A company offers identity-theft protection. It obtains client leads from banks. Three employees work 40 hours a

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A company offers identity-theft protection. It obtains client leads from banks. Three employees work 40 hours a week on the leads, at a pay rate of $25 per hour per employee. Each employee identifies an average of 3,000 potential leads a week from a list of 5,000. An average of 4 percent actually sign up for the service, paying a one-time fee of $70. Material costs are $1,000 per week, and overhead costs are $9,000 per week. Calculate the multi-factor productivity for this operation in fees generated per dollar of input.

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Operations Management

ISBN: 9781259270154

6th Canadian Edition

Authors: William J Stevenson, Mehran Hojati, James Cao

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