14/09/2024
Quality Objectives or Key Performance Indicator (KPI).
Some companies use different term such as Indicator, Metric, Key figure.
I try to make very simple example of KPI which can fulfill the ISO 9001 and IATF 16949 clause 6.1 about the planning to achieve that. Usually company has many KPIs, but lack of activity how to achieve them. So during Management Review (clause 9.3), they discuss the same problem with same activities which maybe not effective enough. Activity Plan will help you to achieve the KPI target, and identify which activity is not effective or not relevant, so you need to think other possibilities.
Another common situation is when you want to renew your KPI target for next period. Some use Jan-Dec period, some use fiscal year such as Jul-Jun or Apr - Mar.
At first look at your average and trendline. Second, compare it to target line. Then you can define your new period target and whether you need to establish:
a. CORRECTIVE ACTION, if your performance is still below target.
b. PREVENTIVE ACTION, if you want to maintain the level because for some reason, such as limited resources, new project implementation, new system.
c. IMPROVEMENT, if you already achieve target and want more challenging target.
These system is very useful for any management system you have to implement.
Happy share.
