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Writer's pictureBhagchand Rajak

What are the Common Formulas for Production Calculation in the Apparel Industry

Updated: Apr 6, 2021

You may be the usage of system for calculating slandered time or labour productiveness or labour price per minute. There are many such frequent measures we want to calculate daily for getting ready every day reviews and measuring overall performance in a number of parameters. In this article we will attempt to apprehend how the fundamental overall performance measures are calculated and formulation that are used for calculating these measures.



In the garb industry, industrial engineers, manufacturing managers and manufacturing planners measure the manufacturing unit overall performance on day by day foundation via following well-known method for every measure. You would possibly be already the usage of such formulation for calculating your manufacturing facility performance. For example, industrial engineers.

  • put together OB sheet,

  • measure key overall performance symptoms (KPIs)

  • prepare every day reviews on manufacturing unit performance, and

  • line overall performance in phrases of productiveness and efficiency.

  • They additionally measure line potential as nicely as character operator ability in the given hours. All these are imperative for manufacturing management, balancing work and planning manufacturing and manpower.

As these are frequent measures in clothing production, most of the factories use excel templates getting ready such reviews and calculations the place the excel template are pre-filled with formula. We just observe the file template. We don’t want to calculate each and every time we make a report. So, many instances we are now not clear about how to calculate a precise measure.


Let’s talk about 10 fundamental manufacturing measures and components used calculating these measures.

1. Hourly production target

Hourly manufacturing goal calculation is a phase of an OB and every day manufacturing report. Hourly manufacturing goal is calculated for character operators as properly as for a line as needed. In an OB manufacturing goal is calculated for every operations. Following system is used to calculate hourly target.

Hourly production target = (60 / Operation SAM)

Note: This target is calculated at 100% efficiency. In case you want to plan hourly production target at certain percentage, multiply the above by line efficiency / individual operator efficiency based on your need.


In the table-1 few examples are shown for calculating hourly production target at 100% efficiency




2. Daily Line Target

Like the hourly manufacturing target, each day manufacturing goal of a line is calculated. This goal is given to line supervisors. Based on the each day manufacturing goal manufacturing planning and complete manufacturing time wanted to whole an order is calculated. Following method is used to calculate each day line target.

Daily Line Target = (Shift hours X 60 X No. of operators working in a line X Line efficiency %) /Garment SAM



See the example in the following table


Table-2: Daily production target calculation


3. Individual operator efficiency

We measure man or woman operator’s overall performance (efficiency %) for operator grading, talent matrix, and every day worker overall performance reporting. In case you are distributing overall performance based totally incentives to man or woman operators, you want to measure person operator effectivity too. This is the system to calculate man or woman operator efficiency.


Individual operator Efficiency% = (Total minutes produced*100/Total minutes worked)

Where,

Total minutes produced = Total gadgets produced X operation SAM


See the following examples (table-3) for calculating man or woman operator efficiency. In case an operator is doing greater than one operation, first calculate complete minutes produced in every operation and sum up complete minutes produced in all operations by means of an employee.

Table-3: Examples of character operator effectivity calculation


4. Line Efficiency

Line effectivity is the frequent measure for measuring line overall performance and manufacturing facility performance. Performance of a manufacturing line differ relying on operators’ skills, product design, line balancing, presence of misplaced time, style run time and many different factors. A higher effectivity potential greater output and decreased manufacturing cost. So we goal to enhance line effectivity as a great deal as possible. Line effectivity is calculated the use of following formula.


Line Efficiency% = (Total minutes produced *100) / (Total hours labored * 60)

Where, Total minutes produced by way of the line = Line output X Garment SAM


Total hours labored with the aid of the line = Number of operators X Shift hours


Table-4: Examples of line effectivity calculation



Note: Include helpers and employee doing guide operations in the manpower, in case SAM of the guide operations are covered in garment SAM.


The above referred to formulation is used majorly used for line effectivity calculation. This is recognized as output based totally line efficiency. Line effectivity can be additionally measured in a exceptional way. Instead of line output data, character operators produced minutes and hours labored are calculated first and later their produced minutes and hours labored are summed up to calculated line’s produced minutes and complete hours worked. To many this is now not convenient to calculate person operators output, their whole produced minutes and true hours they labored in a day. Following the 2nd approach is solely sensible if a manufacturing unit is the usage of actual time manufacturing tracing system.

5. Machine Productivity


Machine productiveness is measured to recognize the common manufacturing per laptop per day or in the described time frame. A line with forty eight machines producing 480 shirts and every other line with 36 machines producing four hundred shirts (same design). How do you parent out which line doing better? This can be answered certainly by using measuring computer productivity.


Productivity is the ratio of output and input. Machine productiveness of a manufacturing line is calculated the usage of following formula.


Machine Productivity= Line output / No. of computing device used


Machine productiveness is measured as manufacturing per laptop per shift day. See the following instance (Table-5).


6. Labour Productivity

Productivity is also measured as labour productivity. Instead of machine input in this case line output is divided by labour input to calculate labour productivity.


Labour Productivity = Line output / No. of total manpower (operators +helpers)


7. Standard Time Estimation

Standard time is the time allowed to an operator to elevate out the unique mission beneath targeted circumstance and described degree of performance. This is a trendy definition for wellknown time. Some extra time is introduced to simple time to arrive preferred time of a task. In exercise none can work at some stage in the day except taking rest. Operators want time for rest from fatigue. Various allowances are leisure allowance, contingency allowance (like computing device breakdown) and bundle allowance (for PBS system).

Standard Time = (Observed time X observed rating) + Allowances

Allowances consists of Relaxation allowance, contingency allowance


The fundamental materials of preferred time are proven in the following chart. This chart suggests how popular time is made up from determined time and simple time of a job.

8. Machine utilization percentage

Machines and tools are important assets of garment manufacturing unit. These assets should be utilized as tons as feasible to improvise manufacturing facility performance. But due to work unavailability or much less work, some machines (like specialised machines) are in part utilized via the factory. In such case, equal desktop is shared for a couple of lines. Machine utilization is calculated the usage of under formula.

Machine utilization% = (Actual machine running time X 100) / Time available

If you are running one of your special machines only 4 hours in 8 hours day, utilization of that particular machine would be 50%.

9. Labour cost per unit

Labour value is section of garment FOB. For each order we have a goal labour cost. We want to music the true labour fee and manage it. So we measure it after a fashion is loaded. Here is the formulation to calculate labour price per garment.

Labour cost pet unit = (Total cost incurred in labour wages / No. of garments produced) in a day

10. Production capacity

Production potential is measured in accessible minutes as properly as in variety of pieces. First we will see how on hand minutes in a line are calculated. Then we will calculate ability in wide variety of pieces.

Line capacity per day= {(No. of machine x daily work hours x 60)*(1 – absenteeism %)} x Efficiency % (capacity in minutes) Production capacity (in pieces) = Available minutes / Garment SAM



Like different garment manufacturing units, you may be additionally measuring some key manufacturing measures to preserve music of manufacturing performance and controlling the production. Whatever measures and system you are the usage of have to be standardized and authorized with the aid of the approved individual internally. Also every person in an agency must be conscious how the unique measures are calculated. It is suitable to have a poster of regularly used formulation and maintain the poster in your work space. A poster would be useful for mastering for newcomers.


Share this page with your friends and help them learning industrial engineering in apparel manufacturing.


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