Incentive Scheme for Sewing Operators (Case Study)

Are you still looking for the best scheme operator incentive? Do you know that so many factories are taking benefit of the incentive system on every day?

I have recently visited a factory that has implemented preperformance-based incentive scheme for their sewing operators (salaried operators), line supervisors, quality checkers and floor in-charges. Within a time span of six months company just doubled their monthly production with same manpower and other resources.

In this case study I have discussed points -
  • how the factory did it? 
  • what all benefits factory is experiencing by implementing incentive system? 

Company profile:

The Company is situated in National Capital Region (NCR) of India. Under product profile company makes ladies top with a lot of machine embroidery as well as hand embroidery work. Most of their sewing operators are migrants from other parts of the country. And most of them live far away from the factory location. The company provides a shuttle bus for the commuting to work. The company implemented incentive in a floor of 350 sewing machines.

Benefits Factory Gained after Implementation of Performance Based Incentive Scheme

  • Operator efficiency level increased 
  • Number of operators reached the target efficiency and earned lump sum amount weekly. 
  • Line efficiency improved more than 50% 
  • Monthly Production improved by two fold in first six months of implementation 
  • Operators become more disciplined regarding spending quality time on producing pieces 
  • Operators agreed to do multiple jobs/ operations (which was a difficult task to convince an operator work on more than one operation throughout the day) 
  • Monthly capacity of the factory increased proportionate to the efficiency increase 
  • Considerable reduction in absenteeism percentage 
  • Above all factory saves lot of money after the successful implementation of incentive scheme. 

How They did it?

Factory designed a simple incentive system to motivate their sewing operators. Under the incentive scheme, each operator can earn incentive irrespective of line’s output once they meet following criteria
  • An operator hits target efficiency and 
  • An operator produces more than the target. 
By reaching target efficiency operators earns a lump sum amount as jump bonus. Secondly, for each extra efficiency percentage after target efficiency, operator gets straight bonus.

Operator incentive scheme is also linked with attendance of the operator. Like, if an operator works less than 5 days in a week will get no efficiency bonus.

The incentive payment is made weekly basis.

To provide the correct amount of incentive, operator’s individual production is captured and daily operator wise efficiency is calculated by engineers. It was a very difficult task to measure the correct efficiency of each individual (operators) by manual data capturing.

This factory installed a new technology, RFID based shop floor production monitoring and control system that helped engineer to measure real time performance of operators. This real time production tracking system also provides a display device to each workstation on which operators can checks their day's production and total efficiency. Operator can even see their bonus amount earned on the display device. Even this software itself calculates operator’s weekly incentive earnings based on the above criteria.



5S,3,Activewear,1,Apparel ERP,4,apparel industry,64,apparel news,38,Apparel Production,38,Apparel Software,35,AQL Chart,1,Attachments,1,Bamboo Fabric,1,Bangladesh,4,Blogs,1,Body Scanner,1,Books,35,Business Guides,14,Buyer,4,Buying House,4,CAD/CAM,2,Calculation & Formula,1,career,39,Change Management,1,China,1,Clothing,3,Clothing Brand,6,Compliance,5,Consumption,4,Costing,21,Cutting,25,Data Analysis,2,Defects,6,Denim,11,Directory,3,Drone,1,Dyeing,3,eCommerce,2,Education,5,End use,1,Event & Fair,19,Fabric,92,Fashion,5,Fashion Business,53,Fashion Design,4,Fashion Show,2,Fiber,6,Finishing,14,Fusing,1,Garment Business,3,Garment Exporters,1,Garment Industry,4,Garmenting,2,Gartex,1,GMT,1,GSM,3,Guest Post,7,Heat sealing,1,Human Resource,8,Incentive system,1,Industrial Engineering,258,Industry 4,1,Infographic,5,Inspiration,1,Institutes,1,Interlining,2,Jeans,4,Knitting,5,KPI,10,Kurti,1,Laser Technology,2,Lean,27,Leggings,2,Line Balancing,4,Line layout,6,Living Wages,1,Machines,47,Manufacturing,57,Merchandising,122,MIS,27,MISC,27,Needle,1,News,5,NIFT,4,Operation bulletin,14,Operator,2,Operator Training,4,Performance rating,1,PLM,7,Printing & Embroidery,14,Problem Solving,2,Production Planning,29,Production System,1,Productivity,2,Project Report,1,QNA,138,Quality,76,Quality Circle,1,Quality manual,2,Quality system,16,Research project,5,Resources,46,Retailing,6,RMG,1,Salary & Wages,7,Sampling,27,Scheduling,6,Seam Sealing,1,Sewing Machine,5,Shirt Making,6,Skiiwear,1,skill Matrix,1,Small-scale business,2,Smart Clothing,1,SMV,1,Sourcing,10,Spec Sheet,10,Sportswear,7,Spreading,2,Stitching,4,Store,2,Stretch fabric,1,Student corner,4,sustainable clothing,10,Sustainable Materials,1,T-shirt,5,Tailor,1,Tailoring Shop,3,Technology,96,Texprocess,1,Textile processing,14,Textile testing,25,Textiles,47,Threads,2,Towel,1,Trims & Accessories,19,videos,11,Washing,3,Waste,1,Wearable Tech,2,Work Study,48,Work wear,1,WRAP,1,Yoga wear,1,
Online Clothing Study: Incentive Scheme for Sewing Operators (Case Study)
Incentive Scheme for Sewing Operators (Case Study)
A case study of sewing operators incentive scheme in the apparel industry.
Online Clothing Study
Loaded All Posts Not found any posts VIEW ALL Readmore Reply Cancel reply Delete By Home PAGES POSTS View All RECOMMENDED FOR YOU LABEL ARCHIVE SEARCH ALL POSTS Not found any post match with your request Back Home Sunday Monday Tuesday Wednesday Thursday Friday Saturday Sun Mon Tue Wed Thu Fri Sat January February March April May June July August September October November December Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec just now 1 minute ago $$1$$ minutes ago 1 hour ago $$1$$ hours ago Yesterday $$1$$ days ago $$1$$ weeks ago more than 5 weeks ago Followers Follow THIS PREMIUM CONTENT IS LOCKED STEP 1: Share. STEP 2: Click the link you shared to unlock Copy All Code Select All Code All codes were copied to your clipboard Can not copy the codes / texts, please press [CTRL]+[C] (or CMD+C with Mac) to copy