Practical Operations Management
2nd Edition
ISBN: 9781939297136
Author: Simpson
Publisher: HERCHER PUBLISHING,INCORPORATED
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Question
Chapter 1, Problem 3DQ
Summary Introduction
Interpretation:Comparison study of measuring the productivity in terms of goods and service that provide to the customer.
Concept Introduction:Productivity is measure by the ratio of output and input. Input includes all resources which are used by the production system to manufacture the finished good. Output includes finish good. Measurement of the productivity depends on the quality of goods produced and the quality of service given to the customer.
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Students have asked these similar questions
Why is measuring productivity in the service sector more difficult than the manufacturing sector ?
If the labor productivity rate for a furniture company is 200% and the company makes 400 chairs per day, how many factory workers are there?
The manager of a crew that installs wood floors has tracked the crew’s output over the past several weeks. Each worker works 40 hours per week, and earns $22 per hour. The wholesale cost of lumber to the company is $9 per square foot, and the company charges its customers $25 per square foot of flooring installed. Overhead rate is 100%
a) using the best formula to determine labor productivity, calculate labor productivity for each of the weeks
b) calculate multifactor productivity for each week using the dollar revenue of flooring installed in the numerator
week
crew size
lumber used
flooring installed
week 1
4
480
420
week 2
3
371
325
Chapter 1 Solutions
Practical Operations Management
Ch. 1 - Prob. 1DQCh. 1 - Prob. 2DQCh. 1 - Prob. 3DQCh. 1 - Prob. 4DQCh. 1 - Prob. 5DQCh. 1 - Prob. 6DQCh. 1 - Prob. 7DQCh. 1 - Prob. 1PCh. 1 - Prob. 2PCh. 1 - Prob. 3P
Ch. 1 - Prob. 4PCh. 1 - Prob. 5PCh. 1 - Prob. 6PCh. 1 - Prob. 7PCh. 1 - Prob. 8PCh. 1 - Prob. 9PCh. 1 - Prob. 10PCh. 1 - Prob. 11PCh. 1 - Prob. 12PCh. 1 - Prob. 13PCh. 1 - Prob. 14PCh. 1 - Prob. 15PCh. 1 - Prob. 16PCh. 1 - Prob. 17PCh. 1 - Prob. 18PCh. 1 - Prob. 19PCh. 1 - Prob. 20PCh. 1 - Prob. 21PCh. 1 - Prob. 22PCh. 1 - Prob. 1.1QCh. 1 - Prob. 1.2QCh. 1 - Prob. 1.3QCh. 1 - Prob. 2.1QCh. 1 - Prob. 2.2QCh. 1 - Prob. 2.3QCh. 1 - Prob. 3.1QCh. 1 - Prob. 3.2QCh. 1 - Prob. 3.3QCh. 1 - Prob. 3.4Q
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- 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?arrow_forwardA-Calculate the total productivity measure for this company for both years B-calculate the partial productivity measures for labor, capital, and raw materials for this company for both yearsarrow_forwardDefine the term measurement of productivity?arrow_forward
- A shoe factory produces 95,000 shoes each week. The equipment used costs $15,000 and will remain productive for three years. The labor cost per year is $16,000. What is the productivity measure of “units of output per dollar of input” averaged over the three-year period? Hint: Productivity = total units produced divided by the total labor cost plus total equipment costarrow_forwardGiven a bakery located opposite to your proposed service restaurant makes 1,500 loaves per month with a labor productivity of 2.344 loaves per labor-hour. Calculate number of workers working there? (Hint: Each worker works 160 hours per month.)arrow_forwardWhat is the disadvantage of the collaboration between supplier, user, and purchaser in operations management?arrow_forward
- In your own understanding, Explain What is a road map in Operations and Supply Chain Management and how is it relevant for business success? Please use your own words to elaborate. Thank youarrow_forwardWhat is role of Productivity in the Service Sector?arrow_forwardConsider the output and the labor hour figures shown in the following table: calculate the labor productivity for one week, as well as average labor productivity for one week.arrow_forward
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