Subject: IE and PM

Assignment 1
Question 1. What is the contribution of various industrial engineering Guru’s for the
development of Industrial Engineering discipline?
Answer 1.
1. Frederick Winslow Taylor (1856-1915, Philadelphia, Pennsylvania, USA):
He is known for ‘Father of Scientific Management’. He states the principles of scientific
management as-
a.) Study each task scientifically and develop best way of developing it.
b.) Eliminate the rule of thumb
c.) Train, develop and assign each employee
d.) Give details and instructions to each worker.
f.) Divide work equally among manager and workers so both planning and efficiency of plant is
maintained.

2. S.R.Frank Bunker Gilbreth (1968-1994, Fairfield, Maine):

He is known for ‘Father of Time & Motion Study’. His management theory outlined three main
points:
a.) Reduce the number of motion in task.
b.) Focus on the incremental study of motion and time.
c.) Increase efficiency to increase profit and work satisfaction.

3.Henry Laurence Gantt: (1861-1919, Calvert County):

He is knowns for development of Gantt chart. Gantt chart is horizontal bar chart that provides
a graphical illustration of a schedule that helps to plan, coordinate, and track specific tasks in a
project.

4.Richard Muther(Born in 1913 (alive), Newton, Massachusetts, USA):

He is known as father of systematic planning. He developed many basic technique used in
plant layout, material handling and other aspects of industrial engineering. He developed the
relationship chart(REL-CHART) which is basis for various techniques which are used to optimize the
proximity of related functions and minimize unnecessary transportation in industrial facilities.

Question 2-Give various definitions of industrial engineering and explain its significance?
Answer- “The branch of engineering that is concerned with designing and managing systems to
make the best use of industrial resources such as workers, materials, equipment, and information is
known as industrial engineering”. This signifies that industrial engineering is responsible not only for
the development of any equipment or material but also for their optimum use.
Another definition says that “it is the specialised branch of engineering which is responsible for
the designing and optimization of complex systems and processes” which means that it is not only
restricted to industry but to the optimization of every process, system or organisation.
 According to AIIE(American Institute of Industrial engineering), industrial engineering is
concerned with the development, improvement, and implementation of integrated systems of
people, money, knowledge, information, equipment, energy, materials, analysis and synthesis, as well
as the mathematical, physical and social sciences together with the principles and methods of
engineering design to specify, predict, and evaluate the results to be obtained from such systems or
processes

Question 3- Explain the functions of industrial engineering department?

Answer- Industrial engineering plays an important role in any organisation whereas it has
different functions which support manufacturing and service operations in order to improve
productivity, safety and workers welfare. There are various functions of industrial engineering, some
are stated below as-
Method engineering- It is the subspecialty of industrial engineering concerned with the human
integration in production process. This helps the method engineer to utilize the human in the process
of converting raw material into finished one in an efficient manner.

Work measurement- This technique is used to determine the standard time required to
complete a unit of work. In this standard time signifies the time required by an experienced worker to
complete the given task with normal speed.

Planning of facilities and handling of material- It is also beneficial in formulating the methods
of material handling which is one of the most important function in the production process.

Production planning and control- It also plays an important role in the production planning
process and decides the flow of material.

Advance concepts and strategies- The function of industrial engineering is not only to optimize
the process but it also the reason of development of various advance concepts and strategies
continuously.
1) What are the functions of an Industrial Engineer in a typical business organization?

Industrial engineers make the processes, products and system better.

The typical focus areas include:
1. Project management
2. Manufacturing, production and distribution
3. Supply chain management
4. Quality measurement and improvement
5. Program management
6. Ergonomics and human factors
7. Strategic planning
8. Financial engineering

Project Management:
 Develop the detailed work breakdown structure of complex activities and form them into an
integrated plan
 Provide time based schedules and resource allocations for complex plans or implementations
  Use project management techniques to perform Industrial Engineering analyses and
investigations
 Conduct facility planning and facility layout development of new and revised production plants
and office buildings
 Form and direct both small and large teams that work towards a defined objective, scope &
deliverables
 Perform risk analysis of various project options and outcomes

Manufacturing, Production and Distribution:

 Participate in design reviews to ensure manufacturability of the product.
 Determine methods and procedures for production distribution activity
 Create documentation and work instructions for production and distribution
 Manage resources and maintain schedule requirements to meet required production and
distribution schedules
 Process Optimization utilizing Simulation tools (Arena, etc)
 Facilitate and Lead process improvement teams

Supply Chain Management:

 Manage Supplier relationships
 Managing and report on company Supplier Cost Performance Indices to management
 Audit Suppliers and ensure supplier processes and procedures are being followed
 Travel to suppliers to resolve issues and Coordinate first article Inspections
 Work with Outsource Manufacturers to ensure product quality, delivery and cost, is
maintained

Quality Measurement and Improvement:

 Resolve quality-related issues in all aspects of the business
 Work with design and production teams and outsource manufacturers to ensure product
quality is maintained during the design and production phases
 Audit defined processes and procedures to ensure that they are being followed
 Coordinate and Facilitate 3rd Party Quality Audits
 Provide refresher training on procedures for company personnel on Quality and process-
related issues, including the use of analytical tools and techniques such as SPC, Six Sigma, etc.
 Manage and resolve issues with incoming material through the Receiving process

Program Management:
 Develop proposals for new programs
 Manage program/project teams to ensure program stays on schedule, on budget,
 and meets performance expectations
 Coordinate a matrix of team member across departments within an organization to ensure
completion of project tasks.

Ergonomics/Human Factors:
 Ensure Human Factors Engineering is utilized in New Product Design
  Ensure Human Factors Engineering disciplines are utilized in production setup and
configuration
 Ensure company Ergonomics policies are defined to minimize causes of employee injury and
discomfort

Strategic Planning:
 Develop long range planning models, typically 5-10 years in scope
 Model all areas affected by operation
 Identify anticipated investment in plant, capacity, network, etc
 Tie to preliminary production cost, operational cost, sales forecasts
 Develop preliminary financial impacts, including profitability and ROI

Financial Engineering:
 Determine production costs using specific cost based methodology
 Develop budgets, forecasts for operating cost centers
 Measure actual performance v/s budget goals and investigate variance
 Develop capital and expense budgets for capacity expansion
 Perform cost analysis/justification for capital and expense expenditures
 Perform make v/s buy v/s lease analyses

Question 4- What are the desired qualities to be a successful industrial engineer?

Answer- Industrial engineer is a person who works for the optimum use of available resources like
men, material, money, information and energy. They device a system to integrate the available
resources and uses them for the development of product and services. Inspite of this there are various
other qualities which are required by industrial engineer as-

a.) Critical Thinking - Uses logic and reasoning to identify the strengths and weaknesses of alternative
solutions, conclusions or approaches to problems.
b.) Complex Problem Solving - Identifying complex problems and reviewing related information to
develop and evaluate options and implement solutions.
c.) Monitoring - Monitoring/Assessing performance of yourself, other individuals, or organizations to
make improvements or take corrective action.
d.) Systems Evaluation - Identifying measures or indicators of system performance and the actions
needed to improve or correct performance, relative to the goals of the system.
e.) Management of Material Resources – Capable of obtaining and seeing to the appropriate use of
equipment, facilities, and materials needed to do certain work.
f.) Negotiation - Bringing others together and trying to reconcile differences.
g.) Instructing - Teaching others how to do something.
h.) Social Perceptiveness - Being aware of others' reactions and understanding why they react as they
do.
 Question 5- Explain the interface between Quality and Productivity? What are
various types of productivity? Explain the various factors affecting productivity?
Answer – Quality can be defined as the standard of needs but productivity is the
ratio of output and input of resources. There is strong interface between quality
and productivity as quality increases productivity also increases because there
is less number of rejection occurs but this is true for certain level because if we
focus very much on quality then it led extra expenditure.

There are four types of productivity as

 Labour productivity is the ratio output per person. Labour productivity measures
the efficiency of the labour in the transformation of something into a product of
higher value.

Labour productivity = (Total output/no. of labour indulged)

 Capital productivity is the ratio of output (goods or services) to the input

of physical capital. Improving physical capital (known as capital
deepening) typically yields an increase in output.

Capital productivity = (Total revenue/ total input cost)

 Material productivity is the ratio of output to the input of materials (also known
as natural resources). In software development, there are very little material or
natural resources that are used. Material productivity plays a larger role when
considering the manufacture of hardware/software packages, such as an ATM.

 Total Factor productivity (TFP) is not a simple ratio of output to input, but rather
it is a measure that captures everything that is not captured as labour, capital or
material productivity. Factors included in total factor productivity include
attributes like changes in general knowledge, the use of organizational
structures, management techniques, or returns on the scale.

The factors effecting productivity are as follows:

1. Internal: These include which are occurring within the organisation

and can be controlled. These are as:
a. Working atmosphere
b. Fatigue
c. Salary of employees
d. Safety
 e. Technical advancement

2. External: These include which are occurring outside the organisation

and can’t be controlled. These are as follows:
a. Seasonal variations
b. Government policies

Question 6:- What is the impact of productivity on standard of living?

Answer- Productivity of any nation has a direct impact on the standard of living.
Higher productivity is the basis for living of higher standards.

Productivity increase leads to the growth of economy and hence the income, which
increases the capability of people to purchase newer goods. Though the standard of living is
more volatile, we can easily deduce from the logical concept that a high productivity is the basis of enjoying a
high living standard. That is to say, productivity and standard of living indeed have a close link, and the former
influences the latter greatly. It is certain that the level of productivity is the most important determinant of a
certain country's standard of living, with faster productivity growth leading to an increasingly better standard of
living.

In a longer run this will also affect the quality of education imparted to students
in the nation in a better way, which will in turn reflect in industrial Productivity.

Question 7: - Explain the Maslow’s theory of hierarchy of needs and its

significance?

Answer: - The theory is given by Abraham Maslow, who postulated that there
are essential needs for every individual and arrange themselves in hierarchical
pattern. Maslow argues that it is possible for any individual to start gear-up in
next hierarchy level if one’s need becomes largely satisfied. The hierarchy level
is as follows: -

self actualisation

fulfilment recognition affiliation

security
physiological

Maslow’s Hierarchy of needs

1. Physiological needs: - These are the basic needs that must be met to
sustain life. These basic needs are mentioned as food, shelter and
clothing. Satisfying these needs will be the primary concern of any person
 and until the one has not succeeded to attain these will not be concerned
with any other issues.

2. Security: - This will be the next level of hierarchy in Maslow theory and
once worker feel reasonably satisfy to meet their physiological needs, they
will seek to satisfy the next need of hierarchy, that we called security.
Security is taken to mean a feeling of protection against physical and
psychological harm, as well as security of employment.

3. Affiliation: - This level is for workers who have already satisfied both their
physiological and their security needs, the next motivating factor is that of
affiliation, that is wanting to belong to a group or an organization and to
associate with others.

4. Recognition: - This is the next on hierarchy scale. When an individual meet

all the needs of affiliation then want to be recognized by others.

5. Fulfilment: - When an individual reached this level then they express the
desire to get opportunities to show their talent.

6. Self-actualisation: - This is the upper most level in the hierarchy table.

When an individual is present at this level of hierarchy they reached the
condition of self-satisfaction and having desire to do something for others
and they all are also capable of doing this.

