Design of People System

Henry C. Co Technology and Operations Management, California Polytechnic and State University

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 People System (Henry C. Co)

Design of Work Systems

Specialization Behavioral Approaches to Job Design

Teams
Methods Analysis Motions Study Working conditions

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Decisions in Job Design

Who
Mental and physical characteristics of the work force

What

Where
Geographic locale of the organization; location of work areas

When

Why
Organizational rationale for the job; objectives and motivation of the worker

How

Tasks to be performed

Time of day; time of occurrence in the work flow

Method of performance and motivation

Ultimate Job Structure

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Approaches in Job Design

Behavioral approaches

The Hawthorn studies. The work of Herzberg, Hackman, Oldham, and others. Japanese management systems. From Taylors scientific management concepts (Time study, work sampling, methods. improvement study).

Efficiency approaches

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Behavioral Approaches (Psycho-Social Factors)

Job enlargement (high task variety).

Vertical (job enrichment).

To include planning, organizing, inspecting ones own work. Meaningful work, responsibility for outcomes. Knowledge of actual results.

Horizontal (greater variety). Job Rotation: Workers periodically exchange.

Taylorism (high task specialization).

Design of People System (Henry C. Co)

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.

Design of People System (Henry C. Co)

Specialization in Business (Table 7.1)

For Management:
1. Difficult to motivate

For Labor:
1. Monotonous work
2. Limited opportunities for advancement 3. Little control over work 4. Little opportunity for self-fulfillment

quality
2. Worker dissatisfaction, possibly resulting in absenteeism, high turnover, disruptive tactics, poor attention to quality

Design of People System (Henry C. Co)

Disadvantages
For Management:
1. Difficult to motivate

For Labor:
1. Monotonous work
2. Limited opportunities for advancement 3. Little control over work 4. Little opportunity for self-fulfillment

quality
2. Worker dissatisfaction, possibly resulting in absenteeism, high turnover, disruptive tactics, poor attention to quality

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Efficiency Approach (Technical-Physical Factors)

Work Physiology (Study of Manual Tasks)

Human-Factors Engineering

Manual tasks entail stress on large muscle groups. Physiological Indices of Fatigue heart rate, oxygen intake. sweat rate, lactic acid in blood, body temperature. 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.

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The Work Environment

Working Conditions Temperature & Ventilation Humidity

Illumination

Color

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Noise & Vibration

Work Breaks

Safety

Causes of Accidents

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Work Methods

The need for methods analysis can come from a number of different sources:

Focus on doing the job right; poka yoke.

Changes in tools and equipment. Changes in product design or new products. Changes in materials or procedures. Other factors (e.g. accidents, quality problems). Select the job to be studied.

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

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

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Document and Analyze Present 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.

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Assembly Chart (Operation Process Chart)

Information conveyed
Purpose of operation Design of the part Tolerances and specifications Materials Process of manufacture Setup and tools Working conditions Plant layout

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Assembly Chart (Continued)

Standard symbols: Circle (operation) and Square(inspection)

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Process Flowchart Symbols

Operation:
An activity directly contributing to product or service

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

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

Delay:
Process having to wait

Storage:
Store of the product or service

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Figure 7-2
FLOW PROCESS CHART ANALYST PAGE Job Requisition of petty cash D. Kolb 1 of 2

Details of Method
Requisition made by department head Put in pick-up basket To accounting department Account and signature verified Amount approved by treasurer Amount counted by cashier Amount recorded by bookkeeper Petty cash sealed in envelope Petty cash carried to department Petty cash checked against requisition Receipt signed Petty cash stored in safety box
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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 workermachine combinations to determine the most efficient arrangement.

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Job Photo-Id Cards Time (min) Operator

Date Time (min) Photo Machine

10/14

1 2 3

Key in customer data on card Feed data card in

2.6

Idle

0.4

Accept card Idle Begin photo process

Position customer for photo 1.0 Take picture 0.6

4
WorkerMachine Chart 5 6

Idle

3.4

Photo/card processed

7
8 9
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Inspect card & trim edges

1.2

Idle

Operation Analysis

Question every detail.

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

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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.

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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.
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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 Incentive compensation plans Production scheduling Performance appraisal Staffing & capacity plans

% 89% 59 55 41 2
25

Design of People System (Henry C. Co)

Major Methods of Work Measurement

Type of Task Very short interval, highly repetitive Short interval, repetitive Major Methods Film analysis Stop watch time study or predetermined data

Task in conjunction with Elemental data or subjective machinery or other fixed estimate processing time equipment Infrequent work or work of a longWork sampling or subjective cycle time estimate

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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 its 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

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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.

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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

Systems available

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

Confidence level

Experimental approach

Level of confidence Sample size Accuracy of observations

Maximum probable error Maximum probable error

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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.

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Maslows Hierarchy of Needs

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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.

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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.

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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.
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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.

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Lincoln Electric Disbursed Ten Year Average

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Employee Health & Safety

Several regulations and government agencies monitor and control;

OSHA - safety and health in the workplace. Federal... proactive. Workers Compensation - safety and health in the workplace. State .... reactive. EPA - Environmental protection outside of the workplace. Federal... proactive.

Safety and Health departments in plant.

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Learning Curves

Processing time per unit

Illustrates improvement rate of workers as a job is repeated Processing time per unit decreases by a constant percentage each time output doubles

Units produced

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Time required for the nth unit = tn = t1nb

where:

tn = t1 = n= b=

time required for nth unit produced time required for first unit produced cumulative number of units produced
ln r , where r is the learning curve % ln 2

(decimal coefficient)

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Learning Curve Effect

Contract to produce 36 computers. t1 = 18 hours, learning rate = 80% What is time for 9th, 18th, 36th units?

t9 = (18)(9)ln(0.8)/ln 2 = (18)(9)-0.322 = (18)/(9)0.322 = (18)(0.493) = 8.874hrs t18 = (18)(18)ln(0.8)/ln 2 = (18)(0.394) = 7.092hrs t36 = (18)(36)ln(0.8)/ln 2 = (18)(0.315) = 5.674hrs
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Learning Curve for Mass Production Job

Processing time per unit

End of improvement

Standard time

Units produced

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Learning Curves (cont.)

Advantages

Limitations

planning labor planning budget determining scheduling requirements

product modifications negate learning curve effect improvement can derive from sources besides learning industry-derived learning curve rates may be inappropriate

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