Time‐based Performance Measurement: A Model to Aid Competitive Restructuring

Manufacturing organizations are now being exposed to world class value‐adding standards; therefore restructuring frameworks are required that identify weakness and guide investment. A time‐based functional model has been developed which is capable of analysing the supply chain and all internal value‐adding operations concerned with total input/output conversion. This model can guide investment and restructuring actions to reduce total throughput time and thus total manufacturing costs. Application in a just‐in‐time environment in the electrical switchgear industry in the UK is currently underway to develop the framework further. Discusses details of reductions in throughput time and stock holding.