Average annual production per worker

Effective use of resources is a condition that ensures the implementation of production plans. For the purpose of analysis, the organization's personnel are divided into production and administrative. Based on the name, it is clear that the first group includes employees who are directly engaged in the main activity of the enterprise, and to the second - all the others. For each of these groups, the average annual output is calculated and the quality of labor utilization is analyzed.

Basic concepts

Labor force analysis examines labor productivity. It shows how many products are produced per hour (day, month, year). To calculate this indicator you need to determine the average annual output and labor intensity. They best reflect the efficiency of work. The increase in productivity leads to an increase in production and saving of wages.

Resource availability

Of great importance is the number of people employed at the enterprise. When analyzing the availability of labor, the actual strength is compared with the planned figure and the indicators for the previous period for each group of workers. A positive trend is that average annual output grows against the backdrop of a change (decrease) in the size of any of the groups of employed employees.

Reduction of support staff is achieved by increasing the level of specialization of persons involved in equipment adjustment and repair, mechanization and labor improvement.

The number of employees is determined by industry standards and the rational use of working time necessary to perform certain functions:

1. Workers: Ч = Labor intensity: (Annual fund of working hours * Rate of performance of norms).

2. Hardware workers: h = Number of aggregates * Number of workers in this section * Load factor.

Qualification level analysis

The number of employees in specialties is compared with the normative. The analysis reveals the surplus (shortage) of workers in a particular profession.

The evaluation of the skill level is calculated by summing up the tariff categories for each type of work. If the actual value is below the target, this will indicate a decrease in the quality of products and the need to upgrade the skills of staff. The opposite situation shows that workers need to pay an additional payment for qualification.

The administrative staff is checked for compliance with the level of education of the position held. The qualification of an employee depends on the age and length of service. These parameters are also taken into account in the analysis. The specific weight of the employees taken and left is calculated, including for negative reasons. At the next stage, the use of working time by such an algorithm is analyzed:

1. Nominal mode = 365 days - The number of days off and holidays.

2. Default mode = Nominal mode - The number of days of non-attendance at work (leave, illness, absenteeism, decision of the administration, etc.).

3. Useful work time fund = Safe mode * Working hours - Number of downtime, breaks, reduced hours.

Loss of working time

The working time fund (FRF) is the product of the number of employees (H), the average number of days worked per year by one person (D) and the duration of the day (T). If the average annual output is below the planned one, then the loss of time is calculated:

• Дп = (Дф - Дп) * Чф * Тп - day time.
• Тп = (Тф - Тп) * Дф * Чф * Ч - hourly.

The reasons for such losses may be absenteeism for work on the permission of the administration, due to illness, absenteeism, downtime due to lack of raw materials or equipment malfunction. Each of these causes is analyzed in detail. A reserve to increase the FRF is to reduce losses that depend on the workforce.

Separately calculated the loss of time in connection with the manufacture and correction of defective products according to this algorithm:

- the specific weight of the workers' wages in the production cost;

- the amount of wages in the cost of marriage;

- the share of workers' wages in the cost price, minus material costs;

- the specific weight of the wages of workers engaged in the correction of marriage;

- average hourly wages;

- the time spent on making and repairing the marriage.

Reduction of losses = Loss of time * Average annual output.

Losses can be compensated not only by a decrease in the volume of production, but also by an increase in the intensity of labor.

Performance

This indicator reflects the ratio of the volume of manufactured (sold) products to the number of employees. In this case, generalizing, partial and auxiliary coefficients are calculated. The first group includes, in particular, the average annual output. Formula:

В = Volume of production / Number of employees = Volume of output / Amount of time spent.

The change in the average annual output may be due to:

• Adjustment of the number of employees;
• Reduced labor intensity;
• Growth of non-production costs;
• The organization of work - the growth of day-to-day downtime, non-attendance with the permission of the Directorate, for illness, absenteeism;
• Change in product structure.

Numerical indicators are time inputs in kind, calculated for one man-day (man-hour).

Labor intensity

The labor-consuming is the time spent on manufacturing a unit of production:

Tp = FDBu / FDBo, where:

• FRVi - time to create the final product;
• FWR is a common fund of working time.

The average annual output is the inverse measure of labor intensity:

• T = Time costs / Output.
• T = Number of staff / Output.

To calculate the productivity of one employee, in the above formula, the numerator must be set to one. The average annual output per worker is the inverse measure of labor intensity. It not only reflects the effectiveness of a particular employee, but also provides an opportunity to draw up a plan for the next year.

With a reduction in labor intensity, labor productivity rises. This is achieved through the introduction of scientific and technological progress, mechanization, automation, revision of production standards , etc. Analyzing labor intensity should not only be with planned indicators, but also with other enterprises in the industry.

The development and laboriousness reflect the results of real work, on the basis of which it is possible to identify resources for development, increasing productivity, saving time, and reducing numbers.

Performance index

This is another indicator of employee performance. It shows the growth rates of productivity.

ΔPТ = [(В1 - В0) / В0] * 100% = [(Т1 - Т1) / Т1] * 100%, where:

• В1 - average annual output of one employee in the reporting period;
• T1 - labor intensity of the reporting period ;
• B0 is the average annual output of the worker in the base period;
• T0 - labor intensity of the base period;

As can be seen from the above formulas, the index can be calculated from production and productivity data.

Changes in the index are determined based on the planned economy of the number of personnel:

ΔПТ = [Э / (Ч - Э)] * 100%, where Э - planned economy of number.

The index shows the change in performance in the base period in comparison with the previous one. Productivity depends on the competence of employees, availability of necessary equipment, financial flows.

