The Global competition is forcing manufacturing organizations to improve quality, reduce delivery time and lower costs. Manufacturing organizations realizes that the respond to this situation is through excel on their operations performance. This led to implementation of number of manufacturing strategies which would enable organisation to do so. Benchmarking was one among those strategies, and was based on comparisons of organisation's performance against performance achieved by competitors and best in class operations. Based on benchmarking results, performance of processes would be boosted to close gaps. In this regard, a consideration should be given to process capability, as the process should not be expected to perform an output that is unable to do. Unattainable target would be time consuming, frustrating to employees, and holds back making improvement in manufacturing system. In this concern, the work in this paper would present an approach for defining the output of the process by use of theoretical models that enables defining the most economically effective performance the process can achieve taking into consideration critical elements to manufacturing such as cost, quality, delivery, etc. then based on these analyses; targets would be decided for the performance of the process. Knowing the theoretical targets of the process would enable effective comparisons of process performance to benchmarks from external sources, this would help in assessing capabilities of operations and whether are able to perform similar to best in class operations or not. Part of this paper would show examples of defining theoretical targets for the case study plant with financial evaluation of the achieved results. Main conclusion of this paper that is defining theoretical targets for any plant would be a significant step towards exploration of the value of its hidden plan.
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