Compute labor productivity change, Operation Management

Eric Johnson makes billiard balls in his New England plant. With recent increases in his costs, he has a newfound interest in efficiency. Eric 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% incease in productivity. He has the following data representing a month from last year and quivalent month this year-

Last Year Now

Units Produced 1,200 1,200
Labor (hours) 300 260
Resin (pounds) 50 45
Capital Invested ($) 10,000 12,500
Energy (BTU) 3,000 2,500

The productivity change for each of the inputs (Labor, Resin, Capital, and Energy) is

a) Labor Productivity Change = _____%

b) Resin Productivity Change = _____%

c) Capital Invested Productivity Change = ______%

d) Energy productivity change = ______%

Posted Date: 2/14/2014 11:14:00 PM | Location : United States







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