Operations Management: Sustainability and Supply Chain Management (12th Edition)
Operations Management: Sustainability and Supply Chain Management (12th Edition)
12th Edition
ISBN: 9780134130422
Author: Jay Heizer, Barry Render, Chuck Munson
Publisher: PEARSON
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Chapter 1, Problem 4P

a.

Summary Introduction

To determine: Person L’s productivity

Introduction: Productivity is a measure of the effectiveness of an individual, systems, machinery and other equipment’s that are used in converting inputs into outputs. In all organizations, productivity is an important determinant to know cost efficiency.

b.

Summary Introduction

To determine: The new productivity value.

c.

Summary Introduction

To determine: The percentage of productivity increase.

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Chuck Sox makes wooden boxes in which to shipmotorcycles. Chuck and his three employees invest a total of40 hours per day making the 120 boxes.a) What is their productivity? b) Chuck and his employees have discussed redesigning the pro-cess to improve efficiency. If they can increase the rate to 125 per day, what will be their new productivity?c) What will be their unit increase in productivity per hour?d) What will be their percentage change in productivity?
A caterer prepares 2,000 meals for a client’ company event consuming the following resources: Labor → 6 hours @ $20 per hour  Materials → $8 per meal Beverages → $4 per meal  What is labor productivity? What is the multifactor productivity? To produce 2,000 pieces of luggage, a leather goods firm spends $1,000 on labor and $500 on materials. What is productivity? If the firms can increase production to 2,200 pieces of luggage with the same labor and material cost, what is the productivity? What is the percentage change? If the labor cost is reduced to $800 and materials increased to $600, what is the productivity to produce 2,200 pieces of luggage?  An accounting firm can produce 8 monthly reports in three 8-hour shifts. What is the productivity of this firm? If this firm hires two additional workers, what would be the productivity of this firm? What is the percentage of productivity gain?
A company has been able to produce 230 crates by 5 workers in an 8-hour day. If the company hires additional skilled worker to improve productivity, it would yield to 268 crates. However, the total required time would increase by 5 labor hours because of the new hire. What would be the impact on productivity, measured in crates/labor-hours, if the new worker is hired. Round to 2 decimal places O a. 5% O b. 4% O c. 3.57% O d. None of these O e. -5%
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