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Page 1: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan
Page 2: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Page 3: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Used for “pay for performance”

Incentive rates

Helps break down the labor

content of a task

Can Identify ways to improve

processes

Determine expected

production

Helps schedule and plan needed

resources

Aides in Calculating

employee performance

Page 4: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Work Sampling

1

Stop Watch

2

Synthesis

3

Predetermined Motion Time

Systems

4

Page 5: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Page 6: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Page 7: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Time Study Example

Part: NailHead 2187

Engineer: Daniel Hayes

Date: 10/16/2017

VA # Task Element Description Layout Sketch Photo

no 1 Retrieve Retrieve the piece from staging area and place in the work area

no 2 Position Load and position the piece on the lift table, and lift to working height

yes 3 Attach Panels Position and attach arm panels with nail gun

yes 4 Apply Nails Retrieve the nailhead gun and apply nails along appropriate seams

yes 5 Inspect/Adjust Inspect nails for straightness and depth, adjust if needed

no 6 Offload Lower the lift table and offload piece into the out queue area.

7

8

9

10

# Irregular Elements Description

no 1 Reload NailGun Refill the nailgun hopper with appropriate nailheads during nailing process

2

3

4

5

208 nailheads per chair head to head

52 nailheads per chair spaced

2 curved arm panels

Page 8: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Element

Cycle # 1 2 3 4 5 6 IE Total

1 0.75 0.32 2.08 4.25 0.82 0.65 0 8.87

2 0.7 0.3 2.33 4.3 0.78 0.55 0.18 9.14 Abnormal Readings

3 0.85 0.38 2 4.15 1 0.43 0 8.81 Cycle Reason

4 0.65 0.37 2.43 4.25 0.94 0.59 0.19 9.42 9 Employee was stopped to answer a question by management

5 0.76 0.4 2.1 4.22 0.89 0.63 0 9

6 0.8 0.29 2.33 4.5 0.84 0.5 0.22 9.48

7 0.71 0.3 2.05 4.34 0.86 0.49 0 8.75

8 0.59 0.35 2.22 4.24 0.88 0.55 0.16 8.99

9 0.68 0.32 x 4.13 0.84 0.6 0 x

10 0.74 0.38 2.27 4.2 1.01 0.63 0.23 9.46

11 0.65 0.42 2.04 4.4 0.9 0.57 0 8.98

12 x

13 x

14 x

15 0.7164 0.3482 2.1850 4.2709 0.8873 0.5627 0.0891 9.0900

Average Cycle Time 9.090

Rating 110%

Ideal cycles= 15 Normal Cyle Time 9.999

PF&D 15%

Standard Minutes 11.499

SALH 0.192 which means the employee gets paid for .192 hours of work for this job

std dev = 0.0741 0.0447 0.1499 0.1089 0.0721 0.0678

element avg= 0.7164 0.3482 2.1850 4.2709 0.8873 0.5627

# of Cycles 10 15 5 1 6 14

n = t∗𝑠

k∗ ҧ𝑥

2

Personal Allowance – 5%

Basic Fatigue Allowance – 4%

Bad Lighting – 2-5%

Weight Lifted – 1-22%

Loud Noise – 2-5%

Page 9: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Sample size ≤30

Use T-score

2.26

Sample size >30

Use Z-score

1.96

Degrees of

Freedom

Sample size

minus one.

E.g.

10 cycles – 1 =

9 degrees of

freedom

Page 10: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan
Page 11: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan
Page 12: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

