Unformatted text preview: 80 carts per hour. Workers receive $10 per hour, and machine cost was $40 per hour. With the new equipment, it was possible to transfer one of the workers to another department, and equipment cost increased by $10 per hour while output increased by four carts per hour. 1. Compute labor productivity under each system. Use carts per worker per hour as the measure of labor productivity. 2. Compute the multifactor productivity under each system. Use carts per dollar cost (labor plus equipment) as the measure. 3. Comment on the changes in productivity according to the two measures, and on which one you believe is the more pertinent for this situation. Tutorial 2 Week 2 (08/10/2011 - 13/10/2011) Subject Competitiveness, Strategy and productivity...
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- Spring '11
- Management, Operations Management Department, new equipment, multifactor productivity measure, Compute labor productivity, German University in Cairo, Faculty of Management Technology