Month: February 2020

1. Suitability for Job Conditions

The Equipment must meet the requirement of the work, climate and working conditions.

2. Size of Equipment

Size of equipment should be such that it must be able to be used with other matching units.

If the equipment selected is of larger size, that will remain idle for most of the time or shall work on part loads, which means production cost will be more.

On other hand, if equipment is of smaller size than desired, the equipment will not be able to work with the matching equipments and hence other equipments will have to remain idle or to be allowed to work on part loads, which shall again be uneconomic.

3. Past Performance

If the equipment being purchased is of new make and models, it is desirable to enquire about its performance from other users, who are using this make and models.

4. Operating Requirements

The equipments selected should be easy to operate and maintain, acceptable to the operator and should have lesser fuel consumption.

5. Reliability of Equipment

Equipment selected for the project must be reliable one.

6. Economical Aspects

While selecting the equipment, it should be considered that cost of unit production should be minimum.

7. Service Support

Service Support should be available in the area of project where the equipment shall be used. Service after sales are major criteria for selection of equipment.

8. Use in Future Projects

When equipment completes only a part of their useful life in a project, it should be kept in view that the equipment can be used in future project and may not become obsolete.

9. Availability of Know-How

The equipment selected should be satisfactorily handled by available operators. Sophisticated equipment may give excellent performance but it may be difficult to handle and maintain.

10. Multipurpose Equipment (Versatility)

There are certain types of equipments which are not utilized fully. Therefore if possible, they must be capable of performing more than one function for example, excavator with wheel loader bucket arrangement or with rock breaker attachments.

11. Standardization

It is better to have same type and size of equipment in project. It means lesser spare parts reserve more interchangeability of parts if required, easy for the operators to understand it , mechanics will be aside to maintain and repair better as they become expert by handling similar type of equipment.

12. Availability of Spare Parts

While selecting a particular type or make of equipments, it should be ensured that the spare parts will be available at reasonable price throughout the working life of equipment. It should also be ensured that the downtime of the equipment for want for spare parts may not be more.

13. Availability of Equipment

The Equipment which is easily available in the market should be purchased. It should also be ensured that the equipment is of repute and is likely to be continued to be manufactured in future also. This is necessary for future standardization and ensuring spare parts supply. It is easy to dispose off such equipments after completion of project.

Material handling equipment (MHE) is equipment used to move, store or control material inside facilities. These facilities can include the manufacturing plants where the material is created or the disposal sites where it ends up. Large material handling equipment includes cranes, trucks and lifts. Smaller equipment includes things such as storage bins, dollies and even cartons. The purpose of material handling equipment is to quickly, safely and more easily move material when compared with doing it manually.

Material handling equipment is the machinery used for the transportation, storage and control of goods. The mechanical equipment used makes what would be a difficult job for someone, one that can be completed with ease.  Material handling equipment doesn’t just allow you to complete jobs faster, it also allows you to complete jobs without the risk of injuring yourself.

Transportation

Transportation refers to any type of material handling equipment that moves material from one spot to another. This can be from one facility to another, from one end of the facility to the other or simply from a docking platform to a storage area. Industrial trucks, haulers, cranes, conveyer belts and lifts are types of transportation equipment. Cranes are used to move material but are restricted to certain zones. Trucks can move material anywhere, and conveyor belts move material along a single path.

Positioning

Positioning equipment is used to make sure material is passed off safely. This can mean pivoting, turning or stacking the material. The equipment that handles positioned material can be transportation or storage equipment. Positioning equipment is mainly used to cut down on worker fatigue, ensure safer handling if the equipment is awkward to move manually, and move equipment that is too dangerous for human hands.

Unit Loads

Unit loads are equipment that stabilizes or holds equipment to avoid movement during transportation or storage. Pallets, skids, bags, cartons, load containers, crates, straps, wrapping, bins, baskets and racks are many of the different kinds of loading equipment. This equipment also allows more than one item of the same material to be held by one unit load. For example, an egg carton can carry a dozen eggs at once.

