Procedure for Selecting Key Performance Indicators for Sustainable Manufacturing

Author(s):  
Deogratias Kibira ◽  
Michael P. Brundage ◽  
Shaw Feng ◽  
K. C. Morris

The need for an open, inclusive, and neutral procedure in selecting key performance indicators (KPIs) for sustainable manufacturing has been increasing. The reason is that manufacturers seek to determine what to measure to improve environmental sustainability of their products and manufacturing processes. A difficulty arises in understanding and selecting specific indicators from many stand-alone indicator sets available. This paper presents a procedure for individual manufacturers to select KPIs for measuring, monitoring, and improving environmental aspects of manufacturing processes. The procedure is the basis for a guideline, being proposed for standardization within ASTM International. That guide can be used for (1) identifying candidate KPIs from existing sources, (2) defining new candidate KPIs, (3) selecting appropriate KPIs based on KPI criteria, and (4) composing the selected KPIs with assigned weights into a set. The paper explains how the developed procedure complements existing indicator sets and sustainability-measurement approaches at the manufacturing process level.

Author(s):  
Deogratias Kibira ◽  
Michael Brundage ◽  
Shaw Feng ◽  
K. C. Morris

The need for an open, inclusive, and neutral procedure in selecting key performance indicators (KPIs) for sustainable manufacturing has been increasing. The reason is that manufacturers seek to determine what to measure in order to improve environmental sustainability of their products and manufacturing processes. A difficulty arises in understanding and selecting specific indicators from a large number of stand-alone indicator sets available. This paper presents a procedure for individual manufacturers to select KPIs for measuring, monitoring and improving environmental aspects of manufacturing processes. The procedure is the basis for a guideline, being proposed for standardization within ASTM International. That guide can be used for (1) identifying candidate KPIs from existing sources, (2) defining new candidate KPIs, (3) selecting appropriate KPIs based on KPI criteria, and (4) composing the selected KPIs with assigned weights into a set. The paper explains how the developed procedure complements existing indicator sets and sustainability-measurement approaches at the manufacturing process level.


2018 ◽  
Vol 29 (1) ◽  
pp. 41-84 ◽  
Author(s):  
Narpat Ram Sangwa ◽  
Kuldip Singh Sangwan

Purpose The purpose of this paper is to propose an integrated performance measurement framework to measure the effect of lean implementation throughout all functions of an organization. Design/methodology/approach The paper identifies the seven categories representing all organizational functions. These categories have been divided into 26 performance dimensions and key performance indicators (KPIs) for each performance dimension have been identified to measure lean performance. The interrelationship of each category with lean principles and/or lean wastes has been identified. KPIs are developed on the basis of identified criteria, frequency analysis of existing literature, and discussion with industry professionals. Finally, an integrated performance measurement framework is proposed. Findings The proposed framework evaluates the organization under seven categories – manufacturing process, new product development (NPD), human resource management, finance, administration, customer management, and supplier management. In total, 26 dimensions and 119 key performance indicators have been identified under the seven categories. Research limitations/implications The proposed framework is a conceptual framework and it is to be tested by empirical and cross-sectional studies. Originality/value The main novelty of the research is that the leanness of the organization has been measured throughout the supply chain of the organization in an integrated way. The various areas of measurement are manufacturing process, NPD, finance, administration, customer management, and supplier management. Further, the proposed KPIs are also categorized as qualitative or quantitative, strategic or operational, social or technical, financial or non-financial, leading or lagging, static or dynamic. This paper contributes to the body of knowledge in performance measurement.


Author(s):  
Duck Bong Kim ◽  
Swee Leong ◽  
Chin-Sheng Chen

Sustainable manufacturing has become an emerging environmental, economic, societal, and technological challenge to the industry, the academia, and the government entities. Numerous research and development (R&D) efforts have been launched, and many global and domestic efforts have been initiated toward a long-term sustainable world. This paper provides an overview of R&D efforts in the measurement of manufacturing sustainability, based on an intensive literature search. It focuses on sustainability metrics that apply to unit machining processes for discrete part manufacturing. The authors present results from assessing the scope of indicators that exist for sustainability measurement in general, with a quick visit to the taxonomy of manufacturing activities and different classifications of existing SM metrics by unit machining processes. Most metrics at the unit machining level were developed to measure environmental impacts with respect to energy, materials, water, wastes, and air emissions, while a relatively smaller effort was developed to gauge societal or economic impacts. We report on an analysis of energy metrics available for various unit machining processes at the sub-device and sub-unit process level.


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