1. Industrial Engineering Basics

2. 2 Important Registration Instructions To get the full benefit of this training, you must view this presentation in Slide Show (Presentation Mode). After completing this training, you will have to register your training. If for some reason you need to leave your training session you will need to retake the entire session.

3. 3 It’s very import that all of our Industrial and Manufacturing Engineers are trained on Industrial Engineering Basics. It has been shown that Incentive Wage systems are 130 percent productive versus 50 percent productive with Day Work systems where no work measurement is used. A successful Incentive Wage System is manufacturing competitive advantage for John Deere. Wage SystemProductivity Day Work50 percent Measured Day Work80 percent Incentive130 percent

4. 4 At a high level the important steps to maintaining our effective Incentive Wage System include: 1. Training Salaried Personnel on the expectations for their work in our Incentive Wage System. 2. Developing and documenting the current best method. 3. Determining the standard time to do the work. 4. Maintaining the output standards per the labor agreement at the factory. 5. Using the standards to accurately plan and execute manpower requirements. It is very important that you understand the expectations of our Incentive System!

5. 5 The Industrial Engineering Competency recently updated the IE Basics classes to streamline them into five online modules and one face to face class. IE Basics Modules consist of: 1.Module 1 Creation of Output Standards 2.Module 2 Developing an Output Standard 3.Module 3 Inherent Delay 4.Module 4 Continuous Improvement Pay Plan 5.Module 5 Pay Plan Philosophies 6.Industrial Engineering – IE Basics Exercises

6. 6 IE Knowledge Center Improvements An Overview of the Modules: In Module 1 you will learn: – How Work Measurement is used at John Deere – The definition of Standard Work and its importance – The three factors that affect time – About the Methods Analysis Process – The importance of Industrial Engineering

7. 7 IE Knowledge Center Improvements An Overview of the Modules: In Module 2 you will learn: – How to create a Sequence of Events – About Activity and Element Relationships – About Performance Rating and how it affects time – To Define Personal and Fatigue Allowances – How to Determine Job Delay Allowances – To Calculate Output Standards

8. 8 IE Knowledge Center Improvements An Overview of the Modules: In Module 3 you will learn: – How Wait Time Payment is used at John Deere – The concepts behind Progressive IDA – About IDA and work through IDA Problems

9. 9 IE Knowledge Center Improvements An Overview of the Modules: In Module 4 you will: – Be introduced to CIPP – Learn about CIPP Culture – Learn how CIPP Works – Learn about CIPP Plan Maintenance – Learn about CIPP Contract Language – Know what the CIPP Myths are

10. 10 IE Knowledge Center Improvements An Overview of the Modules: In Module 5 you will learn: – About the “Dickey Letters” and the philosophies behind our incentive system

11. 11 IE Knowledge Center Improvements An Overview of the Modules: In Industrial Engineering IE Basics Exercises you will: – Review the important concepts from the online modules – Learn how to improve methods – Get practice in writing activity descriptions – Get practice using a stopwatch – Apply P&F and other allowances to determine standard time – Calculate Standards

12. 12 Review 1. A successful Incentive Wage System is manufacturing competitive advantage for John Deere. 2. It has been shown that Incentive Wage systems are 130 percent productive versus 50 percent productive with Day Work systems where no work measurement is used. 3. The Industrial Engineering Basics classes consist of five online modules and one face to face class.

13. Harvester Works February 201013 True False Click the correct button to advance to the next slide. If you answer incorrectly, you will be sent to the slide containing the information. Quiz – Question 1 Your answer was correct. Next Question: A successful Incentive Wage System is a manufacturing competitive advantage for John Deere.

14. Harvester Works February 201014 50 percent 60 percent 80 percent 100 percent Click the correct button to advance to the next slide. If you answer incorrectly, you will be sent to the slide containing the information. Quiz – Question 2 It has been shown that Incentive Wage systems are 130 percent productive versus _______ productive with Day Work systems where no work measurement is used.

15. Harvester Works February 201015 True False Click the correct button to advance to the next slide. If you answer incorrectly, you will be sent to the slide containing the information. Quiz – Question 3 Developing and documenting the current best method is an important part of maintaining our effective Incentive Wage System.

16. A successful Incentive Wage System is a manufacturing competitive advantage for John Deere. You have answered incorrectly. Please reread this slide, then click the yellow arrow to return to the quiz. True - It is important that we maintain the integrity of our Incentive Wage System which is a manufacturing competitive advantage for John Deere.

17. You have answered incorrectly. Please reread this slide, then click the yellow arrow to return to the quiz. It has been shown that Incentive Wage systems are 130 percent productive versus _______ productive with Day Work systems where no work measurement is used. It has been shown that Day Work systems are 50 percent productive.

18. You have answered incorrectly. Please reread this slide, then click the yellow arrow to return to the quiz. Developing and documenting the current best method is an important part of maintaining our effective Incentive Wage System. True – Developing and documenting the current best method is an important part of maintaining our effective Incentive Wage System.

19. You have successfully completed IE Knowledge Center Training. Please click on the following link to enter your information and get credit for this course. Register Your Training EXIT Please register before exiting