The following data were collected by Orion Industries Inc. (Auburn, WA) to compile the monthly productivity report
Question:
The following data were collected by Orion Industries Inc. (Auburn, WA) to compile the monthly productivity report to be presented to its board of directors. By using these data, compute
(a) The partial labor productivity,
(b) Partial machine productivity, and
(c) The multifactor productivity (in units per U.S. dollar) of labor, machine, materials, and energy. The average cost of labor is $20 per hour, and the average cost of machine usage is $15 per hour.
Number of units produced ............................ 150,000
Labor hours used ............................................. 12,000
Machine hours used .......................................... 6,000
Materials cost ................................................. $50,000
Energy cost ..................................................... $18,000
Step by Step Answer:
Operations Management Managing Global Supply Chains
ISBN: 978-1506302935
1st edition
Authors: Ray R. Venkataraman, Jeffrey K. Pinto