Operation MGT - Productivity, Job design & Benchmarking

Page 1

The process of determining how a production system is efficient and effective when producing.


Partial Productivity Measure Multifactor Productivity Measure Total Productivity Measure


Output Labour  energy Labor Productivity

Output Labor

Machine Productivity

Output Machine

Capital Productivity

Output Capital

Energy Productivity

Output Energy / hour

Output Material  Capital  labor

Total Tangible Output Total Input


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How to improve?

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How to improve?


Benchmarking The process of comparison (quality, time and cost) of performance (better, faster, and cheaper) within or another industry. Example: Kodak & Canon, AT&T & HP


Brief Process of Benchmarking


It could be done also……..

Example 2


Internal

Process of comparing an operation with similar ones within the broad range industry.

Functional

Process of comparing operation within org. or company. Most easy, time saving method.

Competitive

Types of Benchmarking

Process of comparing an operation with direct competitors. Complex, legal complexity, takes more time.

Generic

Process of comparing operation from unrelated industries.


ple m Exa

With Other company

With National Iranian Oil Company (NIOC) or Saudi Arabian Oil Co. (Saudi Aramco)

Within an ADNOC. Such as ADCO & ZADCO or NDC & ESNAAD

ADNOC’s - ADGAS (Oil & Gas Processing ) & ELIXIER (Chemical & Petroleum Processing )


Other Types of Benchmarking -

Strategic benchmarking Performance benchmarking Financial benchmarking Energy benchmarking Operational benchmarking


Job Design Job design is a process of specifying the Content, Method and Structure of Jobs. Some objectives are: [1] Quality [2] Speed [3] Dependability [4] Flexibility [5] Cost [6] Health and Safety [7] Quality of working life


Elements of Job design -

Location Lighting Ventilation Safety Space Noise Vibration Temperature and humidity

Environment Analysis

Task Analysis

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Description Function Frequency Equipment, control, performance requirement - Possibility of errors - Task duration

- Skill - Performance, capability, physical requirement - Mental stress - Motivation & evolution

Worker Analysis


Behavioral approaches Job Enlargement: include more or different tasks. add interest to job Job Rotation: Job rotation moves employees from one task to another. Job Enrichment: allows employees to assume more responsibility, accountability, and independence. Work Design (Job Engineering): allows employees to see work methods, layout and procedure links. Participation: involving workers to decision-making. Redesigning Job: Changing the nature of work, description, responsibilities etc. Others are Choice of location, Work hour and team etc. Those are also called Common approaches.


Job design Decision/ Factors in job design


Hackman & Oldham’s Job Characteristics Model


Work measurement It is a technique to determine how long a qualified worker take to do a given job. Work measurement is used to set standards and wage rates. Work measurement follows simple three-stage procedure: analysis, data collection & measurement, and synthesis. A work measurement system has three components: preferred methods, time values, and reporting.


Work Standards Time Study work of Frederick Winslow Taylor. Time study is a direct and continuous observation of a task, using a timekeeping device (e.g., decimal minute stopwatch, computer-assisted electronic stopwatch, and videotape camera) to record the time taken to accomplish a task and it is often used when: - there are repetitive work cycles of short to long duration, - wide variety of dissimilar work is performed Motion Study work of Frank and Lillian Gilbreth. Motion study is the study of the individual human motions used in a job. The purpose of a motion study is to remove any unnecessary motions. Other methods are work sampling & standard data system.

Examples of common applications of work standards are: -Scheduling -Staffing (or workforce planning) -Line balancing (or production leveling) -Materials requirement planning (MRP) -System simulation -Wage payment - Cost accounting -Employee evaluation


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