Question: Need help solving problem 6 Chapter Two Competitiveness, Strategy, and Productivity 3. An operation has a 10 percent scrap rate. As a result, 72 pieces

Need help solving problem 6
Chapter Two Competitiveness, Strategy, and Productivity 3. An operation has a 10 percent scrap rate. As a result, 72 pieces per hour are produced. What is the potential increase in labor productivity that could be achieved by eliminating the scrap? 0. A manager checked production needle and found that a worker produced 160 units while working 40 hours. In the previous week, the same worker produced 138 units while WOENS roured 138 units while working 36 hours. Did the worker's productivity increase, decrease, or remain the same? Explain. 7. The following table shows data on the average number of customers processed euch day. The hourly wage rate is $25, the overhead rate is 1.0 times labor cost, and mate- rial cost is $5 per customer. Customers Unit Employees Processed/Day wo a. Compute the labor productivity and the multifactor productivity for each unit. Use an eight- hour day for multifactor productivity. b. Suppose a new, more standardized procedure is to be introduced that will enable each employee to process one additional customer per day. Compute the expected labor and multifactor produc- tivity rates for each unit. 8. A properly title search firm is contemplating using online software to increase its search productiv- ity. Currently an average of 40 minutes is needed to do a title search. The researcher cost is $2 per minute. Clients are charged a fee of $400. Company A's software would reduce the average search time by 10 minutes, at a cost of $3.50 per search. Company B's software would reduce the average search time by 12 minutes at a cost of $3.60 per search. Which option would have the higher pro- ductivity in terms of revenue per dollar of input? 9. A company offers ID theft protection using leads obtained from client banks. Three emplovees 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 3,000. An average of 4 percent actually sign up for the service, paying a one-time fee of $70. Material costs are $1.000 ner waal and overhead costs are $9,000 per week. Calculate the multifactor productivity for this on fees generated per dollar of inputStep by Step Solution
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