Learn complete garments CM calculation methods including Basic CM Formula, Advanced Label CM Formula, Industrial Engineering Method, SMV, CPM, Efficiency, EPM and professional garments costing systems.
Machine Quantity × Machine Cost ÷ Production Quantity × 12
SMV × CPM × 12 = Per Dozen CM
In the garments industry, CM (Cost of Making) is one of the most important parts of costing. CM helps calculate how much it costs to produce a garment in the factory. Below are some common and professional methods to calculate CM.
Before calculating CM, you need 3 important pieces of information:
After collecting this information, CM can be calculated easily.
Machine Quantity = Total machines required for the item
Machine Cost = Operating cost per machine
Production Quantity = Total production in 10 hours
× 12 = 1 dozen contains 12 pieces
This method is more professional and accurate because it includes factory cost, machine capacity, working days, and production target.
Total monthly factory expense
Total working days in a month
Total available machines
Machines required for the item
Production target per hour
Per dozen calculation
This is one of the most professional CM calculation methods in the garments industry.
SMV stands for Standard Minute Value. It means the standard time required by a skilled operator to complete a garment under normal working conditions.
• Less than 100% = Slower than standard speed
• 100% = Standard speed
• More than 100% = Faster than standard speed
If Observe Time is 0.50 minute and Rating is 110%:
Cycle Time means the time required to complete one operation. During a time study, the same operation is observed 5–10 times using a stopwatch.
Total Cycle Time
23 + 20 + 25 + 22 + 24 = 114 sec
Average Cycle Time
114 ÷ 5 = 22.8 sec
Observe Time
22.8 ÷ 60 = 0.38 minute
A garment is made through many sewing processes. Each process has it's own SMV. After adding all process SMVs together, the final garment SMV is obtained.
CPM means Cost Per Minute. It shows how much the factory spends for every production minute.
If one operator works 10 hours daily:
If the factory works 26 days per month:
If the factory has 750 workers:
Efficiency measures how effectively workers or production lines are performing.
Total garment output
Standard Minute Value
Total workers
Daily working hours
EPM stands for Earning Per Minute. It measures how much money the factory earns per production minute.
Production Quantity = Total garment output
CM = Cost of Making
Manpower = Total operators
Working Hours = Daily working hours