Academy Articles
Productivity and quality improvement insights from industry experts
Explore our collection of articles on productivity, efficiency, and quality improvement in manufacturing. Written by our team of industrial engineers and consultants with decades of experience in production optimization.
How to Understand the Concept of Efficiency
The growth of the global population has facilitated the expansion of the market. However, this growth has also resulted in an increase in the number of individuals competing for a limited set of resources. The intensity of competition in production has continued to rise.
What is Productivity? How to Calculate It? (Part 1)
When we observe it in terms of energy, in the Universe and the world that is part of it, there is an infinite number of living and inanimate energy transformation systems. We can calculate productivity using the formula: Productivity = (Output Energy / Input Energy) x 100.
What is Productivity? How to Calculate It? (Part 2)
The correct definition of productivity is the ratio of the target energy to the input energy(s) multiplied by 100. In the universe there is no such system as the PERFECT (lossless) system with 100% efficiency.
Arge Bilisim Assignment Optimization Algorithm
Line balancing aims to equalize the speeds of workstations to maximize machine and labor utilization. Our assignment optimization algorithm establishes the most efficient and balanced lines using real operations and operators.
Why is Accurate Measurement Important?
The biggest problem we encounter in companies is the wrong measurement of productivity. When standard time is measured incorrectly, businesses make seriously wrong decisions based on false efficiency data.
Key Insight: Understanding Productivity
The Productivity Formula
Productivity (%) = (Output / Input) x 100. This formula applies to any transformation system, from a simple light bulb converting electrical energy to light, to a complex factory converting raw materials into finished products.
Example: Factory Labor Efficiency
Quantity: 1500 pcs | Standard Time: 25 min | Workers: 100 | Daily Time: 540 min
Efficiency = (1500 x 25) / (540 x 100) x 100 = 69.44%
Why Accurate Measurement Matters
Incorrect standard time measurement leads to false efficiency data. When a 20-minute product is shown as 50 minutes, true efficiency of 35% appears as 90%. This causes management to make wrong decisions based on inflated data.
Warning: Data Manipulation
Inflated standard times create an illusion of high efficiency while the factory may actually be making losses. Accurate measurement is the foundation of all improvement.
Benefits of Consulting Services
Data is the New Oil
The 21st century will be the century of data. Unlike oil, data multiplies as we use it. Digitalization increases the effectiveness of management, which increases efficiency and sustainability.
Increased efficiency means using less cotton, less water, less chemicals, less energy, less logistics, and less manpower. This is how productivity contributes to sustainability.
- From Hulisi Ayluçtarhan's presentation at TİHCAD 5th Sustainability Meetings
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