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Green Manufacturing is a traditional manufacturing company located in the midwestern United States. The company's operations manager is developing a strategy to become more CSR-oriented.

Green Manufacturing is a traditional manufacturing company located in the midwestern United States. The company's operations manager is developing a strategy to become more CSR-oriented. In an effort to evaluate possible areas where CSR initiatives can be implemented, the manager has gathered the following data regarding three potential CSR activities:

Initial Added Cost Variable Cost Variable Savings
Recycle and reuse production materials $ 5,000 $0.10 per lb. of recycled material $0.15 per lb. of recycled material
Add solar panels as a source of power 700,000 $ 1,000 per year $ 33,000 per year
Replace assembly room light fixtures with natural light 120,000 $ 180 per month $ 220 per month

The recycling activity would carry on indefinitely. The solar panels would have a useful life of 30 years. The replacement of assembly room light fixtures with natural light is assumed to have an 80-year effect.

a. Identify which CSR activities Green Manufacturing should implement.

b. For each CSR activity you recommend, identify an appropriate related performance metric

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