Production and Simple Production Cycle

1. Planning: Determining what needs to be produced, how much, and when. This
involves forecasting demand and setting production schedules.
2. Procurement: Acquiring the raw materials and resources needed for production.
3. Manufacturing: The actual process of converting raw materials into finished
products.
4. Quality Control: Ensuring that the products meet the required standards and
specifications.
Distribution: Delivering the finished products to the end-users or retailers
Production and Simple Production Cycle
 Supply Chain

•Components of the Supply Chain

1. Suppliers: Provide the raw materials or components needed for production.
2. Manufacturers: Transform raw materials into finished products.
3. Warehouses: Store products before they are distributed.
4. Distributors: Handle the transportation of products to retailers or customers.
5. Retailers: Sell the products to end consumers.
6. Customers: The end-users of the product.
Supply Chain Management (SCM)
 Types of Flows in the Supply Chain

1. Product Flow: Movement of goods from suppliers to manufacturers to customers.

2. Information Flow: Sharing of data and information between entities to coordinate activities and
decision-making.
3. Financial Flow: Movement of money between entities, including payments and financing.
4. Return Flow: Process for handling returned goods or recycling materials.
•
• Evolution from Physical Distribution to Logistics to Supply Chain Management (SCM)
• Physical Distribution: Initially focused on the logistics of moving products from manufacturers
to customers. It primarily dealt with transportation, warehousing, and inventory management.
• Logistics: Expanded on physical distribution by incorporating a broader range of activities
 Evolution from Physical Distribution
to
Logistics to Supply Chain Management (SCM)
• Supply Chain Management (SCM)
• Represents the most advanced and integrated approach, encompassing not just logistics
but the entire end-to-end process
• Definition of Operations Management
• Operations Management (OM) is the field of management that focuses on overseeing,
designing, and controlling the production process and redesigning business operations
in the production of goods or services

• Scope and Functions of Operations Management

1. Product Design: Involves developing new products or improving existing ones to
meet customer needs and preferences.
2. Process Design: Concerned with designing the process for producing goods or
services, including layout planning, technology, and workflow.
 Scope of Operations Management

1. Production Planning: Involves scheduling and planning the production process, including
managing inventory levels and production timing.
2. Quality Management: Ensures that products or services meet quality standards and customer
expectations through quality control and assurance practices.
3. Supply Chain Management: Manages the flow of materials, information, and finances across
the supply chain, from suppliers to customers.
4. Facility Management: Includes the design, layout, and management of facilities used in
production and service delivery.
5. Capacity Planning: Determines the production capacity needed to meet changing demands for
products or services.
6. Workforce Management: Involves managing human resources, including hiring, training, and
scheduling employees.
 Functions of Operations Management

1. Planning: Setting goals and determining the best way to achieve them through
resource allocation, scheduling, and budgeting.
2. Organizing: Arranging resources and tasks in a structured manner to ensure
efficient operations.
3. Leading: Directing and motivating employees to achieve operational goals and
ensuring effective communication.
4. Controlling: Monitoring performance against goals, identifying deviations, and
taking corrective actions to ensure that objectives are met.
 Definitions of Quality

•Quality is a measure of how well a product or service meets or exceeds customer

expectations and requirements. It can be defined in several ways:
1. General Definition: Quality is the degree to which a set of inherent
characteristics fulfills requirements.
2. Customer Perspective: Quality is often defined by the customer as the ability of
a product or service to meet their needs and expectations.
3. Manufacturer Perspective: Quality can also be defined as the conformance to
standards and specifications established by the manufacturer or industry.
 Dimensions of Quality

•Dimensions of Quality refer to the specific attributes or characteristics that

contribute to the overall quality of a product or service. Key dimensions include:
1. Performance: How well the product or service performs its intended function.
2. Features: Additional attributes or functionalities that enhance the product or
service.
3. Reliability: The consistency and dependability of the product or service over
time.
• Durability: The product's ability to withstand wear, pressure, or damage
 Dimensions of Quality
1. Conformance: The degree to which the product or service meets established
standards and specifications.
2. Serviceability: The ease and speed with which the product can be repaired or
maintained.
3. Aesthetics: The sensory attributes of the product, including design, style, and
appearance.
4. Perceived Quality: The customer’s perception of the product or service’s overall
quality, which may be influenced by branding, reputation, and other factors.
 Customer’s View and Manufacturer’s View

•Customer’s View:
 Focus: Quality is primarily seen through the lens of how well the product or service
satisfies the customer’s needs and expectations.
 Criteria: Based on performance, features, reliability, and overall satisfaction.
 Expectations: Quality is judged by the perceived value, usability, and experience.
•Manufacturer’s View:
 Focus: Quality is often defined by adherence to internal standards and
specifications.
 Criteria: Emphasizes conformance to design and production standards, efficiency,
and cost control.
 Expectations: Quality is measured by consistency, defect rates, and compliance
 Concept of Internal Customer

•Internal Customer:
 Definition: An internal customer is a person or department within an
organization that relies on another part of the organization for inputs or services
to carry out their own work effectively.
 Example: In a manufacturing company, the assembly department is an internal
customer of the parts production department. The quality and timeliness of parts
provided affect the assembly department’s performance.
 Importance: Understanding and managing internal customer relationships are
crucial for ensuring smooth operations, improving overall efficiency, and
maintaining high standards of quality throughout the organization.
 Quality Gurus
1. W. Edwards Deming:
o Contributions: Developed the Plan-Do-Check-Act (PDCA) cycle and emphasized the importance of
statistical quality control and continuous improvement. His 14 Points for Management are
fundamental principles for quality management.
o Philosophy: Focused on the role of management in improving quality and fostering a culture of
continuous improvement.
2. Joseph M. Juran:
o Contributions: Introduced the concept of the Juran Trilogy, which includes quality planning, quality
control, and quality improvement. Emphasized the need for quality management to be integrated into
the overall business strategy.
o Philosophy: Advocated for the view that quality is a managerial responsibility and should be
embedded into all aspects of the organization.
3. Philip Crosby:
o Contributions: Introduced the concept of "Zero Defects" and the idea that quality is free if done
right the first time. Promoted the concept of "Quality is Conformance to Requirements."
o Philosophy: Emphasized the cost of poor quality and the importance of preventing defects rather
than correcting them.
 Quality Gurus
1. Kaoru Ishikawa:
o Contributions: Developed the Ishikawa (or Fishbone) diagram, a tool for identifying the root
causes of problems. Also advocated for the use of quality circles and total quality control.
o Philosophy: Focused on the importance of involving all employees in quality improvement
efforts and using statistical tools to analyze quality issues.
2. Genichi Taguchi:
o Contributions: Developed the Taguchi Methods for improving quality and reducing
variability. Introduced the concept of robust design and the Taguchi Loss Function, which
quantifies the economic loss associated with poor quality.
o Philosophy: Emphasized designing products and processes to be robust against variations,
thereby reducing the need for costly quality control measures.
 Reasons for Deciding Plant Location

1. Cost Efficiency: Lowering costs related to land, labor, utilities, and

transportation can enhance profitability.
2. Proximity to Markets: Being close to key markets can reduce transportation
costs, improve customer service, and provide quicker delivery times.
3. Access to Raw Materials: Proximity to suppliers and raw materials can reduce
transportation costs and lead times.
4. Labor Availability: Access to a skilled and available workforce is essential for
smooth operations.
5. Infrastructure: Adequate infrastructure, such as transportation networks,
utilities, and communication systems, supports efficient operations .
PLANT LOCATION
 Reasons for Deciding Plant Location

1. Regulatory Environment: Favorable local regulations, taxes, and incentives can

influence the decision.
2. Environmental Factors: Consideration of environmental impact, including
compliance with environmental regulations and sustainability goals.
3. Strategic Positioning: Strategic locations can offer advantages like reduced
competition or access to emerging markets.
4. Quality of Life: For employee attraction and retention, factors such as housing,
education, and healthcare services may be relevant.
 Factors Governing Plant Location
1. Economic Factors:
o Land Costs: Prices for purchasing or leasing land.
o Labor Costs: Wages, availability of skilled labor, and labor laws.
o Utility Costs: Costs of water, electricity, and other utilities.
2. Logistical Factors:
o Transportation: Access to major roads, ports, and airports for efficient transportation of raw
materials and finished goods.
o Supply Chain: Proximity to suppliers and distribution networks.
3. Market Factors:
o Customer Base: Proximity to key customers and market demand.
o Competitive Landscape: Presence of competitors and market saturation.
FACTORS-PLANT LOCATION
 Factors Governing Plant Location
1. Legal and Regulatory Factors:
o Taxes: Local, state, and federal tax implications.
o Regulations: Compliance with environmental, safety, and zoning regulations.
2. Social Factors:
o Community: Support from the local community and government.
o Quality of Life: Living conditions, amenities, and education opportunities for employees.
3. Environmental Factors:
o Climate: Effects on production processes and employee comfort.
o Environmental Impact: Compliance with environmental regulations and sustainability
considerations.
 Economic Survey of the Site Selection

