training, restructuring of activities, etc...)
  • Percentage of Unlabeled Downtime: As mentioned above, in order to be effective with your data, you must actually use it to improve your systems. That’s why it’s important to have complete context about why machines go down with downtime labeling. KPIs around the percentage of unlabeled downtime empowers your team with the data they need to make real improvements. When they go to look for the next project to start, it’s obvious what to do next.

Annual Meeting Agenda

  1. Determine relevant KPIs using Amper data
  2. Use Amper reports to set the current state and determine the goal for the end of the year
  3. Outline the path for each quarter (this can be revised later)
    1. Who should attend?

    2. All Area Managers/Directors (Engineering, Operations, Maintenance)
    3. General Manager (GM)
    4. 💡

      Useful Amper Reports for this meeting 1. Last Year’s Utilization Summary 2. Last Year’s Executive Summary

Annual Goal Examples

Annual True North Goal

To help guide discussions, you can use the True North Tracker for this meeting. We’ve included some True North KPIs in the examples below.

At the top of this table, you’ll see the current state for Utilization, Paid Labor Utilization and Unlabeled Downtime. Underneath, you’ll see the future state or the annual goals for these KPIs. By the end of the year, this factory wants to be at 50% Utilization, 95% Paid Labor Utilization, and 10% Unlabeled Downtime.


Quarterly Milestones Outline

During this meeting, you’ll not only want to set the end-of-year goal, but you’ll also want to outline the path to reach those goals with quarterly milestones.

You can fill these milestones out in the True North Tracker, to paint a picture of how you’ll need to progress over the year. These can be adjusted at the start of each quarter as needed.

At the end of each quarter, fill out the results. Red and Green color coding make it easy to see what goals were hit vs. missed. For example, in the picture below, you’ll see that Utilization numbers were hit in Q1 and Q4, but missed in Q2 and Q3.