Basic Industrial Engineering terms for apparel

Industrial Engineering

1. BASIC INDUSTRIAL
ENGINEERING TERMS
PRESENTED BY,
SHARMIN AKTHER DIBA
EXECUTIVE,CENTRAL IE
METRO KNITTING & DYEING MILLS LTD.
BEACON KNITWEAR LTD.
HTTP://ORDNUR.COM

2. WHAT IS INDUSTRIAL ENGINEERING ?
DEALS WITH OPTIMIZATION OF COMPLEX PROCESSES,SYSTEMS OR METHODS
OPTIMIZATION OF 5M (MAN,M/C,MATERIAL,METHOD & MONEY) INSTEAD OF REDUCTION.
INDUSTRAIL EMGINEERING IS A COMBINATION OF ANALYSIS,MEASURE,PLAN,ACT &
RESULT
IT’S AN ORGANIZATIONAL APPROACH TO GET MAX RESULT USING MIN EFFORT
IE = PROD ⤒COST ⤓MP ⤓EFFICIENCY ⤒QUALITY ⤒ PROFIT ⤒
EVERENDING DYNAMIC APPROACH TO IMPROVE
ITS WHERE ENGINEERING MEETS WITH BUSINESS

3. STANDARD MINUTE VALUE(SMV)
SMVdefined as " Time taken by a standard worker to perform the task with pre-
defined conditions"
SMV = BASIC TIME + (BASIC TIME ×ALLOWANCE)
Suppose to complete an operation, an standard operator takes 1 minute.
We put 15% allowance(Men, M/c & Time)
SMV=1+(1×.15) Min
=(1+.15) Min
=1.15 Min
GMT SMV is the sum of SMV for all M/c & Manual operation to complete an item

4. RELATED TERMS TO SMV(Cont..)
Standard Operator : For a specific item & style, the potential operator who can give
maximum output with best quality & can improve productivity.
Lets see an Example for better understanding,
I.Batsman faces 10 balls to score 5 Runs
II.Batsman faces 10 balls to score 12 runs
III.Batsman faces 10 balls to score 10 runs.
Obviously 2
nd
one is the potential batsman who uses his
inputs(balls) to get maximum output(Runs)
Minimum
Input
•Suppose
100 Pcs
Cutting
Input
Operation
•Operator
takes 1 hr
transform
100 inputs
to 95
outputs
Maximum
output
•Standard
operator

5. RELATED TERMS TO SMV
Pre-defined Conditions : On time input arrival, single piece flow, running m/c conditions,
defined quality status etc. are called pre-defined conditions.
Basic Time : Actual time to complete an operation. In other word, basic time is the pick
& drop time including operation for quality output.
Basic Time= Pick time + Operation + Drop time;
Result , Input=Output with required quality
In a broad sense , a GMT SMV=Sum of all operation SMV, not SMV of GMT + allowance.

6. EFFICIENCY
EFFICIENCYdefinedas‘’Thecomparisonofwhatisactuallyproducedor
performedwithwhatcanbeachievedwiththesameconsumptionofresources
(Men,M/c,Materialetc.)’’
EFFICIENCY=EARNEDMINUTE/AVAILABLEMINUTE
EARNEDMINUTE=PRODUCTION(PCs)×SMV
AVAILABLEMINUTE=MANPOWER(HEL+OPR)×WORKINGTIME(MIN)

7. EFFICIENCY % CALCULATION
SupposeanyGMTitemSMVis5.5(ForanyfixedstyleSMValwaysfixed)
Weuse22Manpower(Operator&Helper)toachieve1500Pcsfor10hourworkingshift
EARNEDMINUTE=1500×5.5or8250Min
AVAILABLEMINUTE=22×(10×60)or13200Min
EFFICIENCY=8250Min/13200Minor0.625
Efficiencyisexpressedas%,ThenEFFICIENCY=(0.625×100)%or62.50%
Efficiencyisaratio,notanumber.
EfficiencyvarywithLEADTIME&QUANTITY.MoreLeadtime&QuantityIncrease
Efficiency,ontheotherhandlessleadtimetendsustousemoreMPortimetoget
requiredoutput,soefficiencyreduces.

8. LINE TARGET
Target=(totalMPXWHX60)/SMV
SupposeWehave22MPfor10hr.GMTSMVis5.5
TGT=(22X10X60)/5.5
=2400PCs/Hr(Thatis100%TGT)
Forexpectedefficiencythis100%TGTismultipliedbyefficiencytofixLineTarget
LINETGT=(2400X.625);[Lets,wehaveexpectedefficiencyof62.5%)
=1500PCsor150PCs/Hr

9. CPM & CM
Minute cost or Cost per Minute(CPM) calculation for the garments
sewing line is too much needy to earn maximum profit from an
export order.
CPM (Cost Per Minutes)= (Direct Labor Cost + Operational Cost)of
the month/ Usage Minutes (Available Minutes) of the month.