1. Cost-Benefit Analysis: Evaluating the costs associated with different sites and
comparing them to the expected benefits, such as savings on transportation, utilities,
and taxes.
2. Return on Investment (ROI): Calculating the expected return on investment for each
potential site to determine which location offers the best financial return.
3. Financial Incentives: Investigating available financial incentives, such as tax breaks,
grants, or subsidies offered by local governments or development agencies.
4. Break-Even Analysis: Determining the point at which the investment in a particular
site will begin to generate profits, considering all relevant costs and revenues.
5. Operational Costs: Estimating ongoing operational costs, including wages, utilities,
and maintenance.
 Mathematical Problems in Site Selection
1. Location-Allocation Problems:
o Objective: Optimize the location of facilities to minimize costs or maximize service
coverage.
o Method: Use linear programming or integer programming to determine the optimal number
and location of facilities.
2. Transportation Problems:
o Objective: Minimize the cost of transporting goods from multiple suppliers to multiple
consumers.
o Method: Apply transportation algorithms like the Vogel's Approximation Method or the
Simplex Method.
3. Facility Layout Optimization:
o Objective: Design the layout of the facility to minimize travel time or material handling
costs.
 Mathematical Problems in Site Selection
o Method: Use optimization techniques such as integer programming or heuristic methods.
1. Cost-Benefit Analysis:
o Objective: Compare the total costs of different site options against the expected benefits.
o Method: Use financial modeling to estimate costs, revenues, and ROI for each site.
2. Break-Even Analysis:
o Objective: Determine the sales volume at which total revenues equal total costs.
3. Center of Gravity Method:
• Objective: Find the optimal location for a facility based on the weighted average of locations of
demand points
• These mathematical approaches help in making informed, data-driven decisions about plant
location and facility management.
 Mathematical problems on site selection
• Here are several types of mathematical problems typically encountered in site selection, along with
examples and methods for solving them:
•. Location-Allocation Problems
•Objective: Determine the optimal number and location of facilities to minimize costs or maximize
service coverage.
•Transportation Problems
•Objective: Minimize the cost of transporting goods from multiple suppliers to multiple consumers.
•Center of Gravity Method
•Objective: Determine the optimal location of a facility based on the weighted average of demand
points.
•Break-Even Analysis
•Objective: Determine the sales volume at which total revenues equal total costs.
Process Characteristics in Operations: Volume Variety & Flow.Continous
flow and Intermittent flow systems

•Linear Programming for Facility Location

• Objective: Optimize location decisions to minimize costs or maximize benefits subject to constraints
•Here’s a detailed overview of the key concepts: Volume, Variety, Flow, and the distinctions between Continuous
Flow and Intermittent Flow systems.
•Process Characteristics in Operations
•1. Volume
 Definition: Refers to the quantity of products or services produced over a given period.
 High Volume: Characterized by large quantities of identical products. This typically involves standardization
and automation to achieve economies of scale. Examples include automotive manufacturing and consumer
electronics.
 Low Volume: Involves producing smaller quantities, often customized to specific requirements. This can lead
to higher production costs per unit due to the need for more flexible processes. Examples include bespoke
furniture and custom machinery.
WORK FLOW
 Process Characteristics in Operations: Volume Variety &
Flow.Continous flow and Intermittent flow systems
•Variety
 Definition: Refers to the range of different products or services that a process
can handle.
 High Variety: Processes need to be flexible to accommodate different types and
designs of products. This often involves more complex setup and changeover
procedures. Examples include job shops and custom manufacturing.
 Low Variety: Processes are designed to handle a limited range of products or
services. This usually means greater standardization and efficiency. Examples
include assembly lines and continuous production processes.
 Process Characteristics in Operations: Volume Variety &
Flow.Continous flow and Intermittent flow systems

•Flow
 Definition: Refers to the manner in which materials, information, or
products move through the production process.
 Continuous Flow: Products move through the production process in
a steady, uninterrupted manner. This is typical in high-volume, low-
variety environments.
 Intermittent Flow: Products or services are produced in batches or
on-demand, leading to stops and starts in the flow of materials. This is
common in low-volume, high-variety environments.
CONTINUOUS FLOW
INTERMITENT FLOW
 Continuous Flow and Intermittent Flow Systems

•Continuous Flow Systems

 Characteristics:
o High Volume: Designed to produce large quantities of a single type of product.
o Low Variety: Focus on producing one type of product or a small range of similar
products.
o Uninterrupted Operation: The process operates continuously without
interruptions.
o Automation: Often highly automated to maintain efficiency and consistency.
o Examples: Oil refineries, chemical production plants, and certain food processing
operations.
 Continuous Flow and Intermittent Flow Systems

 Advantages:
o Efficiency: High throughput with consistent quality.
o Cost Efficiency: Economies of scale due to high volume production.
o Reduced Labor Costs: Automation reduces the need for manual labor.
 Disadvantages:
o Flexibility: Limited ability to change product types or accommodate new
products.
o High Initial Investment: Significant capital required for setup and
automation.
 Continuous Flow and Intermittent Flow Systems

•Intermittent Flow Systems

 Characteristics:
o Low Volume: Suitable for producing small quantities of diverse products.
o High Variety: Capable of handling a wide range of products or services.
o Batch Production: Products are produced in batches, with potential setups or changeovers
between batches.
• Manual or Semi-Automated: Often involves a mix of manual and automated processes
depending on the specific requirements
 Advantages:
o Flexibility: Ability to accommodate different product types and customization.
o Lower Initial Investment: Typically requires less investment in automation compared to
continuous systems.
NC Machines – Semi automated
 Continuous Flow and Intermittent Flow Systems

 Disadvantages:
o Efficiency: Lower overall efficiency due to frequent changeovers and setups.
o Higher Unit Costs: Often higher production costs per unit due to lower
volumes and less automation.
 Comparison of Continuous Flow and Intermittent
Flow Systems
Feature Continuous Flow Intermittent Flow

Volume High Low

Variety Low High

Flow Uninterrupted Batch or on-demand

Varies (manual to semi-
Automation High
automated)
Setup and Changeover Minimal (low frequency) Frequent (high frequency)
Lower due to setup and
Efficiency High due to economies of scale
changeover times
High (due to automation and
Initial Investment Lower (more manual processes)
infrastructure)
 Types of Processes, Project, Jobbing, Batching
•Project Process
•Definition: A project process is designed for managing complex, one-time operations that
produce unique products or services. Each project is typically distinct and has a specific set
of requirements, timelines, and objectives.
•Characteristics:
 Unique Output: Each project is unique, often tailored to specific customer
requirements.
 High Complexity: Projects involve numerous tasks, coordination among various teams,
and often complex planning and execution.
 Temporary Nature: Projects are temporary endeavors with a defined beginning and
end.
 Resource Requirements: Resources are allocated based on the needs of the project,
which may include specialized equipment, skills, and materials.
PROJECT MANAGEMENT
 Types of Processes, Project, Jobbing,
Batching
•Examples:
 Construction of a building or infrastructure.
 Development of a new product or technology.
 Implementation of a new IT system.
•Advantages:
 Customization: Tailored solutions to meet specific customer or project requirements.
 Flexibility: Ability to adapt to changing project needs and specifications.
•Disadvantages:
 Complexity: High level of coordination and management required.
 Uncertainty: Potential for unexpected challenges and changes.
 Types of Processes, Project, Jobbing,
Batching
•Jobbing Process
•Definition: A jobbing process is designed for low-volume, high-variety production
where products are made to specific customer orders. Each job is typically different
and requires unique setups and processes.
•Characteristics:
 Low Volume: Production is often on a small scale, with each job being different.
 High Variety: Each job may have different requirements, specifications, and
designs.
 Flexible: Capable of handling a wide range of products or services.
 Customization: Often involves customization based on individual customer
requirements.
 Types of Processes, Project, Jobbing, Batching
•Examples:
 Custom furniture manufacturing.
 Machine shops producing one-off parts or tools.
 Tailoring and bespoke clothing.
•Advantages:
 Customization: Ability to produce highly customized or unique products.
 Flexibility: Adaptable to different types of jobs and customer requirements.
•Disadvantages:
 Higher Costs: Generally higher production costs per unit due to frequent setup
changes and low volumes.
• Longer Lead Times: More time required for setup and production
JOBBING
 Types of Processes, Project, Jobbing, Batching

•Batch Process
•Definition: A batch process is used for producing a moderate volume of products, where items are
produced in groups or batches rather than continuously. Each batch may involve the same or different
products.
•Characteristics:
 Moderate Volume: Production involves producing products in batches, which allows for some
economies of scale.
 Variety: Can handle different products or variations within batches.
 Flexibility: Often involves flexible equipment and processes to handle different batch
requirements.
 Setup and Changeover: Batches may require setup and changeover time between different
production runs.
 Types of Processes, Project, Jobbing,
Batching
•Examples:
 Baking in a bakery, where batches of bread or cookies are made.
 Pharmaceutical manufacturing, where medicines are produced in batches.
 Clothing manufacturing, where different styles or sizes are produced in batches.
•Advantages:
 Efficient Production: Economies of scale are achieved within each batch.
 Flexibility: Capable of handling different products or variations between batches.
•Disadvantages:
 Setup Time: Time required for setting up and changing over between batches can affect overall
efficiency.
 Inventory: May require managing inventory of finished goods or in-process materials.
BATCHING
 Comparision of Processes
Disadvantage
Process Type Volume Variety Flexibility Examples Advantages
s
Construction,
Very Low IT system Customization Complexity,
Project High High
(One-time) implementati , Flexibility Uncertainty
on

Custom Higher Costs,

Customization
Jobbing Low High High furniture, Longer Lead
, Flexibility
Tailoring Times

