3 Crucial Metrics to Measure Sanitaryware Factory Efficiency

• In the sanitaryware industry, the metric of production cost per kilogram of product is indeed an important indicator of overall factory performance.
• This metric helps to understand manpower efficiency, material utilization, and process optimization.
• A lower cost per kilogram is indicative of a factory's ability to effectively manage and optimize its resources, which in turn reflects better efficiency.
• The production cost of the sanitaryware factory consists of 3 important factors. 1) Yield 2) Process Efficiency 3) Price/cost of elements in the factory.
• With low production costs, we can assume that all 3 factors are in control.
• But we can't conclude or compare only using the cost of production to compare efficiency. There is still a possibility that a lower price/cost of elements in the factory can compensate for the low yield and low process efficiency. That is why we need to look into the global yield of the factory.

Global Yield:

• Global yields help to understand overall production efficiency in terms of waste (rejects) in the factory. The higher the global yield, the lower the waste.
• A factory that runs with less production cost and a high global yield is an indication of factory efficiency but not a conclusion.
• Because these two metrics can be achieved by producing simple products like basins, cisterns, and simple WCs.
• We need to look into the metric that indicates the complexity of the product produced.
• How to find a factory What kind of product is produced with these two metrics will help to finalize the efficiency of the factory. For that we can use the average weight of the piece produced in that factory.

Average weight of product Produced:

Conclusion: