The article contains sections entitled:
1. Introduction
2. Performance Measurement Practices
2.1. Performance Measurement Frameworks
2.2. Performance Measures and Key Performance Indicators
2.2.1. Corporate Performance Indicators
2.2.2. Strategic Key Performance Indicators
2.2.3. Operational Key Performance Indicators
2.3. Performance Targets for Chemical Process Plants
2.4. Performance Measurement Problem in Chemical Process Plants
2.5. Performance Objectives of Batch Chemical Plants
3. Operational Effectiveness Model
3.1. Structure of Operational Effectiveness Model
3.1.1. Step 1: Manufacturing Process Inputs
3.1.2. Step 2: Effectiveness Measures
3.1.3. Step 3: The Actual Process
3.1.4. Step 4: Theoretical Determination of Performance Targets
3.1.4.1. Determination of Ideal Cycle Time
3.1.4.1.1. Prediction of Heat-Transfer Time
3.1.4.1.2. Chemical Reaction Cycle Time
3.1.4.2. Defining Ideal Yield
3.1.4.3. Defining Ideal Production Quantity (Economic Batch Quantity)
3.1.5. Step 5: Import of External Benchmarking Data
3.1.6. Step 6: Comparisons and Identification of Gaps
3.1.7. Step 7: Definition and Application of Improvement
3.2. Example of Practical Application
4. Conclusion
Performance measurement is a competitive tool widely used by manufacturing and service organizations to evaluate the output of business processes. Its fundamental purpose is to quantify the potential for improvement and construct plans for further development. This article aims to increase the understanding of performance measurement in chemical plants. Existing performance measurement practices are reviewed, and their roles in the improvement of business and operational results of chemical process plants are defined. A developed performance measurement model, called the “operational effectiveness model”, is also introduced. It comprises a sequence of several performance measurement steps which ensure that chemical batch plants operate efficiently and effectively.
[1]
Marc J. Epstein,et al.
Implementing corporate strategy:: From Tableaux de Bord to balanced scorecards
,
1998
.
[2]
Nasreddin Dhafr,et al.
Establishing and improving manufacturing performance measures
,
2002
.
[3]
Paul Walsh,et al.
Targets and how to assess performance against them
,
2000
.
[4]
Paul M. Swamidass,et al.
Manufacturing strategy, environmental uncertainty and performance: a path analytic model
,
1987
.
[5]
Chon-Huat Goh,et al.
A Hierarchical System of Performance Measures for Concurrent Engineering
,
1997
.
[6]
Andy Neely,et al.
Designing performance measures: a structured approach
,
1997
.
[7]
Paul Walsh,et al.
Finding key performance drivers: Some new tools
,
1996
.
[8]
A. Neely,et al.
The performance prism in practice
,
2001
.
[9]
S. Wheelwright.
Reflecting corporate strategy in manufacturing decisions
,
1978
.
[10]
Nasreddin Dhafr,et al.
Model for establishing theoretical targets at the shop floor level in specialty chemicals manufacturing organizations
,
2005
.
[11]
V. V. Mahajani.
Estimate batch reactor heating or cooling time
,
1996
.
[12]
Gregory P. White.
A survey and taxonomy of strategy‐related performance measures for manufacturing
,
1996
.
[13]
N. Oliver,et al.
World Class Manufacturing: Further Evidence in the Lean Production Debate1
,
1994
.
[14]
James S. Noble,et al.
The changing basis of performance measurement
,
1996
.
[15]
Vic Gilgeous,et al.
A framework for manufacturing excellence
,
1999
.