Baking, Efficient Setup Time,

Batch Moderate Moderate Moderate Pharmaceutic Production, Inventory
al production Flexibility Management
Types of Processes - Mass & Flow & Continuous Process

•Here’s an overview of Mass Production, Flow Production, and Continuous Process:

•1. Mass Production
•Definition: Mass production involves manufacturing large quantities of standardized
products, typically using automated machinery and assembly lines. It is characterized by
high volume, low variety, and efficiency.
•Characteristics:
 High Volume: Produces large quantities of the same product.
 Low Variety: Products are standardized, with little to no customization.
 High Efficiency: Achieved through automation and streamlined processes.
 Repetitive Tasks: Workers and machines perform repetitive tasks, leading to
economies of scale.
Types of Processes - Mass & Flow & Continuous Process

•Examples:
 Automobile manufacturing (e.g., Ford’s assembly line).
 Electronics production (e.g., smartphones, televisions).
 Consumer goods (e.g., packaged foods, household items).
•Advantages:
 Cost Efficiency: Reduced cost per unit due to economies of scale.
 Consistency: High product uniformity and quality control.
 Speed: Fast production times due to streamlined processes and automation.
•Disadvantages:
 Lack of Flexibility: Difficult to adapt to changes in product design or customer preferences.
 High Initial Investment: Significant capital required for machinery and setup.
 Worker Monotony: Repetitive tasks can lead to low job satisfaction.
Types of Processes - Mass & Flow & Continuous Process

•Flow Production
•Definition: Flow production (also known as process production) involves the continuous movement
of materials through a series of production steps, often with minimal interruption. It is used in
environments where the production process can be standardized and the products flow continuously.
•Characteristics:
 Continuous Flow: Materials and products move seamlessly through the production process.
 Standardized Processes: Emphasis on consistency and efficiency in production.
 Automation: High level of automation to maintain continuous flow.
 Moderate to High Volume: Suitable for high-volume production but not necessarily as extreme
as mass production.
Types of Processes - Mass & Flow & Continuous Process

•Examples:
 Beverage production (e.g., soft drinks, beer).
 Paper production (e.g., paper mills).
 Chemical processing (e.g., pharmaceuticals, plastics).
•Advantages:
 Efficient Production: Continuous flow minimizes downtime and reduces lead times.
 Consistent Quality: Standardized processes lead to uniform product quality.
 Lower Costs: Reduced handling and storage costs due to continuous flow.
•Disadvantages:
 Flexibility: Less adaptable to changes in product design or production requirements.
 Initial Setup: Significant investment in machinery and infrastructure.
 Complex Maintenance: Maintaining continuous operations requires effective preventive maintenance
strategies.
Types of Processes - Mass & Flow & Continuous Process

•Continuous Process
•Definition: Continuous processes are designed to operate non-stop, producing
products continuously over a long period. These processes are highly automated and
optimized for high volume and consistency.
•Characteristics:
 Non-Stop Operation: The process runs continuously, often 24/7, with minimal
interruptions.
 Highly Automated: Advanced automation and control systems are used to
maintain smooth operation.
 High Volume: Designed for very large quantities of standardized products.
• Low Variety: Typically involves a narrow range of products or continuous output
Types of Processes - Mass & Flow & Continuous Process

•Examples:
 Oil refining.
 Gas production.
 Steel manufacturing.
•Advantages:
 High Efficiency: Maximizes production efficiency and minimizes downtime.
 Economies of Scale: Achieves cost savings due to large-scale production.
 Consistency: High uniformity and quality control due to continuous operation.
•Disadvantages:
 Inflexibility: Difficult to switch products or make adjustments without halting the process.
 High Capital Investment: Requires substantial investment in infrastructure and technology.
 Complexity: Operating and maintaining continuous processes can be complex and require specialized skills.
 Comparision of Processes
Process Type Volume Variety Flow Automation Examples Advantages Disadvantages

Lack of
Automobile Cost Efficiency,
Mass Discrete Flexibility, High
Very High Low High manufacturing, Consistency,
Production (Batch) Initial
Electronics Speed
Investment

Efficient
Beverage Production, Less Flexible,
Flow High to
Low Continuous High production, Consistent Initial Setup
Production Moderate
Paper mills Quality, Lower Investment
Costs

High Efficiency, Inflexibility,

Oil refining,
Continuous Economies of High Capital
Very High Very Low Continuous Very High Steel
Process Scale, Investment,
manufacturing
Consistency Complexity
 Process Product Matrix and Different Layouts
•Here's an overview of these concepts:
•Process-Product Matrix
•Definition: The Process-Product Matrix is a framework that aligns the type of production process with the
characteristics of the products being manufactured. It helps organizations determine the most efficient
production method based on the volume and variety of products.
•Matrix Components:
1. Product Characteristics:
o Volume: The quantity of products produced.
o Variety: The range of different products or customization levels.
2. Process Characteristics:
o Job Shop: High variety, low volume.
o Batch Production: Moderate variety and volume.
o Assembly Line (Mass Production): Low variety, high volume.
o Continuous Process: Very low variety, very high volume.
MATRIX
 Matrix Overview
Process Type Product Variety Product Volume Characteristics Examples

Custom, low volume, Custom furniture,

Job Shop High Low
flexible processes specialized machinery

Semi-standardized,
Bakery products,
Batch Production Moderate Moderate moderate volume,
pharmaceuticals
moderate flexibility

Standardized, high
Automobiles,
Assembly Line Low High volume, efficient
consumer electronics
processes

Highly standardized,
Oil refining, chemical
Continuous Process Very Low Very High very high volume,
production
continuous operation
 Different Layouts

•Different Layouts
• Layouts are crucial for optimizing workflow, efficiency, and flexibility in production systems.
They refer to the physical arrangement of equipment
•workstations, and storage areas in a facility. Here’s an overview of common layout types:
•1. Process Layout (Functional Layout)
•Definition: Organizes equipment and workstations by type of process or function. It is designed
to handle a variety of products and tasks.
•Characteristics:
 Flexibility: Suitable for job shops and batch production where product variety is high.
 Customization: Allows for different processes to be performed at different stations.
 Movement: Products may move through various areas in a non-linear fashion, depending on
the process steps.
 Different Layouts
•Examples:
 Machine shops with various types of machines grouped by function.
 Hospitals with departments organized by type of medical service.
•Advantages:
 Flexibility: Easily adapts to different products or production requirements.
 Specialization: Facilitates specialization in specific processes or tasks.
•Disadvantages:
 Complex Routing: Potentially complex and inefficient material handling and
routing.
 Higher Work in Progress: Can lead to higher levels of work-in-progress
inventory due to longer processing times.
 Different Layouts
•Product Layout (Assembly Line Layout)
•Definition: Arranges equipment and workstations in a sequence that follows the production process,
typically used for high-volume, standardized production.
•Characteristics:
 Efficiency: Designed to maximize efficiency and throughput in mass production.
 Standardization: Suitable for products with low variety and high volume.
 Flow: Products move in a linear path through a series of workstations.
•Examples:
 Automobile assembly lines.
 Electronics manufacturing lines.
 Different Layouts
• Advantages
 High Efficiency: Streamlined processes reduce production time and costs.
 Consistency: Uniformity in product quality due to standardized processes.
•Disadvantages:
 Lack of Flexibility: Difficult to adapt to changes in product design or production
volume.
 Initial Setup: Significant investment in equipment and layout design.
•. Cellular Layout
•Definition: Groups workstations into cells, each dedicated to producing a family of
products with similar processing requirements. It combines elements of process and
product layouts.
LAYOUTS
LAYOUTS
 Different Layouts
•Characteristics:
 Focus: Each cell is designed to handle a specific set of similar products or processes.
 Flow: Cells often have a semi-circular flow, reducing material handling and travel time.
 Flexibility: Balances efficiency with the ability to handle product variety.
•Examples:
 Manufacturing cells for a specific product line in a factory.
 Assembly cells for different variations of a product.
•Advantages:
 Reduced Handling: Minimizes material handling and travel time within cells.
 Flexibility: Allows for production of different products with similar processes.
 Different Layouts
•Disadvantages:
 Space Utilization: May require more space for setting up cells compared to traditional
layouts.
 Complexity: Managing multiple cells can be complex, particularly in high-mix
environments.
•Fixed-Position Layout
•Definition: The product remains in a fixed location, and workers, tools, and equipment
move to the product. This layout is used for large, bulky, or heavy items that are difficult
to move.
•Characteristics:
 Product Movement: The product does not move; resources are brought to the product.
 Flexibility: Suitable for projects or products with high customization and low volume.
 Different Layouts
•Examples:
 Shipbuilding.
 Large construction projects (e.g., bridges, buildings).
•Advantages:
 Handling: Reduces the need for moving large, heavy items.
 Customization: Allows for high levels of customization and modification.
•Disadvantages:
 Coordination: Requires careful coordination of resources and personnel.
 Efficiency: Potentially less efficient due to the need to move workers and
equipment.
CELLULAR LAYOUT
FIX POINT LAYOUT
FIX POINT LAYOUT
 Evaluation of Layout - Mathematical Problems

•Quadratic Assignment Problem (QAP)