Storage

Storage allows material to sit in a facility, site or container for a long time until it is needed. Racks, bins, frames and shelves are common examples. However, there are many types of racks, including pallet racks, push-back racks, sliding racks and cantilever racks. The purpose of storage is to allow production to continue without having to stop because of an excess of the product being produced. Storage is also useful for keeping surpluses in case of a sudden demand or shortage elsewhere.

Control

In large manufacturing, storage, and disposal facilities, having a way to keep track of all of the material is important. Although it can be done manually on a smaller scale, large facilities rely on control and identification equipment. Items such as bar codes, radio frequency tags and magnetic strips make up a majority of control equipment.

Each of our types of material lifting equipment has its own height and weight limit. Be sure to read the product descriptions carefully before buying or hiring any material handling goods to make sure it fits your requirements.

“Work study is a generic term for those techniques, particularly method study and work measurement, which are used in all its context and which lead systematically to the investigation of all the factors, which effect the efficiency and economy of the situation being reviewed in order to effect improvement.”

The main objective of work study is to improve productivity of men, machines and materials. The aim of work study is to determine the best method of performing each operation and to eliminate wastage so that production increases with less fatigue. The work study is also used in determining the standard time that a qualified worker should take to perform the operation when working at a normal place.

Work study is a technique which deals with the following problems:

(a) As to how should a job be done, and

(b) How much time a job should take for completion.

Answer for the first question is found by Motion Study or Method Study or Work Simplification. Answer for the second question is found by the Time Study or Work Measurement.

Importance of Work Study

1. To standardize the method of doing a work,
2. To minimize the unit cost of production,
3. To determine the standard time for doing a task,
4. To minimize the material movement, and operators movement,
5. To eliminate unnecessary human movements,
6. To utilize facilities such as man, machine and materials most effectively, and
7. To systematic investigation of all factors.

Objectives of Work Study

The following are the objectives of work study:

1. Increased efficiency,
2. Better product quality,
3. To choose the fastest method to do a job,
4. To improve the working process,
5. Less fatigue to operators and workers,
6. Effective labour control,
7. Effective utilization of resources,
8. To decide equipment requirements,
9. To pay fair wages,
10. To aid in calculating exact delivery,
11. To formulate realistic labour budgeting, and
12. To decide the required manpower to do a job.

Advantages of Work Study

The advantages of work study are the following:

1. Work study ensures higher productivity,
2. Better working conditions with less fatigue,
3. Higher wages to workers,
4. Uniform production flow,
5. Job satisfaction and job security to workers,
6. Reduction in unit cost of production,
7. Quality products to consumers,
8. Fast delivery schedule,
9. Harmonious employer-employee relation, and
10. Better service to customers.

Method study is the process of subjecting work to systematic, critical scrutiny to make it more effective and/or more efficient. It is one of the keys to achieving productivity improvement.

It was originally designed for the analysis and improvement of repetitive manual work but it can be used for all types of activity at all levels of an organization.

The process is often seen as a linear, described by its main steps of:

• Select (the work to be studied);
• Record (all relevant information about that work);
• Examine (the recorded information);
• Develop (an improved way of doing things);
• Install (the new method as standard practice);
• Maintain (the new standard proactive).

Although this linear representation shows the underlying simplicity of method study, in practice the process is much more one of repeated passes through the sequence of steps with each dominating at a different stage of the investigation.

The cyclic process often starts with a quick, rough pass in which preliminary data are collected and examined before subsequent passes provide and handle more comprehensive and more detailed data to obtain and analyse a more complete picture.

1. Selection of Work/Job to be Studied

This is one of the most important tasks to select appropriate job, activity or situation for method analysis and mainly it is a managerial responsibility. Method study and its implementation will cost money.

Practically any activity is a potential project for improvement but only those jobs should be selected when there are some valid reasons for method study (like job/activity is unpopular or considered dirty by workers). Maximum cost benefit is the normal objective.

2. Collection and Recording of Necessary Information

Obtain the facts about the present method of doing the job and record them. In order to improve an activity or procedure the factual information is collected from the place where the job under study is being executed by direct visual observation.

This can be done by:

(i) Recording movement of machines or materials.

(ii) Recording the critical procedure in the job.

