What gets measured gets managed. These KPIs give a balanced view of a garment factory's performance.
| KPI | Formula | Why it matters |
|---|---|---|
| Line efficiency | Output × SAM ÷ (Operators × Minutes) | Productivity of labour |
| DHU | Defects ÷ Pieces checked × 100 | Quality at the line |
| On-time delivery (OTD) | Orders shipped on time ÷ Total orders | Customer trust |
| Cut to ship ratio | Pieces shipped ÷ Pieces cut | Losses from rejects and shortages |
| Absenteeism | Absent days ÷ Scheduled days × 100 | Line stability |
| Man machine ratio | Employees ÷ Running machines | Manpower cost |
| Changeover time | Time from last piece of old style to target of new style | Flexibility |
| Non-productive time | Lost minutes ÷ Available minutes | Hidden capacity |
Using KPIs well
- Fewer, better KPIs: choose five or six that match your goals, not twenty.
- Same definitions everywhere: decide once how each KPI is calculated and write it down.
- Right frequency: efficiency and DHU hourly on the floor; OTD and cut-to-ship per order.
- Pair them: efficiency with DHU, MMR with output, so one is not improved at the cost of the other.
Tip: Show each KPI against its target with a simple colour - green on target, amber close, red behind - and always with the number, so no one depends on colour alone.