Ensure business, facility, and team measures/KPIs are aligned to efficient behaviours

Process area: Behaviour Change
Payback: 6-12 months payback
Complexity: 3/5
Adoption: 40%
Avg. save: Variable
CAPEX: No

Action overview

Having a measurement and reporting structure is important for any business. What goes in to measuring & Key Performance Indicators (KPIs) discussed each day/week/month are a big part of the culture of the business - they are reinforced, and people take ownership of them. Therefore, it's well worth reviewing your KPIs and ensuring they reflect the desire to save energy / be efficient.

Tips & advice

By including formal KPIs for teams, sites, and managers that cover efficiency, you're providing ownership and awareness that it is important to the business.
For example, if a production line's shift manager has KPIs on output and downtime, but not waste, then inevitably wastage will be less of a priority and won't be managed as closely. This isn't to say that the shift manager won't care, just that their focus will rightly be elsewhere.

Setting up a clear structure for reporting and measurement, which includes efficiency measures is, therefore, a vital steppingstone for any facility.
The best sets of measures/KPIs include both lead and lag targets. Lag measures are those output focused measures which help track success, they are hard to influence until measured. Lead measures are input focused measures, which if well targeted should help to achieve the defined lag measures.

For example, if your target (lag measure) is to reduce energy use by 5% on a production line, just measuring energy use at the end of each shift to find out the % reduction may not drive energy reducing behaviour. So, the target should be accompanied by some lead measures - for example, the number of ideas to improve efficiency suggested, number tested, number implemented. Tracking and reporting on these lead measures/KPIs should help to deliver the target proactively rather than by chance.

Measures/KPIs and the workforce’s progression towards them can be communicated easily and immediately using visual ‘dashboarding’ in the workplace.