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WebLEM Update: How to Apply the Work Activity Method for Labor Calculations

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WebLEM Update: How to Apply the Work Activity Method for Labor Calculations. By: Tim Moormeier and Ron King. WebLEM Committee Members. Kevin Daubendiek – Humphrey Company, Houston, TX Paul DeBella – DeBella Mechanical, Santa Clara, CA - PowerPoint PPT Presentation

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Page 1: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations
Page 2: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

WebLEM Update:How to Apply the

Work Activity Method for Labor

CalculationsBy: Tim Moormeier and Ron King

Page 3: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

WebLEM Committee Members• Kevin Daubendiek – Humphrey Company,

Houston, TX• Paul DeBella – DeBella Mechanical, Santa Clara,

CA• Bob Durr – Durr Mechanical Construction, New

York, NY• Andrew Hosler – Performance Mechanical Inc,

Pittsburg, CA• Ron King – Trimble MEP, Toronto, ON• Patrick Reilly – John W. Danforth Company,

Buffalo, NY• Tim Moormeier – U.S. Engineering Company,

Kansas City, MO • Nick Nikpourfard – Mechanical Contractors

Association of America, Rockville, MD

Page 4: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

What were some of the driving forces which lead to the development of this new

method of laboring?• Inability to separate labor accurately

into shop vs field• Inability to account for labor associated

with back to back fittings• Inability to break down all labor

components of a joint• Better cost control of labor activities in

both the shop or field

Page 5: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

How do we do it today?

• We establish shop vs field labor hours by:• Percentage method• Diameter inch method

• Account for back to back fittings by applying a correction factor

• Currently no way to break down the components of the joint

• Some have improvised by determining a “Cap” equals one joint

Page 6: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

What does a labor unit presently include?

• Example: 6” CS, Std Wt, Buttweld, LR 90° Elbow. The WebLEM states 6.29 hours, which includes:• Receiving, unloading, stockpiling, distributing• Joining method

• Type of connection – Buttweld• Qty of joints – 2• Type of material – Carbon Steel• Wall thickness – Standard Weight

Page 7: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

What does a labor unit presently include (Cont)?• “Normal” pressure testing – 1.5 X OP• Installation or erection• Note: The joint and installation make up

the bulk of the unit

Page 8: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

What’s the Challenge?• No way to account for back to back fittings other

than applying a correction factor• No way to establish meaningful hours for the

fabshop other than applying a percentage or doing a diameter inch calc

• No way to establish labor hours for components of the joint:• Cut & Bevel• TIG Root• Joint (buttweld)• Hydotest• Preheat/Postweld heat treat• Etc.

Page 9: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

What could we do differently?Break down the labor units into tasks such as:• Cut & Bevel• Tig Root• Purge• Preheat/Post Weld Heat Treat• Handling of Pipe, Fittings, Flange, Valve, etc• Bolt-Up• Hydrotest

Page 10: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

What should we call it?

• The present method of laboring has been named:“Component Method”

• The new method for establishing labor hours for each task has been named

“Work Activity Method”

Page 11: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

So how does the Work Activity Method work?

For the same 6” CS Std Wt BW 90° Elbow, we now have these activities:• 6” CS Std Wt Flame Cut & Bevel (single operation)

• 0.40 x 2 = 0.80 Hours• 6” CS Std Wt Buttweld

• 2.48 x 2 = 4.96 Hours• 6” CS Std Wt LR 90° Elbow Installation

• 0.41 x 1 = 0.41 Hours• Total using the Work Activity Method = 6.17 Hours

(excluding hydrotest)• Total using the Component Method = 6.29 Hours

Page 12: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

Let’s look under the hood!

Page 13: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

www.weblem.org Changes• Home page change to promote new Work Activity

Method• Video and Handouts

• Introduction• Proper Use of the LEM• Basis Assumption• Correction Factors• Addition of the Piping Systems Folder

• Folder reorganization within the Piping Systems• HVAC Hook-Up• Instrumentation• Misc Labor Operations

Page 14: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

www.weblem.org Changes (cont.)

• Plumbing Equipment• Plumbing Hook-Up• Treatment Plant Equipment

Page 15: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

www.weblem.org Changes (cont.)

• New folders containing the Work Activity Method items• Bolt Up• Cut & Bevel• Drilling Holes• Fillet Welds• Fitting Handling & Installation• Flange Handling & Installation• HVAC Specialties• Hydrotesting• Joints• Layout & Flame Cutting• Machining Inside of Pipe or Fitting (Counter Boring)

Page 16: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

www.weblem.org Changes (cont.)

• New folders containing the Work Activity Method items (cont)• Nipples• Pipe Handling & Installation• Plumbing Specialties• Preheat• Purge• Stress Relieving• Valve Handling & Installation

Page 17: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

Now Let’s See Some Examples!

And What This Means To Me?• Let’s compare the following:• Component Method style of takeoff• Work Activity Method style of takeoff to

precisely determine the labor required

Page 18: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

Take this coil hookup for example

Page 19: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

Take this Isometric Drawing for example

Page 20: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

So now it’s possible!• No need to adjust for back to back fitting

situtations• Precisely account for all labor activities in the shop

vs field• Ability to calculate all activities related to the joint

Bottom line; The Work Activity Method allocates the labor hours associated with the activities very accurately

Page 21: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

What if the WAM method just isn’t for me?

• “I don’t worry about shop vs field or counting the joints…….”

• “I just want to take off using the same method as in the past; counting widgets……..”

• No Problem!!• Continue performing takeoff using the

Component Method just as you’ve done in the past

Page 22: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

But if the WAM Method IS for you• You can start using this method immediately

• Remember to examine your labor productivity factors to account for this new method!!! You can’t use the same factors as used with the component method!!!

• Be sure to read the Introduction, Proper Use of the LEM and Basic Assumptions

• Visit each of the folders on the WebLEM contained within the “Work Activity Method” to familiarize yourself and don’t forget to read any footnotes

• Start producing very precise shop vs field estimates immediately

• WebLEM committee asks for your feedback

Page 23: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

WebLEM Committee Update• Formulating more WAM labor units• Cast Iron No-Hub, Copper Sweat, PVC DWV and

Pressure, etc.• Reviewing the plastics section• Reviewing saddles, stub-ins and nozzle

welds• Formulating Aquatherm labor units• Review “Quick Vic” coupling labor units

Page 24: WebLEM Update: How  to Apply the  Work  Activity Method  for Labor Calculations

Has Delivered!