Measuring Output of Office Employees PDF

TOPIC 7 MEASURING OUTPUT OF OFFICE EMPLOYEES 1 Nature of Work Measurement Work measurement – “Process used to determine what constitutes a fair day’s work from both the perspective of the employer and the employee’...

TOPIC 7 MEASURING OUTPUT OF OFFICE EMPLOYEES 1 Nature of Work Measurement Work measurement – “Process used to determine what constitutes a fair day’s work from both the perspective of the employer and the employee’ 2 Objectives of Work Measurement To express expected output or production levels. (To aid in setting work standards) To aid in the planning and scheduling of work. To aid in determining the number of employees needed to complete a project in the allotted time/by deadline. To aid in determining the efficiency of work methods and procedures/processes. To aid in determining the cost of office operations. To aid in determining equitable workloads for employees. 3 Advantages of Work Measurement It provides greater control over work processes and methods. It helps determine the appropriateness of the number of employees assigned to a work unit. It helps determine the efficiency in planning work. It helps prevent work backlogs. It helps simplify work processes. 4 Characteristics of Measurable Office Activities Tasks have to be isolated and counted. Tasks must be fairly consistent from one measurement to another. Tasks should be performed in sufficient volume to justify the cost of measurement. Tasks need to be void of considerable amounts of judgment and decision making. 5 Work Measurement Program Before a work measurement program is developed, employees must be convinced it has a need and will produce desirable results. Work Measurement Program Steps: 1. Make preliminary plans 2. Hire employees 3. Gain acceptance of and support for the program 4. Collect important data 5. Analyze collected data and develop standards 6. Train supervisors and managers 7. Instruct employees 8. Follow up. 6 Work Measurement Techniques Production Records Work Sampling Time Study Micromotion Study Predetermined Standard Time Data 7 Production Records Definition: – “ Work measurement technique in which employee output records are used to determine the amount of time needed to complete a particular job.” Time log: – “Document used by employees to maintain a record of the tasks they perform as well as the amount of time taken to complete these tasks.” 8 Production Records Uses employee production records to determine amount of time to complete specific job tasks. Employees use a time log to keep track of their tasks and the amount of time taken to perform these tasks. Time log also identifies the number of units produced in a given amount of time. Time log is kept for as long as needed to smooth out fluctuations. Standards are determined by dividing the total number of units produced by the amount of time taken to produce the units. If standards are set at too high a level, they may need to be “leveled,” a process that will be discussed later. 9 Production Records Advantages 1. It is simple, easily understood, and inexpensive. 2. It facilitates the quick development and implementation of a work measurement program without the need for specially trained individuals. Disadvantages 1. It may produce inaccurate standards if employees don’t prepare accurate time logs. 2. It results in preparation of standards on the basis of “what is” rather than on the basis of “what should be.” 10 Work Sampling Definition: – “ uses random observations to determine the amount of time consumed by each element of a job task or duty” The process helps determine what percentage each activity consumes in a whole work process. 11 Work Sampling Factors in determining sample size: 1. The degree of time the smallest activity consumes in the total work process. 2. The degree of tolerance required. 3. The reliability of results required. 12 Work Sampling Advantages: – The results are highly accurate, provided that random observations are made. – The technique does not require the services of a highly trained analyst. – The technique is fairly reasonable in terms of its installation cost. – The results can be gathered rather quickly. – Work sampling is well-suited for long- cycle work processes. 13 Work Sampling Disadvantages: – Some employees have a tendency to perform diligently/differently if, or when they know, they are being observed. – Procedures consisting of numerous minute activities are not suitable for work sampling. – To set standards, production records have to be used to determine units of output (such records are not always readily accessible.) – The use of work sampling is sufficiently complex that a trained analyst is needed. – Various elements of the process are somewhat difficult for employees to understand. 14 Time Study Definition: – “ uses a stopwatch to determine the amount of time each element of work process takes to complete.” Time study sheet: – Document used to record task completion times. 15 Time Study Steps in time study technique: 1. The job is broken into its basic elements. 2. The amount of time consumed by each element of a work process is recorded on a time study sheet, the process of which is repeated for several cycles. 3. The appropriate standards are based on the time consumed by each element of the process. Time technique used: – Continuous timing – Lapsed timing 16 Time Study Advantages: – Results in the development of accurate standards. – Produces more accurate results when measuring work processes comprised of minute elements. – Results in the development of standards that can be readily used for assessing the performance of employees. 17 Time Study Disadvantages: – The measurement process often requires the use of a trained analyst. – Office employees tend to have a negative reaction to standards determined by the use of a stopwatch. – The technique is not useful for measuring time-consuming elements of a work process. 18 Micromotion Study Definition: – A technique that makes a visual recording (motion, picture, video or digital video) of the process being studied, after which the recording is used to determine inefficiencies as well as the amount of time consumed by each element.” Microchrometer: – Timing device attached to the recording camera used in the micromotion 19 Micromotion Study Advantages: – It is extremely accurate. – It is well suited for analyzing the most minute elements of a work process. – It can also be used to simplify work processes because wasted motions appear on the recording. Disadvantages: – It is more costly than some of the other techniques. – Its use is limited to high-volume, costly work processes. – It requires the services of a trained analyst. 20 Predetermine Standard Time Data Definition: – “A technique that involves purchasing performance data that are used to determine the amount of time taken to complete each element of a work process.” 21 Predetermine Standard Time Data Steps in using predetermined standard time data: 1. The work process is broken down into its minute elements. 2. Each element is analyzed in terms of the motion involved. 3. To determine the appropriate standard, each motion of the work process is compared with the purchased predetermined standard time data. 4. The standard for the entire process is found by adding the standard times for each of the motions. 22 Predetermine Standard Time Data Advantages: – It results in accurate standards. – Employees tend to accept results readily because of the specificity of the process. – Application of process is fairly rapid. Disadvantages: – It is a costly technique. – It is not suitable for certain types of office operations. 23 Performance Leveling Definition: – “Process of adjusting work standards in light of work processes being performed, employee differences, effect of fatigue, and so forth.” 24 Work Standard Are based on the data collected through work measurement processes. They should not be set at such a level that only the most productive worker will be able to attain them. Nor should they be set at such a level that nearly every employee can attain them with putting forth little effort to do so. 25 Work Standard Advantages: – They help increase the efficiency with which employees perform their jobs. – They help inform employees of their expected production levels. – They assist managers in making personnel decisions, because employees who are performing beyond expected levels of production can be readily identified. – Because employees are aware of the procedures for performing their jobs, less supervision is needed and greater control over the work process is possible. – They provide the basis for incentive wage systems. – They help improve employee morale by making employees aware of what is expected of them. 26 Work Standard Three types of standards: – Quantity Standards Are expressed in units of output per unit of time. – Quality Standards Measure the accuracy and acceptability of work. – Descriptive Standards Identify what is acceptable in terms of the descriptive nature of something in an office, such as furniture. 27