Lean Manufacturing & Operations worked example

Overtime Hours Requirement with production shortfall to recover of 100 units: a worked example

Push production shortfall to recover up to 100 units and the picture changes. This example computes every intermediate figure at that operating point. Use this calculator when regular shift output falls short of demand to determine how many overtime hours are needed to close the gap, factoring in lower overtime efficiency.

The inputs for this scenario

  • Production shortfall to recover: 100 units (raised for this scenario; the documented default is 40)
  • Regular-shift production rate: 20 units/hr (unchanged)
  • Overtime efficiency factor: 0.85 decimal (unchanged)

Working through the calculation

  • Applying the documented formula (Overtime Hours = Shortfall / (Regular Rate x Overtime Efficiency)) to the inputs above produces each figure below.
  • At this operating point the engine returns 4.25 hrs for required overtime hours, the number this scenario is built around.
  • At this operating point the engine returns 5 value for raw ratio.
  • At this operating point the engine returns 0.85 x for conversion factor.
  • At this operating point the engine returns 20 value for effective overtime rate (units/hr).

How this compares with the baseline

  • Against the tool's baseline example, where production shortfall to recover sits at 40 units and the headline result is 1.7 hrs, this scenario comes in 150% above the baseline at 4.25 hrs.
  • It computes the overtime hours needed to make up a unit shortfall, dividing the shortfall by the regular rate multiplied by an overtime efficiency factor. The value of this scenario is the size of the gap it exposes: that gap, priced out over a year, is the budget you can justify spending to close it.

Results at a glance

  • Required overtime hours: 4.25 hrs (headline result)
  • Raw ratio: 5 value
  • Conversion factor: 0.85 x
  • Effective overtime rate (units/hr): 20 value

Run it with your numbers

  • Every input above is editable in the live Overtime Hours Requirement calculator, which recalculates instantly and can be shared with the inputs intact.

Last reviewed 2026-05-12.