Operations Management
11th Edition
ISBN: 9780132921145
Author: Jay Heizer
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Concept explainers
Question
Chapter 1, Problem 4P
Summary Introduction
To determine: Increase in therate of U.S productivity for national economy, the manufacturing sector and the service sector.
Introduction: Productivity is a measure of the effectiveness of an individual, systems, machinery and other equipments that are used in converting inputs into outputs. In all organizations, productivity is an important determinant to know cost efficiency.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Ternes Manufacturing produces metal products primarily used in the construction industry. The three main inputs in production are
materials (metal), labor, and overhead. Data for the previous three reporting periods follow:
Materials cost
Labor cost
Overhead
Value of product produced
Period
Period 3
Period 2
Period 1
Period 3
$ 51,000
30,150
43,050
137,930
Total Factor
Productivity
Period 2
Required:
a. Compute the total factor productivity for the previous three reporting periods.
Note: Round your answers to 2 decimal places.
$ 65,500
39,820
48,600
179,504
Period 1
$ 60,750
36,200
46,850
164,604
i need the answer quickly
Collins Title Insurance Ltd. wants to evaluate its labor and multifactor productivity with a new computerized title-search system. The company has a staff of four, each working 8 hours per day (for a payroll cost of $640/day) and overhead expenses of $400 per day. Collins processes and closes on 8 titles each day. The new computerized title-search system will allow the processing of 14 titles per day. Although the staff, their work hours, and pay are the same, the overhead expenses are now $800 per day.
Chapter 1 Solutions
Operations Management
Ch. 1 - Prob. 1DQCh. 1 - Identify four people who have contributed to the...Ch. 1 - Briefly describe the contributions of the four...Ch. 1 - Figure 1.1 outlines the operations,...Ch. 1 - Answer Question 4 for some other organization,...Ch. 1 - Prob. 6DQCh. 1 - Identify the 10 strategic operations management...Ch. 1 - Prob. 8DQCh. 1 - Prob. 9DQCh. 1 - Prob. 10DQ
Ch. 1 - Mass customization and rapid product development...Ch. 1 - What are the five reasons productivity is...Ch. 1 - Prob. 13DQCh. 1 - Prob. 1PCh. 1 - Prob. 2PCh. 1 - This year, Donnelly, Inc., will produce 57,600 hot...Ch. 1 - Prob. 4PCh. 1 - Prob. 5PCh. 1 - Prob. 6PCh. 1 - George Kyparisis (using data from Problem 1.6)...Ch. 1 - Prob. 8PCh. 1 - Prob. 9PCh. 1 - Browns, a local bakery, is worried about increased...Ch. 1 - Prob. 11PCh. 1 - Prob. 12PCh. 1 - Charles Lackey operates a bakery in Idaho Falls,...Ch. 1 - Prob. 14PCh. 1 - Prob. 15PCh. 1 - Prob. 16PCh. 1 - Prob. 17PCh. 1 - National Air Express National Air is a competitive...Ch. 1 - National Air Express National Air is a competitive...Ch. 1 - National Air Express National Air is a competitive...Ch. 1 - Prob. 1.1VCCh. 1 - Prob. 1.2VCCh. 1 - Prob. 1.3VCCh. 1 - Prob. 2.1VCCh. 1 - Prob. 2.2VCCh. 1 - Prob. 2.3VC
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, operations-management and related others by exploring similar questions and additional content below.Similar questions
- Scenario 4 Sharon Gillespie, a new buyer at Visionex, Inc., was reviewing quotations for a tooling contract submitted by four suppliers. She was evaluating the quotes based on price, target quality levels, and delivery lead time promises. As she was working, her manager, Dave Cox, entered her office. He asked how everything was progressing and if she needed any help. She mentioned she was reviewing quotations from suppliers for a tooling contract. Dave asked who the interested suppliers were and if she had made a decision. Sharon indicated that one supplier, Apex, appeared to fit exactly the requirements Visionex had specified in the proposal. Dave told her to keep up the good work. Later that day Dave again visited Sharons office. He stated that he had done some research on the suppliers and felt that another supplier, Micron, appeared to have the best track record with Visionex. He pointed out that Sharons first choice was a new supplier to Visionex and there was some risk involved with that choice. Dave indicated that it would please him greatly if she selected Micron for the contract. The next day Sharon was having lunch with another buyer, Mark Smith. She mentioned the conversation with Dave and said she honestly felt that Apex was the best choice. When Mark asked Sharon who Dave preferred, she answered, Micron. At that point Mark rolled his eyes and shook his head. Sharon asked what the body language was all about. Mark replied, Look, I know youre new but you should know this. I heard last week that Daves brother-in-law is a new part owner of Micron. I was wondering how soon it would be before he started steering business to that company. He is not the straightest character. Sharon was shocked. After a few moments, she announced that her original choice was still