2CHAPTER 1OPERATIONS ANDPRODUCTIVITY(c) Change in productivity ±0.125 boxes/hour1.2Labor productivity is 160 valves/80 hours±2 valves perhour.1.3There are sundry articles about the growing “service econ-omy;” there are reports on labor-hours used to construct automo-biles (which frm uses less labor than others); there are quarterlyreports on U.S. worker productivity; there are occasional reportson productivity aFFected by technology.1.4Bureau oF Labor Statistics (stats.bls.gov) is probably a goodplace to start as any. Results will vary For each year, but overalldata For the economy will range From .9% to 3% (see Footnote inchapter) and mFg. could be as high as 5% and services between 1and 2%. The data will vary even more For months or quarters. Thedata are Frequently revised, oFten substantially1.5(a)(b)(c)1.6Increase in productivity==662033 0..%133 pkgs26.6 pkgs per hour5=Units producedInput100 pkgs520 pkgs / hourpercentage changeboxes0 125304 166..1.7Last YearThis YearProduction1,0001,000Labor Hr. @ $10$3,000$2,750Resin @ $5250225Capital cost/month100110Energy1,5001,425$4,850$4,5101.8(a)±.0096 rugs per labor $(b)MultiFactor
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