Most people satisfy some of these needs in part and are left with some that are
unsatisfied. In developing countries people are probably preoccupied more with
their basic needs. In developed countries, on the other hand, where
physiological and security needs are normally met in large part, people would
seem to be motivated more by needs at the upper end of the hierarchy.

Question 08- List and explain the various productivity improvement techniques?

Answer- The various productivity improvement techniques are as follows:

1. Value engineering
2. Quality circle
3. Financial and non-financial incentives
4. Heijunka
5. Kaizen
 6. Poka-yoke
7. Total productivity management
8. Just-in-time
9. Job evaluation
10. Training

1. Value Engineering: It is the process of improving the value of a product at

every stage of the product life cycle:
At the development stage, it improves the value of a product by reducing
the cost without reducing quality.
At the maturity stage, it reduces the cost by replacing the costly
components (parts) by cheaper components.

2. Quality Circles (QC): It was introduced in 1960 in Japan. QC is a small group

of employees who meet regularly to identify, analyse, and solve problems in
their department. The QC members advise the management to implement
new methods to solve work-related problems. QC increases the productivity.

3. Financial and non-financial incentives : The organization must motivate the

employees by providing financial and non-financial incentives.
# Financial incentives include better wages and salaries, bonus, etc.
# Nonfinancial incentives include better working conditions, welfare
facilities, worker's participation
in management, etc.

4. HEIJUNKA: Heijunka focuses on achieving consistent levels of production. It

is defined as distributing the production of different body types evenly over
the course of a day.

5. KAIZEN Techniques: Kaizen (Continuous improvement) is a management

supported employee driven process where, employees make a great number
of continuous improvement efforts.
6. Poka-Yoke: It is powerful and comprehensive method of „error proofing‟. A
work process to eliminate inadvertent errors to ensure quality products and
services. It helps in defect prevention and defect detection.

7. Total Productive maintenance (TPM): TPM is keeping machines in good

working condition through systematic maintenance of equipment so that
they fail less frequently and production process continues without
interruption.

8. JIT is a management philosophy aimed at eliminating waste from every

aspect of manufacturing and its related activities. The term JIT refers to
 producing only what is needed, when it is needed and in needed quantity.
The aim of JIT in a factory is to reduce lead times, minimise inventory, reduce
the defect rate to zero and accomplish all the above at minimum cost.

9. Job Evaluation is a process of fixing the value of each job in the organization.
It is done to fix the wage rate for each job. A proper job evaluation increases
the moral of the employees. This increases the productivity.

10. Training: It is a process of increasing the knowledge and skills of the

employees. Training is a must, for new employees and experienced
employees. It increases the efficiency of the employee. Thus, it results
in higher productivity.

Question 9- Define basic work content? What are the causes of excess work
content? How to reduce excess work content?

Answer- “The basic work content is the irreducible minimum time

theoretically required to produce one unit of output”. The causes of excess
work content are as follows: -

1. Work content added by poor design or specification of product or its parts,

or improper utilization of materials
a. Poor layout and utilization of space Waste of materials
b. Poor design and frequent design changes
c. Incorrect quality standards

2. Work content added by inefficient methods of manufacture or operation

a. Poor layout and utilization of space
b. Inadequate materials handling
c. Frequent stoppages as production changes from one product to
another
d. Ineffective method of work
e. Poor planning of inventor
f. Frequent breakdown of machines and equipment

3. Work content resulting mainly from the contribution of human resources

a. Absenteeism and lateness
b. Poor workmanship
 c. Accidents and occupational hazards

Excess work content can be reduced by following: -

a. Product development: It reduces work content due to poor design.

b. Proper material utilization: It reduces and utilizes waste.

c. Quality control: Ensures proper standards and inspection methods.

d. Better layout and process planning: It reduces unnecessary movements.

e. Materials handling: Adapted to reduce activity time and effort.
f. Production planning and control: It reduces ineffective time.

g. Methods study of an activity: It reduces work content due to poor methods

of work.

h. Inventory control: To define appropriate and most economical inventory

levels.

i. Preventive maintenance: Ensures longer life and continuous run of

machines and equipment.

j. Proper management and personnel policy: Can create a satisfying working

environment.

k. Training: It can develop appropriate skills.

l. Better working conditions: It improves morale and reduces absenteeism.

Question 10- Define method study? Explain step by step procedure of it?

Answer- “Method study is the systematic recording and critical examination of

ways of doing things to make improvements”. It is concerned with the reduction
of the work content of a job or operation. The step by step procedure of method
study is stated as follows:

(1) Select the job or process to be studied.

(2) Record or collect all relevant data about the job or process, using the most
suitable data collection techniques, so that the data will be in the most
convenient form to be analysed.

(3) Examine the recorded facts critically and challenge everything that is done,
considering in turn: the purpose of the activity; the place where it is performed;
the sequence in which it is done; the person who is doing it; the means by
which it is done.

(4) Develop the most economic method, considering all the circumstances and
drawing as appropriate on various production management technique, as well
as on the contributions of managers, supervisors, workers and other specialists
with whom new approaches should be explored and discussed.

(5) Install the new method, training those involved, as an agreed practice
with the allotted time of operation.

(6) Maintain the new standard practice by monitoring the results and
comparing them with the original targets.

Question 11- Demonstrate the application of various recording techniques

used for method study with the help of suitable caselets?

Answer- Method Study is frequently required to critically examine the movement

of material and men during manufacturing. It is required for:

a. Determine whether any wasteful/unnecessary movement of the object is

taking place and
b. Find most effective way of carrying activity.

Common Tools are:

1. String Diagram
2. Flow Diagram
3. Travel Chart
4. Multiple activity chart
String Diagram: is a scale plan on which a thread is used to trace and measure
the path of subject during specified sequence of events/movements. It is useful
to measure the movement where it is irregular movement.

APPLICATIONS:

i. To find the distance moved by man/materials during operation and its

frequency;
ii. Visual impact of frequency and nature of movements
iii. To assess the suitability of shifting the stations and sections between
which too much flow of material takes place.

Travel Chart: is used when movements are very complex. Travel chart is quick
and more effectively manageable recording technique. Travel chart is a tabular
record for showing movements between stations. It is a square table and each
square within table represents a station.

Elements of Work for Process Charts:

There are five basic elements of work: Operation, Inspection, Transportation,

Delay, and storage. Table gives the definitions and symbols by which these
elements are represented. Also given in the Table are examples of each
element.

Sometimes, more than one element occur simultaneously. It is shown as

combined element with combined symbol. Examples are “Operation in
combination will inspection”, and “Inspection in combination with
Transportation”.

Operation Process Chart:

An operation process chart provides the chronological sequence of all

operations and inspections that occur in a manufacturing or business process. It
also shows materials used and the time taken by operator for different elements
of work. Generally a process chart is made for full assembly, that is, it shows all
the operations and inspections that occur from the arrival of raw material to the
packaging of the finished product.

Flow Process Chart:

A flow process chart is used for recording greater detail than is possible in an
operation process chart. It is made for each component of an assembly rather
than for the whole assembly.

A flow process chart shows a complete process in terms of all the elements of
work. There are two main types of flow charts: product or material type, and
the operator type . The product type records the details of the events that occur
to a product or material, while the operator flow chart details how a person
performs an operational sequence.

An important and valuable feature of this chart is its recording of non-productive

hidden costs, such as delays, temporary storages, unnecessary inspections,
and unnecessary long distances travelled. When the time spent on these non
productive activities is highlighted, analyst can take steps to minimize it and
thus reduce costs.

Operator Process Chart :

It is also called Left Hand – Right Hand chart and shows the activities of hands
of the operator while performing a task. It uses four elements of hand work:
Operation, Delay (Wait), Move and Hold. Its main advantage lies in highlighting
un-productive elements such as unnecessary delay and hold so that analyst can
take measures to eliminate or shorten them.

Multiple Activity Chart:

Worker-Machine process chart and gang process chart fall in the category of
multiple activity charts. A worker-machine chart is used for recording and
analyzing the working relationship between operator and machine on which he
works. It is drawn to time scale. Analysis of the chart can help in better utilization
of both worker and machine time. The possibility of one worker attending more
than one machine is also sought from the use of this chart.

A gang process chart is similar to worker-machine chart, and is used when

several workers operate one machine. The chart helps in exploring the
possibility of reducing both the operator time and idle machine time.

Simo Chart:

A Simo chart is another Left-Hand Right-Hand chart with the difference that it is
drawn to time scale and in terms of basic motions called therbligs. It is used
when the work cycle is highly repetitive and of very short duration.

Question 12- List and demonstrate the application of various principles of

motion economy?

Answer- There are a number of "principles" concerning the economy of

movements which have been developed as a result of experience and which
form a good basis for the development of improved methods at the workplace.
They may be grouped under three headings: A. Use of the human body B.
Arrangement of the workplace C. Design of tools and equipment They are useful
in shop and office alike and, although they cannot always be applied, they do
form a very good basis for improving the efficiency and reducing the fatigue of
manual work. The ideas expounded by Professor Barnes1 are described here in
a somewhat simplified fashion.

A. Use of the human body

When possible:

(1) The two hands should begin and complete their movements at the same
time.

(2) The two hands should not be idle at the same time except during periods
of rest.
(3) Motions of the arms should be symmetrical and in opposite directions
and should be made simultaneously.

(4) Hand and body motions should be made at the lowest classification at
which it is possible to do the work satisfactorily.

(5) Momentum should be employed to help the worker, but should be

reduced to a minimum whenever it has to be overcome by muscular effort.

(6) Continuous curved movements are to be preferred to straight-line motions

involving sudden and sharp changes in direction.

(7) "Ballistic" (i.e. free-swinging) movements are faster, easier and more
accurate than restricted or controlled movements.

(8) Rhythm is essential to the smooth and automatic performance of a

repetitive operation. The work should be arranged to permit easy and natural
rhythm whenever possible.

(9) Work should be arranged so that eye movements are confined to a

comfortable area, without the need for frequent changes of focus.

B. Arrangement of the workplace

(1) Definite and fixed stations should be provided for all tools and materials to
permit habit formation.

(2) Tools and materials should be pre-positioned to reduce searching. (3)

Gravity feed, bins and containers should be used to deliver the materials as
close to the point of use as possible.

(4) Tools, materials and controls should be located within the maximum working
area and as near to the worker as possible.

(5) Materials and tools should be arranged to permit the best sequence
of motions.

(6) "Drop deliveries" or ejectors should be used wherever possible, so that the
operative does not have to use his or her hands to dispose of the finished
work.

(7) Provision should be made for adequate lighting, and a chair of the type
and height to permit good posture should be provided. The height of the
workplace and seat should be arranged to allow alternate standing and sitting.
(8) The colour of the workplace should contrast with that of the work and
thus reduce eye fatigue.

C. Design of tools and equipment

(1) The hands should be relieved of all work of "holding" the workpiece
where this can be done by a jig, fixture or foot-operated device.

(2) Two or more tools should be combined wherever possible.

(3) Where each finger performs some specific movement, as in typewriting, the
load should be distributed in accordance with the inherent capacities of the
fingers.

(4) Handles such as those on cranks and large screwdrivers should be so

designed that as much of the surface of the hand as possible can meet the
handle. This is especially necessary when considerable force has to be used on
the handle.

Question 12: List and demonstrate the applications of various principles

of motion economy.

