Manufacturers often track well-known KPIs like OEE, cycle time, and downtime. But are these enough to truly optimize production? While these standard metrics provide valuable insights, they don’t always tell the whole story.
Beyond the basics, lesser-known performance indicators can uncover inefficiencies, highlight untapped capacity, and provide a clearer picture of overall productivity. Yet, many MES systems don’t track them—or if they do, they lack the depth needed to make meaningful improvements.
Here are nine powerful yet often overlooked manufacturing metrics that AGW helps track to give companies a competitive edge.
1. Total Effective Equipment Performance (TEEP)
What it is: A broader measure of efficiency that considers all available time, not just planned production time.
Why it matters: Many operations underestimate how much potential capacity is going unused.
How AGW helps: TEEP tracking highlights not only downtime but also opportunities to increase production without adding shifts.
“Tracking TEEP helps manufacturers get the most out of existing equipment, reducing the need for costly investments in new machinery.” — Max Liashenko, Head of Services
2. Build to Schedule (BTS)
What it is: A measure of how closely production aligns with planned schedules.
Why it matters: Meeting production schedules isn’t just about output—it’s about producing the right mix, in the right order, at the right time.
How AGW helps: Rather than just tracking total units produced, BTS ensures production meets scheduling requirements in sequence and quantity.
“BTS is often underestimated. It offers invaluable insights into production efficiency and order fulfillment, yet many manufacturers still don’t use it to its full potential.” — Max Liashenko, Head of Services
3. Labor Loss
What it is: The ratio of lost time to actual production time.
Why it matters: Workforce inefficiencies are often hidden but can significantly impact productivity and increase labor costs.
How AGW helps: Identifies bottlenecks, whether due to machine downtime, material shortages, or workforce inefficiencies, and helps optimize manufacturing labor allocation.
“Labor Loss is one of the most underrated metrics because of its hidden cost. Addressing it can lead to quick wins in productivity and cost savings, often without major capital investment.” — Max Liashenko, Head of Services
4. KOSU — Productivity Measure
What it is: A metric that measures how many man-hours are required to produce one unit.
Why it matters: Understanding workforce efficiency is crucial in labor-intensive production.
How AGW helps: Advanced KOSU tracking differentiates between total operator presence and actual planned work hours, revealing productivity gaps.
“KOSU helps manufacturers fine-tune workforce planning and consistently meet performance targets.” — Max Liashenko, Head of Services
5. Mean Time to Repair (MTTR)
What it is: The average time required to restore a system to full functionality after a breakdown.
Why it matters: Shorter repair times minimize downtime and keep production on track.
How AGW helps: Tracks the duration of maintenance stops and helps identify patterns to improve repair efficiency.
“Tracking MTTR helps manufacturers pinpoint recurring issues and optimize maintenance strategies to improve uptime.” — Max Liashenko, Head of Services
6. Mean Time Between Failures (MTBF)
What it is: A measure of equipment reliability—how long a system operates before experiencing a failure.
Why it matters: A longer MTBF means fewer breakdowns and a more stable production process.
How AGW helps: Instead of just logging failures, AGW analyzes trends to help predict and prevent breakdowns before they happen.
7. First Pass Yield (FPY)
What it is: The percentage of products manufactured correctly the first time, without requiring rework.
Why it matters: High rework rates increase costs and slow down production.
How AGW helps: FPY tracking at different manufacturing process levels (line, cell, or station) helps identify where defects arise and improve manufacturing quality control.
8. Scrap Rate
What it is: A deeper look at scrap beyond just a percentage of defective units.
Why it matters: Knowing the total scrap rate isn’t enough—understanding where and why defects occur is key to reducing waste.
How AGW helps: By analyzing scrap at multiple levels (by asset, station, or defect type), manufacturers can pinpoint inefficiencies and reduce material waste.
9. Overall Cost — Scrap Cost Impact
What it is: The total financial impact of scrap, including the cost of raw materials and rework.
Why it matters: Reducing scrap lowers production costs and improves profitability.
How AGW helps: AGW calculates scrap cost by factoring in scrapped materials, raw material usage, and defect types, providing a clearer picture of financial losses.
Why These Metrics Matter
Measuring the right things can be the difference between small efficiency gains and major production breakthroughs. While common manufacturing KPIs like OEE and cycle time provide value, expanding the scope of manufacturing performance tracking through AGW enables manufacturers to reduce waste, optimize labor, and improve production flow in ways that standard KPI tracking alone can’t achieve.
“These metrics provide the insights manufacturers need to streamline operations, control costs, and enhance efficiency—all while improving customer satisfaction and driving sustainability. By identifying inefficiencies and leveraging data-driven strategies, manufacturers can continuously improve and stay competitive in an evolving market.” — Max Liashenko, Head of Services
