06 designpeoplesystem

Design of People System

Henry C. CoTechnology and Operations Management, California Polytechnic and State University

Design of People System (Henry C. Co) 3

Job Design Job design involves specifying the

content and methods of job What will be done Who will do the job How the job will bob will be done Where the job will be done Ergonomics: Incorporation of human

factors in the design of the workplace


Design of Work Systems Specialization Behavioral Approaches to Job Design Teams Methods Analysis Motions Study Working conditions


Decisions in Job Design

HowWhyWhenWhereWhatWho

Mental andphysicalcharacteristicsof the work force

Tasks to beperformed

Geographiclocale of theorganization;location of work areas

Time of day;time of occurrence inthe work flow

Organizationalrationale forthe job; object-ives and mot-ivation of theworker

Method of performanceandmotivation

UltimateJob

Structure


Approaches in Job Design Behavioral approaches

The Hawthorn studies. The work of Herzberg, Hackman, Oldham,

and others. Japanese management systems.

Efficiency approaches From Taylor’s scientific management

concepts (Time study, work sampling, methods. improvement study).


Behavioral Approaches (Psycho-Social Factors)

Job enlargement (high task variety). Vertical (job enrichment).

To include planning, organizing, inspecting one’s own work.

Meaningful work, responsibility for outcomes. Knowledge of actual results.

Horizontal (greater variety). Job Rotation: Workers periodically

exchange. Taylorism (high task specialization).


Socio-technical system Blends the sociological concerns of the

worker with modern technology of robots and computer-controlled machines.

Design job to adjust the needs of the workers and work group.

Skill variety. Task variety. Task identity. Task autonomy. Feedback.


Specialization in Business (Table 7.1)

For Management:

1. Difficult to motivate

quality

2. Worker dissatisfaction,

possibly resulting in

absenteeism, high

turnover, disruptive

tactics, poor attention

to quality

For Labor:

1. Monotonous work

2. Limited opportunities

for advancement

3. Little control over work

4. Little opportunity for

self-fulfillment


Disadvantages

For Management:

1. Difficult to motivate

quality

2. Worker dissatisfaction,

possibly resulting in

absenteeism, high

turnover, disruptive

tactics, poor attention

to quality

For Labor:

1. Monotonous work

2. Limited opportunities

for advancement

3. Little control over work

4. Little opportunity for

self-fulfillment


Efficiency Approach (Technical-Physical Factors) Work Physiology (Study of Manual Tasks)

Manual tasks entail stress on large muscle groups. Physiological Indices of Fatigue

heart rate, oxygen intake. sweat rate, lactic acid in blood, body

temperature. Human-Factors Engineering

Motor Tasks Controlled by the central nervous system. Fatigue is localized in small muscle groups (e.g.,

fingers, arms, hands). Mental Tasks

Rapid decision making based upon stimuli. Effectiveness measured by response time and

kind/number of errors.


The Work Environment

Working ConditionsTemperature &Humidity

Ventilation

Illumination Color


Noise & Vibration

Causes of AccidentsSafety

Work Breaks


Work Methods The need for methods analysis can come from a

number of different sources: Changes in tools and equipment. Changes in product design or new products. Changes in materials or procedures. Other factors (e.g. accidents, quality problems).

Focus on doing the job right; poka yoke. Select the job to be studied.

Jobs that are prone to human error. High labor content; done frequently. Unsafe or tiring that offer the most potential for

improvement. Document and analyze the present method. Develop an improved method. Implement the improved method. Maintain and follow up on the new method.


Document and AnalyzePresent Method

Obtain production requirements. Procure engineering data. Procure manufacturing and cost data. Description and sketches of work

station and tools. Use assembly chart, flow process

chart, flow diagram, worker-machine activity chart, etc.


