Measuring Productivity For Products And Processes

Measuring Productivity For Products And Processes

During difficult times, we need to take the opportunity to fine tune our accounts, to squeeze out more profit and increase competitiveness in an increasingly competitive marketplace. Although being careful with supplies and equipment is important, labor and benefits are the primary cost factor in most service type contracts. Be careful that you do not "major on the minors" by spending an inordinate amount of time saving fifty cents per gallon of stripper while neglecting bigger dollar savings directly related to enhancing labor productivity.

• What is current average productivity by class of work?  

Although there are different ways of gauging this metric, one simple process is Square Feet per Hour (SF/Hr) which is dividing square feet being serviced by the labor hours involved in cleaning. Example: divide a 50,000 SF building by 20 labor hours equals 2,500 SF/Hour. How many hours could be saved if productivity increased to 3,000 SF/Hr? How would this impact the bottom line?

• Compare your average productivity to similar buildings. With enough data you can develop an average that will become more accurate over time.

• Using the same process, time study individual workers performing similar tasks. This can help you identify high performing workers, as well as those needing more training and support.

• Evaluate your current training to identify ways of making workers more productive.

• Evaluate your equipment and tools to determine if they are the most effective (results and ergonomics) that assures maximum productivity.

• Evaluate your supervisors to assure that they are motivated and know how to manage a contract effectively.  Supervision should at least know their assigned hours and know how to track actual versus budget on a daily basis.

J Edwards Deming may have been the first to state: “You cannot manage what you cannot measure.”  You must know where you are in order to develop a plan for improvement in the future.  Surviving and thriving in difficult economic times is directly related to knowing and managing your productivity.  

Your comments and questions are important. I hope to hear from you soon. Until then, keep it clean.

Mickey Crowe has been involved in the industry for over 35 years. He is a trainer, speaker and consultant. You can reach Mickey at 678.314.2171 or CTCG50@comcast.net.