INDUSTRIAL INEFFICIENCY.

Manawatu Herald, Volume XLI, Issue 2048, 30 October 1919, Page 2

INDUSTRIAL INEFFICIENCY.

AN experiment: in reducing effort and af the same time increasing output, undertaken at the Derwent Iron Foundry, Derby, is -described in a report to the Industrial Fatigue Board. In .May, 1915, the iron ■foundry began to work for the Ministry of Munitions. , Its estimated capacity for the' articles produced was 3,000 weekly. The managing director 4 begiui in August, 1915, to apply new methods, and these were so successful that by August, 1918, the output was 20,000. During the period August, '1916-1018, the value of output increased five-fold, though the price paid by the Ministry had been reduced meanwhile by 13.3 per cent. With the co-operation of the employees, their movements were studied, the best method adopted as the ’ standard, and unproductive movements eliminated. Turious

jobs wore analysed- to their elemental units, and each action was followed with a stop-watch in order to arrive at the best and quickest method of performing it.' Tools and materials were arranged in a standard manner, and thus all unnecessary movements to obtain these eliminated. A standard sot of movejnentsfor each process was established with a standard time tor the employment of each. - Such movements as could be performed simultaneously were combined. During training, typewritten instructions in each movement, with limes necessary for- its accomplishment, were given to each student r The number of elements standardised in the process of moulding alone ran into hundreds. Men were trained individually rather than in groups. As soon as training was begun the hours of work were reduced from 54 to 48 -per week. It was argued that a man who produced a number of pieces is entitled to.a higher price per piece,’and so a method of differential piece-work pay was introduced. As soon as a man’s output readied GO per cent, of the standard he began to receive a bonus. By this system one man increased his earnings 200 per cent, over the sum -received before the new methods were introduced. In addition 1.0 the great increase of output, (lie system was 'found to be less tiring.