How to Calculate and Control Shrinkage
To calculate shrinkage, you can use the formula:
\[ \text{Shrinkage Percentage} = \left( \frac{\text{Total Shrinkage Hours}}{\text{Total Worked Hours}} \right) \times 100 \]
To control shrinkage, you can implement strategies such as improving scheduling accuracy, providing adequate training to employees, monitoring and analyzing shrinkage data regularly, and addressing any underlying issues causing shrinkage. By effectively managing shrinkage, businesses can enhance productivity and operational efficiency.
To calculate shrinkage, you can use the formula:
\[ \text{Shrinkage Percentage} = \left( \frac{\text{Total Shrinkage Hours}}{\text{Total Worked Hours}} \right) \times 100 \]
To control shrinkage, you can implement strategies such as improving scheduling accuracy, providing adequate training to employees, monitoring and analyzing shrinkage data regularly, and addressing any underlying issues causing shrinkage. By effectively managing shrinkage, businesses can enhance productivity and operational efficiency.