Question: You are the project manager at a major contract assembly facility. A new client approaches you with an order to assemble 2 5 units of

You are the project manager at a major contract assembly facility. A new client approaches you with an order to assemble
2
5
units of their product. They estimate that the time to assemble one unit is roughly
1
5
hours and agree to compensate you based on that. You want to impress your superior, but you are cautious about taking on a project that could result in losses or reflect poorly on your performance. The client informs you that the first unit took
2
8
hours, and the second one took
2
1
hours.
a
)
What is the learning rate for this task? How many hours do you estimate the third unit will take? What is your expected time for assembling the
2
5
th unit? What is the percentage improvement in productivity from the first to the
2
5
th unit?
b
)
How many total hours will be required to assemble all
2
5
units? What is the average time per unit for the entire batch? Based on these calculations, should you accept the project? Explain your reasoning.

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