Concept and types of working time fund
Working time fund is a quantitative indicator of the time that an employee must devote to his work duties during a fixed period of time.
The main indicator that influences the typology of the working time fund is time. Depending on the features of its accounting, there are several types of working time fund:
- Calendar . Regardless of the structural unit (person, team, entire team), the main meaning of the calendar fund is to outline the time period to which the fund will be assigned. Most often this is the annual period of operation of the enterprise. The working time calendar includes virtually all days of the year.
- Nominal . It characterizes the employee’s working time based on the schedule of days off and vacations.
- The maximum possible is the amount of time that an employee can spend on fulfilling the standards, from which weekends and vacations are deducted. In reality, it is quite rarely implemented in practice, since employees almost always have no-shows.
- The total working time fund refers to the indicators of the entire team, and not individual work plans.
- Effective . One of the most important indicators that determines labor productivity in enterprises. Effective working time fund is the amount of time that can be spent to implement production tasks.
- Monthly – differs in that the billing period is 30 days, not 365.
You can read about how to check how effectively employees spend their time here.
Working time loss coefficient formula
This especially encourages departments lagging behind in the organization to correctly and effectively use the time allotted to everyone in the enterprise.
Types To build a cost-effective time management system, you will need:
- draw up a scientifically sound scheme for designing, assessing and determining the resources necessary to obtain the result, the ideal ratio between the number of employees of various categories and tools;
- draw up time sheets, assignments, determine cost research methods;
- determine which costs are considered losses.
Consumption coefficients are necessary when determining proportions when using materials; loss coefficients are necessary when, for example, to obtain 100 kg of a semi-finished product, 110 kg of raw materials are required due to trimming or drying.
Procedure for calculating lost working time
Based on your records, you will derive the working time utilization ratio, the formula of which is already known to many successful managers, and you will also be able to choose the corrective action that will be ideal in your situation.
D – number of days in the busiest shift, person-days.
- The downtime utilization rate is determined by the following formula:
Kip = tp/(tp + tnp), where Kip is the downtime utilization rate; tп – number of hours of downtime used, person-hour; tnp — total amount of unused downtime, man-hour. Basic coefficients for the use of the working time fund and methods for their calculation In the literature, one can find the following coefficients for the use of working time funds within the framework of this analysis.
- The coefficient of use of the maximum possible working time fund.
3.4 determination of the coefficient of lost working time
- Working day photography method.
In this case, the actual recording of the work of an employee or team is carried out directly during a certain period of time, most often one working day.
How to Calculate Lost Time Rate
The employer decides that 50 days is too long. For this reason, 10 employees are involved in solving the problem.
Attention
That is, each employee works 40 hours (400/10). As a result, it will take 5 days to solve the problem. ATTENTION! The definition of an effective fund depends on the needs of the employer.
Analysis of the time fund Analysis of the working time fund is necessary to establish the most effective development strategy for the company. The more effective the strategy, the more employee productivity can be achieved. Analysis involves observing work processes. its goal is to reduce wasted time.
Working time loss coefficient labor protection formula
Many employers provide additional breaks for their employees - this could be a smoking break, visiting the toilet, rest rooms, or communicating with other employees.
They also include the time when the employee does not actually perform tasks that bring profit to the enterprise, but are necessary.
Working time utilization rate: keeping a diary of activities
Non-standardized costs r.v. Decoding the PP + Preparatory and final actions - preparing the equipment and the employee himself to perform production actions.
The working time loss rate is
For example: assigning the responsibilities of an employee who did not show up for duty to the rest of the team members; an increase in the number of rest breaks due to changed working conditions.
Economic Planning Department The method is based on the law of large numbers. He argues that the whole can with high probability be judged by its part.
How are they paid? In some cases, the employee is entitled to a monetary reward, even if he did not produce the established norm or did not complete the task at all. Paid losses include:
- failure to perform official duties due to the fault of the employee or his management;
- downtime due to the employer’s miscalculations or for a reason independent of the behavior of each party.
How to reduce lost working time? First, it is necessary to identify the reasons for unreasonable expenses and determine their source.
Accordingly, the most important condition for the company’s profitability depends on the degree of completeness and rationality of its use.
Goals and functions of the Federal Reserve
The purpose of developing the concept of working time fund is to give the production process maximum efficiency at minimum costs.
The functions of various types of PDFs can be as follows:
- formation of a production plan;
- calculation of employee salaries;
- drawing up a vacation schedule;
- statistical accounting of the achievement of planned indicators for increasing
- enterprise efficiency.
Time fund analysis
The more fully and rationally the working time is used by the employees of the enterprise, the higher the productivity, and therefore the higher the profit of the enterprise.
This thesis can be easily illustrated with the following example: the production process involves n employees who must do a certain amount of work or produce the required amount of product on time.
By increasing labor productivity, you can either reduce the number of workers involved in a given type of work or produce more product. In both cases, the company's profit increases.
Analysis of the working time fund allows you to take measures to increase labor productivity. To do this, the efficiency factor is calculated: the ratio of effective working time to nominal working time. If this number for a particular worker approaches one, he can be considered a valuable personnel .
The task of enterprise management is to minimize the loss of effective working time through careful planning of the balance and distribution of responsibilities.
