production standard allowances 1

[Edwardski]

I recently started working for a company that hasn't had an Industrial Engineer for several years. I am doing time studies, but am not sure how to approach the PF & D allowances. In my entire career as an IE, the companies I worked for had always had a standard percentage allowance already set. I have looked at historical data here, but cannot conclude how the allowances were set, as they are different percentages for each time study. Are there any "rules of thumb" or simple procedures in determining a fair PF & D allowance to use, or a generic average allowance?

 

[BillPSU]

Most the PF&D allowances were set many years ago and are even negotiated. Generally my experience is between 15-18%. You really need to talk to several decision making people within your organization and have an understanding about the company's goals. How does your company deal with machine time versus manual time? Is the operation, person or machine dependant? What does the time standard actually include, shutdown and cleanup, moving pallets of material, running multiple machines? What are the goals of your position?

 

[Drazen]

Why don't you start from some percentages that you used in your previous companies? They must have been developed for years and are not bad for sure.

I presume that you used to have it prescribed, but your new jobs obviously pushes you to be creator! Do some modifications if you have any feeling for new production process, but what is the most important - do several time studies in next period. It can be even some simple method of time study, but will accelerate your feeling for new processes greatly.

 

[RedStevens]

It depends on what type of work, what enviornment (freezers, etc.)

We have survived numerous arbitrations with our methodology.

We use 5% personal except in harsh conditions like freezers where we use 7%.

We do ratio delay studies for the unavoidable delay. Generally 3% to 9%

Overall we include all paid breaks as fatigue relief and try to arrive at a total allowance package of 15% including the breaks.

 

[omar12]

Hi,

Personal time and fatigue allowances include in their calculation breaks and unavoidable delays in the operations.

One workday = 8 hrs or 480 minutes

breaks = Two 10 minutes and one 45 minutes

Equivalent= 13.5% + 1.5%(unavoidable delays)= 15%

The unavoidable delays can be calculated for each facility. However, 15% has been the customary allowance since Fredrick Taylor first developed it in the early part of last century. For more information go to your library and obtain a book on the subject of Work Measurement