Chapter 11 Work System Design What to Design? • Job design • Work Measurement design • Worker Compensation design Job Design • Job design is to specify the contents of a job or position. • Examples of questions to be answered in job design: – What is the job’s description? – What is the purpose of the job? – Where is the job done? – Who does the job? – What background, training, or skills are required to do the job? Feasibility Considerations of a Job • Technical feasibility – The job must be physically and mentally doable. • Economic feasibility – The cost of the job should be less than the value it adds. • Behavioral feasibility – How much satisfaction an employee feels from doing the job. Case of Google, p.413-414 • How jobs and job environment are designed Machine or People? - Should Job Be Automated? • Considerations: – Safety & risk of injury to workers – Repetitive nature of the task – Degree of precision required – Complexity of the task – Need for empathy, compassion, or other emotional elements – Need for personal customer relationships Labor Specialization • What is the breadth of a job. • The higher the level of specialization, the narrower is the employee’s scope of expertise required. • Although job satisfaction is associated with many specialized professional jobs, dissatisfaction is often associated with specialized non-professional jobs. Specialized Non-Professional Jobs Management’s View Advantages: • Readily available labor Disadvantages: • High absenteeism • Minimal training required • High turnover rates • Reasonable wages costs • Grievances filed • High scrap rates • High productivity 8 Specialized Non-Professional Jobs Employee’s View Advantages: • Minimal credentials required Disadvantages: • Boredom • Little growth opportunity • Minimal responsibilities • Little control over work • Minimal mental effort • Little room for initiative needed • Little intrinsic satisfaction • Reasonable wages 9 Eliminating Employee Boredom Enhance Employee Motivation • Job enlargement – Horizontal expansion of the scope of the work assigned. • Job enrichment – Vertical expansion of the job through increased worker responsibility. Example: • Adding work planning or inspection to a routine assembly task • Job rotation – Shifting workers to different tasks to increase understanding of the total process and reduce fatigue. Team Approaches Considered in Job Design • Problem-solving teams: – For workplace problems • Special-purpose task forces: – For highly-focused, short-term problem solving • Self-directed teams: – Integrated team approach for controlling portions of the process. Alternative Workplace • Some jobs are not necessarily carried out at the centralized work sites, office buildings, or work shops. • Alternative workplaces are made possible by technologies like Internet, email, cell phones, & video conferencing. Method Analysis • Method analysis is for designing the details of how a job is done. • The output of a Method Analysis process is a standard operating procedure for doing the job. • Job design tells the positions needed in an operation process; while method analysis tells the details of standard procedures of how each job is done. Key Steps in Method Analysis • Collecting information. • Chart the job operation by showing the steps involved. • Evaluate step by step to identify the unnecessary non-value-added activities. • Make suggestion on procedure of doing the job. A Method Analysis Case at FEAT Company (p.420-421) • Job: Solder wires to transformer. • Current layout of workstation: Fig. 11-3. • Current procedure: Process chart in Fig. 11-2 • How to improve the procedure? Work Environment • Work environment is a part of job design. • Environment of a work place include: temperature, humidity, ventilation, illumination, noise, color, decoration, supporting facilities, … Work Measurement • Work measurement is to determine the time a job takes (rather than “how” to measure a job). • Standard time of a job is how long the job should take. Uses of Standard Time • With the benchmark of standard times for jobs, the company can – Cost a product and price a product; – Evaluate workers’ performance; – Plan and schedule facilities and workers. Methods of Setting Standard Times • • • • Time study Elemental time data Predetermined time data Work sampling Time Study • Time study is to determine the standard time of a job by actually observing the operator. • The operator knows he is observed for setting the standard time. Keys in Time Study • Break the job into small elements that are easy to observe. • Calculate number of observations required. • Time each element. • Summarize the results, considering relevant human factors. How Many Observations? • Take a trial sample of observations (10 for example), find out its mean X and standard deviation s. • Calculate minimum observations, n: where z s n a X 2 z= number of standard deviations for desired confidence, see Table 11-3 on p.425; a = desired accuracy as % of mean time x , 5% for example. Performance Rating Factor (PRF) • PRF is an attempt to counterbalance any unusual patterns noted in the observed work pace, for example, deliberately working slowly or faster. • Average work pace: PRF=1. • Slower than average: PRF<1. • Faster than average: PRF>1. Frequency of Occurrence (F) • It indicates how often a work element must be done in each work cycle (the process to finish a job). • If an element is done in every cycle, then F=1. • If an element is done once in every N cycles, then F=1/N. PFD Factor • PFD factor shows the percent of efficiency decrease due to personal time, fatigue, or unavoidable delays when workers continue to work on a job for hours. • PFD=12%, for example, indicates an estimate that worker’s efficiency will decrease by 12% from the normal if continuing to work on the job for hours. Allowance Factor (AF) • AF is the factor taking PFD (personal time, fatigue, and unavoidable delay) into account. • For setting standard work times, AF is calculated as: 1 AF 1 PFD Note: