Performance metrics

Apples & Oranges Inc. is trying to become more efficient in shipping goods. It is experimenting with two new shipping procedure initiatives aimed at achieving this strategic objective. The company has provided the following data regarding the two procedures after one month of implementation:

	Shipping Procedure A		Shipping Procedure B
Number of shipping errors	119		80
Hours from ordered to shipped	16.3		18.2
Shipping time (hours from shipped to delivered)	6.7		9.5
Pounds of goods shipped	1,260,000		560,000
Number of shipments	350		200

a. Compute the following performance metrics for each program:

(1) Average number of shipping errors per shipment, rounded to two decimal places.

Procedure A: fill in the blank 1 error per shipment

Procedure B: fill in the blank 2 error per shipment

(2) Hours from ordered to delivered, rounded to one decimal place.

Procedure A: fill in the blank 3 hours from ordered to delivered

Procedure B: fill in the blank 4 hours from ordered to delivered

(3) Average pounds of goods per shipment.

Procedure A: fill in the blank 5 lbs. of goods per shipment

Procedure B: fill in the blank 6 lbs. of goods per shipment

b. Which program should the company implement moving forward?

Procedure AProcedure B