How to calculate man hours
Introduction:
Man-hours, a crucial metric in project management and efficiency analysis, measures the total work hours contributed by the workforce to complete a specific task or project. Accurate man-hour calculations enable organizations to plan better, allocate resources efficiently, and control costs. This article will guide you through the process of calculating man-hours for any given task or project.
Step 1: Define the Scope of Work
Start by outlining the scope of work required to complete the task or project in detail. This includes listing all activities, milestones, and deliverables associated with the assignment.
Step 2: Break Down Tasks into Sub-tasks
Break down larger tasks or projects into smaller sub-tasks. For example, if a task involves developing a website, divide it into sub-tasks such as design, development, testing, and deployment.
Step 3: Estimate Individual Task Duration
Next, estimate the time required to complete each sub-task. You may use your experience or historical data from similar tasks previously undertaken by your organization. Make sure to consider factors such as complexity and skill set required for each sub-task while estimating durations.
Step 4: Allocate Required Resources
Determine the number of people needed for each sub-task based on their skills and availability. This step may involve team discussions or consulting with subject-matter experts within your organization.
Step 5: Calculate Man-Hours per Sub-task
Multiply the estimated duration of each sub-task (in hours) by the number of people allocated to complete it. This calculation will give you the man-hours required for each individual sub-task.
For example,
Sub-task: Design (20 hours)
Number of People: 2
Man-Hours = 20 hours * 2 people = 40 man-hours
Step 6: Sum Man-Hours for All Sub-tasks
Add up all man-hours calculated in Step 5, obtaining the total man-hours required for the entire task or project.
For example,
Sub-task 1: Design = 40 man-hours
Sub-task 2: Development = 60 man-hours
Sub-task 3: Testing = 30 man-hours
Sub-task 4: Deployment = 10 man-hours
Total Man-Hours = (40 + 60 + 30 + 10) = 140 man-hours
Step 7: Apply Contingency
It is always prudent to add a contingency element to your final man-hour estimate to account for unforeseen circumstances, such as employee absenteeism, delays, or other issues. Adding an industry-standard contingency percentage (usually between 10% and 30%) to your calculated total will help mitigate unforeseen risks.
For example,
Total Man-Hours (including contingency) = 140 man-hours * (1 + 20% contingency) = 168 man-hours
Conclusion:
By implementing these steps, you can accurately calculate the man-hours required for any given task or project. Regularly monitoring and updating your man-hour calculations ensures optimal resource allocation, better cost control, and precise scheduling throughout your project’s lifecycle.