Key Performance Indicators (KPIs) in Plant Maintenance

In SAP Plant Maintenance implementations, often there is a need of the client to suggest KPIs/Metrics which could help them to gauge the performance of their maintenance team/assets. Many of the times client is already having some metrics/KPIs to gauge the performance but those are loosely defined; in many other times there are no well-defined KPIs identified.

This document will provide a list of KPIs that could be suggested to clients to monitor the performance of their maintenance team or company’s assets. Note that to calculate some of these KPIs custom reports/dashboards may need to be developed.

First of all let me explain the difference between a KPI and a metric. Many times both these terms get mixed and the client gets confused. A metric wrt Plant Maintenance is a number or a percentage which defines how maintenance team/assets are performing as compared to company objectives. A KPI is also a metric i.e. KPI is also a number or a percentage but KPI is a metric which has the power to provide to the management some recommendations to improve performance/reduce costs. So all KPIs are metrics but all metrics are not KPIs.

Let’s define some KPIs for Plant Maintenance. In order to make this more structured, let’s start with the basic steps in a typical maintenance scenario:

Problem Identification> Order Planning> Scheduling>Completion> Root Cause Analysis

We will define KPIs in all these areas one by one:

KPIs in Problem Identification:

1. % or No. of Preventive Maintenance vs Reactive Maintenance Orders
2. % or No. of Notifications in OSNO status for more than x days

KPIs in Order Planning:

1. % or No. of Planned orders vs Unplanned orders/Emergency Orders
2. % or No. of Work orders where actual cost/planed cost variances exceeds x %
3. % or No. of Work orders in CRTD status for more than x days
4. % or No. or Work orders delayed due to stock outs

KPIs in Order Scheduling:

1. % of scheduled man-hours to total available man-hours per week/month
2. % or no. of work orders where scheduled date is on or before expected date of start of work

KPIs in Order Completion:

1. % or no. of work orders completed within x no. of days
2. % or no. of work orders recalled i.e. work not completed as expected
3. % or no. of notifications associated with work orders where cause/damage code is not filled
4. % or no. or work orders executed internally vs by external vendor

KPIs in root cause analysis:

1. Total maintenance cost per equipment category or maintenance cost per equipment category
2. Ratio of planned maintenance costs vs actual maintenance costs
3. Mean time to Repair (MTTR)
4. Mean time between failures (MTBF)
5. % Availability of equipment

Apart from these there are multiple queries/metrics that could be used to get a large number of metrics. Refer link below:

http://help.sap.com/saphelp_nw73/helpdata/en/09/da8853630b3d58e10000000a174cb4/content.htm?frameset=/en/86/018653aa9a6159e10000000a174cb4/frameset.htm&current_toc=/en/f8/018653aa9a6159e10000000a174cb4/plain.htm&node_id=35

As a good consultant, we should filter out the metrics and recommend only few critical KPIs so that the company is not overloaded with tons of data and metrics and is able to make critical business decisions using a handful of KPIs.

Thanks,

Tajinder