Measure SMV Improvement Percentage

In the garment industry, the industrial engineering department does a lot of improvement work in a factory, like improving productivity, reducing cost per garment, setting up SOPs. The improvements they do, are measured through various KPIs. But many engineers are not yet measuring some important KPIs. One such KPI is SMV improvement percentage. The SMV reduction or SMV improvement percentage is also considered a KPI for the engineering department.

In this post, I will show you the importance of measuring SMV improvement and the formula for calculating this KPI.

Importance of measuring SMV improvement

While industrial engineers aim for the production cost reduction, it is often done by reducing the standard time of the operation. The SMV can be reduced by applying workplace engineering,  method improvement, and introducing machine attachment or guides.

• It is required to calculate monetary saving after introducing new SMV
• You must measure all your improvement works. It will help one get noticed by managers. 
• You must keep the record for the previous method and the new method with respective operation SMV. (if the improvement is brought by improving method).
• You can consider this improvement as a continuous improvement project (Kaizen)
• Easier to keep track of operation wise and product wise SMV improvement. 

Calculate SMV Improvement Percentage

Let's measure SMV improvement in your factory. This formula is used for calculating SMV improvement.

SMV improvement percentage = (Old SMV - New SMV)*100/Old SMV

Example: Let's say old SMV of a sewing operation was 0.85 minute. After improving it, you got a new SMV 0.75 minute. Therefore, SMV improvement will be
= ((0.85- 0.75)/0.85)*100
= 11.76%

If you are not yet measuring it, you can initiate it and in turn, you can measure how much money is saved by reducing the operation/garment SAM.

Also read: What is the Difference Between SAM and SMV?