Answer: 1. Use of Human Body

 The two hands should begin motions at the same time.

 The two hands should not be idle at the same time except during rest
periods.
 Motions of the arms should be made in opposite and symmetrical directions
and should be made simultaneously
 Hand motions should be confined to the lowest classification with which it
is possible to perform the work satisfactorily:

1. Finger motions
2. Wrist motions
3. Forearm motions
4. Upper arm motions
5. Shoulder motions

 Momentum should be employed to assist the worker whenever possible,

and it should be reduced to a minimum if it must be overcome by
muscular effort.
  Smooth continuous motions of the hands are preferable to zigzag motions
or straight-line motions involving sudden and sharp changes in direction.
 Ballistic (i.e. free swinging) movements are faster, easier and more
accurate than restricted or controlled movements.

Application: Typists make use of their fingers according to the reach and
capability of each fingers. The load of typing is distributed over all the fingers.

2. Arrangement of the Work Place

 There should be a definite and fixed place for all tools and materials.
 Tools, materials, and controls should be located close in and directly in front
of the operator.
 Drop delivers should be used whenever possible.
 Materials and tools should be located to permit the best sequence of motions.
 Arrange the height of the workplace and chair for alternate sitting and
standing, when possible.
 Provide a chair of the type and height to permit good posture.

Application: Position of the PC’s monitor is kept according to convenience of

the employee. Chair is also provided for attaining appropriate height. This leads
to better ergonomics and good efficiency/productivity of person.

1. Design of Tools and Equipment

 Combine tools whenever possible.

 Preposition tools and materials.
 Where each finger performs some specific movement, the load should be
distributed in accordance with the inherent capacities of the fingers.
 For light assembly, a screwdriver handle should be smaller at the bottom.
 Momentum should be used to help the worker in doing their task not to
increase their task.

Applications: For light assembly, a screwdriver handle should be smaller at the

bottom

2. Time Conservation

 Even a temporary delay of work by a man or machine should not be

encouraged.
 Machine should not run idle, it is not desirable that a lathe machine is running
and its job is rotating but no cut is being taken.
 Two or more jobs should be worked upon at the same time or two or more
operations should be carried out on a job simultaneously if possible.
 Number of motion involved in completing a job should be minimized.

Application: During breaks, the machine can be utilised by substituting the

operator. The machine, if kept idle will not be productive.
Industrial Engineering &
Productivity
Management
Assignment-2
TIME STUDY

NKB HARISH AnAnD

PGDIE:1801065

SECTION:D
Name: NKB Harish Anand Roll No: 1801065(IE)

IE & PM ASSIGNMENT-2: TIME STUDY

1. Define Time Study? What are the objectives of it? Explain the step by
step procedure of it?

Time study is a work measurement technique for recording the times of

performing a certain specific job carried out under specified conditions and for
analyzing the data so as to obtain necessary for operator to carry it out at defined
rat It is the most versatile and the most widely used technique of work
measurement.

Time study is a technique to estimate the time to be allowed to a qualified and

well-trained worker working at a normal pace to complete a specified task by using
specified method.

This technique is based on measuring the work content of the task when
performed by the prescribed method, with the allowance for fatigue and for
personal and unavoidable delays

Objective:- The main objective of time study is to determine by direct

observation, the quantum of human work in a specified task and hence to establish
the standard time, within which an average worker working at a normal pace should
complete the task using a specified method.

Procedure:-
The procedure for time study can best be described step-wise, which
are.

i. Define objective of the study. This involves statement of the use of the result, the
precision desired, and the required level of confidence in the estimated time
standards.
ii. Verify that the standard method and conditions exist for the operation and the
operator is properly trained. If need is felt for method study or further training of
operator, the same may be completed before starting the time study.
iii. Select operator to be studied if there are more than one operator doing the
same task.
iv. Record information about the standard method, operation, operator, product,
equipment, and conditions on the Time Study observation sheet.
v. Divide the operation into reasonably small elements, and record them on the
Time Study observation sheet.
Name: NKB Harish Anand Roll No: 1801065(IE)

vi. Time the operator for each of the elements. Record the data for a few number of
cycles on the Time Study observation sheet. Use the data to estimate the total
number of observations to be taken.
vii. Collect and record the data of required number of cycles by timing and rating the
operator.
viii. Calculate the representative watch time for each element of operation. Multiply
it by the rating factor to get normal time.

Normal time = Observed time x Rating factor

Calculate the normal time for the whole operation by adding the normal time of its
various elements.

ix. Determine allowances for fatigue and various delays.

x. Determine standard time of operation.: Standard time = Normal time +
allowance.

2. Define an element? What are different types of elements used in Time

study? What is the significance of breakdown of work cycle into various
elements?

An element is a distinct part of specified job selected for convenience of

observation, measurement & analysis.Eight types of element are distinguished and
given below

i. A Repetitive element is an element which occurs in every work cycle of an

operation.
 Examples: the element of picking up a part prior to an assembly operation;
the element of locating a workpiece in a holding device.
ii. An Occasional element is an element which does not occur in every work cycle of
an operation but which may occur at regular or irregular intervals.
 Examples: adjusting the tension, or machine setting; receiving instructions
from the supervisor.
 The occasional element is useful work and a part of the job. It will be
incorporated in the final standard time for the job.
iii. A Constant element is an element for which the basic time remains constant
whenever it is performed.
 Examples: switch on machine; gauge diameter; screw on and tighten nut;
iv. Variable element is an element for which the basic time varies in relation to
some characteristics of the product, equipment or process, e.g. dimensions,
weight, quality, etc.
Name: NKB Harish Anand Roll No: 1801065(IE)

 Examples: sweep floor (varies with area); push trolley of parts to next shop
(varies with distance).
v. Manual element is an element performed by a worker.
vi. Machine element is an element performed automatically by any process,
physical, chemical or otherwise that, once started, cannot be influenced by a
worker except to terminate it prematurely.
 Examples: anneal tubes, fire tiles; form glass bottles; press car body shell
to shape; most actual cutting elements on machine tools.
vii. Governing element is an element occupying a longer time within a work cycle
than that of any other element which is being performed concurrently.
 Examples: turn diameter on a lathe, while gauging from time to time; boil
kettle of water, while setting out teapot and cups
viii. Foreign element is an element observed which does not form a part of the
operation being studied.
 Examples: in furniture manufacture, sanding the edge of a board before
planning has been completed.

Significance for a detailed breakdown into elements is necessary:

i. To ensure that productive work is separated from unproductive activity.
ii. To permit the rate of working to be assessed more accurately than would be
possible if the assessment were made over a complete cycle.
iii. To enable the different types of element to be identified and distinguished, so
that each may be accorded the treatment appropriate to its type.
iv. To enable elements involving a high degree of fatigue to be isolated and to make
the allocation of fatigue allowances more accurate.
v. To facilitate checking the method so that the subsequent omission or insertion of
elements may be detected quickly.
vi. To enable a detailed work specification to be produced.
vii. To enable time values for frequently recurring elements, such as the operation of
machine controls or loading and unloading work pieces from fixtures, to be
extracted and used in the compilation of standard data.
Name: NKB Harish Anand Roll No: 1801065(IE)

3. Compare cumulative timing with flyback timing method used for time study?

S.No FLYBACK TIMING CUMULATIVE TIMING

The watch runs continuously
The hands of the stopwatch are throughout the study. It is started at
returned to zero at the end of each the beginning of the first element of
1.
element and are allowed to start the first cycle to be timed and is not
immediately. stopped until the whole study is
completed
The individual element times are
The time for each element being
2. obtained by successive subtractions
obtained directly
after the study is completed
In Practice there is usually a small The elapsed time and recorded time
difference owing to the cumulative loss should be identical since the stop-
3.
of very small fractions of time at the watch is only read and not snapped
return of the hand to zero (±2 percent). back.
More time required for post
4. Less time required for post calculations calculations & are prone to errors in
calculation
Used for experienced person who can
Used by less experienced person in
5. reduce the errors while quickly
noting down the readings.
resetting the hand to zero.
The overall time of the study will not
The overall time of the study will be be affected. Foreign elements and
6. affected when any non-value added interruptions are automatically
activity is done in between the study. included since the watch is never
stopped.
Fly back timing can be more safely used
Cumulative timing is likely to be more
in jobs with long elements and cycles,
7. accurate for short-element short-cycle
since the error becomes too small to
work
matter
Both mechanical & electronic devices
8. Electronic devices are best suited
are best suited.
Name: NKB Harish Anand Roll No: 1801065(IE)

4. What are different types of allowances used in Time study? Explain

the significance of it?

Allowances in time study can be defined as the extra time figures which
are to be added to the basic time of an operation to account for personnel
desires, delays, fatigue of operators, any special situation and the policies of the
firm or organization.
Various allowances used in industries for calculation of work content are
given below
i. Relaxation allowances -
 Relaxation allowance is an addition to the basic time intended to provide
the worker with the opportunity to recover from the physiological and
psychological (Fatigue) effects of carrying out specified work.
 The amount of allowance will depend on the nature of the job
 Relaxation allowances have two major components: fixed allowances and
variable allowances
 Relaxation allowances are given as percentages of the basic time

Fixed allowances –

o Allowances for personal needs. This allowance provides for the

necessity to leave the workplace to attend to personal needs such
as washing, going to the lavatory or fetching a drink.
o Allowances for basic fatigue. This allowance, always a constant, is
given to take account of the energy expended while carrying out
work and to alleviate monotony.

Variable allowances –

o Variable allowances are added to fixed allowances when working

conditions differ, for example because of poor environmental
conditions that cannot be improved, added stress and strain in
performing the job.