9 0.68 0.32 x 4.13 0.84 0.6 0 x

10 0.74 0.38 2.27 4.2 1.01 0.63 0.23 9.46

11 0.65 0.42 2.04 4.4 0.9 0.57 0 8.98

12 x

13 x

14 x

15 0.7164 0.3482 2.1850 4.2709 0.8873 0.5627 0.0891 9.0900

Average Cycle Time 9.090

Rating 110%

Ideal cycles= 15 Normal Cyle Time 9.999

PF&D 15%

Standard Minutes 11.499

SALH 0.192

std dev = 0.0741 0.0447 0.1499 0.1089 0.0721 0.0678

element avg= 0.7164 0.3482 2.1850 4.2709 0.8873 0.5627

# of Cycles 10 15 5 1 6 14

n = t∗𝑠

k∗ ҧ𝑥

2

2.262 ⋅ .0447

.075 ⋅ .3482

2

14.9906 Cycles After timing 15 cycles, we can be 95%

confident that the rate is within ± 7.5%

of the average time.%

𝑡 = 𝑡. 𝑠𝑐𝑜𝑟𝑒 𝑓𝑟𝑜𝑚 𝑡𝑎𝑏𝑙𝑒𝑠 = 𝑠𝑡𝑎𝑛𝑑𝑎𝑟𝑑 𝑑𝑒𝑣𝑖𝑎𝑡𝑖𝑜𝑛𝑘 = 𝑎𝑙𝑙𝑜𝑤𝑎𝑏𝑙𝑒 % 𝑒𝑟𝑟𝑜𝑟

ҧ𝑥 = 𝑠𝑎𝑚𝑝𝑙𝑒 𝑚𝑒𝑎𝑛

Page 13: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Page 14: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Page 15: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

R 10 B = 11.5 TMUs

REACH

10” Distance

Variable Location

Page 16: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Can get very complicated.

There are other MTM and PMT

systems that exists for different

applications

Page 17: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

A sort of combination of both stop watch

time studies and predetermined

studies.

Create your own elemental time

standards (EXCEL)

Not as accurate as a pure PMTS, but is

more specialized to fit your processes

The standards data base will save time for

rate setting in the future

Works well for determining the rate for a new style or part before it is produced

Page 18: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

CRAFTMASTER NailHead Rate Calculation Form

STYLE 2187

DATE 10/16/2017

Analyst D.HAYES

Element Description Chair Loveseat Sofa Chair2 Loveseat2 Sofa2 Chair3 Loveseat3 Sofa3

TMUs FREQUENCY TOTALC LS S C LS S C LS S

NAILHEAD-0 OBTAIN FURNITURE FROM STAGING AREA 1237 1484 1781 1 1 1 1237 1484 1781

NAILHEAD-1 POSITION FURNITURE IN WORK AREA FOR OPERATION 1005 1206 1447 1 1 1 1005 1206 1447

NAILHEAD-2 POSITION AND NAIL FLAT ARM PANEL 2358 2358 2358 0 0 0

NAILHEAD-3 POSITION AND NAIL CURVED ARM PANELS 4504 4504 4504 1 1 1 4504 4504 4504

NAILHEAD-4 APPLY NAILHEADS HEAD TO HEAD 34 34 34 208 208 208 7072 7072 7072

NAILHEAD-5 APPLY NAILHEADS SPACED 56 56 56 0 0 0 0

NAILHEAD-6 INSPECT AND ADJUST APPLIED NAILHEADS 7 7 7 208 208 208 1456 1456 1456

NAILHEAD-7 MOVE FURNITURE TO OUT QUEUE 972 1166 1399 1 1 1 972 1166 1399

REACH-3 OBTAIN NAILGUN AND ASIDE 51 51 51 2 2 2 102 102 102

NAILHEAD-8 REFILL NAILHEAD HOPPER (USUALLY JUST ONCE) 136 204 272 1 1 1 136 204 272

NAILHEAD-10 NAILHEAD STYLE CHANGE OVER (USUALLY JUST ONCE) 48 48 48 1 1 1 48 48 48

NAILHEAD-11 REPOSITION OR ROTATE FURNITURE 278 306 337 0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

0 0 0

TOTAL TMUs 16532 17242 18081

NORMAL MINS 9.9192 10.3452 10.8486

P.F. & D. 11.4071 11.8970 12.4759

S.A.L.H. 0.190 0.198 0.208

Page 19: Used for “pay for€¦ · Incentive rates Helps break down the labor content of a task Can Identify ways to improve processes Determine expected production Helps schedule and plan

Thank you for your attention