Assembly Chart (Operation Process Chart) Information conveyed

Purpose of operation Process of manufactureDesign of the part Setup and toolsTolerances and specifications Working conditionsMaterials Plant layout


Assembly Chart … (Continued) Standard symbols:

Circle (operation) and Square(inspection)


Process Flowchart Symbols

Operation:Operation:An activity directly contributing to product or serviceAn activity directly contributing to product or service

Storage:Storage:Store of the product or serviceStore of the product or service

Inspection:Inspection:Examining the product or service for completeness, Examining the product or service for completeness, irregularities, or qualityirregularities, or quality

Transportation:Transportation:Moving the product or service from one location to anotherMoving the product or service from one location to another

Delay:Delay:Process having to waitProcess having to wait


FLOW PROCESS CHARTJob Requisition of petty cash

Details of Method

ANALYST D. Kolb

PAGE1 of 2

Op

erat

ion

M

ove

men

t

Insp

ecti

on

Del

ay

Sto

rag

e

Requisition made by department headPut in “pick-up” basketTo accounting departmentAccount and signature verifiedAmount approved by treasurerAmount counted by cashierAmount recorded by bookkeeperPetty cash sealed in envelopePetty cash carried to departmentPetty cash checked against requisitionReceipt signedPetty cash stored in safety box

Figure 7-2


Worker-Machine Chart Graphical model of the simultaneous

activities of a worker and the equipment he/she operates.

Helps identify idle time and costs of both workers and machines.

For analyzing alternative worker-machine combinations to determine the most efficient arrangement.


– 1

– 2

– 3

– 4

– 5

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Key in customer dataon card

Feed data card in

Position customer for photo

Take picture

Inspect card & trim edges

Idle

Idle

Idle

Idle

Photo/card processed

Accept card

Begin photo process

2.6

0.4

1.0

0.6

3.4

1.2

Job Photo-Id Cards Date 10/14Time Time(min) Operator (min) Photo Machine

Worker-Machine

Chart


Operation Analysis Question every detail.

Why? Where? What? Who? When? How?


Operation Analysis 10 Primary Approaches

Purpose of the operation. Design of the part. Tolerance and specifications. Material. Process of manufacture. Setup and tools. Working conditions. Material handling. Plant layout. Principles of motion economy.


Principles of Motion Economy Both hands should work at the same

time. The hands should work in opposite

symmetrical directions. Each hand should go through as few

motions as possible. The work place should be designed to

avoid long reaches. Avoid using the hand as a holding

device.


Work Measurement Motion study is the systematic study of the human motions

used to perform an operation. Work measurement: Measures time requirement to make a

product Time standards: The time required for a trained worker to

perform a given task using a prescribed work method with normal effort and skill.

Uses of standards

Uses of standards %

Estimating and cost 89%

Incentive compensation plans 59

Production scheduling 55

Performance appraisal 41

Staffing & capacity plans 2


Major Methods of Work Measurement

Type of Task Major Methods

Very short interval, highlyrepetitive

Film analysis

Short interval, repetitive Stop watch time study orpredetermined data

Task in conjunction withmachinery or other fixedprocessing time equipment

Elemental data or subjectiveestimate

Infrequent work or work of a longcycle time

Work sampling or subjectiveestimate


The Critics of Work Measurement UPS has 1000 industrial engineers (out of a work

force of 152,000) set standards for a myriad of closely supervised tasks. Productivity and profits are high.

“Time study is a dark-ages technique, and it’s dehumanizing to track someone around with a stopwatch.”

Vice President, H.B. Maynard & Co. “UPS runs counter to the drift of many companies

who see (1) Automation (such as Roadway) or (2) Employee Involvement as better ways to higher productivity, rather than rigid monitoring at UPS.”

Wall Street Journal

Time Study Sheet


Elemental Standard Time Data Develop tables of performance times

for operations that are common to many applications.

Avoids the need for separate time studies.


Predetermined Motion-Time Data Systems Uses historically developed data for time

required for basic body movement, elements of operation, or even an entire operation.

Very useful in estimating new product cost. Procedure

Divide total task into elements. Rate the difficulty of each element. Look up tables for the time allowed for each

element. Add all element times together.

Systems available Methods time measurements (MTM). Basic motion time study (BMT). Motion time survey (GE). Work factor.