Rest Pauses –

Relaxation allowances can be taken in the form of rest pauses. While there is no
hard and fast rule governing rest pauses, a common practice is to allow a ten- to 15-
Name: NKB Harish Anand Roll No: 1801065(IE)

minute break at mid-morning and mid-afternoon, often coupled with facilities for tea,
coffee or cold drinks and snacks, and to permit the remainder of the relaxation
allowance to be taken at the discretion of the worker.
Rest pauses are important for the following reasons:
 They decrease the variation in the worker's performance throughout the day and
tend to maintain the level nearer the optimum.
 They break up the monotony of the day.
 They give workers the chance to recover from fatigue and to attend to personal
needs.
 They reduce the amount of time off taken by workers during working hours.

ii. Contingency Allowances –

 A contingency allowance is a small allowance of time which may be
included in a standard time to meet legitimate and expected items of work
or delays
 Precise measurement of which is uneconomical because of their
infrequent or irregular occurrence
 Contingency allowances should not be greater than 5 per cent
 Contingency allowances are always very small, and it is usual to express
them as a percentage of the total repetitive basic minutes in the job.
iii. Policy Allowances –
 A policy allowance is an increment, other than bonus increment, applied
to standard time to provide a satisfactory level of earnings for a specified
level of performance under exceptional circumstances.
 They should always be dealt with quite separately from basic times
 Similar policy allowances are sometimes made as temporary additions to
cover abnormal circumstances, such as the imperfect functioning of a
piece of plant or disruption of normal working caused by rearrangements
or alterations.
iv. Start-up Allowances –
 To compensate for time taken by any work and any enforced waiting time
which necessarily occurs at the start of a shift or work period before
production can begin.
v. Shut Down Allowance -
 Shut-down allowance may similarly be given for work or waiting time
occurring at the end of the day.
Name: NKB Harish Anand Roll No: 1801065(IE)

vi. Cleaning allowance -

 Cleaning allowance is given when the worker has to give attention from
time to time to cleaning his or her machine or workplace.
vii. Tool allowance -
 Tool allowance is an allowance of time to cover the adjustment and
maintenance of tools.
viii. Set-up allowance -
 Given to cover the time required for preparing a machine or process for
production, an operation which is necessary at the start of production on a
batch of fresh products or components.
 Set-up time is sometimes called make-ready time.
ix. Dismantling allowance -
 To cover the time needed for making alterations to machine or process
settings after completing a run of production.

x. Change-over allowance -
 Given to operatives who are not actually engaged in setting-up or
dismantling, to compensate them for time on necessary activities or
waiting time at the start and/or the end of a job or batch.
 These allowances should be denoted as "job change-over allowance" or
"batch change-over allowance".
xi. Reject allowance -
 Included in a standard time when the production of a proportion of
defective products is inherent in the process.
xii. excess work allowance,
 Given as an addition to the standard time, to compensate for extra work
occasioned by a temporary departure from standard conditions.
xiii. Learning allowances
 Given to trainee operatives engaged on work for which standard times
have been issued, as a temporary benefit while they develop their ability.
xiv. Training allowance
 Allowance given to an experienced worker to compensate for the time he
or she is required to spend instructing a trainee, while both are working on
jobs for which standard times have been set.
 These allowances are often given as so many minutes per hour, on a
declining scale so that the allowances taper off to zero
Name: NKB Harish Anand Roll No: 1801065(IE)

xv. Implementation allowance -

 Given to workers asked to adopt a new method or process to encourage
them to attempt an enthusiastic implementation of the new ways and
prevent their losing earnings by doing so.
 Arranged that their earnings will actually be increased during the change-
over period, so as to give the new method every chance of success.
Q17. Explain and demonstrate the procedure of work sampling
with the help of suitable example?
Work Sampling

Work Sampling (also sometimes called ratio delay study) is a technique of getting
facts about utilization of machines or human beings through a large number of
instantaneous observations taken at random time intervals. The ratio of observations
of a given activity to the total observations approximates the percentage of time that
the process is in that state of activity. For example, if 500 instantaneous observations
taken at random intervals over a few weeks show that a lathe operator was doing
productive work in 365 observations and in the remaining 135 observations he was
found 'idle' for miscellaneous reasons, then it can be reliably taken that the operator
remains idle (135/500) x 100 = 27 % 0f the time. Obviously, the accuracy of the result
depends on the number of observations. However, in most applications there is
usually a limit beyond which greater accuracy of data is not economically worthwhile.

Use of Work Sampling for Standard Time Determination

Work sampling can be very useful for establishing time standards on both direct and
indirect labor jobs. The procedure for conducting work sampling study for
determining standard time of a job can be described step-wise.

Step 1. Define the problem.

• Describe the job for which the standard time is to be determined.

• Unambiguously state and discriminate between the two classes of activities of

operator on the job: what are the activities of job that would entitle him to be in
'working" state.

This would imply that when operator will be found engaged in any activity other than
those would entitle him to be in "Not Working" state.

Step 2. Design the sampling plan.

• Estimate satisfactory number of observations to be made.

• Decide on the period of study, e.g. two days, one week, etc.

• Prepare detailed plan for taking the observations.

This will include observation schedule, exact method of observing, design of

observation sheet, route to be followed, particular person to be observed at the
observation time, etc.

Step 3. Contact the persons concerned and take them in confidence regarding
conduct of the study.

Step 4. Make the observations at the pre-decided random times about the working /
not working state of the operator. When operator is in working state, determine his
performance rating. Record both on the observation sheet.

Step 5. Obtain and record other information. This includes operator's starting time
and quitting time of the day and total number of parts of acceptable quality
produced during the day.

Step 6. Calculate the standard time per piece.

We will now briefly discuss some important issues involved in the procedure.

Number of Observations

As we know, results of study based on larger number of observations are more

accurate, but taking more and more observations consumes time and thus is costly.
Acost-benefit trade-off has thus to be struck. In practice, the following methods are
used for estimation of the number of observations to be made.

(i) Based on judgment. The study person can decide the necessary number of
observations based on his judgment. The correctness of the number may be in doubt
but estimate is often quick and in many cases adequate.

(ii)Using cumulative plot of results. As the study progresses the results of the
proportion of time devoted to the given state or activity, i.e. Pi from the cumulative
number of observations are plotted at the end of each shift or day. A typical plot is
shown in Figure. Since the accuracy of the result improves with increasing number of
observations, the study can be continued until the cumulative Pi appears to stabilize
and collection of further data seems to have negligible effect on the value of Pi.
(iii)Use of statistics. In this method, by considering the importance of the decision to
be based on the results of study, a maximum tolerable sampling error in terms of
confidence level and desired accuracy in the results is specified. A pilot study is then
made in which a few observations are taken to obtain a preliminary estimate of Pi.
The number of observations N necessary are then calculated using the following
expression.

The number of observations estimated from the above relation using a value of Pi
obtained from a preliminary study would be only a first estimate. In actual practice,
as the work sampling study proceeds, say at the end of each day, a new calculation
should be made by using increasingly reliable value of Pi obtained from the
cumulative number of observations made.

Determination of Observation Schedule

The number of instantaneous observations to be made each day mainly depends upon
the nature of operation. For example, for non-repetitive operations or for operations
in which some elements occur in-frequently, it is advisable to take observations more
frequently so that the chance of obtaining all the facts improves. It also depends on
the availability of time with the person making the study. In general, about 50
observations per day is a good figure. The actual random schedule of the
observations is prepared by using random number table or any other technique.

Design of Observation Sheet

A sample observation sheet for recording the data with respect to whether at the pre-
decided time, the specified worker on job is in 'working' state or 'non-working' state is
shown in Figure. It contains the relevant information about the job, the operators on
job, etc. At the end of each day, calculation can be done to estimate the percent of
time workers on the job (on an average) spend on activities, which are considered as
part of the job.

Conducting Work Sampling Study

At the pre decided times of study, the study person appears at the work site and
observes the specific worker (already randomly decided) to find out what is he doing.
If he is doing activity which is part of the job, he is ticked under the column 'Working'
and his performance rating is estimated and recorded. If he is found engaged in an
activity which is not a part of job, he is ticked under the column 'Not Working'. At the
end of day, the number of ticks in 'Working' column is totaled and average
performance rating is determined.

The observed time (OT) for a given job is estimated as

The normal time (NT) is found by multiplying the observed time by the average
performing index (rating factor).

Where = is average rating factor to be determined as , Figure

The standard time is determined by adding allowances to the normal time.

Example

A work sampling study was made of a cargo loading operation for the purpose of
developing its standard time. The study was conducted for duration of 1500 minutes
during which 300 instantaneous observations were made at random intervals. The
results of study indicated that the worker on the job was working 80 percent of the
time and loaded 360 pieces of cargo during the study period. The work analyst rated
the performance at 90 %. If the management wishes to permit a 13 % allowance for
fatigue, delays and personal time, what is the standard time of this operation?

Ans
Here, total study period = 1500 minutes
Working fraction = 80 percent
Average rating = 90 percent
Number of units loaded = 360
Allowances = 13 %
Advantages and Disadvantages of Work Sampling in Comparison with Time
Study

Advantages

Economical

• Many operators or activities which are difficult or uneconomical to measure by

time study can readily be measured by work sampling.

• Two or more studies can be simultaneously made of several operators or machines

by a single study person. Ordinarily a work study engineer can study only one
operator at a time when continuous time study is made.

• It usually requires fewer man-hours to make a work sampling study than to make a
continuous time study. The cost may also be about a third of the cost of a continuous
time study.

• No stopwatch or other time measuring device is needed for work sampling studies.

• It usually requires less time to calculate the results of work sampling study. Mark
sensing cards may be used which can be fed directly to the computing machines to
obtain the results just instantaneously.

Flexible

6. A work sampling study may be interrupted at any time without affecting the
results.

7. Operators are not closely watched for long period of time. This decreases the
chance of getting erroneous results for when a worker is observed continuously for a
long period, it is probable that he will not follow his usual routine exactly during that
period.

Less Erroneous

8. Observations may be taken over a period of days or weeks. This decreases the
chance of day-to-day or week-to-week variations that may affect the results.

Operators Like It
9. Work sampling studies are preferred to continuous time study by the operators
being studied. Some people do not like to be observed continuously for long periods
of time.

Observers Like It

10. Work sampling studies are less fatiguing and less tedious to make on the part of
time study engineer.

Disadvantages

• Work sampling is not economical for the study of a single operator or operation or
machine. Also, work-sampling study may be uneconomical for studying operators or
machines located over wide areas.

• Work sampling study does not provide elemental time data.

• The operator may change his work pattern when he sees the study person. For
instance, he may try to look productive and make the results of study erroneous.

• No record is usually made of the method being used by the operator. Therefore, a
new study has to be made when a method change occurs in any element of
operation.

• Compared to stop watch time study, the statistical approach of work sampling
study is difficult to understand by workers.

Computerized Work Sampling

Use of a computer can save as much as 30 to 40 percent of the total work sampling
study cost. This is because too much clerical effort is involved in summarizing work
sampling data, e.g. in determining the number of observations required, determining
the daily observations required, determining the number of trips to the area being
studied per day, determining the time of each observation, calculating the accuracy of
results, plotting data on control charts and like that. Computers can be used for
mechanization of the repetitive calculations, display of control charts and calculation
of daily as well as cumulative results.
Q18. Define Pre-determined time standards? What are the
components of it? Demonstrate the use of PTS with the help of
suitable examples?

A predetermined motion time system (PMTS) may be defined as a procedure that

analyzes any manual activity in terms of basic or fundamental motions required to
perform it. Each of these motions is assigned a previously established standard time
value and then the timings for the individual motions are synthesized to obtain the
total time needed for performing the activity.

The main use of PMTS lies in the estimation of time for the performance of a task
before it is performed. The procedure is particularly useful to those organizations
which do not want troublesome performance rating to be used with each study.

Applications of PMTS are for

(i) Determination of job time standards.

(ii)Comparing the times for alternative proposed methods so as to find the

economics of the proposals prior to production run.

(iii)Estimation of manpower, equipment and space requirements prior to setting up

the facilities and start of production.

(iv)Developing tentative work layouts for assembly lines prior to their working in
order to minimize the amount of subsequent re-arrangement and re-balancing.

(v) Checking direct time study results.

A number of PMTS are in use, some of which have been developed by

individual organizations for their own use, while other organizations have
developed and publicized for universal applications.

Some commonly used PMT systems are:

Work factor (1938)

Method Time Measurement (1948)
Basic Motion Time (1951)
Dimension Motion Time (1954)
Important considerations which may be made while selecting a PMT system for
application to particular industry are:

1. Cost of Installation. This consists mainly of the cost of getting expert

for applying the system under consideration.
2. Application Cost. This is determined by the length of time needed to set a time
standard by the system under consideration.
3. Performance Level of the System. The level of performance embodied in the
system under consideration may be different from the normal performance
established in the industry where the system is to be used. However, this
problem can be overcome by 'calibration' which is nothing but multiplying the
times given in the PMT Tables by some constant or by the application of an
adjustment allowance.
4. Consistency of Standards. Consistency of standards set by a system on various
jobs is a vital factor to consider. For this, the system can be applied on a trial
basis on a set of operations in the plant and examined for consistency in the so
obtained operation times.
5. Nature of Operation. Best results are likely to be achieved if the type and
nature of operations in the plant are similar to the nature and type of
operations studied during the development of the system under
consideration.

