Page 258 - PM Integrated Workbook 2018-19
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Chapter 9
Learning curve and steady state
The learning curve effect will only apply for a certain range of production. For
example, machine efficiency may restrict further improvements or there may be
go-slow arrangements in place.
Once the steady state is reached the direct labour hours will not reduce any further
and this will become the basis on which the target is produced.
Eventually, the learning effect will cease and the time to make each
successive unit stabilises at a constant time per unit.
Example 3, continued
The first unit of a new product is expected to take 100 hours. An 80% learning
curve is known to apply.
(d) If the steady state is reached at 20 units, how long does it take to make the
first 30 units?
Total time to make the first 20 units = 762.48 hours (from part (c))
Time to make the remaining units = time to make the 20th unit × (30 – 20)
Time to make the remaining units = 26.06 (from part c) × 10 = 260.60
Total time = 762.48 + 260.6 = 1,023.08 hours
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