Chapter Design of Work Systems McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc All Rights Reserved Chapter 7: Learning Objectives • You should be able to: – – – – – – – – – – – Explain the importance of work design Describe two approaches to job design Discuss the relative merits of standardization Explain the term knowledge-based pay Describe methods analysis Describe four commonly used motion study techniques Discuss the impact of working conditions on work design Define a standard time Compare time study methods Describe work sampling Contrast time and output pay systems 7-2 Compensation • It is important for organizations to develop suitable compensation plans for their employees • Compensation approaches – Time-based systems – Output-based systems – Incentive systems – Knowledge-based systems 7-3 Time- vs Output-Based Systems – Comparison of time-based and output-based pay systems 7-4 Incentive Plan Success • To obtain maximum benefit from an incentive plan, it should be Accurate Easy to apply Consistent Easy to understand Fair • There should also be an obvious relationship between effort and reward, and no limit on earnings 7-5 Job Design • Job design – The act of specifying the contents and methods of jobs • What will be done in a job • Who will the job • How the job will be done • Where the job will be done – Objectives • Productivity • Safety • Quality of work life 7-6 Specialization • Specialization – Work that concentrates on some aspect of a product or service – advantages and disadvantages of specialization 7-7 Teams • Teams take a variety of forms: – Short-term team • Formed to collaborate on a topic or solve a problem – Long-term teams • Self-directed teams – Groups empowered to make certain changes in their work processes 7-8 Ergonomics • Ergonomics (human factors) – The scientific discipline concerned with the understanding of interactions among human and other elements of a system • Three domains of ergonomics – Physical (repetitive movements, layout, health, safety) – Cognitive (mental workload, decision making, HCI, and work stress) – Organizational (communication, teamwork, work design, and telework) 7-9 Methods Analysis • Methods Analysis – Analyzing how a job gets done – It begins with an analysis of the overall operation – It then moves from general to specific details of the job concentrating on • Workplace arrangement • Movement of workers and/or materials 7-10 Analyzing the Job: Flow Process Charts • Flow process chart – Chart used to examine the overall sequence of an operation by focusing on movements of the operator or flow of materials – format of a flow process chart 7-11 Motion Study • Motion study – Systematic study of the human motions used to perform an operation – In developing work methods that are motion efficient, the analyst attempts to • • • • • Eliminate unnecessary motions Combine activities Reduce fatigue Improve the arrangement of the workplace Improve the design of tools and equipment 7-12 Work Measurement • Standard time – The amount of time it should take a qualified worker to complete a specified task, working at a sustainable rate, using given methods, tools and equipment, raw material inputs, and workplace arrangement • Commonly used work measurement techniques – – – – Stopwatch time study Historical times Predetermined data Work sampling 7-13 Work Measurement Techniques • Stopwatch Time Study – Used to develop a time standard based on observations of one worker taken over a number of cycles • Standard Elemental Times – are derived from a firm’s own historical time study data • Predetermined time standards – involve the use of published data on standard elemental times • Work sampling – a technique for estimating the proportion of time that a worker or machine spends on various activities and idle time 7-14 Operations Strategy • It is important to make design of work systems a key element of strategy: – People are still at the heart of the business – Workers can be valuable sources of insight and creativity – It can be beneficial to focus on quality of work life and instilling pride and respect among workers – Companies are reaping gains through worker empowerment 7-15 ... Process Charts • Flow process chart – Chart used to examine the overall sequence of an operation by focusing on movements of the operator or flow of materials – format of a flow process chart 7-11... the proportion of time that a worker or machine spends on various activities and idle time 7-14 Operations Strategy • It is important to make design of work systems a key element of strategy: