Principles Of Operations Management
11th Edition
ISBN: 9780135173930
Author: RENDER, Barry, HEIZER, Jay, Munson, Chuck
Publisher: Pearson,
expand_more
expand_more
format_list_bulleted
Concept explainers
Question
Chapter 1, Problem 10P
Summary Introduction
To determine: The multifactor productivity of Company M.
Introduction: Multifactor productivity is an evaluation of economic performance that compares the amount of products and services produced to the amount of combined inputs used to produce those products and services.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
Please do not give solution in image formate thanku.
Munson Performance Auto, Inc., modifies 475 autos per year. The manager, Adam Munson, is interested in obtaining a measure of overall performance. He has asked you to provide him with a multifactor measure of last year's performance as a benchmark for future comparison. You have assembled the following data. Resource inputs were: labor,10,500 hours; 540 suspension and engine modification kits; and energy, 110,000 kilowatt-hours. Average labor cost last year was $20 per hour, kits cost $1,000 each, and energy costs were $4 per kilowatt-hour.
Munson Performance Auto, Inc., modifies 375 autos per year. The manager, Adam Munson, is interested in obtaining a measure of overall performance. He has asked you to provide him with a multifactor measure of last year’s performanceas a benchmark for future comparison. You have assembled the following data. Resource inputs were labor, 10,000 hours; 500 suspension and engine modification kits; and energy, 100,000 kilowatt-hours. Average labor cost last year was $20 per hour, kits cost $1,000 each, and energy costs were $3 per kilowatt hour. What do you tell Mr. Munson?
Munson Performance Auto Inc., modifies 350 autos per year. The manager, Adam Munson, is interested in obtaining a measure of overall performance. He has asked you to provide him with a multifactor measure of last year's performance as a benchmark for future comparison. You have assembled the following data. Resource inputs were: labor, 10,000 hours; 540 suspension and engine modification kits; and energy, 100,000 kilowatt-hours. Average labor cost last year was $30 per hour, kits cost $1,000 each, and energy costs were $4 per kilowatt-hour.
The overall performance at Munson Performance Auto, Inc= autos/dollar of input (round your response to six decimal places).
Chapter 1 Solutions
Principles Of Operations Management
Ch. 1 - Prob. 1EDCh. 1 - Prob. 1DQCh. 1 - Prob. 2DQCh. 1 - Prob. 3DQCh. 1 - Prob. 4DQCh. 1 - Figure 1.1 outlines the operations,...Ch. 1 - Prob. 6DQCh. 1 - Prob. 7DQCh. 1 - Identify the 10 strategic operations management...Ch. 1 - Prob. 9DQ
Ch. 1 - Prob. 10DQCh. 1 - Prob. 11DQCh. 1 - Mass customization and rapid product development...Ch. 1 - What are the five reasons productivity is...Ch. 1 - Prob. 14DQCh. 1 - Prob. 15DQCh. 1 - Prob. 1PCh. 1 - Prob. 2PCh. 1 - This year, Druehl, Inc., will produce 57,600 hot...Ch. 1 - Prob. 4PCh. 1 - Prob. 5PCh. 1 - Prob. 6PCh. 1 - Prob. 7PCh. 1 - Prob. 8PCh. 1 - Browns, a local bakery, is worried about increased...Ch. 1 - Prob. 10PCh. 1 - Prob. 11PCh. 1 - Charles Lackey operates a bakery in Idaho Falls,...Ch. 1 - Prob. 13PCh. 1 - Prob. 14PCh. 1 - Prob. 15PCh. 1 - Prob. 16PCh. 1 - Prob. 17PCh. 1 - Prob. 1CSCh. 1 - Do you think the Uber model will work in the...Ch. 1 - Prob. 3CSCh. 1 - From your knowledge of production processes and...Ch. 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
- Munson Performance Auto, Inc., modifies 375 autosper year. The manager, Adam Munson, is interested in obtaininga measure of overall performance. He has asked you to providehim with a multifactor measure of last year's performanceas a benchmark for future comparison. You have assembled thefollowing data. Resource inputs were labor, I 0,000 hours; 500suspension and engine modification kits; and energy, 100,000kilowatt-hours. Average labor cost last year was $20 per hour,kits cost $ 1,000 each, and energy costs were $3 per kilowatt-hour.What do you teU Mr. Munson?arrow_forwardGeorge Kyparisis makes bowling balls in his Miami plant. With recent increases in his costs, he has a newfound interest in efficiency. George is interested in determining the productivity of his organization. He would like to know if his organization is maintaining the manufacturing average of a 3% increase in productivity. He has the following data representing a month from last year and an equivalent month this year: Last Year Now Cost Per Input Unit Units Produced 1,200 1,200 Labor (hours) 280 255 $10 per hour Resin (pounds) 50 45 $6 per pound Capital Invested ($) 10,000 11,000 2% per month Energy (BTU) 3,000 2,850 $0.50 per BTU The percent change in productivity for one month last year versus one month this year on a multifactor basis with dollars as the common denominator = nothing%…arrow_forwardGeorge Kyparisis makes bowling balls in his Miami plant. With recent increases in his costs, he has a newfound interest in efficiency. George is interested in determining the productivity of his organization. He would like to know if his organization is maintaining the manufacturing average of a 3% increase in productivity. He has the following data representing a month from last year and an equivalent month this year: Last Year Now Cost Per Input Unit Units Produced 1 comma 0001,000 1 comma 0001,000 Labor (hours) 300300 275275 $1010 per hour Resin (pounds) 5050 4545 $66 per pound Capital Invested ($) 10 comma 00010,000 11 comma 00011,000 22% per month Energy (BTU) 3 comma 0003,000 2 comma 8502,850 $0.600.60 per BTU The percent change in productivity for one month last year versus one month…arrow_forward
