productivity unit 1all

8/13/2019 Productivity Unit 1all

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PRODUCTIVITY

SIMPLY RELATION BETWEENOUTPUT AND INPUT

(P)PRODUCTIVITY=output/input

(indication of utilization resources)PRODUCTIVITY(how to measure)

TWO APPROACHES IN

GARMENT INDUSTRY

Partial (p)measurement

Total (p)measurement


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-*

Partial productivity=

output/one class of input

e.g. labour (p)=output/labour input

machine(p)=output/machine input

material(p)= output/material input

ADVANTAGES-;pin pointing improvement areas

DISADVANTAGES-;overall cost increase of afactory can not be determined singularly


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Total productivity=

total output/sum of all input factors

ADVAN.;-measures the joint impact of allinputs and hence determines accurateassesment real picture of an enterprise.

DISADVAN.;-silent about which particular

products or services cause growth anddecline.

silent about which particular input(man,material, m/c etc.)unutilized.


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Difficult to take corrective and preventiveactions.

INTRNATIONALLY PARTIALPRODUCTIVITY METHODS PREFEREDIN APPAREL MANUFACTURER.


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Productivity

Objectives-:

To study the performance of a system overtime.

To attain relative comparison of differentsystems for a given level

To compare actual productivity of a system

with its planned productivity.


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Productivity measurement methods 1- physical productivity measurement method This method uses the quantityof output and input as data for calculating

productivity (p). It can be measured as

Labour productivity=Volume of output / volume of labour input

- Material ( p) = volume of out put (o/p) / volume of material input - Machine (p) = volume of output / volume of machine input(i/p)

-- Energy (p) = volume of output / Volume of energy input

Total physical (p) = total vol. of o/ps

total vol. of all i/ps

( units of measuring these inputs like labour ,m/c, energy, materials discuss later)

2- Value productivity measurement method; Here valueof o/p and i/ps as data for caculating (p)

labour.(p) = Value of o/p / labour i/ps in value form

capital (p)= Value of o/p / Capital i/ps

machine (p) = value of o/ps /value. Of machine i/p

Total value (p) = Total value of outputs

Total value of all inputs


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3 value added productivity method; this method uses value- added (expressed in

monetary units) as data for calculation.

Value added= current income (before tax) +personal expenses +financial cost + rent + tax +depreciation.

Labour productivity= Value added

Labour input

( used in highly diverse o/p field , datas are taken from finance dept.)

Capital (p) = Value added

capital


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EXAMPLE

DATAS-no. of machine----105 -nos. of supv.=03

- no. of operatpr---100 shift duration=450min.

-no of helper--------20 SAM of shirt= 16.59min.-no. of checkers---10 prod. Sewn =mens f/l sht.

Avg. daily o/p per sft=2000 shirts, Calculate the following

operator productivity =vol. of o/p /dir. Lab. i/p(vol.)2000/100=20 shirts per shift

(p) Efficiency of opr .=SAM*units produced per opr.

Inputs in minutes per operator

= 16.59* 20/450=73.33%


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Total lab. (p)=2000/130=15.38 shirts per shift Machine (p) =vol. of output/ machine input

2000/105=19.04 shirts per shift

Let value of shirt =US-$6

VALUE (P) of sewing operator= 2000*6/100opr.

= 120US$ per operator shift

Energy productivity(p)= vol. of o/p per day/Electricity cost

per day

= 2000pcs./day/500 mu /day (;say)=4pcs/ mu


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Daily cost of electricity per machine is= 500mu/100= 05 mu per machine

If prodductivity data not analysed fully it may leads tocostly mistake

People may use the productivity data for their personalgain(e.g. cutting dept. example)

A high skilled labour may produce more pcs. In physical

unit calculation method. But when the input of labour ismeasured in relation to the cost of labour in place of timeof labour inputs the story may be completely different.


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Contd. production

Definitions of Productivity Productivity is measure of how

much input is required to produce a

given output i.e. it is ratio of output to input.