 Objective: Minimize the total cost associated with the distance and flow between pairs of facilities.
•Mixed-Integer Programming (MIP)
 Objective: Determine the optimal placement of departments or machines to minimize the total
material handling cost.
•. Linear Programming (LP)
 Objective: Optimize the layout to minimize costs or maximize efficiency.
 Formulation:
o Define decision variables, constraints, and objective function based on the specific layout
problem.
o Example objective: Minimize transportation cost.
 Evaluation of Layout - Mathematical Problems
•Simulated Annealing (SA)
 Objective: Find a near-optimal solution for complex layout problems.
 Process:
o Start with an initial solution and a high "temperature."
o Iteratively make small changes to the layout.
o Accept changes based on a probability that decreases with temperature.
•5. Genetic Algorithms (GA)
 Objective: Use evolutionary techniques to optimize the layout.
 Process:
o Represent layouts as chromosomes.
o Use selection, crossover, and mutation operations to evolve the population of layouts.
o Evaluate fitness based on the objective function (e.g., cost minimization).
 Evaluation of Layout - Mathematical Problems

• Example Problem
• Problem: Minimize the total transportation cost in a warehouse
layout.
•Constraints:
 Each department must be assigned to one location.
 Each location must have one department.
•By solving these mathematical problems, we can evaluate and optimize
the layout of a facility, leading to improved operational efficiency and
reduced costs.
 Service Matrix - Degree of customer contact and
degree of divergence
•Degree of Customer Contact
 High Degree of Customer Contact: Services where customers are directly involved in the service
process. Examples include healthcare, education, and personal services.
 Low Degree of Customer Contact: Services where customer involvement is minimal or indirect.
Examples include online services, back-office operations, and automated services.
•Degree of Divergence
 High Degree of Divergence: Services that require high customization and flexibility. They are
tailored to meet individual customer needs. Examples include consulting, bespoke tailoring, and
custom software development.
 Low Degree of Divergence: Standardized services with little variation. They follow a set process
with minimal customization. Examples include fast food, retail banking, and routine maintenance
services.
 Evaluation of Layout - Mathematical Problems
•Service Matrix
•The Service Matrix can be represented in a 2x2 grid, with the degree of customer contact on one
axis and the degree of divergence on the other.
•Quadrant 1: High Customer Contact, High Divergence
 Characteristics: High interaction with customers and highly customized services.
 Examples: Consulting services, personalized healthcare, bespoke education programs.
 Implications: Requires highly skilled staff, flexible processes, and strong customer relationships.

•Quadrant 2: High Customer Contact, Low Divergence

 Characteristics: High interaction with customers but standardized services.
 Examples: Fast food restaurants, retail banking, call centers.
 Implications: Emphasizes efficiency, standard operating procedures, and customer service
training.
 Evaluation of Layout - Mathematical Problems
•Quadrant 3: Low Customer Contact, High Divergence
 Characteristics: Limited customer interaction but highly customized services.
 Examples: Custom manufacturing, research and development, custom software
development.
 Implications: Focus on innovation, skilled labor, and flexible production
processes.
•Quadrant 4: Low Customer Contact, Low Divergence
 Characteristics: Minimal customer interaction and standardized services.
 Examples: Online services, automated processing, standard product
manufacturing.
 Implications: Automation, cost efficiency, and process optimization.
 Evaluation of Layout - Mathematical Problems
•Example: Application of the Service Matrix
•Let's consider a healthcare facility:
• High Customer Contact, High Divergence (Quadrant 1):
o Service: Specialized surgeries or personalized healthcare plans.
o Implications: Requires highly skilled medical professionals, personalized patient care, and flexible
scheduling.
• High Customer Contact, Low Divergence (Quadrant 2):
o Service: Routine check-ups or standard vaccination services.
o Implications: Emphasizes efficiency in patient handling, standardized procedures, and effective use of
resources.
• Low Customer Contact, High Divergence (Quadrant 3):
o Service: Custom medical research or development of personalized medicine.
o Implications: Focuses on research capabilities, innovation, and specialized knowledge.
• Low Customer Contact, Low Divergence (Quadrant 4):
o Service: Automated lab tests or online medical consultations.
o Implications: Utilizes technology for efficiency, standard protocols, and scalability.
 Evaluation of Layout - Mathematical Problems

• Conclusion
• By using the Service Matrix, organizations can strategically design
their service processes to align with the level of customer interaction
and the need for customization. This alignment helps in optimizing
resource allocation, improving customer satisfaction, and achieving
operational efficiency.
Service Blueprinting - Line of influence, line of interaction, line
of visibility, front & back office operations.

•Key components of a service blueprint include the line of influence, line of interaction, line of
visibility, and the distinction between front and back-office operations.
•Components of Service Blueprinting
• Line of Influence:
o Represents factors that influence customer expectations before they interact with the
service.
o Includes marketing efforts, word-of-mouth, and previous experiences.
o Example: Advertising campaigns, online reviews, and brand reputation.
• Line of Interaction:
o Marks the direct interactions between customers and service providers.
o Customer actions and provider responses are mapped out.
o Example: A customer placing an order in a restaurant and the waiter taking the order.
 Evaluation of Layout - Mathematical Problems
• Line of Visibility:
o Separates front-office (visible to the customer) from back-office (invisible to the customer)
operations.
o Highlights what the customer can see versus what they cannot.
o Example: A customer sees the reception desk at a hotel but not the housekeeping activities.
• Front-Office Operations:
o Customer-facing activities that directly involve the customer.
o Examples: Greeting customers, providing service, handling inquiries.
o Importance: Directly impact customer satisfaction and perception of the service.
• Back-Office Operations:
o Internal activities that support front-office operations but are not visible to the customer.
o Examples: Inventory management, order processing, administrative tasks.
o Importance: Ensures smooth and efficient service delivery.
 Evaluation of Layout - Mathematical Problems
•Example of a Service Blueprint: Restaurant Service
•1. Customer Actions:
 Arrive at the restaurant.
 Wait to be seated.
 Place an order.
 Eat and enjoy the meal.
 Pay the bill and leave.
•2. Line of Interaction:
 Direct interaction points such as being greeted by the host, giving the order to the waiter, receiving
food, and paying the bill.
•3. Front-Office (Visible) Employee Actions:
 Host greets and seats the customer.
 Waiter takes the order and serves the food.
 Cashier processes the payment.
 Evaluation of Layout - Mathematical Problems
•4. Line of Visibility:
 Everything above this line is visible to the customer.
 Everything below this line is invisible to the customer.

•Back-Office (Invisible) Employee Actions:

 Kitchen staff prepare the food.
 Management handles inventory and supply chain.
 Administrative staff process reservations and billing.

•6. Support Processes:

 Inventory ordering and management.
 Staff scheduling and training.
 Financial management and accounting.
 Visual Representation of a Service Blueprint
Here's a simplified diagram of a service blueprint for a restaurant:
sqlCopy codeCustomer Actions: | Arrive | Wait to be seated | Place order | Eat | Pay
| Leave |

----------------------------------------------------------------Line of Interaction:
|---------------------------------------------------------------
|Front-Office Actions: | Greet & seat | Take order | Serve food | Process payment |
| ----------------------------------------------------------------Line of Visibility:
|---------------------------------------------------------------|
Back-Office Actions: | Prepare food | Inventory & admin tasks|
---------------------------------------------------------------
-Support Processes: | Inventory management | Staff scheduling | Financial
processing |
 Visual Representation of a Service Blueprint

• Benefits of Service Blueprinting

1. Improved Understanding: Provides a clear and detailed picture of the service
process.
2. Customer-Centric Focus: Helps identify and enhance touchpoints that impact
customer experience.
3. Identifying Bottlenecks: Highlights inefficiencies and areas for improvement in
both front-office and back-office operations.
4. Enhanced Coordination: Facilitates better coordination between different service
components and departments.
5. Service Innovation: Encourages the development of new and improved service
offerings by visualizing the entire process.
Method Study - Definition and need. Steps in method study,
Recording of facts- charting symbols and charting conventions
•Method Study: Definition and Need
•Definition: Method study is a systematic technique for analyzing and improving work processes to
increase efficiency and productivity. It involves examining the tasks and activities involved in a
process, identifying inefficiencies or unnecessary steps, and developing better methods to perform
the work.
•Need:
1. Improved Efficiency: Reduces time and effort required to complete tasks.
2. Cost Reduction: Identifies waste and unnecessary activities, leading to cost savings.
3. Enhanced Productivity: Streamlines processes to increase output.
4. Better Resource Utilization: Optimizes the use of materials, equipment, and labor.
5. Improved Quality: Standardizes processes to ensure consistent quality.
6. Worker Satisfaction: Simplifies tasks, reducing worker fatigue and improving job satisfaction.
7. Safety: Identifies and eliminates hazardous steps, enhancing workplace safety.
 Steps in Method Study
1. Select: Choose the work process or task to be studied.
2. Record: Collect all relevant information about the current method.
3. Examine: Analyze the recorded information to identify inefficiencies and
potential improvements.
4. Develop: Create a new, improved method.
5. Install: Implement the new method.
6. Maintain: Ensure the new method is followed and make adjustments as needed.
•Recording of Facts: Charting Symbols and Charting Conventions
•Recording facts accurately is crucial in method study. Various charts and symbols
are used to document the current method and identify areas for improvement.
 Charting Symbols

1. Operation (◯): Represents a process or task performed on a material, such as

assembly, disassembly, or inspection.
2. Inspection (☐): Indicates a quality check or inspection point.
3. Transport (→): Shows the movement of materials or workers.
4. Delay (D): Denotes a temporary halt in the process.
5. Storage (∇): Indicates controlled storage where materials are kept securely.
6. Combined Activities (e.g., ⦿): Represents activities that combine two or more
functions, like operation and inspection.
 Charting Conventions