(iii) Recording the operator’s performance.

(iv) Recording the path of movement of workers w.r.t. machines and allied operations

(v) Recording the path of movement to improve workplace layout.

(vi) Recording the scrap generated

There are many standardized techniques (i.e. charts, diagrams, graphs etc.) available which may be used for proper recording and presentation for further analysis. The choice of technique depends on the type of information which is to be recorded.

This is an important step since the improvement m existing method or development of new method depends on how exactly the facts about the existing method have been recorded.

3. Critical Examination of the Existing Method

Now examine the facts critically. This is a key step in the whole study. The information available in the form of chart and graphs after step II can now be thoroughly studied and analysed m order to detect the production stages where improvement in the method is possible. This is achieved by questioning the different activities of the process in a systematic logical and objective manner.

4. Develop the New Improved Method

The analysis of existing work method can provide a starting point for a synthesis of suggested improvements in job performance. The technique specially designed for improving work method is called the process improvement formula.

The four steps of the formula are:

(i) Eliminate the unnecessary activities

(ii) Combine two or more activities

(iii) Sequence the various activities properly

(iv) Simplify the activities

Complete elimination of unwanted activities is the most important step in developing an improved method. If elimination is not possible then possibility of combining the different activities should be explored. The next strategy in development stage is to identify scope of changes in the sequence of operations or activities.

The last and most important plus expensive step in process of method development is the simplification of activities in order to allow the operator/worker to complete the job more quickly and easily by reducing the number of operations, reducing or eliminating the delays and storage etc.

Finally after selecting the work method to be adopted, certain amount of experimentation will be required to locate and eliminate snags if any.

Specify the improved method. It is essential that the selected method be described fully and in a systematic manner.

Specifications of the selected method accomplish several purposes like:

(i) Communication of the method to the management for its approval

(ii) Communication to those concerned with its implementation like instructions to workers and so far as the machines and layout are concerned

(iii) Provision of an official record of the method

The new method should possess the following aspects:

(a) Full use of worker’s body

(b) Arrangements of workplace

(c) Design of tools and Equipment

The acceptance of new method will mainly depend upon the cost benefit, trade unions approach, working hours and security requirements etc.

5. Install the Improved Method

This involves training of those who are going to utilize the new method. Cooperation from both supervisory staff and operators is essential to the successful installation of any proposed and selected method. So the installation of the new method should then be entrusted to some responsible person.

The method implemented can be further improved by way of continuous observations and discussions. The trial runs may be carried out during which minor modifications may be made to facilitate working.

Any method selected is ultimately to be utilized by the employees in an environment created by the management. So employees and management should be subjected to intensive analysis so that the proposed method is operated in the best possible manner.

Installation phase of the method study is complete as soon as the newly installed method starts working smoothly and satisfactorily and provides encouraging result (such as time saving and scrap reduction etc.).

6. Maintain the Improved Method

Even after the workers have been trained and requisite changes in machines and layout have been incorporated, there is no guarantee that the method will be used the way it was designed.

The proper functioning of the installed method is ensured by periodic checks and verifications. The purpose of checks and reverse is to determine if the method being adopted and practised is the same or it has some deviation from the selected one.

Reasons for deviation if any should be explored and the required changes may be incorporated in the procedure being practised so as to revert back to the authorized or selected one.

Views of persons concerned (like operators and supervisors) with the installed method can be of much help in exploring further improvements in the system. Therefore the method should be reviewed at intervals to provide allowances for any changes.

Work measurement (WM)

Work measurement is the application of techniques designed to establish the time for a qualified worker to carry out specified jobs at a defined level of performance.

Work measurement (WM) is concerned with investigating, reducing and eliminating ineffective time, whatever may be the cause.

WM is the means of measuring the time taken in the performance of an operation or series of operations in such a way that the ineffective time is shown up and can be separated out.

Work measurement is also called by the name ‘time study’. Work measurement is absolutely essential for both the planning and control of operations. Without measurement data, we cannot determine the capacity of facilities or it is not possible to quote delivery dates or costs. We are not in a position to determine the rate of production and also labor utilization and efficiency.

