1 AIT Asian Institute of Technology

Wage incentive plans using quality approach for the production line workers of a sanitaryware company

AuthorJaved, Haider
Call NumberAIT Thesis no.IE-81-08
Subject(s)Incentives in industry
NoteA thesis submitted in partial fulfillment of the requirements for the degree of Master of Engineering. School of Engineering and Technology
PublisherAsian Institute of Technology
AbstractThis study is concerned with the quality approach to a wage incentive problem of a sanitary ware manufacturing company. For the purpose of simplifying the wage incentive model in setting loss-level targets for convenient practical applications, the products are classified into ten groups based on the past observations of their loss behavior. The factors such as firing cycle time, temperature profile while loading and temperature distribution of the kiln are assumed to have constant effect toward losses. Following this major assumption, the slip properties are statistically analyzed to set the appropriate targets for loss-levels. Statistical Package for the Social Sciences (SPSS) is used for this purpose. A mixed wage incentive plan, comprising of an individual plan for cast shop workers whose performances can be measured directly and a group wage incentive plan for the remaining production line workers whose performance cannot be measured directly, is proposed to the management. Both these plans are based on the profit sharing derived from the total savings due to reduction in the loss-levels, and are proved to be superior to the existing plan in setting targets for loss-levels that are greatly affected by quality variations of local raw materials. Comparison of the proposed plan with the existing plan along with merits and demerit of adopting the plan are also discussed. Moreover, the recommendation made to overcome the demerit of the proposed plan concludes the study.
Year1981
TypeThesis
SchoolSchool of Engineering and Technology
DepartmentDepartment of Industrial Systems Engineering (DISE)
Academic Program/FoSIndustrial Engineering (IE)
Chairperson(s)Tabucanon, Mario T.
Examination Committee(s)Tang, John C.S. ; Prapon Vongvichien
Scholarship Donor(s)Government of Norway
DegreeThesis (M.Eng.) - Asian Institute of Technology,1981


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