Productivity
PRODUCTION MANAGEMENT
1. Chuck Sox makes wooden boxes in which to ship motorcycles. Chuck and his three employees invest a total of 40 hours per day making the 120 boxes.
a. What is their productivity?
b. Chuck and his employees have discussed redesigning the pro-cess 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?
2. Carbondale Casting produces cast bronze valves on a 10- person assembly line. On a recent day, 160 valves were produced during an 8- hour shift.
a) Calculate the labor productivity of the line.
b) John Goodale, the manager at Carbondale, changed the layout and was able to increase production to 180 units per 8- hour shift. What is the new labor productivity per labor- hour?
c) What is the percentage of productivity increase?
3. This year, Donnelly, Inc., will produce 57,600 hot water heaters at its plant in Delaware, in order to meet expected global demand. To accomplish this, each laborer at the plant will work 160 hours per month. If the labor productivity at the plant is 0.15 hot water heaters per labor- hour, how many laborers are employed at the plant?