EBK OPERATIONS MANAGEMENT
EBK OPERATIONS MANAGEMENT
14th Edition
ISBN: 9781260718447
Author: Stevenson
Publisher: MCG COURSE
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Chapter 2, Problem 1P

a)

Summary Introduction

To explain: The event with higher labor productivity.

Introduction: Competitiveness, strategy making and productivity are three crucial aspects for a firm to withstand and succeed in present competitive business environment. These elements are interrelated which must be handled efficiently in order to attain competitive edge.

b)

Summary Introduction

To determine: The reasons for difference in productivity.

Introduction: Competitiveness, strategy making and productivity are three crucial aspects for a firm to withstand and succeed in present competitive business environment. These elements are interrelated which must be handled efficiently in order to attain competitive edge.

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A catering company prepared and served 300 meals at an anniversary celebration last week usingeight workers. The week before, six workers prepared and served 240 meals at a wedding reception.a. For which event was the labor productivity higher? Explain.b. What are some possible reasons for the productivity differences?
a) 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?
The following data was recorded last period for production department that under the management of Mr. Cobblepot.  Budgeted labour hours  = 2,700 hoursNumber of units of product X manufactured = 350 unitsNumber of units of product Y manufactured = 400 unitsStandard hours to produce one unit of X = 3 hoursStandard hours to produce one unit of Y = 4 hoursActual labour hours worked = 3,110 hours   In order to measure the productivity of a labour , calculate the efficiency ratio ? show solution
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