ISO 22400-1-2014 pdf free.Automation systems and integration – Key performance  indicators (KPIs) for manufacturing operations management一 Part 1: Overview, concepts and terminology.
The motivation for using KPIs in the MOM domain starts with a description of the value creation
processes (see Clause A.2). An enterprise is described by three hierarchical models:
— physical asset;
— functional;
— equipment.
The functional and the equipment hierarchy models are of importance in ISO 22400. The KPls in ISO 22400 are limited to the MOM domain (see Clause AA). Selection of KPIs depends on the production methodology that is used by the enterprise (see Clause A.5). KPIs in the MOM domain identify and achieve improvement targets based on actionable information (see Clauses A.6 and Al).
4.2 Criteria for KPIs
A good KPI has certain criteria which ensure its usefulness in achieving various goals in the manufacturing operation. The criteria are listed below, along with the process for performing each individual measurement.
a) Aligned: the KPI is aligned to the degree to which the KPI affects change in relevant higher-level KPIs, where alignment implies a high ratio of the percent improvement (assuming positive impact) in important higher-level metrics to the percent improvement in a KPI (or KPI set), given no other changes in the system.
b) Balanced: the extent to which a KPI is balanced within its chosen set of KPIs.
c) Standardized: the KPI is standardized to the extent to which a standard for the KPI exists and that standard is correct, complete, and unambiguous; the standard can be plant-wide, corporate-wide, or industry-wide.
d) Valid: the KM is valid to the extent of the syntactic (i.e. grammar) and semantic (i.e. meaning) compliance between the operational definition of the KPI and the standard definition. If no standard exists, then validity is zero.
e) Quantifiable: the KPI is quantifiable to the extent to which the value of the KPI can be numerically specified; there is no penalty for the presence of uncertainty, as long as the uncertainty can also be quantified.
f) Accurate: the KPI is accurate to the extent to which the measured value of the KM is close to the true value, where a departure from the true value can be affected by poor data quality, poor accessibility to the measurement location, or the presence of substandard measurement devices and methods.
g) Timely: the KPI is timely to the extent it Is computed and accessible in real-time, where real-time
depends on the operational context.
h) Predictive: the KPI is predictive to extent to which a KM is able to predict non-steady-state operations.
i) Actionable: the KPI is actionable to the extent to which a team responsible for the KPI has the knowledge, ability, and authority to improve the actual value of the KPI within their own process.
j) Trackable: the KPI is trackable to the extent to which the appropriate steps to take to fix a problem are known, documented, and accessible, where the particular problem is indicated by particular values or temporal trends of the KPI.
k) Relevant: the KPI is relevant to the extent to which the KPI enables performance improvement in the target operation, demonstrates real-time performance, allows the accurate prediction of future events, and reveals a record of the past performance valuable for analysis and feedback control.
I) Correct: the KPI is correct to the extent that, compared to the standard definition (if one exists), the calculation required to compute the value of the KPI compared to the standard definition (If one exists) has no errors with respect to the standard definition.
m) Complete: the KPI is complete to the extent that, compared to the standard definition (if one exists), the definition of the KPI, and the calculation required to compute the value of the KPI, covers all parts, and no more, of the standard definition.
n) Unambiguous: the KPI is unambiguous to the extent that the syntax (i.e. grammar) and semantics (i.e. meaning) in the definition of the KPI lacks ambiguity or uncertainty.
o) Automated: the KPI is automated to the extent that KPI collection, transfer, computation, implementation, and reporting are automated.
p) Buy-in: the KPI has buy-in to the extent that the team responsible for the target operation, as well as teams responsible for both upper and lower level KPls, are willing to support the use of the KPI and perform the tasks necessary to achieve target values for the KPI; includes difficulty of obtaining official approval by management for the KPI.
q) Documented: the KPI is documented to the extent that the documented instructions for implementation of a KPI are up-to-date, correct, complete, and unambiguous, including instructions on how to compute the KPI, what measurements are necessary for its computation, and what actions to take for different KPI values.ISO 22400-1 pdf free download.