Alternative

The following formula allows you to calculate more accurate performance:

П = (Production volume * (1 - Idle factor) / (Labor costs * Number).

This approach does not take into account the idle hours. The volume of production can be expressed in pieces, labor or monetary units.

Factor analysis

Since the productivity of labor is calculated on the basis of the number of products manufactured per unit of time, it is these indicators that are subject to detailed analysis. In the course of calculations, the level of tasks fulfillment, tension, output growth, productivity growth reserves and their use are determined.

Factors that affect labor productivity can be grouped into groups related to:

- raising the technical level;

- Improving the organization of work;

- improvement of the qualification of employees, level of education of workers, strengthening of discipline and improvement of the system of calculation and payment of salaries.

Labor productivity is analyzed in the following areas:

• An assessment is made of the level of generalizing indicators;
• The factors influencing the average hourly production are analyzed;
• The reserves of productivity increase are revealed;
• The labor intensity of products is investigated.

Example 1

Based on the data presented in the table below, it is necessary to determine which enterprise produces an average annual and averages hourly.

Index	year 2014	2015		Dynamics,%
		Plan	Fact	Plan by 2014	Fact by 2014	Fact / Plan
Manufacturing of products, thousand rubles.	80100	81500	81640	101.75	101.92	99.83
Worked by workers, thousand man-hours	2886.12	2996	2765.4	103.81	95.82	108.34
Labor intensity per thousand rubles.	36.03	36.76	33.87	102.02	94.01	108.52
Average annual output, rub.	27.75	27.20	29.52	98.02	106.37	92.14

Increase in productivity due to reduced labor input:

- according to the plan: (4.7 * 100) / (100-4.7) = 4.91%;

- in fact: (9.03 * 100) / (100 - 9.03) = 9.92%.

The plan for labor intensity was exceeded by 4.33%. As a result, the average annual output of products increased by 5.01%.

Features

• The number of employees in optimal conditions should be calculated according to the average number of employees. Each employee is counted once a day.
• The productivity can be determined from the revenue data from the financial results report.
• The costs of labor and time are also reflected in the accounting records.

Other indicators

Average productivity is determined if there is a large number of products with different labor, by the following formula:

Vsp = ΣThe volume of production of the product type * The coefficient of labor intensity of the type of product.

The value (K _i ) for positions with the minimum labor input is equal to one. For other types of products, this indicator is calculated by dividing the labor intensity of a particular commodity by the minimum.

Productivity of one worker:

Pr = (The volume of output * (1 - K _i ) / T.

The same indicator can be calculated from the balance data:

Пр = (page 2130 * (1 - К)) / (Т * Ч).

Productivity needs to be constantly improved by using new equipment, training workers, organizing production.

Salary Fund (WFP)

The analysis of the FZP begins with the calculation of the deviations of the actual (FZP) and the planned (FZPp) salary values:

ФЗПа (руб) = ФЗПф - ФЗПп.

The relative deviation takes into account the fulfillment of the production plan. To calculate it, the variable part of the salary is multiplied by the plan implementation rate, and the constant part remains unchanged. Piece wages, bonuses for production results, vacation payouts and other payments, which depend on the volume of production, relate to the variable part. Salaries calculated by tariffs refer to the permanent part. Relative deviation of the FZP:

FZP = FZP ф - (ФЗПпер * К + ЗП пост.).

Further, the factors are analyzed, because of which these deviations occur:

• Volume of production (O);
• Production structure (C);
• Specific labor intensity of products (UT);
• Salary for one person-hour (OT).

FZP per = O * C * YT * OT.

Before analyzing each of the factors, you need to conduct intermediate calculations. Namely: to define the FZP variable:

• According to the plan: FZP pl = O * C * RT;
• According to the plan taking into account the set production volume: FZP cond. 1 = FZP pl * K;
• According to the plan, calculated with the actual volume of production and structure: FZP cond. 2 = О * УТ * ОТ;
• Actual at specific labor input and a given level of labor remuneration: FZP cond. 3 = Of * УТф * ОТф.

Then you need to multiply each of the obtained values by the absolute and relative deviations. So you can determine the impact of each factor on the variable part of the salary.

The constant part of the FZP is affected by:

• Number of employees (H);
• Number of days worked per year (K);
• Average duration of the shift (t);
• Average hourly pay (PPP).

ФЗП ф = Ч * К * т * ЧЗП.

The influence of each factor on the final result can be determined in exactly the same way. First, the changes in each of the four indicators are calculated, and then the resulting values are multiplied with absolute and relative deviations.

The next stage of the analysis is the calculation of the effectiveness of the use of the FZP. For extended reproduction, profit, profitability, it is necessary that productivity growth outstrips the growth of the FZP. If this condition is not met, then there is an increase in cost and a decrease in profit:

• Earnings (J PZ) = Average salary for the reporting period / Average salary for the planning period;
• Average annual output (J пт) = Output for the reporting period / Output for the planning period;
• Labor productivity: (K _op ) / K _{op =} J nm / J sin;
• The saving of the FZP: Э = ФЗПф * ((J зп - J пт) / J зп).

Example 2

Proceeding from the given data, it is necessary to calculate the production:

• Production volume - 20 million rubles;
• The average annual number is 1,200;
• For the year the employees of the organization worked out 1.72 million people per hour and 0.34 million people per day.

Decision:

1. Hourly output of one worker = Production volume / Spent man-hours = 20 / 1,72 = 11,63 rubles.
2. Daily output = 20 / 0.34 = 58.82 rubles.
3. Annual output = 20 / 1,2 = 16.66 rubles.