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    Calculating the productivity ratio in the given case

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    Chuck Sox makes wooden boxes in which to ship motorcycles. Chuck and his three employees invest a total of 40 hours per day making the 120 boxes.

    a) What is their productivity?
    b) Chuck and his employees have discussed redesigning the process to improve efficiency. If they can increase the rate to 125 per day, what will be their new productivity?
    c) What will be their unit increase in productivity per hour?
    d) What will be their percentage change in productivity?

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    Solution Preview

    a) What is their productivity?
    Productivity =Total output /Total input time=120/40=3 boxes/hour

    b) Chuck and his employees have discussed ...

    Solution Summary

    Solution depicts the steps to estimate the productivity ratios in the given case.