An integrated performance driven manufacturing management strategy based on overall system effectiveness

The re-engineering of a manufacturing assembly line should allow an organisation to obtain significant performance improvement toward meeting company objectives. These performance improvements, often in the areas of quality, cost, and delivery (QCD) may be external in areas affecting customer satisfaction, and internal in areas such as improving average productivity obtained per staff member, or per unit of production area floor space. An Overall System Efficiency (OSE) decision support model is described for use in the analysis and prediction of customer satisfaction goals. The OSE model uses customer service level in terms of stockout frequency as a trade-off parameter when optimising overall performance achievable from the production line.