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Managing
Efficiency,
Processes &
Productivity
by
Piyasena
Samarakoon
Industrial
University of Moratuwa 1
Aim and Objectives
To highlight the importance productivity imprvt
To introduce scientific management approach to
improve the productivity
To provide overview of concepts, techniques
To be able to address the questions
What is Work study?
What is Productivity?
Why Work study is important?
What are the elements in work study?
What are the techniques and tools used in work study?
What is Method Study (MS) & Work Measurement (WM)?
Where can MS and WM be applied?
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Industrial 2
What is Productivity?
Common/Simple Term: Output/Input
Applies in an enterprise, a sector of
economic activity, or economy as a whole
Used to assess or to measure the extent to
which a certain output can be extracted
from a given input
In goods production, both input and output
are tangible, productivity can easily be
measured
In services, estimation of productivity is
difficult to measure, as intangible output
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Example for
Productivity Before Improvement After Improvement (no add. fina)
Monthly Production 400 500
Unit Selling Price in Rs. 20 18
Monthly sales in Rs. 400*20 = 8,000 500*18 = 9,000
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Elements in Operation
(Inefficient Method or Operation)
Workstudy
Resultinginmore Makingpossibleimproved
effectiveuseof planningandcontroland
material,plant&equipment asabasisforsound
andmanpower Incentivescheme
Higher productivity
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Why Method Study?
MS: critical examination and systematic recording of
existing method and propose effective methods to
improve productivity
Purpose/Objective:
To find better ways of doing things to improve efficiency
To remove unnecessary work, avoidable delays, and other
form of waste
Techniques to Achieve Objectives:
improved design and layout of factory or work place
Work
Significant savings is the first and main criterion
Checklist for points to be covered (Sample only)
Study on Product and/or operation
Person who proposes investigation
Reason for proposal
Suggested limits of investigation
Particulars of job (Qty, # Workers, Duration, Output,
Equipment,..)
Product details (Frequent Changes?, Simplified design?,
Quality?,..)
Expected savings or productivity after method
study, Etc.
Three factors to be considered in selection process
Economic, Technical and Human factors
Pareto Analysis
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Pareto Analysis for
Selection
20 different products generates different level of profits
(Example)
03 items account
for 60% profit
They would be
priority of study
07 items
contribute 25% of
the profit
They are assumed
as second
importance
Other products
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Economic Factors for
Selection
Basic Questions for Economic feasibility:
Will it worth to begin a method study of this job?
Will it pay to continue this study?
Obvious choices for the study are:
Key profit-generation or costly operations
Ones with the largest scrap/waste rates
Bottleneck that are holding up other operations
Lengthy operations that consume high time
Repetitive work using high a great deal of labour
Movements of material over long distance
Operations with repeated handling of material
Jobs that are involved with excessive over time
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Technical Factors for
Selection
Desire by management to acquire more advanced
technology
Desire to computerize paperwork or inventory system
Introduction of automation in the production
operations
Method study to point out the most important needs
Example:
A machine tool has become a bottleneck in production
The machine is known to be running at a speed below that of
high-speed-steel tool
Can it be speeded up?
Can the machine is robust enough to take the faster speed?
(This problem is for the machine-tool expert)
Hazardous work environment
Inconsistent quality of output
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Human Factors for
Selection
Important, but unpredictable factor
Some operations cause dissatisfaction to workers
The level of satisfaction points out a need for
workstudy
In such a case, selection of job for the study is much
easier
Some study may lead to unrest or ill-feeling
Sometimes, study should be abandoned even if
significant benefits are obvious
Limiting the Scope of the Study:
Setting up boundaries around the study to decide
important details
More formal and accurate charts or diagrams for
diagrams
Each with its own special purpose
Two groups in respect of Purpose:
To record process sequence, i.e. series of events
or happening in the order in which they occur,
To record events, also in sequence, but on a time
scale that enables to interact with related events
Diagrams indicates movements and/or
relationships of movements more clearly than
charts
But, they do not show all details recorded on
charts, which they supplement rather than replace
Many commonly used charts
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Common Charts &
Diagrams
Type Base Name
Chart Indicate Outline process chart
Process Flow process chart
Sequence - workflow process chart
- material process chart
- equipment process chart
Two handed process chart
Procedure flowchart
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Process Charts Symbols
(Inspection, Delay)
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Outline Process Chart
Use only operations and inspections symbols
Use to obtain overview of the whole process or
activity before embarking on a detailed study
Gives overall picture by recording in sequence
only the main operations and inspections
Brief note of the nature of each operation or
inspection is made besides the symbol
Time allowed for the activity is also added
Very little details about the whole process
Useful for initial recording
Use specifically for a system having many
operations
treated
Equipment type: how the equipment is used
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Flow Process Chart
(Pre-Printed Form: Ex. 02 Clerical Operation-
Joined)
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Examine the Records
Most important part of the basic procedural
steps
Examine the records for accuracy
Examine the records for development
If no recorded/sufficient details, improve records
or choose a different/better method
During the examination process,
transportation and delay - generally give
greatest scope for improvement
Possible to eliminate certain operations, which will
automatically affect transportation and delays
An examination of the operations first focus
Classification of activities for easy analysis
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Classification of
Activities
Major 05: Operation, Transport, Inspection,
Delay, Storage
Two Groups in Five Activities
Activities in which something is actually
happening to material/work piece, i.e. it is being
worked upon, moved or examined
Activities in which it is not being touched, being
either in storage or delay for something to happen
The first category - productive activities
Three groups in productive activities
Make-Ready Activities
Do Activities
Put-Away Activities
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Make-Ready & Do
Activity
Make-Ready Activities:
Required to prepare the material/work piece
Set material/work piece in position ready to be worked
on
Value addition will not occurred, but may be essential
Examples: loading, transporting, etc.
