1.Susan has a part-time business producing seasonal plywood yard ornaments for resale at local craft fairs and bazaars. She currently works 8 hours per day to produce 16 ornaments.
What is her productivity?
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She thinks that by redesigning the ornaments and switching from use of a wood glue to a hot-glue gun she can increase her total production to 20 ornaments per day. What is her new productivity?
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(round to one decimal place)
What is her percentage increase in productivity?
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%.
2.Carbondale Casting produces cast bronze valves on a 8-person assembly line. On a recent day, 150 valves were produced during an 8-hour shift.
Calculate the labor productivity of the line.
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John Goodale, the manager at Carbondale, changed the layout and was able to increase production to 200 units per 8-hour shift. What is the new labor productivity per labor-hour?
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What is the percentage of productivity increase?
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%
3. Charles Lackey operates a bakery in Idaho Falls, Idaho. Because of its excellent product and excellent location, demand has increased by 25% in the last year. On far too many occasions, customers have not been able to purchase the bread of their choice. Because of the size of the store, no new ovens can be added. At a staff meeting, one employee suggested ways to load the ovens differently so that more loaves of bread can be baked at one time. This new process will require that the ovens be loaded by hand, requiring additional manpower. This is the only thing to be changed. The bakery currently makes 1,800 loaves per month. The pay will be $8 per hour for employees and each employee works 160 hours per month. Charles Lackey can also improve the yield by purchasing a new blender. The new blender will mean an increase in his investment. This new blender will mean an increase in his costs of $150 per month, but he will achieve the same new output (an increase to 2,250.00) as the change in labor hours.
a. Current productivity for 640 work hours loaves/dollar =
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b. If Charles chooses to increase the number of work hours to 790 in order to employ the new oven loading technique, then the productivity is
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loaves/dollar