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Work Measurement Dilemma at Tharun Motors

CASELET, OPERATIONS MANAGEMENT
ET Cases, 2 pages
AUTHOR(S) : R. Muthukumar and Dr. Nagendra V. Chowdary

Case Preview

Work Measurement Dilemma at Tharun Motors

 

On October 2014, Ravikanth Rao (Rao), Founder at Tharun Motors, received a Request For Quote (RFQ) from one of his customers – Original Equipment Manufacturers (OEMs) for installing 400 units of mufflers per week. Rao had to estimate the cost involved.

Tharun Motors, a Bangalore-based manufacturer of automobile mufflers, was established by Rao in 2010. Rao had a rich work experience of more than 10 years, with TVS Motors as a Production Manager. With his technical abilities, managerial qualities and networking skills he made Tharun motors one of the major suppliers of mufflers to well-known auto manufacturers within 3 years. Apart from supplying mufflers, Tharun motors also worked on certain subassemblies like – installing mufflers, installing batteries, etc....................

Teaching Note Preview

Work Measurement Dilemma at Tharun Motors

 

Prerequisite Conceptual Understanding

  • • Jay Heizer, et al., “Chapter 9: Work Measurement”, Operations Management, 9th Edition, Pearson Education, 2008

 

Synopsis

This caselet can be used in Operations Management to understand work measurement. Tharun Motors located in Bangalore was a successful manufacturer of mufflers. Ravikanth Rao (Rao), the Founder of Tharun Motors was involved in the process of estimating cost and other related information for a Request for Quote (RFQ) he had received recently in October 2014. The RFQ was for installing mufflers in automobiles. Though he found that the tasks involved were similar to past, one of the given five tasks was new, related to documentation/paperwork to be completed. After providing training and guidance, Ran Jackson, an employee was asked to do the documentation for 17 times and the time taken to complete the task each time was recorded and tabulated. Rao was pondering on how to estimate the cost as accurate as possible from the observed data/information.

Expected Learning Outcomes

  • • The basics of work measurement
  • • Compute normal and standard times in a time study
  • • The proper sample size for a time study

 

Assignment Questions

  • I. According to you what should be the sample size for a statistically accurate standard (at say, 99.73% confidence level and accuracy of 5%)?
  • II. Is the sample size adequate?
  • III. ...........

 

Teaching Plan

The Teaching Note follows a specific Teaching Plan as shown in Annexure (TN)-I.

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Abstract


This caselet can be used in Operations Management to understand work measurement. Tharun Motors located in Bangalore was a successful manufacturer of mufflers. Ravikanth Rao (Rao), the Founder of Tharun Motors was involved in the process of estimating cost and other related information for a Request for Quote (RFQ) he had received recently in October 2014. The RFQ was for installing mufflers in automobiles. Though he found that the tasks involved were similar to past, one of the given five tasks was new, related to documentation/paperwork to be completed. After providing training and guidance, Ran Jackson, an employee was asked to do the documentation for 17 times and the time taken to complete the task each time was recorded and tabulated. Rao was pondering on how to estimate the cost as accurately as possible from the observed data/information.



Pedagogical Objectives

  • To discuss the basics of work measurement
  • To discuss how to compute normal and standard times in a time study
  • To debate on the proper sample size for a time study



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- Abstract
- Caselet
- Teaching Note (**ONLY for Academicians)
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