Operations and Productivity

.If a plant has an effective capacity of 6,500 and an efficiency of 88%, what is the actual (planned) output?

 

.Material delays have routinely limited production of household sinks to 400 units per day. If the plant efficiency if 80%, what is the effective capacity?

 

.John Lucy makes wooden boxes in which to ship motorcycles. John and his three employees invest a total of 40 hours per day making the 120 boxes.

 

a) What is their productivity?

b) John and his employees have discussed redesigning the process 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?

 

.Kleen Karpet cleaned 65 rugs in October, consuming the following resources:

Labor:                                      520 hours at $13 per hour

Solvent:                                   100 gallons at $5 per gallon

 

Machine rental:                      20 days at $50 per day

 

a) What is the labor productivity per dollar?

 

b) What is the multifactor productivity?