What is the percentage change in the labor partial productivity measure for SunPath

Productivity is a catch-all term describing the amounts of work done in an organization, whether by employees, work groups, departments or the company as a whole. Depending on the job or industry, various work units measure productivity. For example, a sales department may measure sales visits per week, a hotel housekeeper may be ranked on rooms cleaned per shift and a manufacturing business may look at output compared with the labor hours required to produce that output.

Basic Productivity Calculation

The base concept for any productivity measure compares output to input. As a formula, it looks like this:

Productivity = output divided by input

The result generally compares units of work per units of time. These units change, based on factors such as industry or department, and individual businesses may analyze their productivity differently than others in the same sector. Productivity may even be calculated on sections within processes, such as the operations a machine can perform in a given time. In this example, productivity becomes a measure of throughput.

The Limits of Productivity Measurements

Productivity is a measure of quantity, so it serves only as a starting point for analysis. Considering the examples above, the sales department may have a high call volume but low purchase response; the housekeeper could increase her room count while complaints from arriving guests climb; the manufacturer may see both record output and record waste, reducing the number of pieces it can sell. Effective measures of efficiency require adjustment to the gross output amount or an output unit that factors out poor quality or wasted effort.

Common Outputs and Inputs

Because key productivity measures vary widely across enterprises, outputs and inputs change as needed to pinpoint the key analytics. Outputs may include sales amounts, units produced or activities performed, while typical inputs are often time-based, usually labor hours.

Calculating Productivity Percentage Change 

Comparative analysis of productivity requires a consistent calculation of productivity gathered for two or more periods. For example, consider a manufacturing plant that produces 50 units of a product per shift on Monday, using 10 employees, each working eight hours. Productivity can be expressed the following ways:

  • 50 units per shift
  • 50 units per 80 man-hours 
  • 5 units per employee
  • 0.625 units per man-hour.

On Tuesday, the same workers produce 55 units in the same time frame. Productivity changes to:

  • 55 units per shift
  • 55 units per 80 man-hours
  • 5.5 units per employee
  • 0.6875 units per man-hour.

Calculating the productivity percentage uses the formula:

Period 2 Result ÷ Period 1 Result x 100

In this example, any of the productivity numbers from Tuesday divided by the same number from Monday, and multiplied by 100, gives the value of 110 percent, so Tuesday was 10 percent more productive than Monday. This analytical process can be compared between any two periods, such as the previous period or the same period the previous year. As long as the productivity values are derived the same way, the productivity percentage change is a valid calculation.

Video Transcript

Hello. Let's find the energy partial productivity In 2019 and 2000 12. So energy Productivity in 2019 it was. We divide sales over energy or input of energy which is 10. It's 30 the same for 2020 would be equal to sale's over and then drink which is nine. Let me write clear. It's nine. It will be 36 point 67. And now we need to find what is the percentage change in the energy personal productivity. So 36 point 67 minus 30 over 30. It's 22 point 22 percent. So we have an increase in productivity. My 22 0.22 percent. This is the answer to our question. Okay, thank you very much for your attention.

Which of the competitive dimension is the capability to change the scope of product that firms can product

flexibility and new product introduction

The Goods-Services continuum consists of which set of the following categories?

Pure goods, core goods, core services, pure service

Which of the following is defined as core goods?

What is the term to achieve high volume production using minimal inventories of parts

Which of the following is not a major strategic operational competitive dimension that forms a company's competitive position?

Which of the following is partial measure of productivity?

Which of the following is a total measure of productivity?

If all you knew about a production system was the total daily output was 400 units and the total labor necessary to produce the 400 units was 350 hours, what kind of productivity measure could you use to compute productivity?

The total output from a production system in one day is 500 units and the total labor necessary to produce the 500 units is 250 hours. Using the appropriate productivity measure, which of the following numbers represents the resulting productivity ratio?

Various financial data for SunPath Manufacturing for 2012 and 2013 are as follows:

What is the percentage change in SunPath's total productivity measure between 2012 and 2013?

Which of the following is the production ramp up phase?

product is made using the intended production system

Which of the following is not an example of process-intensive products?

Which of the following is not a typical phases of product development?

Semiconductors are produced in a continuous process at a high volume rather than a discrete process. What type of product is this?

process-intensive product

A project starts out as a statement of work. What is a work breakdown structure?

A definition of hierarchy of project tasks, subtasks, and work packages.

A series of projects that are organized in such a way that each project utilizes people from different functional areas is using which of the following organizational structures

You are looking at a chart that the terms BCWS, BCWP, and AC indicating lines on the chart. What kind of chart is this?

You have just performed CPM analysis and have found that more than one path through the project network has zero slack values. What can you conclude?

More that one path is optimal

the number of cars that can be produced in manufacturing

In capacity flexibility, what flexibility is related to economies of scope?

Which of the following models uses schematic model sequence of steps in a problem and the conditions and consequences of each step?

Compared with a service operation, a manufacturing operations capacity is which of the following?

More capable of reacting to demand fluctuations

What is an important difference between capacity planning in services and capacity planning in manufacturing operations?

You have just timed a person doing a job a few times. The first time it took the person 25 minutes, the second time it took 20 minutes, and the third time it took the person 17.55 minutes. Which learning curve unit improvement factor should you use?

Which of the following is not considered a major work flow structure?

Using the assembly-line balancing procedure, which of the following is the theoretical minimum number of workstations if the task times for the six tasks that make up the job are 4,6,7,2,6, and 5 minutes, and the cycle time is 10 minutes?

Sensitivity analysis of the base case financial model is

all of the above are correct

The sequence to develop a house of quality is

customer requirements

importance to customer

competitive evaluation

technical characteristices

correlation

relations between

techincal evaluation

importance weigh

seeing the value in the end product

seeing the value in the design stage

all of the above are correct

Which of the following models uses a schematic model of the sequence of steps in a problem and the conditions and consequences of each step?

Compared with a service operation, a manufacturing operations capacity is which of the following?

demand can be smoothed by inventory policies

What is an important difference between capacity planning in services as contrasted to capacity planning in manufacturing operations?

Which of the following computational methods are used to calculate learning curve statistics?

The first and second timings of a person doing a job are 20 minutes and 18 minutes respectively, what is the learning-adjusted time estimate for unit number 40?

A company can product a small lot of products the first time at a cost of $15,000. If their 60% learning curve allows them to reduce their costs on each lot, what is the total cost of producing 10 lots?

What is the percentage change in the labor partial productivity measure for SunPath between 2015 and 2016?

The labor partial productivity measure for 2015 is $300,000 divided by $40,000 or 7.5. For 2016 it is $330,000 divided by $43,000 or 7.67. The percentage change between 2015 and 2016, then, is (7.67 - 7.5)/7.5 or 0.17 divided by 7.5 = 2.33%. Various financial data for SunPath Manufacturing for 2015 and 2016 follow.

Which of the following is a partial measure of productivity?

A partial productivity measure relates output to a single input; examples include labour productivity (output per hour worked), capital productivity (output per unit of capital), and energy productivity (output per joule of energy used).

Which of the following is the total measure of productivity?

The Solow residual, which is usually referred to as total factor productivity, measures the portion of an economy's output growth that cannot be attributed to the accumulation of capital and labor.

What is meant by the term operations effectiveness?

Overall operations effectiveness (OOE) is a maintenance metric used to measure the availability of general production lines, from beginning to end. This includes planned maintenance for machines, even though machines are not productive during maintenance times.