Producibility Elements Highlighted:
Primary: 1.2 Organize for
Secondary: 5.2 Measure Products
Lockheed Martin Electronics & Missiles Production Operations adopted the concept of Performance Management Teams (PMTs) in 1985 to continuously improve the quality and reliability of the company's products and services, reduce cost and cycle times, enhance productivity, and ensure schedule compliance to maximize customer
PMTs require a change in culture and total workforce commitment, and quality is designated as the top priority.
Team performance is measured at the team level and achievements are recognized through rewards. Teams are
comprised of a normal work group from areas such as manufacturing engineering, industrial engineering,
production planning, quality engineering, technical operations, procurement, and safety. Where appropriate,
customers are also members of the team.
The focus of the PMT process is the team's work area and responsibilities, similar to the company-within-a-company concept. Team leaders are designated, and support groups are made an integral and active part of the team. Teams meet once per week, review performance metrics, identify action items to improve product and services quality, and develop improvements to enhance overall efficiency. Participation is mandatory and is a major part of the performance appraisal process. Nine metrics have been established at the production floor level to include: yield, rework, scrap, audit result, cost performance, schedule/cycle time, lost time/overtime, customer satisfaction, and action items. These metrics could have a positive impact on product service quality and reliability, cost performance, productivity, safety, schedule delivery, cycle time, or customer satisfaction.
PMT recognition is based on a rewards system comprised of elements such as Team of the Month and Team of the Year designations that include an award breakfast, plaque and pins, write-ups in the in-house publication, and the
Teamwork Counts Suggestion Program.
The benefits of PMTs are well documented. Lockheed Martin Electronics & Missiles has had no negative
government audit findings in over six years. The company was U.S. Army Missile Command Contractor
Performance Certified in 1990 and ISO 9001 certified in 1994. Production scrap and rework has been reduced over
70%, resulting in production budget under-runs. Total program cycle time has been reduced by an average of 36%
on major Lockheed Martin systems, and there has been mission success on all programs.