Operations Management: Processes and Supply Chains (12th Edition) (What's New in Operations Management)
12th Edition
ISBN: 9780134741062
Author: Lee J. Krajewski, Manoj K. Malhotra, Larry P. Ritzman
Publisher: PEARSON
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Chapter 1, Problem 8P
a.
Summary Introduction
Introduction: Multifactor productivity is calculated by dividing the
To identify: Process which is more productive.
b.
Summary Introduction
Introduction:
Multifactor factor productivity represents the efficiency of a production factors such as labor and funds which is used in the production process of the company. It is computed by dividing output over input.
To analyze:Draw a conclusion from analysis.
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Mariah Enterprises makes a variety of consumer electronic products. Its camera manufacturing plant is considering choosing between two
different processes, named Alpha and Beta, which can be used to make a component part. To make the correct decision, the managers would like to
compare the labor and multifactor productivity of process Alpha with that of process Beta. The value of process output for Alpha and Beta is $170 per unit
of product A and $150 per unit of product B, and the corresponding overhead costs for Alpha and Beta are $8,000 and $6,000, respectively.
!
Process Alpha
Process Beta
Product
Output (units)
Labor ($)
Materials ($)
A
B
A
B
40
80
60
30
$1,200
$1,400 $1,000
$2,000
$3,500
$1,500 $1,400 $3,000
a. Which process, Alpha or Beta, is more productive?
Process Alpha has % higher labor productivity. Process
has
% higher multifactor productivity. (Enter your responses rounded to the
nearest whole number.)
Mariah Enterprises makes a variety of consumer electronic products. Its camera manufacturing plant is considering choosing between two different processes, named Alpha and Beta, which can be used to make two component parts A and B. To make the correct decision, the managers would like to compare the labor and multifactor productivity of process Alpha with that of process Beta. The value of process output for component A and B are $175 and $140 per unit, respectively. The corresponding overhead costs are $6,000 and $5,000, respectively.
a. Which process, Alpha or Beta, is more productive?b. What conclusions can you draw from your analysis?
Mariah Enterprses makes a variety of consumer electronic products Its camera manutacturing plant is considering choosing betwoen two different processes, named
Alpha and Beta, which can be used to make a component part To make the correct docision, the mariagers would like to compare the labor and multifactor
productivity of process Alpha with that of process Beta The value of process output for Alpha and Beta is $140 per unit of product A and $160 por unit of product B,
and the corresponding overhead costs tor Alpha and Beta are $3,000 and S8,000, respoctively
Process Alpha
Process Beta
Product
Output (units)
Labor (S)
Materials (5)
B.
A
80
40
70
60
$2,000
$2,500
$1,200 $1,400 $1,000
$1,400 $3,500 $1,500
a. Which process, Alpha or Beta, is more productive?
Process Beta hass higher labor productivity Process
has % highor multifactor productivity (Enter your responses rounded to the nearest whole
number)
Chapter 1 Solutions
Operations Management: Processes and Supply Chains (12th Edition) (What's New in Operations Management)
Ch. 1 - Prob. 2DQCh. 1 - A local hospital declares that it is committed to...Ch. 1 - Prob. 4DQCh. 1 - Prob. 5DQCh. 1 - Although all nine of the competitive priorities...Ch. 1 - Choosing which processes are core to a firm’s...Ch. 1 - Prob. 8DQCh. 1 - Prob. 10DQCh. 1 - Prob. 11DQCh. 1 - (Refer to Solved Problem 1.) Coach Bjourn Toulouse...
Ch. 1 - Prob. 2PCh. 1 - Prob. 3PCh. 1 - Prob. 4PCh. 1 - Prob. 5PCh. 1 - The Big Black Bird Company (BBBC) has a large...Ch. 1 - Prob. 7PCh. 1 - Prob. 8PCh. 1 - The Morning Brew Coffee Shop sells Regular,...Ch. 1 - Prob. 1AMECh. 1 - Prob. 2AMECh. 1 - If an employee is hired, what will be the weekly...Ch. 1 - Suppose that, during the summer, the company works...Ch. 1 - Prob. 1VCCh. 1 - Prob. 2VCCh. 1 - Prob. 3VCCh. 1 - Prob. 1CCh. 1 - Prob. 2CCh. 1 - Prob. 3CCh. 1 - Prob. 4C
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