Calculate the standard production, Operation Management

Calculate the standard production  per shift  of 8 hours duration  with the followings data:

Observed time  per unit 5 minutes

 Rating  factor 120 %

 Total allowances 33.33 of normal time.

 Solution  : Normal  time per unit= Observed time  / unit X rating factor

             = 5X 120 /100= 6 minutes

Allowance  = 33.33 of normal  time

33.33X 6 / 100= 2 minutes

 Standard  time / unit  = normal  time  / unit  +Allowances

  = 6+2= 8 minutes / unit

 Standard production  in shift of 8 hours

  = 8X 60 / 8 = 60 units.

Posted Date: 2/25/2013 6:21:06 AM | Location : United States

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