1. Operations Management I For Confederation of Indian Industry (CII) Session II Chapter 4,5 and 6 R M Harindranath MBA MCA (Ph D) MCT

2. Chapter 4: Introduction to Work Study

3. Work-Study Work-Study technique as a branch of management is essential for Improved productivity. Development of work study To achieve preplanned objectives most efficiently, the manger must use scientific technique for evaluation of inputs, outputs and process Urgent necessity to improve and enlarge the scope of time and motion study. The developments led to the concept of modem discipline of work study. The US equivalent term for work-study is Motion and Time Study US equivalent term for work-study is Motion and Time Study Work study is concerned with finding better ways of doing work and avoiding waste In all Its forms

4. Evolution and Development Earliest known practical application of Work Study was by Robert Owen of the UK. He concentrated on the needs of the worker, and while increasing productivity, helped raise the standard of living of the worker. F.W. Taylor who evolved the principles of Time Study F W Taylor broke up the work into elements, and from the analysis of these elements he determine the time of each to be allowed for a job

5. Frank Bunker Gilbreth (1869-1924), along with his wife Lillian, developed the principles of Motion Study. The scientific approach to the study of work, through a close investigation of motion patterns, resulted in the elimination of wasteful movements and, consequently - fatigue Concerned with devising the most economical methods of work and the most effective layout. Time study as subsidiary factor Evolution and Development

6. Contributions of F W Taylor & Gilbreth were developed by consultants, primarily by charles E Bedaux Time and motion study was increasingly being used to set time standards for financial incentives schemes Time and Motion Study has proved ineffective for two reasons: – Arbitrary methods of fixing timings were resented by the trade unionists – Some of the practices of time study are questionable Evolution and Development

7. Work-Study Definitions 'Work Study is a term used to embrace the techniques of Method Study and Work Measurement, which are employed to ensure the best possible use of human and material resources in carrying out a specified activity.“ British Standard Institute is "Work Study is a generic term for those techniques, particularly Method Study and Work Measurement, which are used in the examination of human work in all its contexts and which lead systematically to the Investigation of all factors which affect the efficiency and economy of the situation being reviewed, in order to effect improvement".

8. Russel Currie, the "father of modem work study" defines: "Work study is the systematic, objective and critical examination of all the factors that govern the operational efficiency of any specified activity In order to effect Improvement". A comprehensive definition of work-study would be—it is a modem industrial discipline comprising several scientific techniques that evaluate the effectiveness of any work system in order to raise the level of productivity, and provide greater satisfaction at work. Work-Study Definitions

9. Work study Work-study helps in the two fundamental functions of management, which are organization and control. It is also equally important to ensure that direction, co- ordination, and control is really effective. Work-study can be effectively applied to organizational problems The organizational structure. Including staffing and channels of control; Span of control, allocation of responsibilities, quantum of decentralization; System of controlling decisions and channels of processing.

10. Facts about Work Study Work study is based on facts, and not on opinions. It is advisory, and not executive. It Is not an axe; it may even advise increases. Work study is not imposed, but comes when requested and it must come from within. It depends, for its success, on the active co-operation of the men on the job. It is not a cure-all; it merely recommends Improvements; It is not infallible—it is only impartial. Lastly, it is not exclusive; even finance departments can use it.

11. Objectives of Work Study The objective of work-study is to assist management to obtain the optimum use of the human and material resources available to the organization for the work upon which it is engaged The objective has three aspects: The most effective use of plant and equipment. The most effective use of human effort. The evaluation of human work.,

12. Work Study and Management Work-study is a management tool and it can only succeed If it has the backing of higher management Aim and scope are clearly understood by all concerned It Is a staff function & practitioners has no authority

13. Work Study and Supervisors Supervisors' confidence is achieved by educating the supervisor on the techniques of Method Study and Work Management. Work Study and the Worker  Misunderstands the work study function  Another dodge by management to make them work  If it has to be successful, they have to convince the trade union representatives

14. Method Study Method study Is the systematic recording, analysis and critical examination of existing and proposed ways of doing work and the development and applications of easier and new production methods Application of Method Study Improved layout of office, working area or factory Improved design of plant and equipment Improved use of material, plant, equipment and manpower Most effective handling of material Improved flow of work Standardization of methods and procedures Improved safety standards Better working conditions Improved achievement with less effort Productive and effective utilization of human effort Economy of expenditure

15. Method Study Select Select the work to be studied RecordRecord all the relevant facts of the present (or proposed) method by direct observations. Examine Examine the facts critically by following the critical examination procedure on special critical examination sheets. Develop Develop the best methods i.e., most practical, economic and effective method, under prevailing circumstances. InstallInstall that method as standard practice MaintainMaintain that standard practice by regular, routine check.

