The term Key Performance Indicator (KPI) refers to the chosen measurements.
Some examples of commonly used KPIs are given in Mark Hammar's article How to define Key Performance Indicators for a QMS based on ISO 9001:
- 'First Pass Yield: What percentage of your product or service is acceptable the first time it is created? If you have a high rework cost, a focus on this might help improve the processes of your QMS.
- Downtime: Are there problems with equipment maintenance and unexpected service outages? Downtime could be useful for you to track and improve.
- Reject Ratio: Like first pass yield this focuses on non-conforming product and if it is within an expected/acceptable rate. Many companies try to improve in this area, and understanding the performance is the first step.
- Customer Satisfaction: One of the most important measures for a customer-focused business is how satisfied the customer is. There are many ways to measure this, but it is important for many businesses to understand how their customers see them.
- Gross Margin: It is no surprise that most businesses are interested in how much profit they are making. Knowing the profit margin on your products and services can be a key indicator of how your QMS is performing.'
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Nice share! thanks for the post
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