Advantages and limitations of using PMT

systems Advantages

Compared to other work measurement techniques, all PMT systems claim the
following advantages:

1. There is no need to actually observe the operation running. This means the
estimation of time to perform a job can be made from the drawings even
before the job is actually done. This feature is very useful in production
planning, forecasting, equipment selection, etc.
2. The use of PMT eliminates the need of troublesome and controversial
performance rating. For the sole reason of avoiding performance rating, some
companies have been using this technique.
3. The use of PMT forces the analyst to study the method in detail. This
sometimes helps to further improve the method.
4. A bye-product of the use of PM times is a detailed record of the method of
operation. This is advantageous for installation of method, for instructional
 purposes, and for detection and verification of any change that might occur in
the method in future.
5. The PM times can be usefully employed to establish elemental standard data
for setting time standards on jobs done on various types of machines and
equipment.
6. The basic times determined with the use of PMT system are relatively more
consistent.

Limitations

There are two main limitations to the use of PMT system for establishing time
standards. These are: (i) its application to only manual contents of job and (ii) the
need of trained personnel. Although PMT system eliminates the use of rating, quite a
bit of judgment is still necessarily exercised at different stages.
Q19. Compare various techniques of work measurement?
Work measurement (WM)
Work measurement is the application of techniques designed to establish the time for
a qualified worker to carry out specified jobs at a defined level of performance.
Work measurement (WM) is concerned with investigating, reducing and eliminating
ineffective time, whatever may be the cause.
WM is the means of measuring the time taken in the performance of an operation or
series of operations in such a way that the ineffective time is shown up and can be
separated out. Work measurement is also called by the name ‘time study’. Work
measurement is absolutely essential for both the planning and control of operations.
Without measurement data, we cannot determine the capacity of facilities or it is not
possible to quote delivery dates or costs. We are not in a position to determine the rate
of production and also labor utilization and efficiency.
It may not be possible to introduce incentive schemes and standard costs for budget
control.

Objectives of Work Measurement

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

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

1. Comparing alternative methods.
2. Assessing the correct initial manning (manpower requirement planning).
3. Planning and control.
4. Realistic costing.
5. Financial incentive schemes.
6. Delivery date of goods.
7. Cost reduction and cost control.
8. Identifying substandard workers.
9. Training new employees.

Techniques of Work Measurement

For the purpose of work measurement, work can be regarded as:

1. Repetitive work: The type of work in which the main operation or group of
operations repeat continuously during the time spent at the job. These apply to work
cycles of extremely short duration.

2. Non-repetitive work: It includes some type of maintenance and construction

work, where the work cycle itself is hardly ever repeated identically
Various techniques of work measurement are:
1. Time study (stop watch technique),
2. Synthesis,
3. Work sampling,
4. Predetermined motion and time study,
5. Analytical estimating.
Time study and work sampling involve direct observation and the remaining are data
based and analytical in nature.

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

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

3. Work sampling: A technique in which a large number of observations are

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

4. Predetermined motion time study (PMTS): A work measurement technique

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

5. Analytical estimating: A work measurement technique, being a development of

estimating, whereby the time required to carry out elements of a job at a defined
level of performance is estimated partly from knowledge and practical experience of
the elements concerned and partly from synthetic data.
Q20. Define Plant Layout. Explain and Compare various types of Plant Layouts.

Plant layout is the most effective physical arrangement, either existing or in plans of industrial facilities
i.e. arrangement of machines, processing equipment and service departments to achieve greatest co-
ordination and efficiency of 4 M’s (Men, Materials, Machines and Methods) in a plant.

Layout identically involves the allocation of space and the arrangement of equipment in such a manner that
overall operating costs are minimized. Plant layout is a floor plan for determining and arranging the
designed machinery and equipment of a plant, whether established or contemplated, in the best place, to
permit the quickest flow of material, at the lowest cost and with the minimum handling in processing the
product, from the receipt of raw material to the shipment of finished product.

Also Plant layout is planning the path each component/ part of the product is to follow through the
plant, coordinating the various parts so that the manufacturing processes may be carried out in the
most economical manner, then preparing drawing or other representation of the arrangement and
finally seeing that the plan is properly put into effect.

Types of layout:

Type # 1. Plant Layout:

Plant layout means the disposition of the various facilities (equipment, material, manpower, etc.) and
services of the plant within the area of the site selected previously. Plant layout begins with the design of
the factory building and goes up to the location and movement of a work table. All the facilities like
equipment, raw materials, machinery, tools, futures, workers, etc. are given a proper place. In deciding the
place for equipment, the supervisors and workers who have to operate them should be consulted.

Principles of Plant Layout:

For the guidance of Plant Layout engineers, many principles of Plant Layout have been developed during
past years. Besides these ready-made principles, considerable art and skill is required in designing a good
plant layout. The research work is being continued in order to develop a scientific approach for solving plant
layout problems. Some of the outcomes are, the development of heuristic approach, mathematical models
and computer aided computational techniques for balancing assembly lines.

They are the principles of:

(a) Integration:
It means the integration of production centres facilities like workers, machinery, raw material etc., in a
logical and balanced manner.

(b) Minimum Movements and Material Handling:

The number of movements of workers and materials should be minimized. It is better to transport
materials in optimum bulk rather than in small amounts.

(c) Smooth and Continuous Flow:

Bottlenecks, congestion points and back tracking should be removed by proper line balancing techniques.

(d) Cubic Space Utilization:

Besides using the floor space of a room, if the ceiling height is also utilized, more materials can be
accommodated in the same room. Boxes or bags containing raw material or goods can be stacked one above
the other to store more items in the same room. Overhead material handling equipment save a lot of
valuable floor space.

(e) Safe and Improved Environments:

Working places-safe, well ventilated and free from dust, noise, fumes, odours, and other hazardous
conditions decidedly increase the operating efficiency of the workers and improve their morale. All this
leads to satisfaction amongst the workers and thus better employer- employee relations.

(f) Flexibility:
In automotive and other industries where models of products change after some time, it is better to permit
all possible flexibility in the layout. The machinery is arranged in such a way that the changes of the
production process can be achieved at the least cost or disturbance.

Type # 2. Process Layout:

It is also known as functional layout and is characterised by keeping similar machines or similar
operations at one location (place). In other words, all lathes will be at one place, all milling machines at
another and so on, that is machines have been arranged according to their functions. This type of layout is
generally employed for industries engaged in job order production and non-repetitive kind of
maintenance or manufacturing activities.

Figure shows a process layout:

Advantages:
(1)Wide flexibility exists as regards allotment of work to equipment and workers.

(2)Better utilization of the available equipment.

(3)Comparatively less number of machines are needed, thus involving reduced capital investment.

(4)Better product quality, because the supervisors and workers attend to one type of machines and
operations.

(5)Varieties of jobs coming as different job orders make the work more interesting for the workers.

(6)Workers in one section are not affected by the nature of the operations carried out in another
section. For example, a lathe operator is not affected by the rays of the welding as the two sections
are quite separate.

Disadvantages of Process Layout (When Compared with Product Layout):

(1)For the same amount of production, process layout needs more space.

(2)Automatic material handling is extremely difficult.

(3)More material-in-process remains in queue for further operations.

(4)Completion of same product takes more time.

(5)Work-in-process inventory is large.

(6)Production control becomes difficult.

(7)Raw material has to travel larger distances for being processed to finished goods. This increases material
handling and the associated costs.

(8)It needs more inspections and efficient co-ordination.

Type # 3. Product Layout:

It is also known as line (type) layout. It implies that various operations on raw material are performed in a
sequence and the machines are placed along the product flow line, i.e., machines are arranged in the
sequence in which the raw material will be operated upon. This type of layout is preferred for continuous
production, i.e., involving a continuous flow of in-process material towards the finished product stage.
Figure 4.2 shows a product type of layout.
Raw material from the store is fed to three lines X, Y and Z. Material in X line gets processed on machines
D,E,F and G and meets material of Y line after it has been processed on the main assembly line machines A
& B. Products of X and Y lines are assembled at W and get processed on machines H and I till another part
comes from Z line and assembles with the main product at V. After that the total assembly gets worked on
machines M, N, O and P and goes to the stock room. (The inspection phase has not been shown in the
layout).

Advantages:
(1)Less space requirements for the same volume of production.

(2)Automatic material handling, lesser material handling movements, times and costs.

(3)Less in-process inventory.

(4)Product completes in lesser time.

(5)Better co-ordination and simple production planning and control.

(6)Smooth and continuous work flow.

(7)Less skilled workers may serve the purpose.

Disadvantages as Compared with Process Layout:

(1)Since the specified product determines the layout, a change in product involves major changes in layout
and thus the layout flexibility is considerably reduced.

(2)The pace or rate of working depends upon the output rate of the slowest machine. This involves
excessive idle time for other machines if the production line is not adequately balanced.
(3)Machines being scattered along the line, more machines of each type have to be purchased for keeping a
few as stand by, because if one machine in the line fails, it may lead to shut down of the complete production
line. This is how product layout involves higher capital investments.

(4)Though it involves less supervision as compared to process layout, sometimes it (inspection) becomes
difficult when one inspector has to look after many (say all welding) machines in two or more production
lines.

(5)It is difficult to increase production beyond the capacities of the production lines.

Type # 4. Combination Layout:

A combination of process and product layouts combines the advantages of the both types of layouts.
Moreover, these days pure product or process layouts are rare. Most of the manufacturing sections are
arranged in process layout with manufacturing lines occurring here and there (scattered) wherever the
conditions permit. A combination layout is possible where an item is being made in different types and sizes.

In such cases machinery is arranged in a process layout but the process grouping (a group of number of
similar machines) is then arranged in a sequence to manufacture various types and sizes of products. The
point to note is that, no matter the product varies in size and type, the sequence of operations remain same or
similar. Figure shows a combination type of layout for manufacturing different sized gears.

A combination layout is also useful when a number of items are produced in same sequence but none of the
items are to be produced in bulk and thus no item justifies for an individual and independent production line.
For example, files, hacksaws, circular metal saws, wood saws, etc. can be manufactured on a combination
type of layout.
Type # 5. Fixed Position Layout:
Layout by fixed position of the product is inherent in ship building, aircraft manufacture and big pressure
vessels fabrication. In other types of layouts discussed earlier, the product moves past stationary
production equipment,whereas in this case the reverse applies; men and equipment are moved to the
material, which remains at one place and the product is completed at that place where the material lies.

Advantages:
(i)It is possible to assign one or more skilled workers to a project from start to finish in order to ensure
continuity of work.

(ii) It involves least movement of materials.

(iii) There is maximum flexibility for all sorts of changes in product and process.

(iv) A number of quite different projects can be taken with the same layout.

Disadvantages:
(i)It usually involves a low content of work-in-progress.

(ii) There appears to be low utilization of labour and equipment.

(iii) It involves high equipment handling costs.