• Flow Process Chart:

o Types: Man-type (for worker actions), Material-type (for material flow), and Equipment-type
(for equipment usage).
o Symbols: Use standard symbols to represent different activities (operations, inspections,
transports, delays, storage).
o Sequence: Activities are listed in the order they occur, with descriptions and time/distance
measurements.
• Flow Diagram:
o Purpose: Visual representation of the path taken by materials or workers.
o Symbols: Similar to the flow process chart, using lines and arrows to show movement.
o Layout: Superimpose the flow diagram on a layout of the workspace for clarity.
 Charting Conventions
• String Diagram:
o Purpose: Analyzes the movement of workers or materials over a fixed area.
o Method: Use a string to trace the path taken, measuring total distance traveled.
o Improvement: Helps identify unnecessary movements and optimize the layout.
• Operation Process Chart:
o Purpose: Focuses on the sequence of operations and inspections.
o Detail: Provides detailed descriptions and times for each activity.
o Comparison: Useful for comparing different methods and identifying
improvements.
 Charting Conventions
•Example: Applying Method Study
•Current Process: Assembling a product in a manufacturing facility.
1. Select: Identify the assembly process as the subject of the study.
2. Record: Use a flow process chart to document each step, using symbols for operations,
inspections, transports, delays, and storage.
3. Examine: Analyze the chart to identify inefficiencies, such as excessive transport or unnecessary
inspections.
4. Develop: Propose a new method that reduces transport time, eliminates unnecessary steps, and
improves workflow.
5. Install: Implement the new method on the production line.
6. Maintain: Monitor the new method, ensuring compliance and making adjustments as needed.
 Method study

•Conclusion
•Method study is a vital tool for optimizing work processes. By
systematically recording and analyzing tasks using standard charting
symbols and conventions, organizations can identify inefficiencies and
develop improved methods that enhance productivity, reduce costs, and
improve overall quality and worker satisfaction.
 Charts - Operation process chart
and Flow process charts
•Charts in Method Study
•Charts are essential tools in method study for visualizing and analyzing work processes. They help identify
inefficiencies and areas for improvement. Here are the key types of charts used in method study:
•1. Operation Process Chart
•Definition: An Operation Process Chart (OPC) focuses on the sequence of operations and inspections in a
process.
•Components:
 Operation Symbol (◯): Represents a main step where value is added.
 Inspection Symbol (☐): Indicates a quality check or verification step.

•Purpose:
 Visualize the sequence of operations and inspections.
 Identify opportunities to streamline the process by combining or eliminating steps.

•Example: An OPC for assembling a product might show operations like cutting, drilling, and welding, along
with inspections for quality checks.
 Charts - Operation process chart
and Flow process charts
•Flow Process Charts
•Flow Process Charts (FPC) detail the sequence of activities in a process, including operations,
transports, inspections, delays, and storage.
•Types:
•Man-Type Flow Process Chart
 Purpose: Focuses on the actions performed by a worker.
 Example: Documenting the steps a worker takes to assemble a product.

•Material-Type Flow Process Chart

 Purpose: Focuses on the movement and processing of materials.
 Example: Tracing the path of raw materials through the manufacturing process.

•Equipment-Type Flow Process Chart

 Purpose: Focuses on the usage of equipment and machinery.
 Example: Detailing the operations performed by a machine in a production line.
 Charts - Operation process chart
and Flow process charts
•Symbols:
 Operation (◯): Main task or process step.
 Inspection (☐): Quality check or verification.
 Transport (→): Movement of materials or workers.
 Delay (D): Waiting or idle time.
 Storage (∇): Controlled storage of materials.
•Example: A Material-Type FPC for a manufacturing process might show
operations like cutting, transport between workstations, delays waiting for parts, and
storage of finished goods.
 Charts - Operation process chart
and Flow process charts
•Multiple Activity Chart
•Definition: A Multiple Activity Chart (MAC) shows the simultaneous activities of
multiple workers or machines over time.
•Components:
 Horizontal Lines: Represent the timeline.
 Vertical Columns: Represent different workers or machines.
•Purpose:
 Identify idle times and unbalanced workloads.
 Optimize the coordination between workers and machines.
•Example: A MAC for a production line with three workers might show how each worker's
activities overlap and where there are gaps or idle periods.
 Charts - Operation process chart
and Flow process charts
•Two-Handed Process Chart
•Definition: A Two-Handed Process Chart (THPC) details the activities
performed by a worker’s left and right hands.
•Components:
 Left-Hand Column: Actions performed by the left hand.
 Right-Hand Column: Actions performed by the right hand.
 Symbols: Use standard symbols for operations, transport, delays, etc.
 Charts - Operation process chart
and Flow process charts
•Purpose:
 Identify and reduce unnecessary hand movements.
 Balance the workload between hands to improve efficiency.
•Example: A THPC for an assembly task might show the left hand holding a part while the right
hand assembles it, highlighting any idle times or inefficient motions.
•Examples and Applications
•Operation Process Chart Example
•Assembling a Product:
 Operation 1: Cut material (◯)
 Operation 2: Drill holes (◯)
 Inspection 1: Check hole alignment (☐)
 Operation 3: Weld parts (◯)
 Inspection 2: Final quality check (☐)
 Charts - Operation process chart
and Flow process charts
•Man-Type Flow Process Chart Example
•Worker Assembling a Widget:
 Operation: Pick up part (◯)
 Transport: Move to workstation (→)
 Operation: Assemble part (◯)
 Inspection: Check assembly (☐)
 Transport: Move to next station (→)
•Material-Type Flow Process Chart Example
•Material Movement in a Factory:
 Operation: Cutting (◯)
 Charts - Operation process chart
and Flow process charts
 Transport: Move to assembly line (→)
 Operation: Assembly (◯)
 Delay: Waiting for inspection (D)
 Storage: Store in warehouse (∇)
•Multiple Activity Chart Example
•Three Workers on a Production Line:
 Worker A: Operation, Idle
 Worker B: Operation, Operation
 Worker C: Idle, Operation
•Two-Handed Process Chart Example
•Worker Assembling a Gadget:
 Left Hand: Hold part, Idle
 Right Hand: Screw part, Pick up screw
Work Measurement - Definition and applications.

• Conclusion
• Using these charts in method study helps visualize processes, identify inefficiencies, and develop improved
methods. They are crucial for optimizing workflow, reducing costs, and enhancing productivity in various
operations
•It is used to determine standard times for tasks, which are essential for planning, scheduling, budgeting, and
improving productivity.
•Applications:
1. Productivity Improvement: Identify bottlenecks and streamline processes.
2. Cost Control: Calculate labor costs accurately for budgeting and pricing.
3. Capacity Planning: Determine workforce and equipment needs.
4. Performance Evaluation: Assess worker performance against standard times.
5. Incentive Schemes: Develop fair and motivating incentive programs.
6. Benchmarking: Compare performance across different periods or sites.
7. Process Improvement: Identify areas for process optimization and waste reduction.
 Techniques of work measurement
•Techniques of Work Measurement
•1. Time Study
•Definition: Time study involves timing a task using a stopwatch to determine the time
taken to complete it. This method is used to establish standard times by observing and
recording the time taken for each element of a task.
•Steps:
1. Select the task to be studied.
2. Break down the task into elements.
3. Measure the time taken for each element using a stopwatch.
4. Assess the worker’s performance level and adjust the observed times if necessary.
5. Add allowances for rest, fatigue, and delays to determine the standard time.
 Techniques of work measurement
•Applications:
 Setting standard times for repetitive tasks.
 Analyzing and improving task performance.

•2. Production Study

•Definition: A production study involves observing and recording the output of a production process over
a period. This technique helps in understanding the relationship between input resources and output.
•Steps:
1. Select the process or operation to be studied.
2. Record the input resources used and the output produced over a set period.
3. Analyze the data to identify productivity levels and areas for improvement.
•Applications:
 Evaluating the efficiency of production processes.
 Planning and scheduling production activities.
 Work sampling
•Work Sampling
•Definition: Work sampling involves making random observations of a worker or
process to estimate the proportion of time spent on different activities.
•Steps:
1. Define the activities to be observed.
2. Determine the number of observations needed.
3. Make random observations and record the activity being performed.
4. Analyze the data to estimate the proportion of time spent on each activity.
•Applications:
 Identifying how time is distributed among various activities.
 Evaluating the effectiveness of time management.
 Analytical estimating
•Analytical Estimating
•Definition: Analytical estimating combines time study and standard data to estimate the time
required for new or non-repetitive tasks. It uses previously collected data and expert judgment to
predict task times.
•Steps:
1. Break down the task into elements.
2. Use standard data or time study results for similar tasks to estimate the time for each element.
3. Sum the estimated times for all elements.
4. Add allowances for rest, fatigue, and delays.
•Applications:
 Estimating times for new or customized tasks.
 Planning and costing non-repetitive tasks.
 PMTS
• Predetermined Motion Time Systems (PMTS)
•Definition: PMTS involves using predefined time values for basic human motions
to determine the time required for a task. Systems like Methods-Time Measurement
(MTM) and Work Factor are examples.
•Steps:
1. Break down the task into basic motions (e.g., reach, grasp, move).
2. Assign time values to each motion using standard tables.
3. Sum the time values for all motions.
4. Add allowances for rest, fatigue, and delays.
•Applications:
 Establishing standard times for tasks with high precision.
 Designing efficient work methods.
 Synthetic data
•Synthetic Data
•Definition: Synthetic data involves using pre-collected time data for standard elements of tasks to
build the time for a complete task. This method is useful for tasks with repetitive elements.
•Steps:
1. Identify standard elements in the task.
2. Use pre-collected time data for these elements.
3. Combine the times for standard elements to determine the total task time.
4. Add allowances for rest, fatigue, and delays.
•Applications:
 Establishing standard times for tasks with repetitive elements.
 Simplifying the process of time estimation.
 Work measurement techniques
•Example of Work Measurement Application
•Manufacturing Assembly Line:
1. Time Study: Measure the time taken for each assembly step using a stopwatch.
2. Production Study: Record the output of the assembly line over a shift.
3. Work Sampling: Observe workers at random intervals to see how much time is spent on value-
added vs. non-value-added activities.
4. Analytical Estimating: Estimate times for new assembly steps based on similar tasks.
5. PMTS: Use MTM to assign time values to basic motions like reaching, grasping, and moving
parts.
6. Synthetic Data: Use pre-collected times for common assembly elements to build up the total
time for a new assembly process.
 Work measurement techniques

