Question: Problem 1 (20 points) Green and Sons Industries is assessing the productivity of their manufacturing facilities located in different cities across the US. The centers

 Problem 1 (20 points) Green and Sons Industries is assessing the

Problem 1 (20 points) Green and Sons Industries is assessing the productivity of their manufacturing facilities located in different cities across the US. The centers vary in respect to the number of units produced, as well as the labor, material, energy, transportation, and overhead costs. Table 1 is the data associated with their labor costs during the evaluation time period. Table 2 provides the aggregate cost data for each location over the last 6 months. Table 3 provides the energy usage and rates for the period per location. During the last 6 months, the finished goods inventory (in millions) for Miami, Los Angeles, Dallas, and Atlanta for the same period were 25, 30, 12.5, and 20 units, respectively. Work-in-process (WIP) inventory (in millions) for each location was 1.8, 3.96, 5.4, and 10.8, respectively, where each unit of WIP is counted as 75% of a finished unit. Given this information, answer the following questions. Table 1 Labor Factors Miami Los Angeles Dallas Atlanta Number workers 10 7 5 4 Hourly rate $20 $32 $18 $15 Average Hours/Week/Worker 35 35 40 40 Table 2 Costs (x 10'] Miami Los Angeles Dallas Atlanta Labor costs 7,000 7,840 3,600 2,400 Material costs 5,250 4,500 3,000 3,750 Overhead costs 1,440 3,600 3,000 600 Transportation costs 275 2,750 2,200 5,500 Table 3 Energy Factors Miami Los Angeles Dallas Atlanta Consumption (kwh) 7475 580 12150 5380 Cost per kwh ($) 0.107 0.207 0.079 0.119 Note 1: Excel may be used to perform the calculations but all answers must be contained in the test document. Note 2: Round each calculation to at least 3 decimal places. What is the labor productivity for each facility (based on dollars)? (4) b) What is the labor productivity for each facility (based on hours)? (4) What is the energy productivity (based on kwh)? (4) d) What is the multifactor productivity (labor, material, overhead, transportation, and energy)? (4) e) Which location would be considered the most productive and why? (4)

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