the best selection. At that point Mark reminded Sharon that she was replacing a terminated buyer who did not go along with one of Daves previous preferred suppliers. What does the Institute of Supply Management code of ethics say about financial conflicts of interest?arrow_forwardScenario 4 Sharon Gillespie, a new buyer at Visionex, Inc., was reviewing quotations for a tooling contract submitted by four suppliers. She was evaluating the quotes based on price, target quality levels, and delivery lead time promises. As she was working, her manager, Dave Cox, entered her office. He asked how everything was progressing and if she needed any help. She mentioned she was reviewing quotations from suppliers for a tooling contract. Dave asked who the interested suppliers were and if she had made a decision. Sharon indicated that one supplier, Apex, appeared to fit exactly the requirements Visionex had specified in the proposal. Dave told her to keep up the good work. Later that day Dave again visited Sharons office. He stated that he had done some research on the suppliers and felt that another supplier, Micron, appeared to have the best track record with Visionex. He pointed out that Sharons first choice was a new supplier to Visionex and there was some risk involved with that choice. Dave indicated that it would please him greatly if she selected Micron for the contract. The next day Sharon was having lunch with another buyer, Mark Smith. She mentioned the conversation with Dave and said she honestly felt that Apex was the best choice. When Mark asked Sharon who Dave preferred, she answered, Micron. At that point Mark rolled his eyes and shook his head. Sharon asked what the body language was all about. Mark replied, Look, I know youre new but you should know this. I heard last week that Daves brother-in-law is a new part owner of Micron. I was wondering how soon it would be before he started steering business to that company. He is not the straightest character. Sharon was shocked. After a few moments, she announced that her original choice was still the best selection. At that point Mark reminded Sharon that she was replacing a terminated buyer who did not go along with one of Daves previous preferred suppliers. Ethical decisions that affect a buyers ethical perspective usually involve the organizational environment, cultural environment, personal environment, and industry environment. Analyze this scenario using these four variables.arrow_forwardScenario 4 Sharon Gillespie, a new buyer at Visionex, Inc., was reviewing quotations for a tooling contract submitted by four suppliers. She was evaluating the quotes based on price, target quality levels, and delivery lead time promises. As she was working, her manager, Dave Cox, entered her office. He asked how everything was progressing and if she needed any help. She mentioned she was reviewing quotations from suppliers for a tooling contract. Dave asked who the interested suppliers were and if she had made a decision. Sharon indicated that one supplier, Apex, appeared to fit exactly the requirements Visionex had specified in the proposal. Dave told her to keep up the good work. Later that day Dave again visited Sharons office. He stated that he had done some research on the suppliers and felt that another supplier, Micron, appeared to have the best track record with Visionex. He pointed out that Sharons first choice was a new supplier to Visionex and there was some risk involved with that choice. Dave indicated that it would please him greatly if she selected Micron for the contract. The next day Sharon was having lunch with another buyer, Mark Smith. She mentioned the conversation with Dave and said she honestly felt that Apex was the best choice. When Mark asked Sharon who Dave preferred, she answered, Micron. At that point Mark rolled his eyes and shook his head. Sharon asked what the body language was all about. Mark replied, Look, I know youre new but you should know this. I heard last week that Daves brother-in-law is a new part owner of Micron. I was wondering how soon it would be before he started steering business to that company. He is not the straightest character. Sharon was shocked. After a few moments, she announced that her original choice was still the best selection. At that point Mark reminded Sharon that she was replacing a terminated buyer who did not go along with one of Daves previous preferred suppliers. What should Sharon do in this situation?arrow_forward