Application:
Layout by fixed position of product is limited to large items made singly or in very small lots.

Q21. What are the performance measures of a plant layout?

Various performance measures of a plant layout are:

 a. Integration: It means the integration of production centres facilities like workers, machinery, raw
material, etc, in a logical and balanced manner.
b. Minimum movements and material handling: The number of movements of workers and materials
should be minimized. It is better to transport materials in optimum bulk rather than in small amounts.
c. Smooth and continuous flow: Bottlenecks, congestion points and back tracking should be removed by
proper line balancing techniques.
d. Safe and improved environments: Working places should be safe, well ventilated and free from dust,
noise, fumes, odours and other hazardous conditions. This will provide assurance to the workers and in
turn increase their efficiency and productivity.

Performance Measure Basis for measurement

Distance travelled by job Kg-Meter of job movement

Space utilization index Minimum space required to actual space

utilized

Material handling cost Rupees per month

Lead time for the processes Hours per average product

Investment in work in progress Rupees per month

Inter – departmental moves Number and quantum of moves

Utilization of resources Percent to total capacity

Ease of production control Number of job cards

 Number of ownership changes Number of times the job changes hands

Q22 List and explain various types of material handling equipment

Material handling equipment is any tool used to aid in the movement, protection, storage, and control of
materials and products. The equipment used to do so can be broken down into four main categories. Each
category has a wide variety of useful equipment that makes safely moving heavy materials or large volumes
of materials easier.
Storage and Handling Equipment
The title of this equipment category is pretty self-explanatory. Storage equipment is used to hold materials
while they wait to be transported from the manufacturer or wholesaler to their final destination. Having the
right storage equipment can increase efficiency on the production floor and maximize space utilization- two
very important factors in any production environment.

Examples of storage and handling equipment include:

• Racks: such as pallet racks, drive-through or drive-in racks, push-back racks, and sliding racks
• Stacking frames: these are interlocking units that enable stacking of a load so crushing doesn’t occur
• Shelves
• Bins and drawers
• Mezzanines: elevated floor systems that are installed between the production floor and ceiling in order to
provide additional storage space. Most of these structures can be dismantled and moved with ease.

Engineered Systems

This type of material handling equipment are typically automated units that work together to enable efficient
storage and transportation of large materials or large volumes of materials around the production floor.
Examples of engineered systems include:

• AS/RS: Automated Storage and Retrieval Systems (abbreviated as AS/RS) are large automated structures
that involves racks, aisles and shelves that are accessible by a type of mechanized shuttle system (like a
cherry picker) for the quick retrieval of items.
• Conveyor systems: Automated conveyor systems carry heavy materials to specified destinations
using belts, flexible chain, or live rollers. It is a highly efficient equipment to move large volumes of
material quickly.
• Robotic delivery systems– These automated systems are ideal for moving products on an assembly
line or transporting goods throughout a plant or warehouse.
• Automatic guided vehicles– These vehicles are mobile robots that follow specific markers or wires in the
floor to move large materials around a manufacturing facility or warehouse. Vision, magnets, or lasers can
also be used as methods for AGV navigation.

Industrial Trucks

Powered industrial trucks, such as forklifts, are used to move large materials or large quantities of materials
around the manufacturing floor. They are also utilized to efficiently load (or unload) heavy objects onto
delivery trucks. Industrial trucks are very useful when there is insufficient flow volume to justify the
implementation of a conveyor system. Examples of industrial trucks include:

• Hand trucks– Also known as a dolly, or box cart. Hand trucks are l-shaped box-moving handcarts with
handles at one end, wheels at the base, and a ledge to set objects on.
• Pallet jacks– These are tools are the most basic form of a forklift and used to lift and move pallets
within a warehouse.
• Pallet trucks– Manual operated or powered industrial forklifts.
• Walkie stackers– A pedestrian walk-behind stacker with a mast for lifting pallets to heights.
• Platform trucks– These are similar to a two wheeled dolly, but with an extended deck.
• Order picker– An electric lift truck specifically designed for filling individual customer orders. This
requires piece-part picking rather than selecting full pallets or unit loads.
• Side-loader– Automated tool similar to a fork lift that loads and unloads from the side of the machine
rather than the front.
• Automatic guided vehicles

Bulk Material Handling Equipment

Equipment that deals with bulk handling aids in the control and transportation of large volumes of material
either in bulk or loose form. In general the equipment is used to move loose parts from one area of the
production floor to another. Drums and hoppers can also be used to funnel loose items so they can be easily
manipulated or packaged. Bulk Material Handling Systems can also utilize conveyor belts for horizontal
transportation and elevators for vertical transportation. Examples of bulk material handling equipment are:

• Conveyor belts
• Stackers– Similar to forklifts, stackers help to lift and stack heavy loads on the dock or in the warehouse.
• Reclaimers– These are large machines used to recover bulk materials from a stockpile.
• Bucket elevators– Also known as a grain leg. These elevators haul flowable bulk materials vertically.
• Grain elevators– This type of equipment is used to store and move grain and other similar materials
throughout a production pathway.
• Hoppers– Hoppers are a container for bulk material such as grain, that tapers and discharges it’s materials at
the
bottom.
• Silos– A tower used to store grain and other materials such as coal, sawdust, woodchips, and food products.

Koke Inc. has supplied various manufacturing industries with material handling and industrial equipment for
over 40 years.

Q23. What are the principles of material handling? Explain the significance of material handling for an
Industrial Engineer.

1.Orientation Principle
Study the system relationships thoroughly prior to preliminary planning in order to identify existing
methods and problems, physical and economic constraints, and to establish future requirements and goals.

2. Planning Principle

Establish a plan to include basic requirements, desirable options, and the consideration of contingencies
for all material handling and storage activities.

3. Systems Principle
Integrate those handling and storage activities which are economically viable into a coordinated system of
operation including receiving, inspection, storage, production, assembly, packaging, warehousing, shipping
and transportation.

4. Unit Load Principle

Handle product in as large a unit load as practical.

5. Space Utilization Principle

Make effective utilization of all cubic space.

6. Standardization Principle
Standardize handling methods and equipment wherever possible.

7. Ergonomic Principle
Recognize human capabilities and limitations by designing material handling equipment and procedures for
effective interaction with the people using the system.

8. Energy Principle
Include energy consumption of the material handling systems and material handling procedures when
making comparisons or preparing economic justifications.

9. Ecology Principle
Minimize adverse effects on the environment when selecting material handling equipment and procedures.

10. Mechanization Principle

Mechanize the handling process where feasible to increase efficiency and economy in the handling of
materials.

11. Flexibility Principle

Use methods and equipment which can perform a variety of tasks under a variety of operating conditions.

12. Simplification Principle

Simplify handling by eliminating, reducing, or combining unnecessary movements and/or equipment.

13. Gravity Principle

Utilize gravity to move material wherever possible, while respecting limitations concerning safety,
product damage and loss.

14. Safety Principle

Provide safe material handling equipment and methods which follow existing safety
codes and regulations in addition to accrued experience.

15. Computerization Principle

Consider computerization in material handling and storage systems, when circumstances warrant, for
improved material and information control.

16. System Flow Principle

Integrate data flow with the physical material flow in handling and storage.

17. Layout Principle

 Prepare an operational sequence and equipment layout for all viable system solutions, then select the
alternative system which best integrates efficiency and effectiveness.

18. Cost Principle

Compare the economic justification of alternate solutions in equipment and methods on the basis of
economic effectiveness as measured by expense per unit handled.

19. Maintenance Principle

Prepare a plan for preventive maintenance and scheduled repairs on all material handling equipment.

20. Obsolescence Principle

Prepare a long range and economically sound policy for replacement of obsolete equipment and
methods with special consideration to after-tax life cycle costs.

Importance of Material Handling

1. Save non-value-added time.
2. Reduces wastage.
3. Less congestion
4. Cost-effective
5. Better customer services
6. Good housekeeping
Q24. Define an Automation? Explain the basic elements of an automated
system? Explain the five levels of Automation?

Automation is the creation of technology and its application in order to control and monitor the
production and delivery of various goods and services. It performs tasks that were previously
performed by humans. Automation is being used in a number of areas such as manufacturing,
transport, utilities, defense, facilities, operations and lately, information technology.

Automation can be performed in many ways in various industries. For example, in the information
technology domain, a software script can test a software product and produce a report. There are
also various software tools available in the market which can generate code for an application. The
users only need to configure the tool and define the process. In other industries, automation is
greatly improving productivity, saving time and cutting costs.

Automation is evolving quickly and business intelligence in applications is a new form of high-
quality automation. In the technology domain, the impact of automation is increasing rapidly, both
in the software/hardware and machine layer. However, despite advances in automation, some
manual intervention is always advised, even if the tool can perform most of the tasks.

(a) Basic elements of an automated system:

1. Power to accomplish the process and operate the system.

2. A program of instructions to direct the process.

3. A control system to actuate the instructions.

Elements of Automated system

1. Power source: An automated system is used to operate some process and power is required
to drive the process as well as controls. There are many sources of power available, but the most
commonly used power is electricity. The actions performed by automated systems are generally
of two types:

(a)Processing
In the first case, energy is applied to accomplish some processing operation on some entity. The
process may involve shaping, moulding or Loading and unloading. All these actions need power
to transfer the entity from one state or condition into more valuable state or condition.

(b)Transfer and positioning

The second type of actions-transfer and positioning. In these cases, the product must generally
be moved from one location to another during the series of processing steps.

2. Program of instructions: The actions performed by an automated process are defined by a

set of instructions known as process. The programmed instructions determine the set of actions
that is to be done automatically by the system. The program specifies what automated system
should do and how its various components must function in order to accomplish the desired
results.

3. Control system: The control element of the automated system executes the program
of instructions.

The controls in an automated system can be:

(a) Closed loop control system: It is also known as a feedback control system. In this
system the output variable is compared with an input parameter and any difference between
the two is used to drive the output into agreement with input.

1. Input parameter: as set point, represents the desired value of output.

2. Output variables: actual value of parameter.

3. Sensors: A sensor is used to measure the output variable and close the loop

4. Between input and output: It performs feedback function.

5. Controller: The controller compares the output with the input and makes the required
adjustment in the process to reduce the difference between them.

6. Actuator: The adjustment being done with one or more actuator which are the
hardware devices that physically carry out the control actions such. electric motor,
cylinder etc.

Q25. What are the functions of advanced automation?

In automation production technology the actions performed by an automated process

are executed by a program of instructions which is run during a work cycle. To execute
work cycle programs, an automated system should be available to execute these
advanced functions.

Monitoring safely: One of the main reasons of using Automation is to remove the
workers form doing hazardous operations which can lead to the loss of the life. However
the workers are needed to operate the machines instead of doing that hazardous work.
The automated machines are designed safely in order they should not be self destructive.
Thus there are reasons to monitor the system safely. They are: 1.To protect the workers
2.To protect the system which is associated with it. Safety monitoring of a system
involves safety tracking of the system using the sensors. If there is a hazard then the
safety monitoring system responds in either of the ways:

1. By giving an alarm sound (or)

2. By reducing the speed of the system (or)
3. By turning off the automated system.

Maintenance And repair: Modern automation systems are becoming more complex by
using the maintenance and repair components. Actually they are the components which
are used for the maintaining and reducing the failures. There are three modes of
operation which are used for performing this task.