According to peter Drucker

Productivity means balance b/w all

factors of prodn that will give the maximum output with the smallest

effort.


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Contd. Factors affecting production

Category 2 Factors related to output:-

Research and development techniques,

improvement in technology and

efficient sales strategy of the org. Will lead to improvement in o/p.

Efficient use of input resources, better stores ctrl, prodn ctrl policy, maintenance of machines etc.

Will minimize the cost of prodn .


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Ways of increasing production

1.Better planning and training of employees,

improved jobs and communication and

effective mgt. through CPM/PERT methods.

2.Use of time and motion studies to study

and improve work performance. It enables toassess the quantum of work, which can be

used for planning and ctrl.


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Contd.

3. Better transportation and materialhandling system

4. By providing work incentives andother benefits to workers

.

5. Workers involvement in decisionmaking and working of orgs

.


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Contd.

6. Improvement in technology of prodnprocess and nature of raw material

and its quality.

7. Simplification, standardization and

specialization technique.

8. Better and efficient utilization of

resources at the disposal of the

enterprises.


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Work content and ineffective time

Some definitions

-Basic work content-:It is the irreducible minimumtime theoritically required to produce one unit of output

Basic work content-: It is the time the product would to take tomanufacture or the operation to perform, if the design and specification was perfect, ifthe process or the method of manufacture or the operation perfectly carried out, andif there was no loss of working time from any cause whatsoever during the period ofoperation

-Total work content= Basic work content + Excess time

Work content-:Amount of work contained in a givenproduct or process measured in man-hour or machine hour.


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Excess time= Time due to defects in design + Time due to inefficientmethods of manufacture or operation

the above assumption= Un-interrupted working

But practically------

Ineffective time-:It is the time for whichthe worker or machine or both areidle due to the shortcomings of the management or the worker.

.


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how management technique can reduce excesswork content

IN DESIGN OR SPCIFICATION Pdt. Development and value analysis reduce excess work content due to design

defects and excess material

Specification and standardisation enables high production process to be used.

Market, consumer and product re-search ensure correct quality standards.

IN PROCESS AND METHODS Correct process planning ensures selection of correct machine and ensure correct

operation of processes

Process planning and method study ensures correct selection of tools

Method study reduces work content due to bad lay-out

Method study and operator trainning reduce work content due to bad workingmethods


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Causes of ineffective time

Shortcomings of management Excessive pdt. Variety.

Lack of standardisation

Design changes

Bad planning

Lack of raw material

m/c break-down

Plant in bad condition

Bad working conditiopn

Accidents

Shortcomings of worker Absence,lateness and Idleness

Carelessness workmanship

accidents


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HOW MANAGEMENT TECHNIQUE CANREDUCE INEFFECTIVE TIME

MARKETING AND SPECIALISATION REDUCES IDLE TIME DUE TO PDT.VARIETY.

STANDATDISATION REDUCE IDLE TIME DUE TO SHORT RUN

PRODUCT DEVELOPMENT CONTROLS FREQUENT DESIGN CHANGE.

PRODUCTION CONTROL BASED ON WORK MEASUREMENT REDUCES IDLETIME DUE TO BAD PLANNING

MATERIAL CONTROL REDUCES IDLE TIME DUE TO LACK OF RAW MATERIAL

PROPER MAINTENANCE REDUCES IDLE TIME DUE TO BREAKDOWN AND BADCONDITON OF PLANT

SAFETY MEASURES REDUCES INEFFECTIVE TIME DUE TO ACCIDENTS

IMPROVED WORKING CONDITION ENABLES WORKER TO WORK STEADILY.

GOOD PERSONNEL POLICY AND INCENTIVE REDUCE INEFFECTIVE TIME DUETO ABSENCE.

PERSONNEL POLICY AND TRAINNING REDUCES CARELESSNESS

SAFETY TRAINNING REDUCES INEFFECTIVE TIME DUE TO ACCIDENTS.

productivity unit 1all

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