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Key Performance Indicator


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When it comes to your production staff, what are the KPI's that you use to determine raises and bonuses for your staff?

For instance:

A person mashing for whiskey seems like their KPI's involve consistent volume and efficiency requirements. Given the same recipe, always shoot for the same gravity (with an allowable standard deviation).

The distiller's role seems to get trickier. Depending on how the cuts are made the volume and quality of spirit has a degree of variance (especially if there is any variability in the mashing or fermentation that preceded it). You can have a KPI that includes consistent volume requirements off the still, but there is a risk of cheating and making a wider cut to meet a quota... 

I'd imagine you'd look at medals won as a KPI for the person doing the blending, but what about the whole team? 

Throw in the fact that small distilleries like to experiment with new recipes and one of releases, data on efficiency can get skewed pretty easily...


If you are using volumes/efficiencies, care to share your target numbers?




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In another life at another job - the KPIs you are talking about are more in line with annual performance goals set for your employees - which would be reviewed at least annually - and would serve as a basis for any merit increase.  Generally, goals would be set in conjunction with the employee, and could be broader than their specific day too day activities (for example, learning and cross-training as a goal).  However, these are always SMART goals - Specific, Measurable, Achievable, Relevant, Time-Bound.  Your examples seem to fall in this category.

But in terms of bonuses, these would be higher level shared goals, for example - for the manufacturing team, might be profitability - which encompasses all of the things you are mentioning.  Sales goals, revenue goals, profitability goals.  You don't want to be too prescriptive about how the target is reached, as you risk stifling innovation and new ideas.

But don't, in either case, put a KPI on someone who has no authority or control to move the needle - this can be extremely frustrating.

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