- gift-wrapping business is staffed by Kaitlyn, Rob, Sam, Susan and Sarah. The production by each of these staff members for an average eight-hour work day is as follows: Jared Bob Sammy Janet Emily 64 packages 55 packages 52 packages 52 packages 48 packages What is Jared productivity? 8 hours/package 8 packages/hour 8 8 packages If expected productivity is to spend 10 minutes per package, what is Jareds efficiency? 1.3333 or 133.33% 6 packages/hour 8 packages/hour 0.75 or 75%arrow_forwardWhite Tiger Electronics produces CD players using an automated assembly line process. The standard cost of CD players is $150 per unit (labor, $30; materials, $70; and overhead, $50). The sales price is $300 per unit.a. To achieve a 10 percent multifactor productivity improvement by reducing materials costs only, by what percentage must these costs be reduced? b. To achieve a 10 percent multifactor productivity improvement by reducing labor costs only, by what percentage must these costs be reduced? c. To achieve a 10 percent multifactor productivity improvement by reducing overhead costs only, by what percentage must these costs be reduced?arrow_forwarda) Last week employees at Bluegill produced 46 chairs after working a total of 200hours. Of the 46 chairs produced, 12 were damaged due to a problem with thenew sanding machine. The damaged chairs can be discounted and sold for K250each. The undamaged chairs are sold to a department store retail chain for $700each.(i) What was the labor productivity ratio for last week? (ii) If labor productivity was $150 in sales per hour the previous week, whatwas the change in labor productivity as a percentage?b) In the bakery, the design capacity is 30 pies per day and effective capacity is 20pies per day. Currently, the bakery is producing 27 pies per day. What is thebakery’s capacity utilization relative to both design and effective capacity?arrow_forward
- George Kyparisis makes bowling balls in his Miamiplant. With recent increases in his costs, he has a newfound interestin efficiency. George is interested in determining the productivityof his organization. He would like to know if his organization is maintaining the manufacturing average of 3% increase in produc-tivity per year? He has the following data representing a month from last year and an equivalent month this year:arrow_forwardThe Wonderful Widget Company's earning have declined to the point where they need to reduce the number of employees from 1500 to 1440. Find the percent decrease in the company's workforce.arrow_forwardBathrobes Inc. employees work 10 hours a day, with a 30 min break, 5 days a week. This company is manufacturing terrycloth bathrobes. The standard minute value to finish a robe = 40 minutes. The company’s 17 employees produce 210 robes a day. What is their bathrobes production efficiency? Round your answer to the nearest whole number, but do not round until your final answer. Group of answer choices 89% 86% 88% 87%arrow_forward
- H3. Weber Optical, an eyeglass manufacturer, pays employees an incentive based on the average amount of work completed per processing 20 invoices per hour. An employee who processes 30 invoices would earn $15 per hour. Hence, Weber Optical pa many invoices an employee processes per hour. Which type of incentive pay does this scenario illustrate? O 1. rising differential 2. straight commission plan 3. straight piecework plan 4. standard hour plan Show proper step by step calculationarrow_forwardData Set Quality level 70.00% Working Days 5 Shifts 3 Length of shift (hours) 8 Operators 5 Planned downtime per shift (minutes) 45 Cycle Time of the resource activity (sec) 5 Demand for finished goods per week 52200, Demand for finished goods per day 10440, Budgeted / Target PPH 35, Total Parts Produced All shifts 11000 Answer the following: Are you meeting takt time Are you meeting / exceeding productivity target? Are you generating FG inventory? Number of operators per shift needed to meet or exceed target PPH (same quality) Can Increasing Quality to 100% meet target PPH without changing original number of operators?arrow_forwardSusan Williams runs a small Flagstaff job shop where garments are made. The job shop employs eight workers. Each worker is paid $8 per hour. During the first week of March, each worker worked 45 hours. Together, they produced a batch of 156 garments. Of these garments, 54 were 'seconds' (meaning that they were flawed). The seconds were sold for $100 each at a factory outlet store. The remaining 102 garments were sold to retail outlets at a price of $198 per garment. What was the labor productivity, in dollars per labor-hour, at this job shop during the first week of March? Labor productivity =______ dollars/labor hour (round your response to two decimal places). Please don't just send the answer, I need to know how to do this. Thanksarrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,Operations ManagementOperations ManagementISBN:9781259667473Author:William J StevensonPublisher:McGraw-Hill EducationOperations and Supply Chain Management (Mcgraw-hi...Operations ManagementISBN:9781259666100Author:F. Robert Jacobs, Richard B ChasePublisher:McGraw-Hill Education
- Purchasing and Supply Chain ManagementOperations ManagementISBN:9781285869681Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. PattersonPublisher:Cengage LearningProduction and Operations Analysis, Seventh Editi...Operations ManagementISBN:9781478623069Author:Steven Nahmias, Tava Lennon OlsenPublisher:Waveland Press, Inc.
Practical Management Science
Operations Management
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:Cengage,
Operations Management
Operations Management
ISBN:9781259667473
Author:William J Stevenson
Publisher:McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi...
Operations Management
ISBN:9781259666100
Author:F. Robert Jacobs, Richard B Chase
Publisher:McGraw-Hill Education
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
Production and Operations Analysis, Seventh Editi...
Operations Management
ISBN:9781478623069
Author:Steven Nahmias, Tava Lennon Olsen
Publisher:Waveland Press, Inc.