Discussions of AF in the textbook on p.427 are confusing. Ignore the concept of AFjob. Steps for Setting Standard Times of an Element by Time Study (1) • Run about a few (10 for example) trial observations on the work time of the element. Calculate the average observed time of the element x and standard deviation s. Steps for Setting Standard Times of an Element by Time Study (2) • Determine number of observations required, 2 n: z s n a X where z= number of standard deviations for desired confidence, see Table 11-3 on p.425; a = desired accuracy as % of mean time x , 5% for example. Steps for Setting Standard Times of an Element by Time Study (3) • Run more observations on the work time of the element so that number of total observations, including the initial trial 10, equals to n. • Based on the n observations, calculate the average time which is called mean observed time (MOT). Steps for Setting Standard Times of an Element by Time Study (4) • Figure out “performance rating factor (PRF)” of the worker who was observed in the time study. • Figure out “frequency of occurrence (F)” of the element. • Calculate normal time NT: NT = (MOT)(PRF)(F). Steps for Setting Standard Times of an Element by Time Study (5) • Figure out the “factor for personal time, fatigue, and unavoidable delay (PFD)”. • Calculate “allowance factor AF”: 1 AF 1 PFD Note: Ignore the formula AF=1+PFDgiven in book. • Calculate “standard time ST” of the element: ST = (NT)(AF). Standard Time of a Job • After finding out the standard time of every element of a job, the standard time of the job is the sum of the standard times of all those elements. Elemental Time Database • It is the database of standard times of job elements from previous time studies. • If a job contains some elements that are already stored in the database, then new time studies for those elements are not necessary. • Adjustment may be needed. Predetermined Time Database • It is the published database of elemental times. • It is used for setting the job time without doing new time studies. • One TMU (time measurement unit) equals to 0.0006 minute or 0.036 seconds. • Example: p.430 Work Sampling • Working sampling is technique for setting the proportion of time a worker spends on a particular activity. • Compared to time study, work sampling does not time the activity; instead, it makes a bunch of random observations to identify the percent of time the worker is doing the activity. How Many Observations? • Take a trial sample of observations (30 for example), find out proportion p of doing the activity in this sample. • Calculate minimum observations, n: 2 where z n p(1 p) e z= number of standard deviations for desired confidence, see Table 11-3 on p.425; e = desired accuracy as % of true proportion, 3% for example. Steps of Doing Work Sampling • Run 30 trial observations. p = (number of times doing the activity) / 30. • Calculate number of observations: 2 z n p(1 p) e • Run (n-30) more observations. • Calculate p based on n observations p = (number of times doing the activity) / n. To Know Time Spent on an Activity • Two ways to get the information about a worker’s time spent on an activity among some other activities: – Direct observation as in time study; – Random checking as in work sampling. • These are also two ways of evaluating work pace and efficiency in management. Compensation • Time-based system • Output-based system • Group incentive plan – Profit sharing – Gain sharing (sharing the saved cost) • Individual incentive or group incentive? Learning Curve n log2x • Tx = T1 * L = T1 * L • where Tx=time required to do the job for the x-th time, T1=time required to do the job for the first time, L= learning curve rate, between 0 and 1, n = number of times the repeating time is doubled to reach x. n and x n log2 x If x 1, thenlog21 0; If x 2, thenlog2 2 1; If x 3, thenlog2 3 1.585; If x 4, thenlog2 4 2; If x 5, thenlog2 5 2.322; If x 6, thenlog2 6 2.585; If x 7, thenlog2 7 2.807; If x 8, thenlog2 8 3; If x 9, thenlog2 9 3.17; Example • The first time a task took a worker 12 hours to complete. Suppose the learning curve rate is 85%. How long it would take that worker to do the same task for the 16th time. • The repeating time is doubled 4 times (2,4,8,16) to reach 16. So, T16 = 12 * 0.854 = 12*0.522 = 6.26 hrs Ideas Contained in Learning Curve • It would take less and less time for a worker to do a job again and again. • The performance time would decrease by a certain rate after the number of times repeated doubles. Learning Curve Coefficient Table • Table11-9, p.437, provides values learning n log x curve coefficient, LCCx= L = L , so that Tx=T1* LCCx. • The first column are values of x. • Five learning curve rates, L’s, are in the table. • For each rate L, “unit time” column gives values of LCCx, “total time” column gives cumulative LCC values LCC1+LCC2+LCC3+... 2 Example p.436 • Estimate the time to complete an order of 24 conveyor bucket systems. Suppose the first system is estimated to need 120 hours, and learning curve rate L=85%. (1) Time to finish the 12th system? (2) Time to finish the 24th system? (3) Total hours needed for all the 24 systems? Use of Learning Curve • Learning curve is important in planning labor and resource needed, scheduling, and estimating cost for internal production or negotiation with the contractor to do the production. Sensitivity of L on the Result • The learning curve result is sensitive to value of rate L, as below, assuming T1=1. Total Production Cost Production amount Learning curve rate 85% Learning curve rate 87% % Cost Increase 1 1.0 1.0 0.0 10 5.8 6.3 8.6 100 34 39.6 16.4 1,000 198 249.6 26.1 10,000 1153.8 1571.6 36.2 100,000 6724.7 9895.5 47.2 How to Determine Rate L? • From the historical records on the same or similar job. • Do experiments if possible. • Subjective estimate based on experience. • Since value of L affects the result of learning curve calculation significantly, be cautious. A pragmatic method is to give the range of rate L, instead of a single value.