16. Recording and Charting Data or relevant facts pertaining to the existing method must be collected and recorded The method of recording will vary with the type and nature of data One objective of method study is to eliminate unnecessary writing and form filling Graphical presentation of the data usually makes it easier to grasp the implication of the facts and to highlight the points needing further Investigation. The recording may trace the movements of men, material or details of various processes

17. Recording Techniques ChartsThey Record Graphs & Tables Outline Process Chart Flow Process Chart Two- Handed Process Chart Multiple Activity Chart Information on limiting factors of the situation, background Principal operations and Inspection of the process. Activities of men, material or equipment Movement of (two) hands or limbs of the operator. Simultaneous/inter-related activities of operators and/or machines, on a common time scale. DiagramsThey Record Flow DiagramPath of men, materials and equipment on a scaled model. String DiagramSame as above except for the variation that It uses string to trace the path. Two and three Dimensional Models and templates Planning of layout of work place or plant.

18. Photographic AidsThey Record Cyclograph and chrono cycle graphs High speed, short cycle movements. Simultaneous Motion Cycle Chart (SIMO) Movement of parts of the body of the operator expressed In terms of therbUgs on a common time scale. Recording Techniques

22. WORK MEASUREMENT Work measurement also known as time study, refers to techniques employed for timing an operator or activity The purpose for determining the standard time to perform a given task, under given set of conditions It is obviously a waste of time to measure the work content of a job until one is certain that the method is satisfactory Work measurement follows from method study work mea­surement Is still considered by progressive firms as Indispensable In the fields of costing, planning and loading.

23. WORK MEASUREMENT Work measurement can be defined as the application of technique designed to establish proper time for a qualified worker to carry out a specified job by a prescribed method at a defined level of performance The defined level of performance is that optimum rate of output that can be achieved by a qualified worker on an average for a working day or shift, after making due allowance for the necessary time required for rest.

24. Unit of work A unit of work consists partly of work and partly of relaxation, the proportion of relaxation to work varying with the nature of the job. In current practice

25. . Objective The main objective of work measurement is to obtain the standard against which the per­formance of an operator may be measured for the purpose of: a) Correct loading of labour b) Correct loading of plant and machinery c) Maintenance of sound Incentive schemes d) Initial costing of the product and subsequent control of these costs e) Assisting the future planning of the department f) Assisting method study In the choice of better and quicker methods

26. Performance Rating All operators do not work at the same pace. Rating the speed of an operator is a matter of judgement on the part of the time study analyst and is one of the areas in time study The Westinghouse System, the rating takes into account four factors namely skill, effort, working condition and consistency The most widely used system of rating is the overall 100% rating scale

27. Allowances A human being is not a machine In order to deter­mine a fair and just time standard, some allowances must be made Allowances may fall into one of the following categories: a) Relaxation allowances ( 10-12%) b) Contingency allowances for work or delays ( 5%) c) Unoccupied time allowances d) Interference allowances e) Company policy allowances. Minimum relaxation- allowance for man and woman should be 10% and 12% respectively

28. Contingency Allowance It is a small allowance of time which may be Included in a standard time to meet the legitimate & expected items of work or delays Unoccupied time allowance Unoccupied time is the period during machine controlled time when a worker is neither engaged on inside work nor taking authorized rest. Interference allowance An operator attends to more machines at a time and the Interference allowance Allowances

29. End of chapter IV

30. Chapter V: Introduction to Production Planning and control

31. What is PPC ? The highest efficiency in production is obtained by manufacturing the required quantity of product, of the required quality, at the required time, by the best and cheapest method To obtain the above target, management employs PPC – tool to coordinate all manufacturing activities

