SCORECARD 2009
VISION :
Become A Global Leader In The Cutting and Welding Industry.
MISSION
Use the strength of our brands, products and market knowledge and distribution capabilities to gain meaningful market share penetration in selected regional
markets
STRATEGY MAP BALANCE SCORECARD ACTION PLAN
Operations Management Objectives Measurement Target Initiatives PIC BUDGET
VISION AND MISSION
FINANCIAL PERSPECTIVE qManage factory and OH cost
qRevenue Growth qGrow Market Share 5% qManage and maintain Margin
qDrive World Class initiatives
qEBITA 12% of sales through Lean and Six Sigma
Profit
qDrive TCP through material
qTCP and Labour.
Reduce
Grow Warranty
Revenue Claims
qImprove Scheduling system
CUSTOMER PERSPECTIVE qOn Time delivery. qOTD > 96% qAssure timely delivery
qPrice competitive qOTS. > 96%
Attract and qRaise and Implement QMS to a
Retain Competitive highest Level.
more Pricing qRaise supplier competent level
Customer through SPC
qQuality qCustomer Returns ( Nos ) <12 cases
qCustomer complaint CCN <12 cases qRaise Quality Level
qDefective Product <1%
qDefective shipment < 1%
INTERNAL PERSPECTIVE
qSMED.
q Cycle time Optimisation
qKanban
qProduction flexibility.
qSingle Continuous Flow
Continuous qFast Turn around / Cycle time - Kanban,
qImprove inventory accuracy
improvement to - Multi-tasking
through daily cycle counting.
reduce cost and
Kanban Project qImprove material pick rate to
adopt process /
OJT = 85 % production
production flexibility
qImprove Speed and efficiency qMaterial localisation and LCC
qlocalisation sources LT < 30 Days
of our supply chain. sources
qTraining
Excellent qPreventative program
Fast Turn - PFMEA
Supplier qImprove Quality qFirst Pass Yield ( FTT ) 96%
Around qSPC program on critical
Relationships
process
qPoka Yoke
qMaterial localisation and LCC
sources
Efficiency of qDrive productivity and Efficency
Supply Chain qTCP ( material and Labour MYR 1 Mil through
and processes Reduction ) - Kaizen.
qReduce cost of product
- Lean initiative
qAsset Utilisation, OEE >65 % ( Y2009 ) - 6S
>75 % ( Y2010 ) qReduce downtime due to
>85 % ( Y2011 ) material availability ( shortage )
qAsset Ultilisation, OEE
qTPM program
qDevelop Strategic skill and qTNA
q% of Trained staff > 85 % qOD
LEARNING and GROWTH PERSPECTIVE knowledge required to support HR
qROI on training > 85% qEffective Training program
the strategy
Internal and External tranining
Production
Job and qNo of OJT program
Staff qDevelop the support system to qNo of OJT program
Task >95% qPIP HR
alignment achieve the strategy
alignment qReward through PIS
to Strategy
through
retraining
qDevelop Communication qcommunication session. Monthly HR
qTeam building
Built up Core qDevelop Team building
activities/program Quarter HR
competence through Program
training and OJT
Job and Task
alignment
through
retraining
Communication
and Team
building
Communication
and Team
building
KRI / KPI 2008
KEY RESULT INDICATOR KEY RESULT INDICATOR
KRI Target MYR KRI Target MYR
1.Sales Target 1.COST TARGET. TCP 3 mil
2.EBITA 2 Asset Utilisation OEE >65% (PI) >85% ( Rawang )
10% of Sales 3 Quality FPY >96%. CCN <10 cases
4 Delivery >96% OTD/OTS
Key Performance Actual Key Performance Key Performance
Indicators. KPI Target MYR YTD Indicators. KPI Target MYR Actual YTD Indicators. KPI
1. TCP 2.5 Mil 9. Safety Performance =
1a. Inventory Reduction
1. Delivery Target 96% Target. 1. mil No of Case
On Time Delivery, OTD - Days 1b. Material Reduction 1.5 mil LTA
2. Backlog Reduction 2. COQ < 60,000 LWD
10. Production Downtime =
3. Margin % 15% 3. Labor productivity ( Due to Material Shortage)
4. OH Adsorption/Recovery Hrs / unit PS PI 7
5. OH Fixed Cost Target. Hrs / unit WF PI 5 11. Lean / Sigma Improvement.
6. Material price Variance (MPV) kg/Mhr Rawang 45 11 a. Power and Utlities Reduction
4. Labor Efficiency % 11a. Lean initiative
12. Quality cost due to supplier
PI 65% (Supplier QM system).
Rawang 80% 13. Customer Compliant
5.Overtime control. < 5%
6. Warranty Claim.
0.1% of sales 600,000 14a. Training Effectiveness
14 b. Staff Absenteeism
8. Stock Turn Target 5 14 c. Staff Turnover %
8a. Stock Accuracy > 96% 14 d. Staff Medical Cost
Target Actual
MYR YTD
HR
0
0
0
< 5%
700,000
50,000
600,000
<10
HR
<2 % HR
<1 % HR
< 3,000 HR
KEY PERFORMANCE INDICATOR FOR 2009
KRI :
Owner
Stretch Responsible
S/N KPI Target Process Owner
Target Person
GOALS AND OBJECTIVE FOR Y2009
CIGWELD MALAYSIA -PI / RAWANG
Department :
Owner :
S/N GOAL PERFORMANCE GAP
1
5
STATUS
ECTIVE FOR Y2009 Meet
SIA -PI / RAWANG
Lagging
Missed
COMPLETION
ACTION PLAN RESPONSIBLE START END
Status
