Process Efficiency
Process efficiency is the output of a business process relative to the resources it consumes. In practice, this is often measured by throughput if resource consumption is relatively constant.Increase the throughput of the widget production line by 22% to 1700 units/hour by upgrading workstations 13 and 19 that represent bottlenecks.
Resource Efficiency
Resource efficiency is the amount of resources that you use to achieve a unit of output.Reduce water consumption to 800 gallons per ton of tomatoes by using a controller that only activates irrigation systems when soil conditions are dry.
Productivity
Productivity is the amount of value you create in a unit of time such as a month.Increase productivity to 5,000 lines of code per month.
Time Management
Reducing wasted time improves productivity.Machine Efficiency
Machine efficiency is the amount of resources such as electricity consumed by a machine relative to its output or performance.Upgrade solar systems to achieve peak conversion efficiency of 21%.
Economic Efficiency
Economic efficiency is the value that you get from capital. This is influenced by everything from strategy to customer relationships.Close non-performing restaurants and open new locations in prime areas to improve operating margins to 14.3%.
Waste
Reducing resource waste improves efficiency.Develop an artificial intelligence that picks the minimum size of box for each order. Goal: reduce cardboard usage by 31%.
Summary
Efficiency is the amount of value you create with a unit of output. Improving efficiency reduces waste.
| Overview: Efficiency Goals | ||
Type | ||
Definition | A target to achieve more output for a unit of input. | |
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