32. Planning Planning begins with an analysis of the forecast and confirmed orders A scheme for utilization the firm’s resources can be outlined so that the desirable targets may be most efficiently attained Production planning for new & established products are separately identified WIP & finished goods stocks need to be planned & taken into account Decision to manufacture to stock or order Production plan sets sub-targets for various depts in predetermined time periods

33. MRP- Manufacturing Resources Planning Also known as single stage planning The main factor in determining release times is the lead time to produce a product Lead time is the total time from when the product is released into the system to the time it is finished MRP is based on an assumption that the lead time of the product is a non random constant MRP models determine release times of the product

34. Aggregate production planning (APP) Also known as multistage planning Process of determining – Timing & qty of production – Inventory Level – No of workers employed – Amount of overtime used for up 12 months ahead

36. Operations are performed in accordance with the details set in the production plan. Control initiates and supervises operations with the aid of a control mechanism that feeds back information about the progress of the work Hence, production planning and control may be summarily defined as the direction and coordination of the firm's material and physical facilities toward the attainment of pre-specified production goals, in the most efficient available way.

38. PPC Classification Materials Raw materials, as well as standard finished parts and semi-finished products must be available when required The above point indicate that each production operation will start on time Duties include the specification of materials (both with respect to dimensions and quality), quantities and availability, delivery dates, standardiza­tion and reduction of variety, procurement and inspection This function also covers the procurement of semi- finished products from sub-contractor

39. Methods To analyze possible methods of manufacture and to try to define the best method compatible with a given set of circumstances and facilities It covers both the general study and selection of production processes for the manufacture of components or assemblies Determining the sequence of operations and the division of the product into assemblies and subassemblies PPC Classification

40. Machines and equipment Detailed study of equipment replacement policy Maintenance policy, procedure, and schedules are also functions connected with managerial responsibility for equipment Tools management Manpower Adequate workforce with necessary skills are required PPC Classification

41. Routing Each stage in production is broken down to define each operation in detail Routing prescribes the flow of work in the plant and is related to considerations of layout, of temporary storage locations for raw materials and components, and of materials handling systems. Routing is a fundamental production function on which all subsequent planning is based.. This is generally achieved by route-card or travel card etc., PPC Classification

42. Estimating Operation times can be worked out This function involves the extensive use of operation analysis in conjunction with methods and routing, as well as work measurement. PPC Classification

43. Loading & Scheduling Machines have to be loaded according to their capability of performing the given task and according to their capacity Machine loading is carried out in conjunction with routing for smooth work flow Scheduling determines utilization of equipment and manpower and hence the efficiency of plant Scheduling PPC Classification

44. Expediting Dispatching initiates the execution of production plans, whereas expediting maintains them. This function has to keep close liaison with scheduling Inspection The control of quality is often detached from the production planning and control department PPC Classification

45. Evaluating An essential link between control and future planning, is that of evaluating Feedback mechanism on a longer term basis Past experience can be evaluated with the view to improving utilization of methods and facilities Divorce part of it from production planning and control and to establish it as a separate department in its own right PPC Classification

46. Pre-Planning Analysis of data and outline of basic planning policy baaed on sales reports, market research, and product development and design This stage is concerned with problems of equipment buy and replacement, new processes and materials, layout, and work flow. Collecting data on the "4 M's," i.e., on materials, methods, machines, and manpower, mainly with respect to availability, scope, and capacity PPC Classification

47. Planning A thorough analysis of the "4 M's" is first undertaken to select the appropriate materials, methods, and facilities by means of which the work can be accomplished There are two aspects of planning: a short-term one, concerned with immediate production programs, and a long-term phase, where plans for the more distant future are considered and shaped PPC Classification

48. Control Control of inventories, control of scrap, analysis of work in process, and control of transportation are essential links of this stage This stage is affected by means of dispatching, inspection, and expediting. PPC Classification

49. Documents used in PPC Master production schedule Master process sheets Job cards/Routing/Dispatching cards Materials requisitions Man-power utilization cards Planned maintenance schedules Summary of rejections/reworks Suitable graphical/pictorial information sheet Production hold up/stork-out information sheet Anticipated production hold-up data sheet

50. End of chapter V