Indicator to determine productivity ratio you want to monitor will play important role of your success. This is the most difficult step of improvement program we want to applied in our organization. For instance, we might take unit per labor as our productivity ratio. It would be okay when the operation hour keep stabil, meaning no over time and high turn over. When the turn over of your organization quite high, or over time fluctuate during your operation, then the indicator will mislead you. The best indicator would be unit per manhour paid that cover the over time and fluctuated turn over.
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Are you agree with that? Is it realistic?
I will say I agree, and it is realistic, and this is the basic principle for productivity specialist like me. You have to do improvement continuosly, all the time, it never ended, and most important, not necessary cost so much money. When money take place, then for us, it is not an improvement, investment perhaps. So because improvement play important role for organization to win competition in the market, you need to understand the concept very well. I am very happy to share what I did during 15 years in operation management. Auditor is my previous job, but still practicing until now. This is one of the basic skill every one should have in any field. For instances, as a manager, how do you know the system in place, or being corrected, or improved?
However, in my 15 years experiences, I observe, there are at least 3 things you should not do as a good auditor. Below are the reasons, Procrastination is the practice of carrying out less urgent tasks in preference to more urgent ones, or doing more pleasurable things in place of less pleasurable ones, and thus putting off impending tasks to a later time, sometimes to the “last minute” before the deadline. When the practice down into the habit, most of the case will cause negative result in someone’s career and life, therefore, most people try to avoid procrastination.
Below are 3 simple steps in avoiding procrastination: The success of each of us is, to a large extent, depend upon our ability to motivate others to assist in the achievement of certain goals. Whatever, and whoever you are, there is no other way, to achieve the target, you must influence others, in the other word, to become a very succesful person, you will require sales skill. This is a basic skill everyone needed to be success in life and career.
There are 5 easy steps you need to follow to persuade others in taking action or decision that can fulfil your target and goal. Those 5 steps must be viewed in 2 different point of view, i.e., To become more productive is what everyone dream it. Why? It is simply because productivity play important role on the success of personal life and career.
One of the important activity we often forget is doing weekend activity for the family. Effective weekend will boost your productivity. How? Here are 7 things you need to do: Most of the problems happen on the floor that create low productivity is misunderstanding on the assignment or direction that subordinate got from their superior. It does not mean their superior did not explain what they need their subordinate to do. Somehow, minutes of meeting, or briefing, has conducted more than enough but the situation still happen, even in the organization where the system has been established very well.
It is not about how many certification your organization has got. It is more about the behaviour, the habit of the people in your organization. Why is that? And what should we do with that? Some of you might ask this question. How come the increament in labor productivity can not be seen in my financial report, meaning no profit or even get lost. Or, you might ask, how to ensure the increament in labor productivity will increase our profit.
Well, it’s not quite easy to explain but it is possible to find a simple approach to understand the situation as I will try to share here. For labor intensive industry, increament in minimum wages will impact the business sustainability of that industry. In Greater Jakarta area, the highest minimum wages in Indonesia, the increament of labor cost from 2012 to 2013 is 38%, and from 2013 to this year is 15%. To survive, some companies has relocated their factory to the area where minimum wages still acceptable, such as central Java where the minimum wages is only half of Greater Jakarta area.
As a productivity specialist, I will say it’s not necessary and indeed would create more risk in your investment. Generally speaking, productivity is the ratio of output and input. The output can be a product or service as the result of the process. And the input is the any resources required by the proses to produce the output.
To make the concept clear, let’s take an example. Let say you employ 1 worker to produce 1 kg of product per hour, then we can say the productivity is 1 kg per man hour. Now you change the machine that enable the same process, same worker produce 2 kg of product per hour, then the productivity become 2 kg per man hour. Or perhaps, you still use same machine but you give your worker proper training, and after some times, your worker able to produce 2 kg of product per hour using same machineries, then we can say, your productivity improve 2 kg of product per man hour. Supervisor is the line management in your organization. They control your resources at the point of execution. It is the supervisor who make the greatest difference in profitability not the others.
In my 15 years of experience in operation management, I found that the “on-the-floor” problem of every company, from small to large-scale manufacturing company I work for as an employee or consultant, is mostly hidden from senior management due to lack of effective communication with their supervisors. |
AuthorMaskal Novessro is a certified productivity specialist from APS. Eager to practice and share productivity improvement of both business and life. Categories
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June 2015
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