- Mazen is a manager in a factory producing fabrics. In 2020, the daily production target was met in terms of quality and quantity. But, this target was achieved as a result of an increased number of workers and import of high quantities of cotton and piles of leftovers, meaning an extra inputs' costs. He decided to make negotiations with local industries to sell them cotton remnants to be recycled and re-used in pillow manufacturing.The productivity of this factory is: * Effective and efficient Neither effective nor efficient Effective but not efficient O Not effective but efficientarrow_forwardhe manager of a crew that installs carpeting has tracked the crew’s output over the past several weeks, obtaining these figures: Week Crew Size Yards Installed 1 2 95 2 3 70 3 6 100 4 7 50 5 5 70 6 4 55 Click here for the Excel Data File a. Compute the labor productivity for each of the weeks. (Round your answers to 2 decimal places.) b. Which crew size works best?arrow_forwardA small electronic manufacturing company which makes communication devices has determined its costs as follows (all value data are expressed in millions Euro): Calculate and compare all single-factor and multifactor productivity for 2013 and 2014. What conclusions do you draw?arrow_forward
- P2a. Various financial data for the past two years follow. Calculate the productivity ratios and enter the % change (round to one decimal place) from last year to this year. Output: Inputs: Volume (# units) $ Price / unit Labor hours / unit Labor $ cost / hour Raw material $ cost/ unit Overhead Labor Productivity (round to one decimal place) Multifactor Productivity (round to one decimal place) Last Year This Year 35,000 $18.00 0.2 $24 $6.00 $40,000 50,000 $18.20 0.15 $24 $6.20 $50,000 % Changearrow_forwardTwo types of cars (Deluxe and Limited) were produced by a car manufacturer last year. Quantities sold, price per unit, and labor hours are given below. QUANTITY $/UNIT $ 9,050/car $10,550/car Deluxe car 3,625 units sold 6,525 units sold 22,750 hours 29,865 hours Limited car Labor, Deluxe Labor, Limited $ 12/hour $ 15/hour What is the labor productivity for each car? Provide two sets of figures: units per labor hour, and dollar of output per dollar of labor expense. (Round your answers to 2 decimal places.) Labor Productivity Units/hour Dollars Deluxe car Limited cararrow_forwardA factory produces 14,000 desk staplers each week. The equipment used costs $50,000 and will remain productive for four years. The labor cost per year is $190,000. a. What is the productivity measure of "units of output per dollar of input" averaged over the four-year period? Assume that there are 52 weeks per year. Round your answer to two decimal places. units of output per dollar input b. We have the option of buying $55,000 of new equipment, with an operating life of seven years. It would reduce labor costs to $124,000 per year. Should we consider purchasing this equipment (using productivity arguments alone)? Assume that there are 52 weeks per year. Round your answer for productivity to two decimal places. For the newer machine, the productivity is -Select-, it would be a-Select- investment. -Select- higher lower units of output per dollar input. Because the productivity of the new machine isarrow_forward
- In the Loans & Credits department of a TD Bank branch, there are 700 loan applications per week waiting to be processed. There are currently 8 employees (each works for 7 hours a day, 5 days a week) working in the department for processing the loan applications.( a ) What is the employee productivity (in applications/hour)?( b ) Due to the current economic situation, the director of the department anticipatesthat there will be a significant increase in the number of loan applications. If there are 1960 applications per week and the director wishes to increase the employee productivity to 3.5 applications per hour, how many additional employee should be hired?arrow_forwardOmar Industries maintains production facilities in several locations around the Average monthly cost data and output levels are as follows. Calculate the labor productivity of each facility. Calculate the multifactor productivity of each 3- If Omar needed to close one of the plants, which one would you choosearrow_forwardA major airline is attempting to evaluate the effect of recent changes it has made in scheduling flights between New York City and Los Angeles. Data available are shown below: Number of Number of Flights Passengers 13 8,575 Month prior to schedule change (January) Month after schedule change (June) 22 15,566 Using January as the base period, compute a productivity index for January and June. Round your answers to the nearest whole number. Productivity index January June Using passengers per flight as a productivity indicator, comment on the apparent effect of the schedule change. Use the rounded numbers of passengers obtained above for your calculations. Round your answer for productivity indicator to one decimal place. Productivity -Select- by percent after the schedule change. This could be due to -Select- convenient flight times, -Select- schedules or some other intervening variable.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Purchasing and Supply Chain ManagementOperations ManagementISBN:9781285869681Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. PattersonPublisher:Cengage Learning
Purchasing and Supply Chain Management
Operations Management
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Cengage Learning