10. CM/COM/MC
Cost of Making(CM/COM)/Manufacturing cost(MC) have to calculate after calculating
factory CPM.
CM= (SMV ×CPM)/ Expected Efficiency%
Suppose , any GMT item SMV is 5.5,Expected efficiency = 62.5 % , CPM[let] = $0.0264
CM = (5.5 ×.0264)/ .625
= $0.23/PCs
= ($0.23 ×12)/Dzn
=$2.79 /Dzn

11. Broad Calculation of Garments CM
To find out the CM (Cost of Making) of a item you must need the following 06 (six) information at first, as listed
below:
i. Monthly total expenditure of your factory with factory rent, commercial cost, electricity bill, water bill,
transportation, repairing, worker & stuff wages etc. (8hrs/day) in Bangla taka.
Suppose -50,00,000/-tk
ii. Qty of running Machine of your factory of the following month (which total expenditure we have consider
here). Suppose -100 machines.
iii. Number of machine to complete the layout for the following Items (which CM we are calculating). Suppose-
25 machines.
iv. Production target/capacity of the following items, per hour from the existing layout, excluding alter & reject.
Suppose-200 pcsper hour.
v. Total working day of the followings month,(though the house rent, commercial expenses, machine
overhauling & some other cost remain same) Suppose-26 days.

12. COST OF MAKING (CM) RULE:
={(Monthlytotalexpenditureofthefollowingfactory/26)/(QtyofrunningMachineofyourfactoryofthe
followingmonth)X(Numberofmachinetocompletethelayout)}/[{(Productioncapacityperhrfromtheexisting
layout,excludingalter&reject)X8}]X12/(Dollarconversionrate)
=[{(50,00,000/26)/(100)X(25)}/{(200)X8}]X12/74
=[{192307.7/(100)X(25)}/1600]X12/74
=(48,076.9/1600)X12/74
=30.048X12/74
=360.58/74
=$4.873/dozen(thisisthemakingcost(12pcs)ofthefollowingitems)
However,normallyatpresent(afterstartingthenewsalaryscale)inBangladeshwecalculatetheCMofanyitem
considertheoverheadsewingmachinecost1200tkto1400tk/daythatmeans$16.216to$18.92/perday.Above
isforanon-compliancefactory.
Fortheacompliancefactorytheperdaymachinecostwillbe1800tkto2100tk
($24.32to$28.37)
SO,iftheanitemsproduce1600pcsperdayusing25machinesthentheCMwillbe
=OverheadmachinecostXrequiremachine/producequantityX12/$74
=1400X25/1600X12/74
=$3.547/DOZ

13. CONVENTIONAL VS MODERN PROFIT THEORY
Conventional :
COST + PROFIT = PRICE
Modern :
PRICE –COST = PROFIT
Price should be moderate to get maximum order !
Cost should be minimized to get maximum profit !

14. WORK STUDY
SYSTEMATIC STUDY OF METHODS OF WORK TO IMPROVE EFFECTIVENESS & SET STANDARDS
2 STAGES :
1. METHOD STUDY : STUDY OF CURRENT METHOD & FIND OUT TO IMPLEMENT IMPROVED METHOD
2.WORK MEASUREMENT : DETERMINE THE STANDARD TIME REQUIRED TO COMPLETE IMPROVED
METHOD
BENEFITS OF WORK STUDY :
1.PRODUCTIVITY IMPROVEMENT
2.EFFICIENCY INCRESE
3.IMPROVED WORK FLOW
4.IMPROVED WORK LAYOUT
5.IMPROVED STANDARDS

15. TIME & MOTION STUDY
TIME STUDY :A WORK MEASURING TECHNIQUE TO CALCULATE BASIC TIME BY FINDING CYCLE
TIME & ADDING ALLOWANCE
MOTION STUDY : A TECHNIQUE TO ANALYZE OPERATORS MOTION & SET STANDARD BY
ELIMINATING UNNECESSARY MOTION
TWO DIFFERENT THEORY BUT NEED PARALLEL RUNNING TO IMPROVE SYSTEM KNOWN AS
‘METHOD ENGINEERING’
TIME & MOTION STUDY IS A CONJUGAL TECHNIQUE TO PROCESS CONTROL,IMPROVE
DISSIMILAR WORK PERFORMANCE & SET STANDARD GOALS
‘’IE IS A COMBINE PACKAGE TO IMPROVE BY TIME STUDY,WORK STUDY & MOTION STUDY’’