•Conclusion
• are critical for understanding and improving work processes. By
accurately measuring the time required for tasks, organizations can
optimize operations, reduce costs, and improve productivity and
worker satisfaction
 Time Study - Meaning, basic terms and procedure.
•It helps in determining the time required for a qualified worker to complete a task under specified
conditions.
•Basic Terms
1. Cycle: One complete sequence of a task or operation.
2. Element: A distinct part of a task, which is separated for measurement purposes.
3. Observed Time (OT): The actual time recorded for completing each element of a task during
observation.
4. Rating Factor (RF): A subjective assessment of the worker's performance relative to a standard
(typically expressed as a percentage).
5. Normal Time (NT): The time a qualified worker would take to perform the task at a standard
performance level. Calculated as: Normal Time (NT)=Observed Time (OT)×Rating Factor (RF)\
text{Normal Time (NT)} = \text{Observed Time (OT)} \times \text{Rating Factor
(RF)}Normal Time (NT)=Observed Time (OT)×Rating Factor (RF)
 Procedure for Time Study

1. Allowance: Additional time added to account for personal needs, fatigue, and unavoidable delays.
2. Standard Time (ST): The total time allowed to perform a task, including allowances. Calculated as:
Standard Time (ST)=Normal Time (NT)+Allowances\text{Standard Time (ST)} = \text{Normal Time (NT)}
+ \text{Allowances}Standard Time (ST)=Normal Time (NT)+Allowances
•Procedure for Time Study
1. Select the Task: Choose a task suitable for time study, preferably repetitive and representative.
2. Break Down the Task: Divide the task into smaller, measurable elements.
3. Record the Times: Use a stopwatch to record the time taken for each element over several cycles to
ensure accuracy.
4. Rate the Performance: Assess the worker's performance level and apply a rating factor.
5. Calculate Normal Time: Multiply the observed time by the rating factor for each element.
6. Add Allowances: Include time allowances for personal needs, fatigue, and delays.
7. Determine Standard Time: Sum the normal times and allowances to get the standard time for the task.
 Methods of Time Study
• Stopwatch Time Study:
o Traditional method using a stopwatch to measure the time taken for each element
of the task.
o Requires multiple observations to ensure accuracy.
• Video Recording:
o Recording the task on video and analyzing the footage to determine times for each
element.
o Allows for detailed review and can be paused or replayed for accuracy.
• Work Sampling:
o A large number of random observations are made to estimate the proportion of
time spent on different activities.
o Suitable for tasks that are not highly repetitive.
 Methods of Time Study
•Problems on Time Study
•Let's go through a simple problem involving time study:
•Problem Statement: A worker assembles a part in an observed time of 5 minutes. The rating factor
is 90%. Allowances for the task are 15% of the normal time. Determine the standard time for the task.
•Solution:
1. Observed Time (OT) = 5 minutes
2. Rating Factor (RF) = 90% = 0.9
3. Allowances = 15% = 0.15
•Step 1: Calculate Normal Time (NT):
•Normal Time (NT)=Observed Time (OT)×Rating Factor (RF)\text{Normal Time (NT)} = \text{Observed
Time (OT)} \times \text{Rating Factor (RF)}Normal Time (NT)=Observed Time (OT)×Rating Factor (RF)
NT=5 minutes×0.9=4.5 minutes\text{NT} = 5 \text{ minutes} \times 0.9 = 4.5 \
text{ minutes}NT=5 minutes×0.9=4.5 minutes
 Methods of Time Study
•Step 2: Calculate Standard Time (ST):
•Standard Time (ST)=Normal Time (NT)+Allowances\text{Standard Time (ST)} = \
text{Normal Time (NT)} + \text{Allowances}Standard Time (ST)=Normal Time (NT)
+Allowances
•Allowances are a percentage of Normal Time:
•Allowances=4.5 minutes×0.15=0.675 minutes\text{Allowances} = 4.5 \
text{ minutes} \times 0.15 = 0.675 \
text{ minutes}Allowances=4.5 minutes×0.15=0.675 minutes
ST=4.5 minutes+0.675 minutes=5.175 minutes\text{ST} = 4.5 \text{ minutes} + 0.675 \
text{ minutes} = 5.175 \text{ minutes}ST=4.5 minutes+0.675 minutes=5.175 minutes
•Thus, the standard time for the task is 5.175 minutes.
 Time study

•Conclusion
•Time study is a crucial method for establishing standard times, which aids in
productivity improvement, cost control, and efficient planning. By breaking down
tasks into measurable elements, recording observed times, applying rating factors,
and adding allowances, organizations can develop accurate standard times and
improve their overall efficiency.
 Problems on time study

