What is SMV in Garment Industry?
SMV, or Standard Minute Value, is a measure used in the garment industry to calculate the time it takes to produce a specific garment or garment component. It is used to determine the cost of labor for a particular garment and to compare the efficiency of different production methods. Actually basic time is SMV. The SMV is calculated by analyzing the time it takes to complete each step of the production process, including cutting, sewing, and finishing, and then averaging those times to determine the total time required to produce the garment. It is used to establish a standard time for a particular garment and is used as a benchmark for cost estimates and production planning.
What is SAM in Garment Industry?
SAM, or Standard Allowed Minute, is a measure used in the garment industry to determine the number of minutes a worker should take to complete a specific task or garment. SAM is also called standard time, because the allowances are added to the basic time. It is similar to SMV (Standard Minute Value) which is used to calculate the time it takes to produce a garment or garment component. The SAM is determined by analyzing the time it takes to complete each step of the production process, including cutting, sewing, and finishing, and then averaging those times to determine the total time required to produce the garment. The SAM is then used as a standard for determining the number of minutes a worker should take to complete a specific task or garment, and is used for cost estimates and production planning. It is often used as a benchmark for measuring productivity and efficiency in the garment industry.
Why SMV / SAM Measurement is Essential in Garment Industry?
SMV and SAM measurement is essential in the garment industry for several reasons:
a) Cost Estimation: SMV / SAM are used to determine the cost of labor for a particular garment. By knowing the number of minutes a worker should take to complete a specific task or garment, manufacturers can estimate the cost of labor and determine the price of the garment.
b) Production Planning: SMV / SAM is used to compare the efficiency of different production methods. By analyzing the time it takes to complete each step of the production process, manufacturers can identify bottlenecks and optimize the production process to increase efficiency.
c) Quality Control: By measuring the time it takes to complete each step of the production process, manufacturers can ensure that garments are produced to a consistent standard of quality.
d) Labor Management: By establishing a standard time for a particular garment, manufacturers can use SMV / SAM to measure the productivity and efficiency of their workers. This helps to identify workers who may need additional training or who may be performing below standard.
e) Cost Comparison: SMV / SAM can be used to compare the cost of production between different suppliers, which can be helpful for sourcing decisions.
f) Production goals: SMV / SAM can be used to set production goals, which can be helpful for monitoring performance and making adjustments as necessary to meet production targets.
Formulas for SMV Calculation in Garment Industry:
1. Performance Rating = (Observed Rating X Standard rating) / Standard rating
……………. ……..Total Production x SMV
2. Efficiency = ————————————————————- x100
………. ……..Total Manpower x Working min
3. Target Production = (Working hr x 60 x No of Man Power) / SMV
4. Performance = [(Total Production x SMV) / {(Man Power x Total Working Time) – Loss Time}] x 100
5. General Sewing Data = (Man power X Work hour) / Target
6. Costing SMV = Actual SMV + (Actual SMV x 5%)
7. Cost Per Minute (CPM) = Average Expenditure of the Factory / Average Produce Time (Monthly)
8. Factory capacity = (Work hour / SMV) X Total worker X Working day X Efficiency
9. CPM = (Total over head cost of the month / No of SMV earners X Work minutes) X Efficiency
10. Cost of Manufacturing (CM) = SMV x CPM
11. Man & Machine Ratio = Total Man power / Total Machine
12. Basic Pitch Time = Total SMV / Total Manpower
You may also like: Calculation of Garments CM (Cost of Making) by SAM or SMV
Glad to know the details and suggest to share with others this information.
Thanks
Harish Rao