Status Monitoring: Initially in this mode the status of the present system is estimated. It
monitors over it by using the sensors or by using the parameters of the system. By using
them the current status of the system is being monitored.
1. Failure notification: This mode comes under procedure when the failure occurs. It
compares the present values and the previous values before and after failures.
2. Recommending for the repair: here after noting the repair, this mode takes the decision
how to repair and what are the parts which are to be repaired.

Detecting the errors and recovering them: the error detection can be
done using the sensors. The different types of errors can be formed in
the production system they are: random errors and systematic errors
etc.These can be detected by using the detecting systems and the
recovering system is used for recovering the errors.

Q26. What are the guidelines for using automation?

While Robot automation software helps you manage your systems no matter how you
use it, there are tried-and-true ways to achieve extraordinary automation results. If you
run your data center based on these principles, you’re in for a whole bunch of benefits.
You’ll increase productivity by empowering your team to do more while building their
skills and improving their quality of life. You’ll eliminate errors by handing off the
routine responsibilities to automation applications. You’ll pass audits with ease, reduce
operational costs, deploy and adapt to new technology more quickly, and consistently
fulfill service-level agreements.

1. Manage by Exception

More than 95 percent of the events operators see are not important— they have
nothing to do with service-level agreements; they’re simply nice to Emphasize console
consolidation and rely on rules to filter out normal information and events to free up time
for more productive work.

2. Eliminate Run Books and Manual Procedures

Automation lets you replace manual procedures with online rules. When there are
critical dates, business cutoffs, or numbers of copies that someone must input
interactively, use variables to enter dynamic dates in a call statement or interactive
panel. If night processing is too complicated, use custom scripting language to check for
object locks, active jobs, or active subsystems to ensure you can run night processes
without interfering with end users.

3. More Rules, More Automation

Keep your automation efforts granular for more flexibility. To satisfy demands from their
user community, even fully automated shops make changes to their automation software,
often daily. They are constantly creating automation rules

to keep up with their business. You can modify your rules interactively, without worrying
about whether each shift has seen your latest changes.

4. Build Exception-Based Notification

Notify the right people, and only when there’s a proble monitoring solution, you can
monitor remote systems from a central location and
send notification automatically by email, SNMP, text, and voice. By implementing a
message management product on each system, you can screen messages and send only the
most important ones to the central host.

5. Automate SLAs

Use automation to place rules for monitoring critical SLAs. Even if the rest of the
company doesn’t really understand what the data center dark horse who drives
business forward with automation. Eliminate manual
checks, increase system availability, and consistently deliver on SLAs. Once the data
center is automated, you can look outside your department for more opportunities.

6. Put Automation in Your Job Title

If automation is part of your job description, you’ll think more about improve operations.
IT today is about deploying applications and making things as efficient as possible.
Automating computer systems allows your company to move talented staff to other areas.
Technically, you’re all automation manag Your seniority comes from moving the
company ahead with technology that brings dollars to the bottom line.

7. Empower Your Operators

Work with your operators to build automation rules. Operators are resources that should
not be ignored. You trust them at night when no one i find that they know exactly what
needs to be done. They can save their companies thousands of dollars by deploying
automation applications. When you have people who believe in automation, watch out! A
fired-up team of operators can automate a lot of manual tasks.

8. Keep It Simple
If it sounds difficult, it probably is. To get a simpler solution, step back and talk to others
who have done it before. Automation happens with small steps, not big leaps. Start by
automating your mundane tasks, the low-hanging fruit. Get the

simple things out of the way to show your management team success early on and make
yourself more valuable to your company.

9. Keep an Automation List

Make a running list of tasks that need to be automated. Human error sets in
when we leave it to memory. There’s -orno-nothingneedapproachtotake the to
automation. Break down the process into manageable parts and set aside the impossible.
Something new may come along later that helps you automate the really messy processes,
provided you remember to check your list.

10. Train Developers on Automation

Some development and network teams don’t worry about wh execute new tasks; they just
give it to Operations. In an ideal world, Operations
would be involved in all new development projects, aski can we run this unattended?”
Automating IT is everyone’ developers know how automation tools work, they can help
write scripts to automate processes.

Q27. What is Flexible Manufacturing System? What are the components of FMS?
What are application?

A flexible manufacturing system (FMS) is a manufacturing system in which there is

some amount of flexibility that allows the system to react in case of changes, whether
predicted or unpredicted. This flexibility is generally considered to fall into two
categories, which both contain numerous subcategories.
The first category, routing flexibility, covers the system's ability to be changed to
produce new product types, and ability to change the order of operations executed on a
part. The second category is called machine flexibility, which consists of the ability to
use multiple machines to perform the same operation on a part, as well as the system's
ability to absorb large-scale changes, such as in volume, capacity, or capability.
Most FMS consist of three main systems. The work machines which are often automated
CNC machines are connected by a material handling system to optimize parts flow and
the central control computer which controls material movements and machine flow.
The main advantages of an FMS is its high flexibility in managing manufacturing
resources like time and effort in order to manufacture a new product. The best application
 of an FMS is found in the production of small sets of products like those from a mass
production.
Advantages
Reduced manufacturing cost
Lower cost per unit produced,
Greater labor productivity,
Greater machine efficiency,
Improved quality,
Increased system reliability,
Reduced parts inventories,
Adaptability to CAD/CAM operations.
Shorter lead times
Improved efficiency
Increase production
rate Disadvantages
Initial set-up cost is high,
Substantial pre-planning
Requirement of skilled labor
Complicated system
Basic Components
1. Workstations
2. Material Handling system
3. Storage systems
4. Computer control system
5. Human Resources

Applications of Flexible Manufacturing Systems

Flexible manufacturing systems are typically used for mid-volume, mid-variety production. If
the part or product is made in high quantities with no style variations, then a transfer line or
similar dedicated production system is most appropriate. If the parts are low volume with high
variety, then numerical control, or even manual methods would be more appropriate. These
application characteristics are summarized in Figure below.
 Flexible machining systems comprise the most common application of FMS technology.
Owing to the inherent flexibilities and capabilities of computer numerical control, it is
possible to connect several CNC machine tools to a small central computer, and to
devise automated methods for transferring workparts between the machines. Figure
below shows a flexible machining system consisting of five CNC machining centers and
an in-line transfer system to pick up parts from a central load/unload station and move
them to the appropriate machining stations.

In addition to machining systems, other types of flexible manufacturing systems have also
been developed, although the state of technology in these other processes has not
permitted the rapid implementation that has occurred in machining. The other types of
systems include assembly, inspection, sheet-metal processing (punching, shearing,
bending, and forming), and forging.
Most of the experience in flexible manufacturing systems has been gained in machining
applications. For flexible machining systems, the benefits usually are;
1. Higher machine utilization than a conventional machine shop-relative utilizations are 40-
50% for conventional batch type operations and about 75% for a FMS due to better work
handling, off-line setups, and improved scheduling:
2. Reduced work-in-process due to continuous production rather than batch
production
3. Lower manufacturing lead times
4. Greater flexibility in production scheduling
 IEPM Assign 6
28. Define Job Evaluation? What are the objectives of it? Explain various
methods of Job Evaluation?
Ans.
A job evaluation is a systematic way of determining the value/worth of a job in relation to
other jobs in an organization. It tries to make a systematic comparison between jobs to
assess their relative worth for establishing a rational pay structure.
(i) It aims at developing a systematic and rational wage structure.
(ii)It aims at establishing consistency between the wage and salary structure adopted within
the firm and that of the other firms.
(iii)Proper job evaluation helps to settle disputes relating to salaries between the employers
and employees and thus helps promoting industrial peace and harmony.
(iv)It discloses characteristics and conditions relating to different jobs which are very helpful
at the time of recruitment.
There are 4 basic methods of job evaluation:
Ranking or job comparison: The ranking method is the simplest form of job evaluation. In
this method, each job is compared with other and this comparison of jobs goes on until all
the jobs have been evaluated and ranked. All jobs are ranked in the order of their importance
from the simplest to the hardest or from the highest to the lowest. The importance of order
of job is judged in terms of duties, responsibilities and demands on the job holder. The jobs
are ranked according to “the whole job” rather than several compensable factors.
Grading or job classification: Grading method is also known as ‘classification method’.
This method of job evaluation was made popular by the U.S. Civil Service Commission.
Under this method, job grades or classes are established by an authorised body or committee
appointed for this purpose. A job grade is defined as a group of different jobs of similar
difficulty or requiring similar skills to perform them. Job grades are determined based on
information derived from job analysis.
Once the grades are established, each job is then placed into its appropriate grade or class
depending on how well its characteristics fit in a grade. In this way, a series of job grades is
created. Then, different wage/salary rate is fixed for each grade.
Points rating: This is the most widely used method of job evaluation. Under this method,
jobs are broken down based on various identifiable factors such as skill, effort, training,
knowledge, hazards, responsibility, etc. Thereafter, points are allocated to each of these
factors.
Weights are given to factors depending on their importance to perform the job. Points so
allocated to various factors of a job are then summed. Then, the jobs with similar total of
points are placed in similar pay grades. The sum of points gives an index of the relative
significance of the jobs that are rated.
Factor comparison method: This method is a combination of both ranking and point
methods in the sense that it rates jobs by comparing them and makes analysis by breaking
jobs into compensable factors. This system is usually used to evaluate white collar,
professional and managerial positions.
 29. What is Value? What are various types of it? Explain significance of
Value Engineering? Explain the procedure of Value Engineering?
Ans.
Value is basically the utility associated with a person, product, or a service.
Types of values:
Use value: There are certain characteristics of a product which make it useful for certain
purposes. For example, a book of Cost Accountancy if written for ICWA—Inter students,
has a use value provided it serves the purpose of such category of students. It measures the
quality of performance of a product. Use value may be primary use value, secondary use
value and auxiliary use value.
Primary use value indicates the attributes of a product which are essential for its
performance as engine, steering wheel, and axle in a motor car without which car cannot
run. Secondary use value refers to such devices as bonnet or the mudguard or the
windscreen without which motor car can be driven but these are necessary for the
protection of engine and other parts.
Auxiliary use value is essential for better control and operation as speed meter, electric horn
etc in motor car.
Esteem value: Certain properties of a product do not increase its utility or performance, but
they make it estimable which would induce customers to purchase the product. For example,
a watch with gold cover has esteem value. A rich customer may prefer a watch with gold
cover although a watch with a steel cover may serve the same purpose of keeping time.
Some products may have both use as well as esteem value and yet both may be important.
For example, a fountain pen with a gold-plated body will have both use and esteem value as
it will not only look better but will also last longer.
Cost value: This value is measured in terms of cost involved. In case of a manufacturing
concern it refers to the cost of production of the product produced and if some part of the
product is purchased from outside, it means cost of purchase of that part.
Exchange value: Certain characteristics of a product facilitate its exchange for something
else and what we get is the exchange value of that product. It is equivalent to its sale value.
All these values play an important part in our personal lives, but in value analysis, we are
mainly concerned with use value and to some extent to the esteem value.
All other valued should be subordinated to use value in varying degrees. Value of a product
manufactured for sale is the least amount spent in manufacturing it to create appropriate use
and esteem values. Thus, value analysis seeks to provide the different values required in a
product or service at the least cost without impairing its quality, efficiency, and
attractiveness.
Following points are to be applied when an activity or function decide to do the value
engineering:
a) Value Engineering determines the basic function of an item.
b) Value Engineering evaluating high cost areas and systematically reducing those costs.
c) Value Engineering analyses a problem area and developing alternative ways of resolving
the problem.
d) Value Engineering selects the best possible alternative to perform the basic function at
the lowest cost.
e) Value Engineering presents and promotes a proposal.
f) Value Engineering also simplifies, resulting in increased reliability and ease
of maintenance.
g) Value Engineering extends financial, labor, and material resources.
The steps for Value Analysis process:
Value Analysis is based on the application of a systematic work plan that may be divided in
six steps.
Steps involved in the application of Value Analysis:
i. Orientation/preparation
Identify what is to be analysed. This will typically be one of:
• A manufactured item. This can be anything from a screw to an engine,
although a more complex item is likely to result in a more complex and time-
consuming analysis.
• A process or service. Again, all levels can be analysed, from a hand
assembly process to a complete customer service organisation.
ii. Information
• This may include external customers, such as ‘auto suppliers’ and internal
customers, such as ‘finance manager’.
• Note that external customers are usually more important than internal
customers, and that seniority does not necessarily equate with priority. A
customer’s preference for a product feature should be more important than
the opinion of a senior designer.
iii. Analysis
• In this phase the functions of the product are analysed by Functional Analysis,
which is aimed at identifying functions given by a product or part of it.
• Functions have an importance (weight) and a cost. These costs are
quantified, and this leads to a list of functions ordered by their importance
and value.
• This means that there is an analysis of how each function satisfies customer
needs, and then, an analysis of what the cost of those functions is.
• This phase of Value Analysis may be considered as the key one of the whole
methodology as it represents the translation of needs to functions.
iv. Innovation/creativity
• For this phase it is necessary to use creative techniques that generate
alternatives. Starting from the analysis of functions and costs, there is a
search for means that allow elimination, change or improvement of
components and functions.
• It is important to look for different ways of satisfying the basic functions,
even if it means rejecting the current approach and starting again with a
clean drawing board. This requires the product or process to be ‘mentally
destroyed’ and then rebuild a new one.
v. Evaluation
• It represents a confrontation of ideas, a collection of information about the
feasibility and cost of those ideas and measures the value of the best
alternatives.
• This analysis or evaluation uses the same techniques of value measurement
that have been used in previous steps. At this point an examination is done
about the grade of functional accomplishment and the economic analysis of
those alternatives that offer the higher value. Some of the techniques are
well-known such as Cash-flow analysis and break-even point.
 • The team involved in Value Analysis needs an objective analysis of the ideas
generated through the innovation phase. The evaluation phase is carried out
in two main steps:
▪
A qualitative analysis of value regarding objectives in design, cost,
implementation facilities, etc.
▪
A quantitative analysis using numerical techniques of value
measurement that leads to a few alternatives of high value that will
be analysed in depth.
• This process usually involves determining the cost and selects those ideas
that can be practically implemented. This may include work to develop and
refine promising ideas into practical and optimum solutions.
vi. Implementation and monitoring
• In this phase it is necessary to prepare a report that summarizes the work
that has been done, including conclusions and specific proposals.
• It will be also necessary to describe actions plans for implementation, in
which project management techniques would be useful.
• Finally, a plan should be included for monitoring of the actions. This
should be based in the accomplishment of objectives.
The application of Value Analysis only needs to make use of Basic Techniques such as
matrixes, pare to chart, pert and Gantt diagrams, etc., in most of the Value Analysis steps.

