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Direct Standards....A direct time standard is the reasonable amount of time to complete a task. This time is key to evaluating a direct cost centers manpower utilization. The best way to develop a time standard is to utilize industrial engineering techniques. These times need to be determined and then agreed to by administration. Typically, this Reasonable Expectancy(RE) time standard is developed from the numerical average of the 30 documented observations, as well as reviewing the frequency of the distribution. This Reasonable Expectancy time standard is not the best that an employee is capable of performing. It is an expectation of employees performing their duties in a reasonable manner. It is based on the understanding that there will always be normal variation in the workers activities. Conditions such as: patient’s age, physician pace and unforeseen conditions can contribute to normal variation. It also assumes employees work at different performance levels. Some will perform above and others below the average employee. Typically a management analyst will review the RE by directly observing several of the procedures. It is important that “Lost time” contributors not be considered when conducting a time study. Late patients, late caregivers and broken equipment, are a few examples of lost time. This time should be attributed to “lost time”, NOT the standard. Administration should be notified and corrective action taken. The standard is reviewed by the department manager in conjunction with the management analyst and the standard is established. Managers approve the final RE only when they are satisfied that the time truly reflects the labor content involved in the procedure. A standard is not utilized until this step is completed. Benchmarks and published standards, whenever available, are two other pieces of information to help corroborate the standard. If any or both of these are available they are used to compare to the standard established in-house. All information is reviewed with the manager and a standard is agreed upon by the Manager and Management Analyst. Example of Diagnostic Radiology time standard review:
Start and stop times determine the time standard 8:00 - 8:28 = 28 minutes. |
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