16. LINE BALANCING
LINE BALANCING IS A MANUFACTURING ENGINEERING FUNCTION IN WHICH WHOLE
COLLECTION OF PRODUCTION -LINE TASKS ARE DIVIDED INTO EQUAL PORTIONS.
WELL BALANCED LINES AVOID LABOR IDLENESS & IMPROVE PRODUCTIVITY
LINE BALANCING IS FOR KEEPING WORK LOAD(THEARETICAL MP/ACTUAL MP) AS 1 OR
LESS THEN 1 BY BALANCING WORK AS PER CAPACITY & TARGET
LINE LAYOUT
CAPACITY
STUDY
CAPACITY
GRAPH
FIND
BOTTLENECK
METHOD
ENGINEERING
LINE
BALANCING

17. STEPS FOR LINE BALANCING
‘BOTTLENECK’ (CONSTRAINT M/C OR MP OR OPERATION THAT REDUCES PRODUCTIVITY) HAVE TO FIND OUT
FIND SAME M/C / M/C CONDITION SUCH AS GAUGE/PRESSURE FEET/DEVICE/THREAD ETC
FIND OUT OPERATION TO BALANCE WITH BOTTLENECK BY CHECKING WITH HIGER CAPACITY
BALANCING OPERATOR TIME STUDY ,MOTION STUDY & PRODUCTION STUDY
FIND BALANCED OPERATION EVERY MOTION CT(CYCLE TIME)
ELIMINATING NON VALUE ADDED TIME & SAM & CAPACITY CALCULATION
OPERATION BALANCING/HR ACCORDING TO TARGET & BALANCED OPERATOR CAPACITY

18. EXAMPLE-LINE BALANCING FOR ITEAM T-
SHIRT
SL NO. OPERATIONS M/C /HELPERMP
IMBALANCED
CAPACITY/HR
BALANCED
CAPACITY/HR
BALANCING OPERATION
1Front n back n 1st shoulder join with / without tape 4TH/OL 2 162 162 NO
2Neck binding FLAT BED 1 160 160 NO
32nd Shoulder inner tack SNLS 1 164 164 NO
42nd shoulder join with / without tape 4TH/OL 1 180 160 BALANCE (6) 20 PCs/HR
5Secure 2nd shoulder @ neck SNLS 1 162 162 NO
6Sleeve n body match n insert sleeve 4TH/OL 2 140 160 BALANCE WITH (4)
7Care Label Make SNLS 1 161 161 NO
8Side/ sleeve Seams inc. care label and Gmts turns 4TH/OL 2 160 160 NO
9Sleeve hem 2TFL 2 130 160 BALANCE WITH (10)
10Bottom Hem 2TFL 1 190 160 BALANCE (9) 30 PCs/HR
11Thread trims & sticker remove MNL 1 165 165 NO

19. 162 160 164
180
162
140
161 160
130
190
165
0
20
40
60
80
100
120
140
160
180
200
Front n back n
1st shoulder
join with /
without tape
Neck binding2nd Shoulder
inner tack
2nd shoulder
join with /
without tape
Secure 2nd
shoulder @
neck
Sleeve n body
match n insert
sleeve
Care Label
Make
Side/ sleeve
Seams inc.
care label and
Gmts turns
Sleeve hemBottom HemThread trims &
sticker remove
IMBALANCED CAPACITY GRAPH
162 160
164
160 162 160 161 160 160 160
165
0
20
40
60
80
100
120
140
160
180
200
Front n back n
1st shoulder
join with /
without tape
Neck binding2nd Shoulder
inner tack
2nd shoulder
join with /
without tape
Secure 2nd
shoulder @
neck
Sleeve n body
match n insert
sleeve
Care Label
Make
Side/ sleeve
Seams inc.
care label and
Gmts turns
Sleeve hemBottom HemThread trims &
sticker remove
BALANCED CAPACITY GRAPH(LINE BALANCING)

20. CORE LESSON FROM LEARNING
SMV & IT’S USE IN GARMENTS/APPAREL INDUSTRY
EFFICIENCY CALCULATION & ITS RELEVANT TERMS
CPM & CM CALCULATION FOR GARMENTS INDUSTRY
WORK STUDY,TIME & MOTION STUDY
LINE BALANCING & HOW TO APPLY PRACTICALLY

21. THANK YOU