Do Activities:
Material of the product is changed either in shape,
composition or condition
E.g.: Stitching the collar of a shirt, typing the letter on
the paper
Operation is the key element
Significant value is added to the process
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Put-Away Activities
Put-Away Activities:
Occur when product is moved aside from the
machine
Put-Away in one operation, may be an
Make-Ready activity for the next operation
Example: transporting WIP items from one
working station A to next station B
Put-Away activity for station A, but Make-
Ready activity for B
Examples: Putting parts into storage, inspection
of finished parts before putting it for storage
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Value-Added Activities
High proportion of Do activities bring product
to completion stage
Do activities in services are act of something
E.g.: act of selling in a shop, act of typing a letter
During Do activities, the value is added to the
process/product
Do activities are productive
All others, though necessary, are non-productive
Non-Productive: Transport, Storages, Delays, etc.
Productivity improvement process:
Eliminate non-value added activities
Try to Eliminate/Modify/Simplify Do activities with the
intention of eliminating non-productive activities
means
E.g.: when considering the operations of tying a
carefully;
When an activity is challenged, the purpose is to see
whether it can be eliminated entirely
If the activity can not be eliminated because it is essential,
then it is required to see how it could be best done
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Attention must also be given to see the activity can be
Develop Improved
Method
From critical examination:
Good notion about shortcomings of the present operation
Possibilities of a new improved method
Once a new method is accomplished:
Record on charts
Compare with the original method
Device specifically designed for improving work
method is known as process improvement formula
Process Improvement Formula Consists of Steps:
Eliminate: try to eliminate entirely
Combine: combine with other operations
Sequence: change the sequence
Simplify: try to simplify to eliminate non-value activities
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Which step for
Development?
Most important: complete elimination of unnecessary
activities
Some activities: retained due to custom, history, or even
ignorance
Changes to materials, product design, process design,
tools or the work place may facilitate for elimination or
combination
If elimination is not possible, make attempt to combine
If all fails, try to simplify by reducing operations,
delays, transport
Simplification: to permit the worker to complete the job
more quickly and easily
Gilberts principle of motion economy is valuable for
simplification
changed
Shows the necessity of examining this activity critically
Primary & secondary questions:
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Flow Diagram+Process
Chart
(Rec. Dept. of Aircraft Factory: Proposed
Method)
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Engineering
Maximum Working
Area
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Principles of Motion
Economy
Principles concerning the economy of manual
movements
Developed as a result of long term experience
Objective is to improve method at the
workplace
03 Major Groups to improve productivity:
Use of human body
Arrangement of the work place
Design of tools and equipment
Useful not only in shops, but also in offices
Principle can not always be applied
But, they form a basis for improving the
efficiency and reducing fatigue of manual work
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Use of Human Body
Two Hands Movement:
Begin & complete movements at the same time
Think about
application
area?
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Posture for Sitting
Position
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Workstation Layout
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Two-Handed Process Chart
Represent the sequence of activities of the worker
Record activities of a workers two hands with their
relationship
Sometimes time scale is too added
Repetitive operations: one complete cycle of the work
Nearly same symbols, but slightly different meaning
Operation: Activities: grasp, position, use, release etc.
Transport: Movement of the hand from or to the work,
material & tool
Delay: Hand is in idle position without having specific
task
Hold: Holding the work, material or tool
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Two-Handed Process Chart
(Example)
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End of Method Study