It may not be possible to introduce incentive schemes and standard costs for budget control.

Objectives of Work Measurement

The use of work measurement as a basis for incentives is only a small part of its total application.

The objectives of work measurement are to provide a sound basis for:

(i) Comparing alternative methods

(ii) Assessing the correct initial manning (manpower requirement planning).

(iii) Planning and control

(iv) Realistic costing

(v) Financial incentive schemes

(vi) Delivery date of goods

(vii) Cost reduction and cost control

(viii) Identifying substandard workers

(ix) Training new employees

Techniques of Work Measurement

Time study and work sampling involve direct observation and the remaining are data based and analytical in nature.

1. Time study

A work measurement technique for recording the times and rates of working for the elements of a specified job carried out under specified conditions and for analyzing the data so as to determine the time necessary for carrying out the job at the defined level of performance. In other words measuring the time through stop watch is called time study.

2. Synthetic data

A work measurement technique for building up the time for a job or pans of the job at a defined level of performance by totalling element times obtained previously from time studies on other jobs containing the elements concerned or from synthetic data.

3. Work sampling

A technique in which a large number of observations are made over a period of time of one or group of machines, processes or workers. Each observation records what is happening at that instant and the percentage of observations recorded for a particular activity, or delay, is a measure of the percentage of time during which that activities delay occurs.

4. Predetermined motion time study (PMTS)

A work measurement technique whereby times established for basic human motions (classified according to the nature of the motion and conditions under which it is made) are used to build up the time for a job at the defined level of performance. The most commonly used PMTS is known as Methods Time Measurement (MTM).

5. Analytical estimating

A work measurement technique, being a development of estimating, whereby the time required to carry out elements of a job at a defined level of performance is estimated partly from knowledge and practical experience of the elements concerned and partly from synthetic data.

Steps Involved in Work Measurement

(i) Divide jobs into elements

(ii) Observe and record each element, any of the work measurement techniques.

(iii) Set up unit time values, by extending observed time into normal time for each unit. This can be done by applying rating factor.

(iv) Evaluate relaxation allowance and add the same to the normal time, for each element to get the work content.

(v) Ascertain the frequency of occurrence of each element in the job, then multiply the work content to it. After that total the times to reach the work content of the job.

(vi) Add contingency allowance, wherever required, to get the standard time for performing the job.

Work measurement is helpful in evaluating the labour cost. Further, gives information with respect to the estimation of tenders, assessment of delivery schedule and fixation of the selling price.

The existence of an effective and efficient system of production, planning and control is a must for a large sized industrial organization. However, the system for production planning and control should be developed and designed after a thoughtful consideration of some related factors as they are influencing the Design of Planning and Control System. They are discussed below:

(i) Cost

One major factor that affects product design is the cost of production including material costs and labor costs. These in turn affect the pricing strategy, which needs to be in line with what the customer is prepared to pay for it.

(ii) Ergonomics

The product needs to be user friendly and afford convenience in its function. Using ergonomic measurements, minor or major changes may need to be made to product design to meet essential requirements.

(iii) Materials

Whether the requisite materials are available easily is an important consideration in product design. In addition, an eye needs to be kept on new developments in materials and technology.

(iv) Customer Requirements

One major and obvious influence on the design on the product is the customer and their requirements. It is vital to capture customer feedback on any prototype as well as during the planning and conceptual stages. Even a technologically advanced and exciting feature may need to be removed if it causes dislike or negative feelings in an end user.

(v) Company Identity

The company’s identity is a point of pride and as a matter of course, a product’s very design or color schemes and features may be determined by this identity. The logo may need to be featured in a specific manner or subtle or overt features of the company identity may need to be built into the design.

(vi) Aesthetics

The product may need to appear stylish or of a certain shape. This form may end up determining the technology that it built into the product. This may in turn also affect the manufacturing process that needs to be followed.

(vii) Fashion

The current fashion and trends may also affect a certain product’s design. Customers will want the most updated options and this needs to be considered during product design.

(viii) Culture

If a product is for a certain market with its own individual culture, this needs to be kept in mind during product design. A product acceptable in one culture may end up being offensive or not desirable in another one.

