For JTM and others, production numbers

[Sberry]

I have read JT's assessment of some of his production numbers and his philosophy about manpower productivity and I know he has done a lot of time study. This is generalization so,,, whats the difference say between the avg pipe welder and the best? Assuming you have to pay the best a premium where do the numbers fall out? Is a guy really good 30% more productive, 50%, twice?
I was on job, the best gave 4 and 5 a day depending on difficulty and they all pass, average was 2 and some had 1 that needed repair,, there was schedule so they kept all on until it was met but my point was to get rid of the 1's and it would all speed up. I am in a different industry but (and am in a family business with people that don't understand numbers and live by assumptions) its hard to get the concept across that this matters,, I have been getting rid of all the 1's and 2's,, for 2$ more I get a 5 and you would think this is a no brainer but it isn't.
For 20% more can you get a worker thats 50% more productive?

[Sberry]

You want a frustrating experience you ought to take this for a spin for a while. I can deal with the weather, the customers, rising cost but the family partners are the hardest. Especially the assumtions on perceived decades of experience, its what they call 3 yreas experience repeated for 5 more decades.
If I asked them to list the 10 top expenses it wouldnt be right but the list would help identify where ones effort should be spent. You would think 50% of the effort should be made in the top 2 3 or so vs 90% of the effort on the bottom 10%. Its almost a compulsive disorder, so fearful of going broke that is inhibits the ability to make any real money, that somehow if I save a couple 10 cent pop cans it will save the straw that broke it. Disregard a 5$ can of spray so we can stop the tractor to salvage a pop can, I look at one of the carts the other day and its just a reminder, all the holders where the lubes, starting fluids, etc go,,, those cans shoved in tool box with broken tops and fricken pop cans stuck in there, ever work with people that always find a harder way to do it? Add a couple useless steps to every movement? It woulod be similar to taking your most productive welder and digging thru the stubs, worring about that or picking them up and trying to get a couple guys to finish burning them off.

[Broccoli1]

Indeed- been there for sure.

[JTMcC]

I have read JT's assessment of some of his production numbers and his philosophy about manpower productivity and I know he has done a lot of time study. This is generalization so,,, whats the difference say between the avg pipe welder and the best? Assuming you have to pay the best a premium where do the numbers fall out? Is a guy really good 30% more productive, 50%, twice?
I was on job, the best gave 4 and 5 a day depending on difficulty and they all pass, average was 2 and some had 1 that needed repair,, there was schedule so they kept all on until it was met but my point was to get rid of the 1's and it would all speed up. I am in a different industry but (and am in a family business with people that don't understand numbers and live by assumptions) its hard to get the concept across that this matters,, I have been getting rid of all the 1's and 2's,, for 2$ more I get a 5 and you would think this is a no brainer but it isn't.
For 20% more can you get a worker thats 50% more productive?

Shoot me an email and I'll bore you to death with my take on productivity.
An element that's been near n dear to my little heart for many years.

JTMcC
[email protected]

[crabber]

You want a frustrating experience you ought to take this for a spin for a while. I can deal with the weather, the customers, rising cost but the family partners are the hardest. Especially the assumtions on perceived decades of experience, its what they call 3 yreas experience repeated for 5 more decades.
If I asked them to list the 10 top expenses it wouldnt be right but the list would help identify where ones effort should be spent. You would think 50% of the effort should be made in the top 2 3 or so vs 90% of the effort on the bottom 10%. Its almost a compulsive disorder, so fearful of going broke that is inhibits the ability to make any real money, that somehow if I save a couple 10 cent pop cans it will save the straw that broke it. Disregard a 5$ can of spray so we can stop the tractor to salvage a pop can, I look at one of the carts the other day and its just a reminder, all the holders where the lubes, starting fluids, etc go,,, those cans shoved in tool box with broken tops and fricken pop cans stuck in there, ever work with people that always find a harder way to do it? Add a couple useless steps to every movement? It woulod be similar to taking your most productive welder and digging thru the stubs, worring about that or picking them up and trying to get a couple guys to finish burning them off.

I see it with green fisherman all the time...Especially the useless steps...!...Then complain about fatigue...?...

Interesting topic! Spending dollars to make dimes...


-Ian

[Sberry]

Most of the best in most business really understand spread sheets (even informally), margins, % of increases, how changes affect the numbers. Marginal returns, diminishing rate of return, how much price changes affect bottom lines.
A guy can survive with enough hard work but its about impossible to make any real money without some basic understanding of these concepts.
I have run them back and forth, one of the things I do well is estimate and they are pretty good once I run them back and forth.
You got to admire the Ford dealers philosophy,, haven't added a mechanic or service bay in 20 yrs, every time the bays are full raise the price vs building on more. Simple,,, got all the work they can handle,,, increase rates. Farmers seem to work the other way,, every time I sell one for a dollar I will grow 2 more, helps keep the price down,,, hahaha
Before I got married I was on the road in sales, really about the only one in my area to do so but could actually drive pricing up. Makes sense, hire salesman for a nickle, drive the price a quarter,,, makes some sense, pays 5 to one even if we lost sales of 10% the net would have went up and the unit expenses down,,, but,,, just can;t stand to spend the nickle, don't see the value in the sales man,,, why should we "give" away a nickle? No grip on that, its not a give but an input investment. If we spend on anything that doesn't come in a bag or box it isn't considered investment,,, we must be "giving" somebody something. Its amazing how many people think they are giving an employee something.