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Characteristics of Good Metrics as opposed to Bad Metrics

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Continual Improvement of the Quality Management System. Management ... OUR CREDO. In GOD we Trust... ...all others bring DATA. Characteristics of Good Metrics ... – PowerPoint PPT presentation

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Title: Characteristics of Good Metrics as opposed to Bad Metrics


1
Characteristics of Good Metrics(as opposed to
Bad Metrics)
  • Dale K. Gordon
  • VP Quality
  • MPC Products Corp.
  • March 8th 2006

2
What Are Metrics?
3
Measurement of Processes
Continual Improvement of the Quality Management
System
CUSTOMER
CUSTOMER
Management Responsibility
Management Responsibility
Management Responsibility
Satisfaction
Product Realization
Product
input
output
Requirements
Value added activities Information Flow
4
OUR CREDO
  • In GOD we Trust

all others bring DATA
5
Characteristics of Good Metrics
  • SMART
  • Simple Easy to Understand
  • Meaningful Relevant to the Business or Process,
    Related to Objectives
  • Actionable Able to Influence or work
  • Real Low Noise in Data
  • Timely Real time collection Relevant to Output

6
Customer Satisfaction Measure
7
Customer Satisfaction Measure
  • External / Internal
  • External Measuring
  • Customers DO NOT like being constantly surveyed
  • Customer Surveys need to be easy to collect and
    collect specific or focused information (e-mail)
  • Customer Surveys should validate Internal
    Measures
  • Internal Measuring
  • Perception Measure
  • Should be Customer Contact Points
  • Real Time
  • Quantifiable
  • Action Plans for Negative Ratings / Trends

8
Presentation of Metrics
9
Presentation of Metrics
10
Presentation of Metrics
6 Month Rolling Avg.
11
Presentation of Metrics
Goal 8.5
12
Actionable
Pareto of Returns
13
Getting the Point Across
  • Consider the Denominator - Whos the Audience?
  • Management
  • Production Units
  • Engineering Failures
  • How Many Metrics?
  • Significant Many vs. Trivial Few
  • Process Inputs vs. Outputs
  • Too Many becomes unworkable

14
WarrantyManagement Data
15
WarrantyProduction Units
16
WarrantyEngineering Failure by Product Data
17
First Pass YieldProcess Measure Simple
18
First Pass Yield ParetoActionable
19
CAUTION!
  • You Measure What You GET
  • BUT
  • ...You Also Get What You MEASURE!

20
Measure of Nonconformance
21
Summary
  • Relevant Externally / Internally to Process
  • Not Just Process Monitoring
  • Metrics are Coordinated (Top to Bottom)
  • Simple To collect and understand at any level
  • Meaningful Relates to Goals / Objectives
  • Actionable Data points to way forward
  • Real Data is accurate / source is verifiable
  • Timely Time frames are not too short or too
    long to be meaningful or spot trends

22
QUESTIONS ?
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