Best of class manufacturers track their performance by measuring a set of key metrics for a variety of needs such as continuous improvement and bid (tender)-costing. Given the importance of these metrics, it is important to ask – are the correct metrics being used, and which potential savings are overlooked when measuring the wrong ones? To realize the true utilization of material in production, it is important to look at the overall Manufacturing Yield, that is – the total material that becomes finished product, as a percentage of the total raw material purchased by the plant, also referred to as the ‘Buy to Fly’ ratio. This paper will focus on measuring material utilization during the nesting/cutting processes.
Download the Paper now!
