Logistics Metrics at Brauerei Murau
"Once the project brief had been clearly defined, implementation began very promptly. The very constructive final meeting took place competently and before the agreed deadline."
Using Data to Improve Performance
The Styrian brewery had already had a logistics metrics system in place for some time. However, it was starting to become less efficient and was indicating some anomalies. We were tasked with assessing the current metrics and identifying new ones to analyze. The aim of the project was to further develop the brewery’s metrics system for its logistical processes so that the company could use it as an effective management tool.
Metrics system with actionable data
The first step was to perform a detailed analysis of the existing metrics in terms of their objectives, structure, data source, and measures. During a workshop with the company’s KPI managers, we gained an overview of what the various metrics tell the company and how they are used. At the same time, we began broadly recording and analyzing the underlying operational processes.
Next, we had to determine the logistical significance of the current logistics metrics. The customer also asked us to make targeted additions to the system, incorporating metrics relating to process costs and order costs, and to highlight links between the various metrics. Finally, we were tasked with developing a suggestion for displaying this information that would make the work easier and the information more actionable for the logistics team.
Metrics work when they’re followed up with measures
We learned that the metrics the company was already recording were fundamentally effective. Revenue analyses are, of course, important, but they need to be contextualized by considering them alongside resource expenditure and logistics costs, hence the addition of cost figures. The metrics also need to be considered over extended periods of time so you can react to changes and analyze outlier datapoints. Regular reviews and comprehensive documentation can support the respective managers in using this tool to do just that.
The most important thing to remember is that metrics only become useful when companies utilize them to develop appropriate, lasting measures they then implement with their teams.
