Aberdeen: Companies Use MES, QMS, PLM to Build Compliance Programs
January 30, 2009 // Published as a news service by IHS
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Top companies outperform their competition in many key performance indicators (KPIs), according to the Aberdeen Group, including producing 15% more products in compliance and responding to nonconforming shipments 31 hours ahead of the competition.
Matthew Littlefield, a senior analyst with Aberdeen, said the performance of these top companies is differentiated by the adoption of enterprise-wide manufacturing execution systems (MES) and quality management system (QMS) capabilities, which acts as foundational blocks for building an effective compliance and traceability program.
Littlefield said top manufacturers also create real-time interoperability with these applications and other enterprise tools such as product lifecycle management (PLM) and the supply chain so that information regarding product and process traceability is further linked across the value chain.
Aberdeen evaluated and classified manufacturers based on four KPIs:
- On-time and complete shipments.
- Response time to nonconforming shipments.
- Overall equipment effectiveness (OEE).
- Products manufactured in compliance.
Top manufacturers, according to Aberdeen, are defined as the top 20% of performers in a weighted average across the aforementioned four KPIs. According to analysts, leading manufacturers perform at:
- 99% products in compliance.
- 98% on-time and complete shipments.
- 2.5 hours of response time to nonconforming shipments.
- 62% OEE.
The Aberdeen report identifies capabilities manufacturers need to adopt to realize the above performance:
- Focus on building in compliance and traceability to production processes.
- Adopt enterprise-wide MES and QMS tools providing core track and trace capabilities.
- Drill down to improve operations with automated nonconformance, corrective and preventive action (NC/CAPA), statistical process control (SPC) and quality dashboards.
To obtain a copy of the report, "Compliance and Traceability in Real Time," go to Aberdeen.
Source: Aberdeen Group Inc.