(ix) Functions

How many problems is the product trying to solve? The number of uses and functions a product has will impact its design.

(x) Environment

Another consideration to product design is its impact on the environment. The average customer these days may be more discerning and concerned about the environment than before. Things to consider here may include whether the materials used are recyclable, how the product will be disposed of at the end of its life or how the packaging can be disposed of.

In the end, it may be observed that a balanced production planning would tend to increase the operating efficiency by stabilizing productive activities, facilitate selling and customer service and help in reducing the production costs. It would promote fuller use of plant, equipment and labor by controlling all time and efforts needful in manufacturing

The production control is the function of management which plans, directs and controls the material supply and processing activities of an enterprise so that specified products are produced by specified methods to meet an approved sales programme. It ensures that activities are carried out in such a way that the available labour and capital are used in the best possible way.

Objectives of Production Control

(a) Issuing the necessary orders to the proper personnel through the prescribed channels for effecting the plan.

(b) To ensure availability of the means of carrying out the orders; the materials, machines, tools, equipment and manpower in the required quality at the required time.

(c) To ensure carrying out of the orders by the personnel so that goods are produced in the required quantities of the specified quality at the pre-determined time. Thus, the underlying principle of production control is that the highest efficiency in production is obtained by producing the required in time and in the best and cheapest method possible.

Benefits of Production Control

A good production control system means more production on the same investment without unduly speeding up workers. The advantages of production planning and control are given below:

1. Better service to customers

Promised delivery dates are kept, production flows as per scheduled time. This injects confidence in the traveling salesmen of the firm to set delivery date. Timely delivery and customers’ confidence, improve customer-relations and sales.

2. Less overtime work

As production takes place as per schedule, there will be few rush orders. Therefore, there will be less overtime work in the organization, compared to other firms in the same industry.

3. Need of smaller inventories of work-in-process and of finished goods

Enterprise working under an effective production planning and control system require lower inventories of material, parts, components, etc., for work-in-process and less of finished goods in stocks. This results in less investment in inventory. Funds thus freed may be put to other more income-earning uses. Also, orders of customers can be supplied in full. This would bring the benefits of economy in transport costs too.

4. More Effective Purchasing

As better materials management lead to effective inventory control, purchasing is more scientific, economical and timely.

5. More effective use of equipment

Management is constantly kept informed on the current position of all work-in-process and on equipment and personnel requirements for the next few weeks ahead. Therefore, workers can be informed in advance of possible lay-offs, transfers etc. Also belated purchase of equipment and materials can be avoided and idleness of men and machine eliminated.

6. Less loss of time

• Because of phased flow of material, workers need not wait for the material for long. Hence, there will be less of workmen hours.
• The time of management staff is conserved in two ways.

First, their personal attention is drawn only when there is any serious flaw in the working of the system. Secondly, they need not spend much time on research and analysis of data, etc., required for long-range planning as they can proceed to prepare such plans for expansion on the basis of the data made available by the production planning and control system.

7. Savings in the cost

A properly designed and introduced system of production planning and control results in major cost-savings.

8. Less work-stoppages

Work-stoppages are avoided or minimized in terms of time-duration. Therefore, delay occurring in the dispatch of goods to customers is very rare.

Functions involved in Production Control

Following factors are involved in the practice of production control:

1. Control Activities

This is done by releasing manufacturing orders through dispatching. Thus, plans are set in motion at the assigned time.

2. Control of Material Movement

The time at which material is received from the supplier, and issued to the plant is observed and a close watch is kept on its movement from one plant to another to ensure that this movement is in accordance with the production cost.

3. Availability of Tools is Controlled

Steps are to be taken to ensure that tools specified in the production plan are available as and when required.

4. Quantity Produced is Controlled

Work-in-process at pre-determined stages of production is observed to determine that right quantity of specified quality work is processed.

5. Control of Replacement

Quantity of raw material and work-in-process which fails to pass each stage of inspection is observed. Provision is made to issue replacement orders for each material for work.

