Download
this case study (PDF). 
CASE STUDY:
Processing Operations Direct Labor Standards
Objective
To develop and apply engineered labor standards introducing computerized
work measurement to direct operations as the basis for continuous
method improvement, maintaining and enhancing the client's position
in the marketplace through cost reduction.
Scope
Evaluate
and measure direct labor work content in processing and converting
production line areas to improved standard practices and procedures.
Methodology
- Evaluate
feasibility of operation for engineered standards
- Train
client industrial engineering and supervisory staff
- Improve
methods, quality, safety, ergonomics and yield
- Develop
and apply computerized in each area based on improved methods
- Document
labor and material savings in each operation
- Training
and guided application using team approach, each team consisting
of a consultant, industrial engineer, quality specialist and
trained operator. Overall direction by joint client-consultant
Steering Committee
Results
- Trained
(7) industrial engineers and (85) supervisors in activity analysis,
method improvement, computerized work measurement development
and application techniques
- Provided
software, hardware network and installed computer systems and
database
- Direct
labor work measurement coverage of 85%
- Implemented
the program on schedule in (37) weeks
- Attained
cost reduction goals
- Trained
client staff expanded the program beyond two pilot plants (over
4000 direct workers) to (15) other plants multiplying the savings
results and achieving a very short ROI and high multiple of
savings vs. cost.
