What is SMV
SMV stands for Standard Minute Value. It is the time a trained operator needs to complete one operation at standard performance, with reasonable allowances. SMV is the foundation of costing, capacity planning, line balancing, efficiency measurement, and incentive schemes in the garment industry.
SMV Formula
SMV equals basic time times 1 plus allowance. Basic time equals observed time times rating factor. So SMV equals observed time times rating times 1 plus allowance. For example, observed time 40 seconds, rating 100 percent, allowance 15 percent. Basic time is 40 times 100 percent equals 40 seconds. SMV is 40 times 1.15 equals 46 seconds or 0.77 minutes.
Practical Example 1 — Single Operation
An operator takes 40 seconds on average. Rating is 100 percent. Allowance is 15 percent. SMV is 40 times 1.15 equals 46 seconds equals 0.77 minutes. This value is used for costing and efficiency.
Practical Example 2 — Full Garment
A basic T-shirt has 25 operations. Each has its own SMV. Total SMV is the sum of all operation SMVs. If total SMV is 15 minutes, a line of 30 operators with 8 hours shift at 65 percent efficiency produces 30 times 480 times 0.65 divided by 15 equals 624 pieces per day.
Practical Example 3 — Costing
Buyer orders 50,000 pieces at SMV 15 minutes. Factory cost per minute is 4 taka. Cost per piece is 15 times 4 equals 60 taka. If SMV is underestimated at 12 minutes, the price would be 48 taka, which is below cost.
Practical Example 4 — Line Balancing
Operation SMVs are 3, 4, 5, and 4 minutes. The bottleneck is 5. Balancing the operations to 4 each raises line efficiency by 20 percent.
How SMV is Established
Observe the operation several times. Note the observed time. Apply a rating factor based on the operator speed. Add allowances for personal needs, fatigue, and machine delay. Document the SMV in a standard database.
SMV in Costing
SMV times cost per minute equals labor cost per operation. Summing across all operations gives the labor cost per garment. Buyer price negotiation must always begin with the correct SMV.
Common Mistakes
Using SMV from an old style. Using theoretical SMV without verifying on the floor. Ignoring allowance. Not updating SMV after method improvements. Using the same SMV for different fabrics and machines.
When to Use It
SMV is used for costing, capacity planning, line balancing, target setting, and efficiency measurement. Every IE officer must understand SMV deeply. It is the most fundamental unit in garment IE.