6. Labour Efficiency and Control

Time taken on each unit of work-in-process is observed and recorded. Comparison of time taken is made with the time allowed in scheduling.

Requirements of Production Control System

A good and effective production-control system requires sound organizational structure, reliable information, a relatively high degree of standardization and trained personnel for its success. Factors that are needed to make production control successful are summarized below:

1. Information about Requirements and Productive Capacities

• Complete knowledge of the products to be produced.
• Detailed information about the number and types of each machine and processing unit together with the complete tabulated data on power, speed, and feeds of all machines.
• Detailed information about the time and sequence of operations for each part of the final product and for the finished product as a whole.
• Accurate up-to-date information regarding total material requirements, materials in stores, quantities to be purchased, time required to get them.
• Knowledge on the availability of special tools such as jigs and fixtures needed for each part.
• Information about the labor-force in the plant and their productive capacities.
• Information on time taken and costs incurred on previous performance.
• Records of best performance on similar work with best combinations of tools, feeds and speed;
• Precise knowledge of the progress of the work-in-process.

2. The following should Conform to Scientifically Determined Standards

• Fabricated and purchased materials
• Tools and equipment, to the extent possible
• Operations on all parts as per design and procedure only
• Production standards for labor force
• Provision for adequate inspection to make sure that quality is maintained.
• Reports on production performance in comparison with the scheduled production.

3. The Best Organization Structure Set up

First, support from the top management with recognition of the need for production planning followed by delegation of their authority with fixed responsibility. Secondly, full understanding on the part of the supervisory staff that the determination of their work-schedule from the central planning room is just an extension of the principles and in no way amounts to erosion of the prestige and power.

4. Availability of Suitable Personnel

• Personnel should understand the scheduled operations.
• They should be fully trained to fit into the requirements of the particular system adopted.
• They should be properly remunerated to enlist their interest.

When managing your inventory processes, there are a variety of factors which you need to consider. Both external and internal factors can affect inventory management in different ways, and it is important to be aware of these variables. Let’s look at the main factors that can affect inventory processes.

Financial Factors

Factors such as the cost of borrowing money to stock enough inventory can greatly influence inventory management. In this case, your finances may fluctuate according to the economy, and it is wise to keep an eye on changing interest rates to help plan your spending.

The tax costs associated with stocking inventory is another factor that can influence inventory management. This is especially salient when preparing for the end of year tax returns.

Other financial factors include the expenses associated with warehouse operations and transportation costs changes in these factors may require you to alter your inventory management processes accordingly. Fluctuations in the cost of fuel, for example, may require you to rethink your transportation methods to reduce costs. You may choose to purchase your own trucks or use outside contractors for transportation, which again will change the way you manage inventory.

Suppliers

Suppliers can have a huge influence on inventory control. Successful businesses require reliable suppliers in order to plan spending and arrange production. An unreliable or unpredictable supplier can have huge knock-on effects for inventory control. It can be a good idea to ensure you have a reliable back up supplier to prevent product shortages or delays in the manufacturing process.

Lead Time

Lead time is the time it takes from the moment an item is ordered to the moment it arrives. Lead time will vary widely depending on the product type and the various manufacturing processes involved, and therefore changes in these factors can require changes to inventory management.

Outsourcing manufacturing processes to other countries due to lower production costs may result in longer waiting times. Producing the same goods locally may cost more but take less time, and therefore you may need to adjust your stock levels accordingly.

Product Type

Inventory management must take into consideration the different types of products in stock. For example, some products may be perishable and therefore have a shorter shelf life than others. In this case inventory must be managed to ensure that these items are rotated in line with expiration dates.

Management

Ultimately, responsibility for managing your business’ inventory sits with you and any co-owners. While you may have multiple employees acting as managers to oversee inventory processes, they typically will not have the same stake in the business as you do.

External Factors

There are multiple external factors that may affect inventory control. For example, economic downturns may occur and this is something that you will generally have very little control over. Assessing the economy is a must in order to guard against stock outs or a buildup of excess inventory.

Other factors may include the real estate markets or the extent of local competition. These factors are also largely out of your control, so it is a good idea to assess the external climate regularly in order to stay prepared.