Key Performance Measures

Several measures are used to determine the performance of lean six sigma in manufacturing industry:
1. PCE (Process Cycle Efficiency) = Value added Time/Total Lead Time
2. Lead Time (L/T) = amount of work-In-Processes/average Completion Rate
3. Overall Equipment Effectiveness (OEE) = Availability x Performance x Quality
Availability = Operating Time/Planned Production Time
Performance = Standard Cycle Time x Total Pieces)/Operating Time
Quality = First-Pass Yield (%) = FPY Pieces / Total Pieces

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