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The Significance of Using Learning Curves Evaluation in Relation to Your Project

Understanding How Experience and Repetition Improve Production Efficiency and Reduce Labor Costs in Manufacturing Projects

Kemi Olukayode, DBA, MBA, PMP, SME, Project Manager on Influential Women
Kemi Olukayode, DBA, MBA, PMP, SME
Project Manager
Alliance Energy & Development Group LLC
The Significance of Using Learning Curves Evaluation in Relation to Your Project

The adage that says, “practice makes perfect,” conveys the underlying meaning of the learning curve. Learning curve theory expresses the relationship between production time and the cumulative number of units produced. The reason for utilizing the Learning Curve Concept in your project is to help evaluate its specific effects on the project. The occurrence and effects of learning curves can be measured in my project’s working environment in both content and graphical form. The following concepts are usually applied when evaluating learning curve effects in a project: the cumulative average curve, follow-up on orders, and manufacturing breaks.

Concurrently, the strategic, repetitive process of project implementation allows a person or an institution to acquire greater efficiency and improve production time and the outcome of products. Learning curve theory describes how learning takes place at a fixed rate whenever production levels double. Generally, learning curve theory is most suitable for estimating costs and manufacturing. (Chase et al., 2017; Kerzner, 2013). The first time the learning curve was implemented in industry was in a 1936 report by T. P. Wright of Curtis-Wright Corporation. In the report, Wright explained how direct labor costs in the manufacturing of a specific airplane could be reduced through the experience gained from learning. Since then, other airplane manufacturers have adopted the theory (Corey, 2006).

The learning curve concept is largely related to labor-intensive projects, such as manufacturing, for determining the intensity of labor that would be required, which is normally a difficult and time-consuming task. Learning curve implementation reveals that manufacturing manpower time spent—that is, direct labor—will reduce every time the organization increases its output twofold, that is, by two hundred percent (200%). For instance, on a ninety percent (90%) learning curve, if the 100th unit required eighty (80) hours, then the 200th unit will require ninety (90) hours (Kerzner, 2013). The learning curve is sometimes referred to as the experience curve on the basis that individuals and institutions improve their skills and abilities in their tasks as the tasks are repeated over time (Corey, 2006).

Examples of Learning Curve Tasks and Measures in a Manufacturing Project and Similar Projects

  • Labor efficiency
  • Work specialization and methods improvements
  • New production processes
  • Getting better performance from production equipment
  • Changes in the resource mix
  • Product standardization
  • Product redesign
  • Incentives and disincentives
  • Organizational structure
  • Corporate culture

You can learn more details and explanations about these learning curve tasks and the related concepts for measuring learning curves, such as the cumulative average curve, follow-up on orders, and manufacturing breaks, by using the reference resource below:

Waterworth, C. J. (2000). Relearning the learning curve: A review of the derivation and applications of learning curve theory. Project Management Journal, 31(1), 24–31.

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