Question
Nike in one of its operation has recently noted increase in costs and therefore have been aiming towards improving efficiency. The operation manager Cedric Masuku
Nike in one of its operation has recently noted increase in costs and therefore have been aiming towards improving efficiency. The operation manager Cedric Masuku is interested in determining the productivity of his organization and would like to know if his organisation is maintaining the manufacturing average of 3% increase in single and multi-factor productivity. Compile a report highlighting if this is being achieved, use the the relevant calculations. He has the following data representing a month from last year and equivalent month this year
Last | now | |
units produced | 2000 | 2000 |
Labour (Hours | 300 | 275 |
Resin (Kilograms) | 50 | 45 |
Capital invested (rands) | R10000 | R10000 |
Energy (watts) | 3000 | 2850 |
The costs have been determined to be as follows
Labour R10 per hour
Resin R5 per Kilogram
Capital 1% per month of investment
Energy R0.50 per watt
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