Factors that affect utilization at NOV Sample Clauses

Factors that affect utilization at NOV. XxxxxxxxXxxxxxxxxx.xxx (2011) defines utilization as “The proportion of the available time (expressed usually as a percentage) that a piece of equipment or a system is operating”. In NOVs case it is measured by the portion of working hours performed and the works hours available. Today NOV Molde has a lower overall worker utilization than desired, especially compared to other NOV departments in Norway. Their goal is therefore to allocate the workers in such a way that the utilization of the workers is satisfying. Because of this, it is important to find the main factors that affect utilization at NOV. To be able to confirm an increased utilization of the resources, we need a measurable indicator. Today NOV measures their utilization on a weekly basis. The service personnel‟s regular working hours during a week consists of seven shifts à 6 hours, regardless of whether they work or not. To get 100 % utilization, NOV has to get paid 42 hours per week from the customer. So if in a week where a service worker does not work at all, the utilization will be zero. The utilization can actually be over 100 % for a period of time, in that sense that a worker often works seven 12-hours shifts for one or several weeks. It is important to separate between indirect variables, which the company does not have any control over, and the direct ones. In NOVs case, there are mainly three indirect variables and two direct variables that affect the utilization. Starting with the indirect variables the issue regarding sick leave is of personal matters. Self-certification and short period medical certification are delicate matters which are difficult to deal with without going into deeper research in this area, yet they affect utilization. Another indirect variable is that when a customer decides to reschedule or postpone jobs for various reasons. When a job is confirmed and a service engineer is selected, they avoid changing the person to another job because of the formalities they would go through again. As a consequence the job can be postponed the service engineer has to wait. Then the worker must wait until this job starts without being able to take any other jobs, which leads to idleness and the utilization negatively affected. As mentioned in „Laws and Regulations‟, after a work period at an offshore platform located in the Norwegian continental shelf, the service engineer are imposed a rest period. This quarantine is in effect as soon as the workers put their feet onshore, ...
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