Which of the following are considered the ‘Golden Metrics’ used to measure performance? Select THREE.

The ‘Golden Metrics’ refer to the fundamental, high-level key performance indicators (KPIs) used to measure the overall health and effectiveness of an organisation's operations and supply chain. These metrics typically fall under the widely recognized Safety, Quality, Delivery, and Cost (SQDC) framework.

1. Safety (A) is paramount, as it ensures the well-being of employees and the integrity of operations.

2. Total Cycle Time (B) is a critical measure of process speed and efficiency, falling under the 'Delivery' and 'Cost' categories.

3. Delivery Performance (C) directly measures the ability to meet customer expectations and is a core component of the 'Delivery' category.

These three metrics provide a balanced view of operational excellence.

D. Financial Stability: This is a high-level corporate outcome or result of good operational performance, not a direct operational 'golden metric' used for daily management and process improvement.

E. Ethics: Ethics is a foundational principle that governs how business is conducted. While it can be measured through audits and compliance, it is not considered an operational performance metric in the same category as time, safety, or delivery.

1. Mann, D. (2015). Creating a Lean Culture: Tools to Sustain Lean Conversions (3rd ed.). CRC Press. In Chapter 4, "The Visual Management System," Mann establishes the SQDC (Safety, Quality, Delivery, Cost) hierarchy as the standard set of metrics for managing daily operational performance, referring to them as the "four basic measures of any process" (p. 59).

2. APICS. (2017). Supply Chain Operations Reference (SCOR) Model Version 12.0. The SCOR model, a cross-industry standard for supply chain management, defines core performance attributes. Delivery Performance is a Level 1 metric under the 'Reliability' attribute, and Total Cycle Time (specifically Order Fulfillment Cycle Time) is a Level 1 metric under the 'Responsiveness' attribute (pp. 23-25).

3. Liker, J. K., & Meier, D. P. (2006). The Toyota Way Fieldbook. McGraw-Hill. The book emphasizes that in the Toyota Production System, the primary focus for performance measurement on the shop floor is Safety, Quality, Productivity (related to cycle time), and Cost. Safety is always considered first (Chapter 12, "Measure and Motivate").