Measuring Output of Office Employees

1. Chapter 15 Measuring Output of Office Employees

2. Work Measurement Is used to help determine what constitutes a fair day’s work from both the employer’s and the employee’s standpoint.

3. Objectives of Work Measurement (1 of 2) 1. To express expected output or production levels. 2. To aid in the planning and scheduling of work. 3. To aid in determining the number of employees needed to complete a project in the allotted time. 4. To aid in determining the efficiency of work methods and procedures.

4. Objectives of Work Measurement (2 of 2) 5. To aid in determining the cost of office operations. 6. To aid in determining equitable work loads for employees.

5. Advantages of Work Measurement 1. It provides greater control over work processes and methods. 2. It helps determine the appropriateness of the number of employees assigned to a work unit. 3. It helps determine the efficiency in planning work. 4. It helps prevent work backlogs. 5. It helps simplify work processes.

6. Characteristics of Measurable Office Activities 1. To be measured, tasks have to be isolated and counted. 2. Tasks must be fairly consistent from one measurement to another. 3. Tasks should be performed in sufficient volume to justify the cost of measurement. 4. Tasks need to be void of considerable amounts of judgment and decision making.

7. Work Measurement Program Before a work measurement program is developed, employees must be convinced it has a need and will produce desirable results.

8. Work Measurement Program Steps 1. Make preliminary plans. 2. Hire employees. 3. Gain acceptance of and support for the program. 4. Collect important data. 5. Analyze collected data and develop standards. 6. Train supervisors and managers. 7. Instruct employees. 8. Follow-up.

9. Work Measurement Techniques Production Records Work Sampling Time Study Micromotion Study Predetermined Standard Time Data

10. Production Records Technique (1 of 2) Is rather simple and quick. Uses employee production records to determine amount of time to complete specific job tasks. Employees use a time log to keep track of their tasks and the amount of time taken to perform these tasks. Time log also identifies the number of units produced in a given amount of time.

11. Production Records Technique (2 of 2) Time log is kept for as long as needed to smooth out fluctuations. Standards are determined by dividing the total number of units produced by the amount of time taken to produce the units. If standards are set at too high a level, they may need to be “leveled,” a process that will be discussed later.

12. Advantages of Production Records Technique 1. It is simple, easily understood, and inexpensive. 2. It facilitates the quick development and implementation of a work measurement program without the need for specially trained individuals.

13. Disadvantages of Production Records Technique 1. It may produce inaccurate standards if employees don’t prepare accurate time logs. 2. It results in preparation of standards on the basis of “what is” rather than on the basis of “what should be.”

14. Work Sampling Technique (1 of 2) Uses a statistical base that requires random observations to determine the amount of time taken by each element of an office procedure. Statistical element is based on this law of probability: If a procedure is observed a sufficient number of times, the results will be as reliable as when the procedure is observed continuously. over a period of time.

15. Work Sampling Technique (2 of 2) Observations are random if the employee being observed is chosen at random and the time of the observation is chosen at random. The process helps determine what percent each activity consumes in a whole work process.

16. In selecting random observations, determine 1. The degree of time the smallest activity consumes in the total work process. 2. The degree of tolerance required. 3. The reliability of results required.

17. Advantages of the Work Sampling Technique 1. The results are highly accurate, provided that random observations are made. 2. The technique does not require the services of a highly trained analyst. 3. The technique is fairly reasonable in terms of its installation cost. 4. The results can be gathered rather quickly. 5. Work sampling is well suited for long-cycle work processes.

18. Disadvantages of Work Sampling Technique (1 of 2) 1. Some employees have a tendency to perform diligently if or when they know they are being observed. 2. Procedures consisting of numerous minute activities are not suitable for work sampling. 3. To set standards, production records have to be used to determine units of output (such records are not always readily accessible).

19. Disadvantages of Work Sampling Technique (2 of 2) 4. The use of work sampling is sufficiently complex that a trained analyst is needed. 5. Various elements of the process are somewhat difficult for employees to understand.

20. Time Study Technique (1 of 2) Is also known as stopwatch study. Before data are gathered, all wasted motions are eliminated from the process being analyzed.

21. Time Study Technique (2 of 2) Involves these steps: 1. The job is broken into its basic elements. 2. The amount of time consumed by each element of a work process is recorded on a time study sheet, the process of which is repeated for several cycles. 3. The appropriate standards are based on the time consumed by each element of the process.

22. Timing Process Uses Two Methods Continuous Timing Lapsed Timing

23. Advantages of the Time Study Technique 1. Results in the development of accurate standards. 2. Produces more accurate results when measuring work processes comprised of minute elements than either the production records technique or the work sampling technique. 3. Results in the development of standards that can be readily used for assessing the performance of employees.

24. Disadvantages of Time Study Technique 1. The measurement process often requires the use of a trained analyst. 2. Office employees tend to have a negative reaction to standards determined by the use of a stopwatch. 3. The technique is not useful for measuring time- consuming elements of a work process.

25. Micromotion Study Technique (1 of 2) Uses a visual recording medium, such as a motion picture or video tape. Is especially appropriate for processes that involve both people and machines. The visual recording is examined to determine the amount of time consumed by each element of a work process.

26. Micromotion Technique (2 of 2) Timing of each element of the process is done by counting frames or by using a stopwatch to time. When elements are minute, may require the use of a microchrometer, which is a timing device built into the recording.

27. Advantages of Micromotion 1. It is extremely accurate. 2. It is well suited for analyzing the most minute elements of a work process. 3. It can also be used to simplify work processes because wasted motions appear on the recording.

28. Disadvantages of Micromotion 1. It is more costly than some of the other techniques. 2. Its use is limited to high-volume, costly work processes. 3. It requires the services of a trained analyst.

29. Predetermined Standard Time Data Technique (1 of 2) Uses data typically obtained from external sources, such as purchased data. Tends to produce highly uniform results when based on standards that are consistent from one situation to another.

30. Predetermined Standard Time Data Technique (2 of 2) Steps 1. The work process is broken down into its minute elements. 2. Each element is analyzed in terms of the motion involved. 3. To determine the appropriate standard, each motion of the work process is compared with the purchased predetermined standard time data. 4. The standard for the entire process is found by adding the standard times for each of the motions.

31. Advantages of Predetermined Standard Time Data Technique 1. It results in accurate standards. 2. Employees tend to accept results readily because of the specificity of the process. 3. Application of process is fairly rapid.

32. Disadvantages of Predetermined Standard Time Data Technique 1. It is a costly technique. 2. It is not suitable for certain types of office operations.

33. Performance Leveling Is a process that results in the adjust- ment of employee work standards, helping determine what constitutes a fair day’s work for both the employer and employee.

34. Work Standards Are based on the data collected through work measurement processes. They should not be set at such a level that only the most productive worker will be able to attain them. Nor should they be set at such a level that nearly every employee can attain them with putting forth little effort to do so.

35. Advantages of Work Standards (1 of 2) 1. They help increase the efficiency with which employees perform their jobs. 2. They help inform employees of their expected production levels. 3. They assist managers in making personnel decisions, because employees who are performing beyond expected levels of production can be readily identified.

36. Advantages of Work Standards (2 of 2) 4. Because employees are aware of the procedures for performing their jobs, less supervision is needed and greater control over the work process is possible. 5. They provide the basis for incentive wage systems. 6. They help improve employee morale by making employees aware of what is expected of them.

37. Types of Standards Are expressed in units of output per unit of time. Quantity Standards Measure the accuracy and acceptability of work. Quality Standards Identify what is acceptable in terms of the descriptive nature of something in an office, such as furniture. Descriptive Standards