staff efficientcy

huangyhg

staff efficientcy
been working on a formula to try and calculate staff efficiency working with the following headings,
availability=total budgeted man-hours-no.of man-hours unavailable/total budgeted hours    =    98%
                    
performance=completed w/orders * target time taken / work orders pending * time taken            =    79%
                        
                        
                        
quality rate=total budgeted hours-(leave+sickness+other overheads)/ total budgeted hours    =    80%
given the values,
total budgeted man-hours    171738
no.man-hours unavailable    3654
work orders pending            12000
completed w/orders            9406
time taken                    7.65
target time taken            7.7
leave                            19749.87
sickness                    8586.9
other overheads                    6010.83
staff numbers (budget)            94
mean vacancy over year            2
                        
this was all taken from a reliabilty book but does not look right as the three multiplied together should provide an overall staff efficiency value.any clever people care to comment and show me any errors, please
where should we start?  
> why use reliability calculations when there must be hundreds of books on workplace efficiency?
> availability never has more than one term in the numerator.  plus, the concept of budgeted_hours-hours_unavailable makes no conceptual sense to me, since hours_unavailable is a measure of staff inefficiency and should not be summed in any way with your budgeted hours for actual work.
> you already have one measure of efficiency:
target_time_taken/time_taken
>  another measure of efficiency:
budgeted_hours/(number_of_heads*2080-hours_unavailable-leave-sick-overhead), although too high a number indicates general understaffing and low responsivity
ttfn
ok, am a little wiser now but where has the 2080 come from?
it also provides me with an efficiency rating of 1.05, what does this represent, should it be less than one?
on the availability issue to find the availabilty of staff i have worked out the amount of time the staff are actually available when compared with the total hours available, which i think is right.
performance is easy as it is simply the amount of work you are getting finished but surely there is a more detailed formula to work out how efficiently staff are working and how to improve this.
is something i was asked to work on a while ago and although i can throw a simple formula ie work done/work required to be done, this does not seem to be what they are after.
any help?
2080 is 52*40. for my own calculations i'd rather stick with 1800 billable hours and take it from there, but irstuff has accounted for that in his formula in a different way.
he's already commented on your 1.05 figure, in advance!
cheers
greg locock
every company has its own favorite value for actual billable hours, so i didn't try to put in a specific value.  i've seen values from greg's 150 hr/mth up to 165 hr/mth.
as for having an efficiency greater than 1, it implies that your performance targets are probably too easy.  this would be where your continuous process improvement guy should come in and revise the target_hours_per_task downward.  but, it's a matter that your management needs to decide, as to what your business model should be calling for, e.g., keep the same amount of business and make more profit or increase business.
ttfn
ok, so i have the ball rolling a little on this one now, however - looking at the initial efficiency rating it is only considering the hours that the staff are available and i class this as availability and not efficiency. thought when considering efficiency, it would have to combine performance ie work orders done/ work orders pending , staff availability and maybe another factor to give me an end result measuring how efficiently the staff are being deployed and how well they are working.
am really throwing ideas out as i do not pretend to be some sort of statistician however my basis around availability seems sound. and the equation that i based it upon gave an availability figure, then a performance figure followed by a quality figure. multiplying them all together gave me an overall staff efficiency. think what i am trying to figure out is the quality calculation.
availability-total budgeted man-hours-no.of man-hours unavailable/total budgeted hours = 81%
                                       
performance-completed w/orders * target time taken/total work orders * time taken = 78%
                    
as you can see the efficiency equation given:
efficiency-total hours/(no.of staff * annual hours available - hours unavailable- leave-sick-overheads) = 1.219165297
   
is the availabilty reverse ie if it was the other way up it would provide the exact same figure.
i do appreciate the idea though, just know they are looking for more than how available the staff are.