•Problems on Time Study

•Let's go through another problem involving time study to illustrate the process
further:
•Problem Statement: A worker performs an assembly operation. The observed
times for five cycles of the task are 3.5, 3.7, 3.6, 3.8, and 3.5 minutes. The
performance rating is 95%, and the allowances are 20%. Determine the standard
time for the task.
•Solution:
1. Observed Times (OT) = 3.5, 3.7, 3.6, 3.8, 3.5 minutes
2. Performance Rating (RF) = 95% = 0.95
3. Allowances = 20% = 0.20
 Problems on time study
•Step 1: Calculate the Average Observed Time:
•Average Observed Time=3.5+3.7+3.6+3.8+3.55=18.15=3.62 minutes\text{Average
Observed Time} = \frac{3.5 + 3.7 + 3.6 + 3.8 + 3.5}{5} = \frac{18.1}{5} = 3.62 \
text{ minutes}Average Observed Time=53.5+3.7+3.6+3.8+3.5​=518.1​=3.62 minutes
•Step 2: Calculate Normal Time (NT):
•Normal Time (NT)=Average Observed Time×Performance Rating\text{Normal Time
(NT)} = \text{Average Observed Time} \times \text{Performance
Rating}Normal Time (NT)=Average Observed Time×Performance Rating
NT=3.62 minutes×0.95=3.439 minutes\text{NT} = 3.62 \text{ minutes} \times 0.95 =
3.439 \text{ minutes}NT=3.62 minutes×0.95=3.439 minutes
 Problems on time study
•Step 3: Calculate Standard Time (ST):
•Standard Time (ST)=Normal Time (NT)+Allowances\text{Standard Time (ST)} = \text{Normal Time (NT)}
+ \text{Allowances}Standard Time (ST)=Normal Time (NT)+Allowances
•Allowances are a percentage of Normal Time:
•Allowances=3.439 minutes×0.20=0.688 minutes\text{Allowances} = 3.439 \text{ minutes} \times 0.20
= 0.688 \text{ minutes}Allowances=3.439 minutes×0.20=0.688 minutes
ST=3.439 minutes+0.688 minutes=4.127 minutes\text{ST} = 3.439 \text{ minutes} + 0.688 \
text{ minutes} = 4.127 \text{ minutes}ST=3.439 minutes+0.688 minutes=4.127 minutes
•Thus, the standard time for the task is 4.127 minutes.
•Work Sampling: Definition, Applications, and Procedure
•Definition: Work sampling is a statistical technique used to estimate the proportion of time spent on
different activities by taking random observations over a period. It provides an overview of how time is
distributed among various tasks without continuous observation.
 Problems on time study
•Applications
1. Determining Machine Utilization: Estimating how much time machines are
actively working versus being idle.
2. Assessing Worker Activity: Understanding how workers allocate their time among
different tasks.
3. Estimating Productivity: Measuring the proportion of productive versus non-
productive time.
4. Identifying Bottlenecks: Highlighting areas where delays or idle times occur
frequently.
5. Setting Standards: Establishing work standards for various activities based on
observed data.
 Work sampling - Definition, Applications
•Procedure for Conducting Work Sampling
1. Define the Scope: Identify the activities or operations to be studied.
2. Design the Study: Determine the number of observations needed, the observation
intervals, and the duration of the study.
3. Prepare Observation Sheets: Create sheets or use software to record observations.
4. Conduct Random Observations: Make random observations at predetermined intervals
and record the activity being performed at each observation.
5. Classify and Analyze Data: Categorize the observed activities and calculate the
proportion of time spent on each activity.
6. Draw Conclusions: Use the data to make informed decisions about process
improvements, staffing, and resource allocation.
 Work sampling - Definition, Applications
•Problems on Work Sampling
•Problem Statement: In a work sampling study, a supervisor observed a worker 100 times during a
shift. The worker was found idle in 20 of those observations. Calculate the proportion of idle time and
the proportion of productive time.
•Solution:
1. Total Observations = 100
2. Idle Observations = 20
•Step 1: Calculate the Proportion of Idle Time:
• Proportion of Idle Time=Idle ObservationsTotal Observations\text{Proportion of Idle Time} = \frac{\
text{Idle Observations}}{\text{Total
Observations}}Proportion of Idle Time=Total ObservationsIdle Observations​
Proportion of Idle Time=20100=0.20 or 20%\text{Proportion of Idle Time} =
• \frac{20}{100} = 0.20 \text{ or } 20\%Proportion of Idle Time=10020​=0.20 or 20%
 Procedure for conducting WS.
•Step 2: Calculate the Proportion of Productive Time:
•Proportion of Productive Time=1−Proportion of Idle Time\text{Proportion of Productive Time} = 1 - \
text{Proportion of Idle Time}Proportion of Productive Time=1−Proportion of Idle Time
Proportion of Productive Time=1−0.20=0.80 or 80%\text{Proportion of Productive Time} = 1 - 0.20 =
0.80 \text{ or } 80\%Proportion of Productive Time=1−0.20=0.80 or 80%
•Thus, the worker was productive 80% of the time and idle 20% of the time during the shift.
•Another Problem on Work Sampling
•Problem Statement: During a work sampling study of a machine, it was observed 200 times. The
machine was operating in 150 observations, under maintenance in 30 observations, and idle in 20
observations. Calculate the proportions of time the machine was operating, under maintenance, and idle.
•Solution:
1. Total Observations = 200
2. Operating Observations = 150
3. Maintenance Observations = 30
4. Idle Observations = 20
 Procedure for conducting WS.
•Step 1: Calculate the Proportion of Operating Time:
•Proportion of Operating Time=Operating ObservationsTotal Observations\text{Proportion of
Operating Time} = \frac{\text{Operating Observations}}{\text{Total
Observations}}Proportion of Operating Time=Total ObservationsOperating Observations​
Proportion of Operating Time=150200=0.75 or 75%\text{Proportion of Operating Time} = \frac{150}
{200} = 0.75 \text{ or } 75\%Proportion of Operating Time=200150​=0.75 or 75%
•Step 2: Calculate the Proportion of Maintenance Time:
•Proportion of Maintenance Time=Maintenance ObservationsTotal Observations\text{Proportion of
Maintenance Time} = \frac{\text{Maintenance Observations}}{\text{Total
Observations}}Proportion of Maintenance Time=Total ObservationsMaintenance Observations​
Proportion of Maintenance Time=30200=0.15 or 15%\text{Proportion of Maintenance Time} = \
frac{30}{200} = 0.15 \text{ or } 15\%Proportion of Maintenance Time=20030​=0.15 or 15%
 Procedure for conducting WS.
•Step 3: Calculate the Proportion of Idle Time:
• Proportion of Idle Time=Idle ObservationsTotal Observations\text{Proportion of Idle Time} = \
frac{\text{Idle Observations}}{\text{Total
Observations}}Proportion of Idle Time=Total ObservationsIdle Observations​
Proportion of Idle Time=20200=0.10 or 10%\text{Proportion of Idle Time} =
•\frac{20}{200} = 0.10 \text{ or } 10\%Proportion of Idle Time=20020​=0.10 or 10%
•Thus, the machine was operating 75% of the time, under maintenance 15% of the time, and idle
10% of the time.
•Conclusion
•Time study and work sampling are essential work measurement techniques used to determine
standard times and analyze how time is spent on various activities. Time study involves detailed
timing of tasks, while work sampling uses statistical sampling to estimate time distributions. Both
methods help in improving productivity, managing costs, and optimizing processes.
 Procedure for conducting WS. Problems on
work sampling.
•Procedure for Conducting Work Sampling
•Work sampling involves a systematic procedure to ensure accurate and reliable data collection. Here's a step-by-
step guide:
• Define the Objective:
o Determine the purpose of the study. Examples include analyzing machine utilization, worker
productivity, or identifying non-productive time.
• Define the Scope:
o Specify the activities or operations to be observed. This includes defining what constitutes productive
and non-productive activities.
• Design the Study:
o Determine Sample Size: Decide on the number of observations needed to achieve a desired level of
accuracy. This can be determined using statistical methods.
o Observation Schedule: Plan when and how frequently observations will be made. Random intervals are
often used to avoid bias.
• Prepare Observation Sheets:
o Develop sheets or use software for recording observations. Ensure they are easy to use and clearly
categorized.
 Procedure for conducting WS.
• Train Observers:
o Ensure that those conducting the observations understand the objectives, scope, and how to
correctly record observations.
• Conduct Observations:
o Perform random observations at the planned intervals, recording the activity observed at
each instance.
• Analyze Data:
o Classify and tally the observations to determine the frequency of each activity.
o Calculate the proportion of time spent on each activity.

• Draw Conclusions and Report:

o Use the data to draw conclusions about the distribution of time among different activities.
o Prepare a report detailing findings and, if necessary, recommendations for process
improvements.
 Procedure for conducting WS.
•Problems on Work Sampling
•Problem 1: Machine Utilization Study
•Problem Statement: During a work sampling study, a machine was observed 300 times. The
observations recorded were as follows:
 Operating: 180 times
 Under maintenance: 60 times
 Idle: 60 times

•Calculate the proportions of time the machine was operating, under maintenance, and idle.
•Solution:
1. Total Observations = 300
2. Operating Observations = 180
3. Maintenance Observations = 60
4. Idle Observations = 60
 Procedure for conducting WS.
•Step 1: Calculate the Proportion of Operating Time:
•Proportion of Operating Time=Operating ObservationsTotal Observations\text{Proportion of Operating Time}
= \frac{\text{Operating Observations}}{\text{Total
Observations}}Proportion of Operating Time=Total ObservationsOperating Observations​
Proportion of Operating Time=180300=0.60 or 60%\text{Proportion of Operating Time} = \frac{180}{300} =
0.60 \text{ or } 60\%Proportion of Operating Time=300180​=0.60 or 60%
•Step 2: Calculate the Proportion of Maintenance Time:
•Proportion of Maintenance Time=Maintenance ObservationsTotal Observations\text{Proportion of
Maintenance Time} = \frac{\text{Maintenance Observations}}{\text{Total
Observations}}Proportion of Maintenance Time=Total ObservationsMaintenance Observations​
Proportion of Maintenance Time=60300=0.20 or 20%\text{Proportion of Maintenance Time} = \frac{60}{300}
= 0.20 \text{ or } 20\%Proportion of Maintenance Time=30060​=0.20 or 20%
•Step 3: Calculate the Proportion of Idle Time:
•Proportion of Idle Time=Idle ObservationsTotal Observations\text{Proportion of Idle Time} = \frac{\text{Idle
Observations}}{\text{Total Observations}}Proportion of Idle Time=Total ObservationsIdle Observations​
Proportion of Idle Time=60300=0.20 or 20%\text{Proportion of Idle Time} = \frac{60}{300} = 0.20 \text{ or }
20\%Proportion of Idle Time=30060​=0.20 or 20%
 Procedure for conducting WS.
•Thus, the machine was operating 60% of the time, under maintenance 20% of the time, and idle 20% of the
time.
•Problem 2: Worker Activity Study
•Problem Statement: In a work sampling study, a worker was observed 400 times. The activities recorded
were:
 Performing task A: 150 times
 Performing task B: 100 times
 Performing task C: 50 times
 Idle: 100 times
•Calculate the proportions of time spent on each activity and the proportion of idle time.
•Solution:
1. Total Observations = 400
2. Task A Observations = 150
3. Task B Observations = 100
4. Task C Observations = 50
5. Idle Observations = 100
 Procedure for conducting WS.
•Step 1: Calculate the Proportion of Time Spent on Task A:
•Proportion of Task A=Task A ObservationsTotal Observations\text{Proportion of Task A} = \frac{\
text{Task A Observations}}{\text{Total
Observations}}Proportion of Task A=Total ObservationsTask A Observations​
Proportion of Task A=150400=0.375 or 37.5%\text{Proportion of Task A} = \frac{150}{400} = 0.375 \
text{ or } 37.5\%Proportion of Task A=400150​=0.375 or 37.5%
•Step 2: Calculate the Proportion of Time Spent on Task B:
•Proportion of Task B=Task B ObservationsTotal Observations\text{Proportion of Task B} = \frac{\
text{Task B Observations}}{\text{Total
Observations}}Proportion of Task B=Total ObservationsTask B Observations​
Proportion of Task B=100400=0.25 or 25%\text{Proportion of Task B} = \frac{100}{400} = 0.25 \
text{ or } 25\%Proportion of Task B=400100​=0.25 or 25%
 Procedure for conducting WS.
•Step 3: Calculate the Proportion of Time Spent on Task C:
•Proportion of Task C=Task C ObservationsTotal Observations\text{Proportion of Task C} = \frac{\
text{Task C Observations}}{\text{Total
Observations}}Proportion of Task C=Total ObservationsTask C Observations​
Proportion of Task C=50400=0.125 or 12.5%\text{Proportion of Task C} = \frac{50}{400} = 0.125 \
text{ or } 12.5\%Proportion of Task C=40050​=0.125 or 12.5%
•Step 4: Calculate the Proportion of Idle Time:
• Proportion of Idle Time=Idle ObservationsTotal Observations\text{Proportion of Idle Time} = \
frac{\text{Idle Observations}}{\text{Total
Observations}}Proportion of Idle Time=Total ObservationsIdle Observations​
Proportion of Idle Time=100400=0.25 or 25%\text{Proportion of Idle Time} =
•\frac{100}{400} = 0.25 \text{ or } 25\%Proportion of Idle Time=400100​=0.25 or 25%
•Thus, the worker spent 37.5% of the time on Task A, 25% on Task B, 12.5% on Task C, and was
idle 25% of the time.
 Work sampling

•Conclusion
•Work sampling provides a practical and cost-effective way to
understand how time is spent in various activities. By following a
structured procedure, accurate data can be collected and analyzed to
improve productivity, identify bottlenecks, and optimize resource
allocation. Through solving problems related to work sampling,
organizations can gain insights into operational efficiency and make
informed decisions for process improvements.
 Problems on work sampling
•Problem 1: Worker Utilization Study
•Problem Statement: A supervisor conducted a work sampling study over a period of one week. During this
time, 500 random observations of a worker were recorded. The results were as follows:
 Working on Task A: 200 times
 Working on Task B: 150 times
 Attending meetings: 50 times
 Taking breaks: 50 times
 Idle: 50 times
•Calculate the proportion of time spent on each activity.
•Solution:
1. Total Observations = 500
2. Task A Observations = 200
3. Task B Observations = 150
4. Meetings Observations = 50
5. Breaks Observations = 50
6. Idle Observations = 50
 Problems on work sampling
•Step 1: Calculate the Proportion of Time Spent on Task A:
•Proportion of Task A=Task A ObservationsTotal Observations\text{Proportion of Task A} = \frac{\
text{Task A Observations}}{\text{Total
Observations}}Proportion of Task A=Total ObservationsTask A Observations​
Proportion of Task A=200500=0.40 or 40%\text{Proportion of Task A} = \frac{200}{500} = 0.40 \text{
or } 40\%Proportion of Task A=500200​=0.40 or 40%
•Step 2: Calculate the Proportion of Time Spent on Task B:
•Proportion of Task B=Task B ObservationsTotal Observations\text{Proportion of Task B} = \frac{\
text{Task B Observations}}{\text{Total
Observations}}Proportion of Task B=Total ObservationsTask B Observations​
Proportion of Task B=150500=0.30 or 30%\text{Proportion of Task B} = \frac{150}{500} = 0.30 \
text{ or } 30\%Proportion of Task B=500150​=0.30 or 30%
 Problems on work sampling
•Step 3: Calculate the Proportion of Time Spent in Meetings:
•Proportion of Meetings=Meetings ObservationsTotal Observations\text{Proportion of
Meetings} = \frac{\text{Meetings Observations}}{\text{Total
Observations}}Proportion of Meetings=Total ObservationsMeetings Observations​
Proportion of Meetings=50500=0.10 or 10%\text{Proportion of Meetings} = \frac{50}{500} =
0.10 \text{ or } 10\%Proportion of Meetings=50050​=0.10 or 10%
•Step 4: Calculate the Proportion of Time Spent on Breaks:
•Proportion of Breaks=Breaks ObservationsTotal Observations\text{Proportion of Breaks} = \
frac{\text{Breaks Observations}}{\text{Total
Observations}}Proportion of Breaks=Total ObservationsBreaks Observations​
Proportion of Breaks=50500=0.10 or 10%\text{Proportion of Breaks} = \frac{50}{500} = 0.10 \
text{ or } 10\%Proportion of Breaks=50050​=0.10 or 10%
 Problems on work sampling
•Step 5: Calculate the Proportion of Idle Time:
•Proportion of Idle Time=Idle ObservationsTotal Observations\text{Proportion of Idle Time} = \frac{\
text{Idle Observations}}{\text{Total
Observations}}Proportion of Idle Time=Total ObservationsIdle Observations​
Proportion of Idle Time=50500=0.10 or 10%\text{Proportion of Idle Time} = \frac{50}{500} = 0.10 \
text{ or } 10\%Proportion of Idle Time=50050​=0.10 or 10%
•Thus, the worker spent 40% of the time on Task A, 30% on Task B, 10% in meetings, 10% on
breaks, and was idle 10% of the time.
•Problem 2: Machine Utilization Study
•Problem Statement: A machine was observed 400 times during a work sampling study. The
observations were recorded as follows:
 Operating: 240 times
 Under maintenance: 80 times
 Idle: 80 times
 Problems on work sampling
•Calculate the utilization rate of the machine and the proportions of time it was under maintenance and idle.
•Solution:
1. Total Observations = 400
2. Operating Observations = 240
3. Maintenance Observations = 80
4. Idle Observations = 80
•Step 1: Calculate the Utilization Rate:
•Utilization Rate=Operating ObservationsTotal Observations\text{Utilization Rate} = \frac{\text{Operating
Observations}}{\text{Total Observations}}Utilization Rate=Total ObservationsOperating Observations​
Utilization Rate=240400=0.60 or 60%\text{Utilization Rate} = \frac{240}{400} = 0.60 \text{ or }
60\%Utilization Rate=400240​=0.60 or 60%
•Step 2: Calculate the Proportion of Time Under Maintenance:
• Proportion of Maintenance Time=Maintenance ObservationsTotal Observations\text{Proportion of Maintenance
Time} = \frac{\text{Maintenance Observations}}{\text{Total
Observations}}Proportion of Maintenance Time=Total ObservationsMaintenance Observations​
Proportion of MainteMaintenance Time=80400=0.20 or 20%\text{Proportion of Maintenance Time} = \frac{80}
{400} = 0.20 \text{ or } 20\%Proportion of Maintenance Time=40080​=0.20 or 20%
 Problems on work sampling
•Step 3: Calculate the Proportion of Idle Time:
•Proportion of Idle Time=Idle ObservationsTotal Observations\text{Proportion of Idle Time} = \frac{\text{Idle
Observations}}{\text{Total Observations}}Proportion of Idle Time=Total ObservationsIdle Observations​
Proportion of Idle Time=80400=0.20 or 20%\text{Proportion of Idle Time} = \frac{80}{400} = 0.20 \text{ or }
20\%Proportion of Idle Time=40080​=0.20 or 20%

•Thus, the machine was utilized 60% of the time, under maintenance 20% of the time, and idle 20% of the time.
•Problem 3: Office Staff Activity Study
•Problem Statement: A work sampling study was conducted on an office staff member over a month. During
this period, 1,000 random observations were made. The activities recorded were:
 Handling emails: 300 times
 Attending meetings: 200 times
 Working on reports: 400 times
 Idle: 100 times
 Problems on work sampling
•Calculate the proportion of time spent on each activity.
•Solution:
1. Total Observations = 1,000
2. Emails Observations = 300
3. Meetings Observations = 200
4. Reports Observations = 400
5. Idle Observations = 100
•Step 1: Calculate the Proportion of Time Spent on Emails:
• Proportion of Emails=Emails ObservationsTotal Observations\text{Proportion of Emails} = \frac{\
text{Emails Observations}}{\text{Total
Observations}}Proportion of Emails=Total ObservationsEmails Observations​
Proportion of Emails=3001000=0.30 or 30%\text{Proportion of Emails} = \frac{300}{1000} = 0.30 \
text{ or } 30\%Proportion of Emails=1000300​=0.30 or 30%
 Problems on work sampling
•Step 2: Calculate the Proportion of Time Spent in Meetings:
•Proportion of Meetings=Meetings ObservationsTotal Observations\text{Proportion of
Meetings} = \frac{\text{Meetings Observations}}{\text{Total
Observations}}Proportion of Meetings=Total ObservationsMeetings Observations​
Proportion of Meetings=2001000=0.20 or 20%\text{Proportion of Meetings} = \frac{200}
{1000} = 0.20 \text{ or } 20\%Proportion of Meetings=1000200​=0.20 or 20%
•Step 3: Calculate the Proportion of Time Spent on Reports:
•Proportion of Reports=Reports ObservationsTotal Observations\text{Proportion of Reports}
= \frac{\text{Reports Observations}}{\text{Total
Observations}}Proportion of Reports=Total ObservationsReports Observations​
Proportion of Reports=4001000=0.40 or 40%\text{Proportion of Reports} = \frac{400}{1000}
= 0.40 \text{ or } 40\%Proportion of Reports=1000400​=0.40 or 40%
 Problems on work sampling
•Step 4: Calculate the Proportion of Idle Time:
•Proportion of Idle Time=Idle ObservationsTotal Observations\text{Proportion of Idle Time} = \frac{\
text{Idle Observations}}{\text{Total
Observations}}Proportion of Idle Time=Total ObservationsIdle Observations​
Proportion of Idle Time=1001000=0.10 or 10%\text{Proportion of Idle Time} = \frac{100}{1000} =
0.10 \text{ or } 10\%Proportion of Idle Time=1000100​=0.10 or 10%
•Thus, the office staff member spent 30% of the time handling emails, 20% attending meetings, 40%
working on reports, and was idle 10% of the time.
•Conclusion
•Work sampling problems help illustrate the technique's application in various contexts, such as
worker utilization, machine utilization, and office staff activity analysis. By following the procedure
and calculating the proportions of time spent on different activities, organizations can gain valuable
insights into productivity and efficiency, leading to informed decisions for process improvements.