The Analysis of Company Productivity Measurement of ABD-Medan Inc. by Using Craig Harris Method


Authors : Yuana Delvika; Nukhe Andri Silvina

Volume/Issue : Volume 6 - 2021, Issue 7 - July

Google Scholar : http://bitly.ws/9nMw

Scribd : https://bit.ly/3eAi54N

The competitive ability of an industry also measured by its performance of the industrial system as a whole in the long term which is reflected in the profits earned, which can be reviewed for business development and the welfare of its workforce, through the effectiveness of the industry by means of continuous quality improvement. The research was conducted at to measure the value of its productivity using the Craig Harris method. The preliminary study revealed that the peanut bread production process experienced various obstacles. At the beginning of March 2020, the output produced was 8,500 packs with a difference of 7.8 % from February 2020, so that production decreased which resulted in a reduction of 75% of the workforce from the normal number or standard of labor use and the use of technology and production machines that were still manual, thus slowing the achievement of business production targets. Based on the results of the productivity measurement, during the measurement period by determining the acquisition value obtained from the measurement results, the highest labor costs occurred in February 2019 with a value of 2.66 factors causing the increase, namely normal working hours, stable salary and overtime and the lowest in the month March with a value of 1.42 the factors causing the decline were production operated for 5 days, the number of employees was reduced due to being laid off, and salaries did not match the minimum wage. The highest partial material productivity index was in June 2020 with a value of 4.89, the factor causing the increase was raw materials used more than usual and the lowest was in March 2020 with a value of 1.26, the factor causing the decline was smaller output. The highest capital partial productivity index was in January 2019 with a value of 2.07, the factor causing the increase was larger output and the lowest was in March 2020 with a value of 0.10 the factor causing the decline was smaller output. The highest partial productivity index of other costs was in January 2019 with a value of 121.53 the factors causing the increase were continuing to pay costs (electricity, water and vehicle maintenance costs) and the lowest was in March 2020 with a value of 12.07 contributing factors the decline is still paying the cost of electricity, water but using less energy and not doing maintenance on machines and vehicles.

Keywords : Industry, Cost, Productivity, Index Score, Craig Harris Method

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