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Operational performance management (OPM) is the alignment of all business units within an organization to ensure that they are working together to achieve core business goals.
In manufacturing, OPM integrates and analyses data from a variety of logistic sources and translates raw data feeds into actionable information. The data is packaged as exception reports and key performance indicator (KPI) dashboards, so that the information can be viewed in context.
OPM allows manufacturers to establish links between operations KPIs and critical business metrics.
As a result, they gain insight into everything from asset utilization to machine uptime and plant-floor productivity while also monitoring and planning production schedules, uncovering the cause of quality problems, and ensuring consistent production across multiple lines.
Operational performance management today includes operational dashboards, operational reports, alerts and automated recommendations. This is an area of performance management that is growing but is still in limited deployment.
Having looked at these different types of insights, the problem we face is that they are not integrated. The requirement is that we need the whole solution to work from top to bottom so that OPM is deployed to the masses to make everyone performance aware and execute on a common operational strategy.
So, it raises the question of what an OPM system should do. First and foremost, an operational performance management system is the control system for the imbound processes.
For SDG it’s the logical framework that allows to manage the business at all levels from strategic down to everyday operations. It should, therefore, support all types of performance management range terms strategic, tactical and operational.
In this way, everyone in the organizations will be accountable for managing “their part” of the business and for contributing toward common objectives and common goals. Also, everyone should have access to common OPM that fits with their role in the enterprise.