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Labour Time Allowances
Labour time allowances are unique to each individual
manufacturer and therefore must be entirely flexible in their application to the
system. The program is designed to handle predetermined time allowances by means
of a simple coding system, with facilities to modify the rates to suit specific
circumstances if necessary. If no labour times are stored the user may simply
key in any time allowances at the data entry stage.
Allowed times are in minutes and can be allocated to
components and processes or even as an overall time on the final product and are
divided between machining and assembly. The machining times can include for a
fixed set-up allowance plus processing time to accommodate batch size
effects. Assembly time allowances can be modified by means of a percentage
adjustment to reflect assembly batch sizes.
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The labour times are converted to cash values on
Estimates and Production orders by using a standard hourly rate which
can be adjusted as required to reflect production efficiency.
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"The
machining times can include for a fixed set-up allowance plus processing
time to accommodate batch size effects"
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