30. What are Incentives and its objectives? Explain the steps to implement
an Incentive scheme?
Ans.
An essential part of running a successful small business is motivating employees and finding
ways to make their incentives fall in line with the incentives of the company. Many
companies offer employees special incentives -- such as bonus pay, commissions and fringe
benefits -- with certain goals in mind, such as increasing productivity or morale. The
underlying objective of special incentives is often to boost company profits.
Increasing Productivity
The more work employees accomplish, the more revenue a company is likely to make,
which leads to higher profits. Many incentives that businesses offer to workers revolve
around increasing productivity. For instance, companies often offer commissions to
salespeople, which means the sales staff receives pay based on a certain percentage of the
sales they make. This can motivate salespeople to work harder and make as many sales as
possible. Similarly, companies sometimes offer bonuses at the end of the year to especially
productive workers. This can motivate employees to work harder in the hopes of getting a
bonus.
Improving Safety
In businesses that hire physical laborers, such as manufacturers and building contractors,
worker safety is an important issue. When workers are hurt on the job it can cost employers a
lot of money, both in terms of workers' compensation and lost productivity. Employers can
offer special incentives to workers who promote safety, such as giving out extra
compensation or prizes if workers avoid injuries on the job.
Increasing Morale
Another possible goal of incentives is to improve employee morale. The pay and other benefits
workers receive for doing a job can determine how happy they are with their jobs.
For instance, if a salaried worker puts in hundreds of extra hours of work in a year, a bonus
is a way to make him feel like his extra effort was worthwhile. Workers who feel rewarded
for their efforts are likely to be happier and more loyal to their employers. Increased loyalty
can reduce employee turnover and the costs of having to recruit and train new workers.
Customer Incentive Programs
Businesses can also offer incentive programs to consumers to retain customers, increase
sales and ultimately increase profit. Examples of common types of customer incentive
programs include membership programs that grant customers reduced prices or access to
special deals, and points programs in which customers earn points for purchases that they
can redeem for cash, prizes, or discounts.

31. What are the characteristics of a good wage incentive plan?

Ans.
A well-crafted incentive plan is one that does more than make both owner and employee
feel good. In fact, the following five criteria are present in a well-designed plan:
• The plan provides substantial financial awards to key employees. A potential bonus
equal to at least ten to thirty percent of annual compensation is necessary to
motivate an employee to modify performance.
• Performance standards are specific. There must be determinable performance
standards such as certain company net income or revenue levels.
• Performance standards are tied directly to increase in the company's value. As the
key employee achieves measurable objective standards, the net income of the
company increases. Put another way, unless the company's net income increases,
the key employee does not receive a bonus.
• Part of the bonus is deferred and subject to vesting. This characteristic of incentive
plans is commonly referred to as "incentives." If the employee severs his
employment before he is "fully vested," he forfeits at least part of the deferred
compensation.
• The plan is communicated in writing to key employees. To be successful, key
employees must understand exactly how the plan works. The plan must be simple,
easy to read, communicated face-to-face to employees with advisors present to
answer any questions and contain a summary for easy reference.

32. Explain various types of Incentive Plans?

1) Individual incentive plan

2) Group incentive plan
1) Individual incentive plan: It may either be time based or production based. Under time-
based plan a standard time is fixed for doing the job. A worker is said to be efficient if he
completes the job in time and he is given the reward for his efficiency.
i) The time based individual incentive plans are:
a) Halsey plan: Under Halsey plan minimum wages are guaranteed to every worker. A
standard time is fixed for the workers. If the workers finish the work before standard time
they are given bonus. But no penalty if they fail to do that.
Total wages (W) =T*R+ 50% of (S-T) *R
Standard time(S) =15 hours
Time taken (T) = 10 hours
Rate of wages(R) =Rs 10 per hour
Bonus (P) = wages of 50% of time saved
Than wages= 10*10+50 %*(15-10) *10 = Rs 125
b) Rowan plan: It is the modification of the Halsey plan it also guarantees the minimum
wages and does not penalize the slow workers. Standard time is fixed, and the bonus is paid
based on time saved
Total wages (W) =T*R+ [T*R* Time saved/ Standard
time] Standard time(S) =15 hours
Time taken (T) = 10 hours
Rate of wages(R) =Rs 10 per hour
Bonus (P) = Time saved/ Standard time
Than wages= 10*10+ [10*10* 5/15] = Rs 133.33
c) Emerson plan: In this plan minimum wages are guaranteed to the workers efficiency is
measured based on the comparison of actual performance with the standard fixed. Under
this method if the efficiency is 100% the bonus would be paid at 20% and above 100%
bonus at 30% would be paid. Thus, efficient workers will be rewarded at an increasing rate
with the increase in saving time.
d) Bedeaux plan: Under this minute is the time unit described as the standard minute. The
standard time for each job is fixed after undertaking time and motion study expressed in
terms of B. the standard time for a job is the number of B’s allowed to complete it.
Generally, the bonus paid to the worker is 75% of the wages for time saved. The rest 25%
goes to the supervisor.
Standard time(S) = 360 B’s (6hours*60
minutes) Actual time (T) =300 B’s (5hours*60
minutes)
Wage rate(R) = Rs 10 per hour Value
of time saved=360-300/60*10
=Rs10
Total wages (W) =S*R+75%of value
saved =6*10+75/100*10
=Rs67.5

The above discussed wage payment methods were based on the time while the wage
payment methods based on the productivity are going to be discussed below:
ii) The production based individual incentive plans are:
Under the production-based incentive plan a standard output is fixed and the workers are
paid based on the production. They are given incentive if they produced more number of
units than the standard fixed. it includes the
a) Taylor’s differential piece rate system: In this plan, Taylor did not give minimum guarantee
to each worker. As per his statement it is possible to calculate standard workload
for every worker based on time and motion studies. He gave two-piece rates for the
workers. The lower rate for average and less efficient workers who produce less than the
standard production and the higher piece rate for the above average or efficient workers.
So, the efficient workers are paid more than the inefficient workers. Standard production =
40 units in a day
Wage rate = between 60 to 70 Rs
If the worker produces 40 units in a day, he will be paid 40* 70= Rs 280
If the worker produces 30 units in a day, he will be paid 30* 60 = Rs
180
As only those who give standard output or more will be paid at Rs 70 and rest will be paid at
Rs 60 only.
Thus, in this method inefficient workers are penalized. Workers are treated like machines
and there is no guarantee of minimum wages in this method.
b) Merrick’s multiple piece rate plan: Under this plan there are three grade piece rate
rather than two given by Taylor.
Workers who produce Less than 83% are paid basic piece rate
Workers who produce between 83%- 100% are paid 110% of basic piece rate
Workers who produce more than 110% paid 120% of basic
Thus, this system is improvement over the Taylor’s plan. But this system also does not give
guarantee minimum wages to the workers. All the workers producing between 1 to 82% of
standard output are considered same and paid at the same piece rate.
c) Gantt’s bonus plan: Under this method minimum wages are guaranteed. If the worker
fails to complete the task within the standard time he receives only the wages for actual
time spent at the specified rate. But if he completes the task within time he gets extra
wages.
Standard time= 10 hours
Rate= Rs 8 per hour
Bonus 25% of the standard time
If the worker finishes his job within 8 hours he will get Rs 80 plus 25% of the day’s wages
i.e. 80*25%=20 that means total Rs 80+20= Rs 100 so he will get bonus for 8 hours work.
2) Group incentive plan: Under this method group bonus is given instead of
individual bonus. The bonus is distributed among all the employees of the organization
on the different basis which are as follows:
a) Priest man’s plan: Under this method Bonus is increased in proportion to increase in
output.
Increased production/standard production*100
b) Profit sharing method: Under this method increased profit is shared among the workers
and management as agreed between both the parties.
c) Scanlon plan: Under this method bonus is paid in proportion to the production 1% bonus
if 1% increases in production.