The MTM Predetermined

Motion-Time Data System


Work Sampling Observing an activity during a fixed duration

(e.g., a day) at random intervals to estimate the fraction of time spent directly on some sub-activities of interest

Applications Ratio delay = % idle time Performance measurement Time standard

Experimental approach Level of confidence Sample size Accuracy of observations

Maxim um probable error

Maxim um probable error

Confidencelevel


Work Sampling Study A work sample is being conducted. the

observer randomly samples 60 times in a day and notes that a particular element is performed 12 times.

Estimate the % of the time that worker spend on this element.

Calculate the precision of the estimate (at 95% confidence interval)

Determine the appropriate sample size required for a second set of observations if the acceptable numerical error is 0.02.


Maslow’s Hierarchy of Needs


Compensation Methods Some reasons a company might use a

wage incentive plan Increased pay for employees Lower total cost to the company for each

unit produced. Many jobs do not lend themselves to

an individual incentive plan.


Wage Incentive Plans Piecework plans. Standard hour wage plans. Gain-sharing plans. Recommendations for developing and implementing

successful wage incentive plans: The plan should permit earnings about the base rate;

good performance should pay at least a 30% bonus. The plan should benefit both the company and the

employees. The plan should be simple and understandable. The standards should be protected from capricious and

indiscriminate rate cutting. Earnings should not be affected by factors beyond the

control of the worker.


Group Incentive Plans Direct-wage group. Profit-sharing and cost-reduction plans. The Scanlon plan.

Whenever a plant-s productivity exceeds a preestablished “normal” level, every employee gets a bonus - the higher the level of productivity, the bigger the bonus.

The plan also involves a style of management designed to give each worker some control over his or her job by encouraging participation in decision making affecting it.

Productivity is increased by a well-designed employee suggestion plan and through the use of special committee that constantly prod employees for ideas on how to improve productivity.


Lincoln Electric The Lincoln Electric Plan

Average incentive bonus for the last 10 years = 11 months- salary.

Job security: guaranteed minimum of 30 hours- pay per week for employees who have served the company for 2 years or more.

Promotion from within.


Lincoln ElectricDisbursed Ten Year Average


Employee Health & Safety Several regulations and government

agencies monitor and control; OSHA - safety and health in the workplace.

Federal... proactive. Worker’s Compensation - safety and

health in the workplace. State .... reactive. EPA - Environmental protection outside of

the workplace. Federal... proactive. Safety and Health departments in

plant.


Learning Curves Illustrates

improvement rate of workers as a job is repeated

Processing time per unit decreases by a constant percentage each time output doubles

Units producedUnits produced

Pro

cess

ing

tim

e p

er u

nit

Pro

cess

ing

tim

e p

er u

nit


tn = time required for nth unit producedt1 = time required for first unit producedn = cumulative number of units produced

b = , where r is the learning curve % (decimal coefficient)

2ln

ln r

Time required for the Time required for the nnth unit =th unit = tn = t1nb

where:


Learning Curve Effect

Contract to produce 36 computers.Contract to produce 36 computers.tt11 = 18 hours, learning rate = 80% = 18 hours, learning rate = 80%

What is time for 9th, 18th, 36th units?What is time for 9th, 18th, 36th units?

tt99 = (18)(9)= (18)(9)ln(0.8)/ln 2 ln(0.8)/ln 2 = (18)(9)= (18)(9)-0.322 -0.322

= (18)/(9)= (18)/(9)0.322 0.322 = (18)(0.493) = 8.874hrs= (18)(0.493) = 8.874hrs

tt1818 = (18)(18)= (18)(18)ln(0.8)/ln 2 ln(0.8)/ln 2 = (18)(0.394) = 7.092hrs= (18)(0.394) = 7.092hrs

tt3636 = (18)(36)= (18)(36)ln(0.8)/ln 2 ln(0.8)/ln 2 = (18)(0.315) = 5.674hrs= (18)(0.315) = 5.674hrs


Learning Curve for Mass Production Job

Standard Standard timetime

End of improvementEnd of improvement

Units producedUnits produced

Pro

cess

ing

time

per

unit

Pro

cess

ing

time

per

unit


Learning Curves (cont.)

Advantages planning labor planning budget determining

scheduling requirements

Limitations product modifications

negate learning curve effect

improvement can derive from sources besides learning

industry-derived learning curve rates may be inappropriate

06 designpeoplesystem

Business

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