Working hours in the accounting policy of the enterprise
The internal system of an enterprise is a complex structure of interaction between many elements, both within its space and outside it. To manage, plan, forecast and control the operation of an enterprise, various economic, mathematical and statistical research methods are used. Various departments of the enterprise keep records of material, financial and time costs.
The calculation of the working time fund is carried out to understand labor productivity, as well as the time actually spent on business activities. This indicator allows you to estimate the time spent on one of the elements of the enterprise’s production activities. The main parameter is characterized using various parameters, for example:
Finished works on a similar topic
- Course work Indicators of the use of working time 460 rub.
- Abstract Indicators of the use of working time 260 rub.
- Test work Indicators of the use of working time 240 rub.
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- Indicator of the calendar fund of time. It is measured by the number of days actually worked by an employee in a calendar year. The calculation can be made for one person or for an entire work team. This includes the time fund, as well as holidays and weekends. The indicator helps to calculate the maximum possible work time, production downtime, annual leave, absences, attendance, and so on.
- Turnout. Estimated in person days. We can say that the entire calendar fund is valued in them. In fact, this is actual production time, which also includes all-day downtime. It is worth noting that this indicator includes not only days fully worked by employees, but all working time consisting of part-time working days, as well as time spent on contract work by employees at other enterprises.
- Full-day downtime covers all days when workers were not involved in the production process for various reasons. This also includes absences from work approved by the management of the enterprise due to production faults.
- Absenteeism is characterized by two parameters. It can be for a good reason or for a bad reason. The first type of reasons includes weekends, annual leave, and sickness absence. Unexcused reasons include missing a day of work with the permission of the administration; this also includes absenteeism. Absenteeism is absence from work without a valid reason, or absence from work without a reason for more than 4 working hours.
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Note 1
Time worked is measured in man-days and man-hours. The working time fund is determined in man-days.
Calculations and formulas
In order to calculate the effective working time fund for one average employee, you need to take the value of the useful working time in days and multiply by the length of the working day in hours .
For example, with an average useful time period of 258 days and a working day of 8 hours, it turns out that the effective working time per person will be 2064 hours.
Another formula allows management to regulate the number of personnel involved in performing certain work. For example, to produce 800 parts ordered by a company, 800 man-hours are required. 800/8 = 100 days. During this period, this volume can be provided by 1 worker.
Naturally, such deadlines will not suit the customer, so as many employees are involved in the work as necessary to complete the work on time:
N = Tpr / t , where
- N – number of employees involved;
- Tpr – time required to produce the required volume of products;
- t – time required for completion.
In the above example, with a lead time of 10 days, it is necessary to hire 10 workers for production.
Reducing lost working time
Profit directly depends on how effectively management can use the working time fund. A bloated staff, with the connivance of administrative staff, spends working time on extra-official matters, but requires a large amount of money for wages .
Due to the human factor, downtime is common. Penalties for idleness at work, a clear definition of time for “tea” and “smoke breaks”, the inadmissibility of being late for an unexcused reason, control over the continuous performance of official duties - these are measures that will significantly increase labor productivity in the team .
On the other hand, with just one “stick” you can lose valuable employees and lose your reputation at a job fair. It is advisable to use material incentives for systematically meeting and exceeding targets, as well as increasing salaries for performance.
Analysis of lost working time
“Colleagues, I see you have relaxed,” wrote. And the continuation of his thought:
“I also demand that you consume less coffee and cigarettes, in addition to the fact that you are stealing my time from me and the shareholders, you are killing your health.”
.
Who really thinks about the connection between the concepts of theft and time? First of all, the employer. Paying for forced or unexpected downtime of employees is wasteful in a business and competitive environment.
The Organization for Economic Cooperation and Development cites data that Russia is one of the six most productive countries in the world. The Ministry of Economic Development publishes figures that labor productivity in the country is less than 50%. The contradiction is obvious. Then what do employees do, how do they manage their hours and minutes in the office?
Let's figure out how to increase productivity. First, let's define the concept of lost working time. This is a situation in which an employee should be in his place and perform his duties, but due to certain conditions he does not.
It is completely impossible to avoid. This is a natural part of the production process. It's all about the metrics:
- from 20% to 40% - speaks of personnel and organizational problems;
- the volume of losses up to 10% of the total time is the norm;
- if irrational costs reach 50%, it means that a critical situation has arrived.
Depending on the causes and consequences, there are several types of radioactive waste:
- normalized, or planned.
They are initially included in labor processes. At a factory, for example, this is maintenance or repair of equipment, mandatory technological breaks, cleaning the area after turning off the machines; - irregular or unplanned.
They can occur due to disruptions in the supply of raw materials or defective products, emergencies, or economic crises. Or because of the negligence of the staff, when lunches or gatherings on social networks are delayed.
Based on the duration, time loss is divided into intra-shift and all-day. Temporary waste refers to the part of the day during which the employee does not work or perform his duties.
Smart planning
A balanced application of administrative and financial measures to increase labor productivity makes it possible to create a stable, strong and motivated team of employees , the number of which will be less than the statistical average due to the greater efficiency of each subordinate.
Proper accounting of the working time fund eliminates the factor of dissatisfaction with the company's policies and contributes to the development of a successful strategic direction of the enterprise .
Learn more about time planning and productivity from the video:
