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Exercise 1

Now Previous Week


Unit Units 228 165
Working time hours 60 50
Productivity Unit/hours 3,8 3,3

Previous worker productivity was lower than current productivity.


Increasing 20% of working hours resulted in a 38% increase in
Analysis production.

But you should check the cost of increasing the working time (is it worth it
to the 50% increase in productivy or not)

Exercise 2
Condition 1 Condition 2
Worker 3 3
Output (loans/day) 5 8
Payroll in Total (dolars) 820 820
Payroll/person (dolars) 273.3 273.3
Overhead Expense (dollars) 500 550 10.00%

Labor Productivity (loans/dolar) 0.018 0.029 60.00%


Labor Productivity (loans/worker 5 8 60.00%
Labor Productivity (loans/hours) 0.625 1 60.00%
Multifactor Productivity (loans/do 0.011 0.018 54.16%

Analysis

The bank should proceed to purchase of the new software because adding a new
software will increase the productivy and multifactor productivity to around 60%, just
by increase the overhead expense to 10%

Exercise 4
Output (Carts/hr) 80
Workers Numbers 5
Fee/hr in $ 10
Machine Cost/hr in $ 40

A
Labor Productivity for each system
carts/worker/hr before 16
carts/worker/hr after 21
Analysis

The Labor Productivity for the production is the number of


output(carts/hr) divided by Worker/Labor Number which is
80 carts/hr / 5 workers = 16 carts/hr for each worker (=>
output/workers)
B
Multifactor productivity under each system
Production System Services Cost Output
1 5 Workers 90 80
2 5 Workers +1 New Equipment 90 80
3 4 Workers +1 New Equipment 90 84

C
The Production System 3 is more pertinent productivity
Growth Productivity Increase 0.3125 31.25
Multifactor Productivity (inc. mac 0.045 4.49

Exercise 3
Last Year Now Delta (%)
Unit produced 1000 1000 0
Labor (hours) 300 275 -9%
Resin (pounds) 50 45 -11%
Capital Invested ($) 10000 11000 9%
Energy (BTU) 3000 2850 -5%

Last Year Now


Labor Productivity unit/hours 3.33 3.64
Resin Productivity unit/pounds 20.00 22.22
Capital Productivity unit/$ 0.10 0.09
Energy Productivity Unit/BTU 0.33 0.35

Analysis
Delta (%)
38%
20%

n current productivity.
n a 38% increase in

the working time (is it worth it


Productivity
0,89
0,9
0,93

Future ( 3% Increase)
0.00
0.00
0.00
0.00

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