Understanding the Different Types of Operational Performance

Operational performance is an important factor in any project's success. Learn about different types of operational performance such as quality, speed, reliability & flexibility.

Understanding the Different Types of Operational Performance

Operational performance is an important factor in the success of any project. It is evaluated by monitoring the performance and ability of a project to achieve its objectives in the planned budget. Human capacities and problems and opportunities are also taken into account. The performance objectives are quality, speed, reliability, flexibility and cost.

Each of these objectives must be analyzed in terms of how they are measured and their importance for organizational competitiveness. It is essential to understand that what matters is not our perception of quality, but the perception of our customers about the quality achieved. Therefore, it is necessary to update customer feedback processes and include the Net Promoter Score (NPS). Quality is more than just the high specification of the service we offer; it also includes qualified staff who are well presented, have a positive attitude and a good face-to-face relationship with the customer.

Quality means that things are done correctly and at the level agreed with the customer. In the same way, if the manager is not respectful or does not present himself well, this will also detract from the perceived quality of the provision of basic services. It is important to focus on preventive tasks, since speed only becomes a problem when unforeseen cases occur, such as an alarm activation or a flood. During Covid, speed became the most important factor in getting new jobs. At WINNS, we do everything possible to get things done on time and to keep the promises we make to our customers to establish positive relationships. We believe that we achieve reliability with our customers through effective communication, efficient scheduling systems, a motivated workforce, etc.

By being reliable, we reduce the likelihood that our customers will look for an alternative service provider elsewhere. Flexibility requires a deep understanding of the organization's processes and the context in which it operates. Focusing on flexibility can create value by reducing response time (and thereby reducing the cost of delays and missed opportunities), contributing to cost objectives. Flexibility also contributes to achieving reliability objectives by delivering on our promises. It is essential to constantly review operational performance to find ways to improve, to see if the team is on the right track, to predict expected results in the future and to make plans as a result of the analysis. Operational data is a type of strategic data that captures information about internal functions and processes of a company.

Organizations can do this by looking at operational data, analyzing it and extracting useful information. Implementing advanced planning and scheduling (APS) software will take your manufacturing operations to the next level of production efficiency, taking advantage of operational data already available in your ERP. Analyzing operational performance is important for converting management data collected from a project into useful information. This is crucial since these operational metrics allow us to see more closely if any equipment or system is on the right path and allow us to take immediate action. Flexible operations are operations that allow product lines to be configured to meet various requirements and also adjust these product lines quickly to new requirements. The complementary Sage course on Operations Management is an accessible introduction to this topic that will help readers expand their understanding of key concepts and improve their thinking skills in accordance with course requirements.

Readers are encouraged not only to think like an operations manager but also think critically about this topic.

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