Metrics That Matter

Metrics drive decisions, shed light on performance, and help identify areas for improvement. The foundation for valuable metrics is a systematic approach across all labs under your management. TraxStar's QATrax LIMS is the foundation for Metrics that Matter for labs across many industries.

What Do Lab Managers Really Want to Know?

Running a lab efficiently is no simple task. Lab managers need to juggle priorities, address bottlenecks, and ensure their teams remain productive, all while delivering top-notch results. But beyond the day-to-day operations, managing a lab well comes down to one crucial aspect: tracking the right metrics.

This begs the question, which metrics really matter to lab managers? Here, we break down the five key metrics every lab manager should focus on.

1. On-Time Performance (OTP)

Why it Matters:

On-time performance measures how often labs deliver test results, analyses, or reports by the agreed deadline. This is one of the clearest indications of a lab’s efficiency and reliability. For engineering managers relying on lab data to move forward with critical projects, meeting deadlines isn’t just a courtesy; it’s essential.

How to Track It:

% On-Time Delivery (Tests Completed on Time / Total Tests Completed) × 100
Track trends over weeks or months to identify patterns and recurring delays.

Pro Tip:

If your OTP needs improvement, focus on understanding the root cause. Do delays stem from capacity issues, equipment downtime, or unclear communication? Addressing these causes will improve your lab's reputation and your team's effectiveness.

2. Volume

Why it Matters:

Volume tracks the number of tests or analyses your lab processes within a specific timeframe. Understanding volume helps lab managers balance workloads, predict resource demands, and highlight whether your team is meeting the business's growing needs.

How to Track It:

Record the number of tests performed daily, weekly, or monthly.
Evaluate volume in conjunction with accuracy and quality to ensure standards are not compromised under increased workloads.

Pro Tip:

Not all tests are similar. Differentiate backlog by attended and unattended tests as they require different resources. If test volume is climbing, consider investing in automation tools or additional staff. Failing to address increased demand can quickly overwhelm your team and lead to declining performance.

3. What's in the Lab Now?

Why it Matters:

Knowing which hardware is under test ensures the most critical projects (e.g., customer deliveries, compliance testing, production blockers) get priority. Effective management prevents bottlenecks by aligning test resources (benches, chambers, technicians) with current demand.

Test labs often have limited equipment (thermal chambers, vibration rigs, EMI/EMC test setups). Knowing what’s being tested avoids conflicts and idle time as well as helps plan technician workloads and shift coverage more efficiently.

If a failure is detected, knowing what is in test allows quick escalation and containment

Ways to Stay Informed:

LIMS Software that highlights todays calendar, todays workload.
Test Technicians logging when attended tests start and complete.
If the lab is local, a lab manager can walk through the lab and ask the technician (this is not efficient)

4.Backlog

Why it Matters:

Nothing disrupts lab workflows and client or stakeholder trust like an out-of-control backlog. Backlog refers to the volume of tests that have been received but not completed. It’s often a signal of capacity constraints or inefficiencies in the process.

How to Track It:

Backlog Amount Total Volume of Tests Received – Tests Completed
Use real-time tracking to keep lab staff informed of priority tasks and deadlines.

Pro Tip:

Keep a close eye on backlog trends. A spike in backlog can be an early warning sign of bottlenecks. Address backlogs swiftly, for example reallocating resources to high-priority tasks is critical to maintaining on-time performance and customer satisfaction.

5. Capacity

Why it Matters:

Capacity measures your lab's ability to take on new tests or projects without negatively impacting other metrics like OTP or quality. Knowing your lab's capacity at any time helps avoid overloading your team and shows engineering managers if additional resources are required.

How to Track It:

Compare the total available hours (staff and equipment) against demand.
Calculate % Utilization (Actual Work Hours / Total Available Hours) × 100

Pro Tip:

An ideal utilization range is between 70-80% to allow room for unforeseen circumstances or urgent tasks. Anything beyond 90% utilization could indicate a potential burnout risk for your team.

Bringing It All Together:

Tracking these key metrics allows lab managers to assess operational health, identify inefficiencies, and make data-driven decisions. Here’s a quick recap:

On-Time Performance ensures reliability and trust.
Volume measures workload and resource demand.
What's in the lab now measures workload and resource demand.
Backlog highlights bottlenecks and potential capacity issues.
Capacity shows your lab’s limits and ability to scale.

Build a Metrics-Driven Culture

To maximize the value of these metrics, communicate openly with your team about the importance of tracking and optimizing them. Share your findings, celebrate wins like improved OTP or reduced backlog, and involve your team in brainstorming solutions for areas needing improvement.

Engineering and lab managers who prioritize these five metrics will not only enhance operational efficiency but will also build a solid foundation for long-term success and adaptability.