KPI´s- Measuring and evaluating in order to increase efficiency

University essay from Växjö universitet/Ekonomihögskolan, EHV; Växjö universitet/Ekonomihögskolan, EHV; Växjö universitet/Ekonomihögskolan, EHV

Abstract:

Background: AA Logistics Sweden is having logistic efficiency problems, and at this point they do not have performance measurement in terms of KPI´s. Due to constant development and demand on their products, there have not been enough resources available to perform these measurements.

Purpose: Our purpose is, on the basis of service level and turnover speed, to measure efficiency in terms of KPI’s at AA. It is also to design record sheets that can assist AA to increase the efficiency over time.

Methodology: Interviews with managers and employees, in order to have a solid foundation for what to look for and analyse in the ERP system. The empirical material that was received was analysed on the basis of different theories.

Result, conclusions: We have developed values for each KPI and also suggested SMART goals that in the long run will contribute to increasing the logistic efficiency.

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