Production Formula for Calculation in Garment Industry?

Calculating the Production capacity of a Garments Factory is essential for planning, scheduling, and maximizing efficiency. Production capacity refers to the maximum number of units a factory can produce within a specific time period under optimal conditions. 

What is the Formula for Production Calculation in Garment Industry? Here's how you can calculate it:

1. Determine Key Variables:

• Number of Machines: Count the total number of operational sewing machines or workstations in the factory.
• Working Hours: Determine the total number of working hours in a day. This includes regular working hours and any overtime.
• Efficiency Rate: Assess the average efficiency rate of the workers or machines. Efficiency is typically expressed as a percentage and reflects how well the factory operates compared to its full potential.
• Standard Minute Value (SMV): SMV is the time required to complete one unit of a garment under standard working conditions. It is usually measured in minutes.

2. Calculate Daily Production Capacity:

To calculate the daily production capacity, use the following formula:

Daily Production Capacity=(Number of Machines × Working Hours per Day×60×Efficiency)/SMV

Where:

• Number of Machines: The total number of sewing machines or workstations.
• Working Hours per Day: The total working hours in a day (e.g., 8 hours).
• 60: This converts hours into minutes.
• Efficiency: The average efficiency rate expressed as a decimal (e.g., 80% efficiency = 0.8).
• SMV: The standard time required to produce one unit of a garment in minutes.

3. Example Calculation:

Let’s assume the following:

• Number of Machines: 100
• Working Hours per Day: 8 hours
• Efficiency: 80% (0.8)
• SMV: 20 minutes per garment

Now, plug in these values into the formula:

So, under optimal conditions, the factory can produce 1,920 garments per day.

4. Adjust for Realistic Conditions:

• Downtime and Breaks: Consider downtime due to machine maintenance, material shortages, or worker breaks. These can reduce the effective working hours.
• Product Mix: If the factory produces different types of garments with varying SMVs, you need to adjust the calculation based on the proportion of each type in the production schedule.
• Batch Size: For smaller batches or custom orders, setup times may reduce effective production capacity.

5. Calculate Monthly and Annual Production Capacity:

To calculate monthly or annual production capacity, multiply the daily production capacity by the number of working days in a month or year.

Monthly Production Capacity= 

Daily Production Capacity ×Number of Working Days in a Month 

Annual Production Capacity=

Daily Production Capacity ×Number of Working Days in a Year

6. Monitor and Adjust:

• Regular Monitoring: Regularly monitor actual production against the calculated capacity to identify discrepancies and areas for improvement.
• Adjust for Efficiency: If the efficiency rate changes due to improvements in processes or worker training, adjust the calculations accordingly.

7. Use Software Tools:

• Production Planning Software: Consider using production planning software that 
• can automate these calculations, taking into account various factors such as machine 
• availability, worker skill levels, and order priorities.

Example of Monthly Production Capacity:

If your factory operates 25 days a month, with a daily production capacity of 1,920 units:

Conclusion:

By accurately Calculating the Production Capacity, you can better plan your production schedules, manage resources Efficiently, and meet customer demands more Effectively.