During a period, a company will normally plan on how much it wants to produce of a good over a given time period. Schedule adherence measures how well the company stuck with its scheduled plan. The schedule adherence formula can be used for any kind of plan; for example, the planned number of work hours for employees. Schedule adherence shows the company's efficiency. If it does not adhere to its plan, it will most likely have additional costs that were not originally in the period's budget.
Determine the actual production and the planned production. For example, a company plans on producing 500 widgets in April. However, due to time constraint its only produces 460 widgets.
Subtract the actual production from the planned production. In our example, 500 widgets minus 460 widgets equals 40 widgets.
Divide the number calculated in Step 2 by the planned production to determine schedule adherence. In our example, 40 widgets divided by 500 widgets equals 0.08 or 8 percent.
Carter McBride started writing in 2007 with CMBA's IP section. He has written for Bureau of National Affairs, Inc and various websites. He received a CALI Award for The Actual Impact of MasterCard's Initial Public Offering in 2008. McBride is an attorney with a Juris Doctor from Case Western Reserve University and a Master of Science in accounting from the University of Connecticut.