This document outlines performance indicators for plastic manufacturing operations across four key areas: operations, finance, sales excellence, and HR. For operations, it lists indicators such as OEE percentage, internal rejects percentage, customer complaints, capacity utilization, spoilage, materials variance, energy consumption, man efficiency, and delivery precision. For finance, it lists indicators like raw material days, finished goods days, creditor days, debtor days, working capital turnover, EVA, and overdue receivables. Sales excellence indicators include sales per employee, organic growth, new order balance, RMC per tonnage, number of customer/prospect visits, and number of quotations/enquiries. HR indicators are sick leave percentage for direct/

1. Performance
Indicators
for Plastic
Manufacturing
Suni Vatnhamar 2016 1

2. PERFORMANCE INDICATORS FOR PLASTIC PACKAGING
MANUFACTURING
Complete set of performance indicators for
plastic packaging production
Ready for use !
Suni Vatnhamar 2016 2

3. PERFORMANCE INDICATORS
(PI)
OPERATIONS
FINANCE
SALES EXCELLENCE
HR
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4. PERFORMANCE INDICATORS
OPERATIONS
 OEE
 Internal Rejects
 Customer complaints
 Capacity Utilisation
 Spoilage
 Materials Variance
 Energy consumption
 Man efficiency
 Delivery precision
Suni Vatnhamar 2016 4

5. PI Operations
1) OEE% (overall equipment effectiveness)
OEE Availability% x OEE Quality x OEE Performance%
2) Internal Rejects%
number of rejected parts
Total Number Produced (good + rejects)
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6. 3) Customer complaints
3a) Number of total customers complaints
Number of recorded customers complaints (product-related) which are
proven to be a result of our failure or one of our suppliers.
Reported as an absolute number with an annual target to be set
based on improvement versus previous year’s result.
# per month/YTD with target based on improvement versus LY
3b) Number of customer complaints resulting in credit notes
# per month/YTD with target based on improvement versus LY
3c) Value of credit notes from customer complaints
Value per month/YTD with target based on improvement versus LY
PI Operations
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7. PI Operations
4) Capacity Utilization%
100% - Non-Utilization due to no customer order
Total Theoretical Available Machine Hours
Theoretical Available Machine Hours based on 7days/24hrs
operations system.
5) Spoilage
Using existing definition, but introducing Raw Material Variance
as a more important PI in this field.
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8. PI Operations
6) Materials Variance
Total good units produced (T)
100% -
Total resins used in Conversion process (T)
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9. Materials Variance
Measure is A - B = C
Month
Operations
(Conversion process)
Opening
Stock
Resin (T)
Masterbatch
&
Additives (T)
Excluding
‘Flake’
Closing
Stock
Resin (T)
Masterbatch
&
Additives (T)
Excluding
‘Flake’
Stock
Resin
purchased
during
month
AB C
Good bottles
x
StdCut off *
* Same time every month
Cut off *
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10. Materials Variance
Losses within the Conversion Process
Good bottles
Held stock
Rejects
Purge
Contami-
nation Masterbatch/
additives
over use
Incorrect
std’s
STOCK Materials Variance
90-95 %
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11. PI Operations
7) Energy
kwh used per tonnage converted (calculated automatically in
Hyperion from reported Kwh and tonnage converted)
8) Man efficiency
Tonnage Converted per average FTE
9) Delivery Precision%
Number of order lines delivered on agreed delivery date against total
number of order lines ordered by the customers in the same period –
expressed in %
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12. PERFORMANCE INDICATORS
FINANCE
 RM days
 FG days
 Creditor days
 Debtor days
 WC turnover
 EVA
 Overdue receivables
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13. PI Finance
1) Raw Material days
See definition in Financial handbook
2) Finished Goods days
See definition in Financial handbook
3) Creditors days
See definition in Financial handbook
4) Debtors days
See definition in Financial handbook
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14. PI Finance
5) Working Capital Turnover
Net sales (S4000) over last 12 months
Average Normalized Working Capital (Norm_WC)over last 4 quarters
6) EVA
See definition in Financial handbook
7) Overdue receivables
Proportion of receivables >30 days overdue expressed as a
percentage of total receivables
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15. PERFORMANCE INDICATORS
SALES EXCELLENCE
 Sales per employee
 Organic growth
 New order balance
 RMC per tonnage
 # of customer visits
 # of prospect visits
 # and value of quotations
 # of enquiries
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16. PI Sales Excellence - Hyperion
1) Sales per employee
2) Organic growth
Increase/decrease of tonnage sold compared to previous year, excluding
impact of acquisitions, transferred business, or disposals, expressed as a
percentage.
3) New order balance
Annualized sales value (after ramp up) of new confirmed orders
starting within next 12 months minus value of annualized
confirmed losses expressed as a value.
4) RMC per tonnage
Raw material contribution per sold tonnage of polymers
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17. PI Sales Excellence to be reported in
CRM system
6) # of total customer visits
7) # of visits to prospects
8) # of quotations
9) Value of quotations
10) # of enquiries from customers
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18. PERFORMANCE INDICATORS
HR
 Sick leave % direct workers
 Sick Leave % indirect people
 LTA
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19. PI HR
1)Sick leave direct worker (%)
Sick leave (%)= total number of sick days / (total number of days
worked + days away) for all direct workers
2) Sick leave indirect workers
Sick leave (%)= total number of sick days / (total number of days
worked + days away) for all indirect workers.
3) Lost Time Accidents (LTA)
reported as number of Lost Time Accidents per 1 million working
hours on a rolling 12 months period
Suni Vatnhamar 2016 19