Analysis of sales demand and production capacity to determine the need for direct labour

Abstract

This study consists of meeting the sales demand using the existing production capacity in an electronic goods industry and thus determining the amount of direct labor (MOD) necessary to meet the needs of customers. Since obtaining the correct number of operators on a production line is extremely important in the pursuit of productivity and cost reduction. Therefore, using concepts such as takt time, cycle time and line efficiency and other information related to the product or products that will be assembled on a production line, it will be possible to quickly and assertively determine the number of operators that must serve directly the client's demand, thus guaranteeing productive efficiency and the correct application of labor resources using as assumptions the capacity and equipment already existing in the production line. Thus, based on the company's sales projection, it will be possible to determine month by month the number of operators, number of shifts and the appropriate volume to be produced to meet the requested demand.