...Productivity measurement Productivity is a measure of output from a production process per unit of input. Productivity is a measure of the effective use of resources, usually expressed as the ratio of output to input. Productivity is the value of outputs produced (Goods & Services) divided y the value of input resources. It is the quantitative relationship between what we produced and the resources used. So in shortly we can say: Productivity = In general sense productivity is an economic measure of efficiency that summarizes the value of outputs relative to the value of inputs used to create them. In economic sense, productivity is a measure of production output per unit of production input. This refers, to the ratio of output and input in the production process. Importance of Productivity 1. Productivity is an important device for comparison of performance for various organizations. 2. Productivity increases the rate of low cost per unit and results in lower price. 3. Education, Research and Development, technology are positively correlated to productivity 4. reduction of poverty 5. It helps companies in measuring their strength and weakness. 6. it helps to know the contribution of different input factor used in conversion process 7. it is an indicator of how well the factors the production are utilized 8. it is an indicator of competitive position of an organization 9. it partially determines the peoples standard of living within a particular...
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...SOLUTION TO CASE STUDIES CASE: 1 “NATIONAL AIR EXPRESS” CASE: 2 “MINIT-LUBE, INC.” CHAPTER # 1 “OPERATIONS AND PRDUCTIVITY” CASE STUDY NATIONAL AIR EXPRESS 1. Is the productivity measure of shipments per truck still useful? Are there alternatives that might be effective? Answer: Productivity of company can be measured by the number of stops covered by each driver. This way the amount of services can be measured on every day basis and with the area covered by each driver. So the company can tell how much area has been covered by a driver in one day. This way productivity can be assessed in a measurable way. It can be formulized as: Productivity= NoSDrv Where, NoS = Number of Stops Drv = Driver 2. What if anything, can be done to reduce the daily variability in pickup call-ins? Can the driver be expected to be the several locations at once at five pm? Answer: This can be done by load balancing over the specified time duration. By load balancing I mean that we divide the crowded hours to reduce the pressure on peak time. Usually most of the telecommunication companies offer promotions at the night time when the network is not crowded so people only for important calls can use and benefit from the network and it does not affect the businesses by doing so. Problem shows that most of the calls are around 5 p.m. so the promotional strategy can be applied to reduce the load. 3. How should package pick up performance be measured are standards useful...
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...The Challenge of Productivity Measurement David N. Card Q-Labs, Inc dca@q-labs.com Biography- David N. Card is a fellow of Q-Labs, a subsidiary of Det Norske Veritas. Previous employers include the Software Productivity Consortium, Computer Sciences Corporation, Lockheed Martin, and Litton Bionetics. He spent one year as a Resident Affiliate at the Software Engineering Institute and seven years as a member of the NASA Software Engineering Laboratory research team. Mr. Card is the author of Measuring Software Design Quality (Prentice Hall, 1990), co-author of Practical Software Measurement (Addison Wesley, 2002), and co-editor ISO/IEC Standard 15939: Software Measurement Process (International Organization for Standardization, 2002). Mr. Card also serves as Editor-in-Chief of the Journal of Systems and Software. He is a Senior Member of the American Society for Quality. Abstract - In an era of tight budgets and increased outsourcing, getting a good measure of an organization’s productivity is a persistent management concern. Unfortunately, experience shows that no single productivity measure applies in all situations for all purposes. Instead, organizations must craft productivity measures appropriate to their processes and information needs. This article discusses the key considerations for defining an effective productivity measure. It also explores the relationship between quality and productivity. It does not advocate any specific productivity measure as a general...
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...Productivity One primary responsibility of a manager is to achieve productive use of an organization’s resources. The term productivity is used to describe this. Productivity is an index that measures output (goods and services) relative to the input (labor, materials, energy, and other resources) used to produce it. It is usually expressed as the ratio of output to input. Although productivity is important for all business organizations, it is particularly important for organizations that use a strategy of low cost, because the higher the productivity, the lower the cost of the output. A productivity ratio can be computed for a single operation, a department, an organization, or an entire country. In business organizations, productivity ratios are used for planning workforce requirements, scheduling equipment, financial analysis, and other important tasks. Productivity has important implications for business organizations and for entire nations. In nonprofit organizations, higher productivity means lower costs; for profit-based organizations, productivity is an important factor in determining how competitive a company is. In the case of a nation, the rate of productivity growth is of great importance. Productivity growth is the increase in productivity from one period to the next relative to the productivity in the preceding period. Service productivity is more problematic than manufacturing productivity. In many...
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...Group Assignment Topic: Productivity in Service Sector BRAC University BRAC Business School Spring 2016 Course: Production Operations Management (MSC301) Section: 001 Instructor: Md. Tamzidul Islam Assistant Professor, BRAC Business School Group Members Name ID Tasnia Jebin 12204103 Navid Anjum Khan 13104192 Rifat Shahrukh 13104047 Mohammad Muqtadir Ullah 13104061 Sadia Kamal 12204102 Atik Ilman Hossain 13104205 Date: April 4th, 2016 Question: What is Productivity? How do we measure productivity in a service environment such as restaurant? What are the factors that affect productivity? How does one can improve it? Answer: Introduction Goods and services are the products which have a demand in the market and generate enough revenue to make profit. Goods are tangible products which we can use, consume or otherwise have in our life. For example, cars, batteries, tables and everything which can be easily quantified by units of length, weight, volume. However, services are somewhat different products which are more intangible in nature. These products are usually ones which are rendered by human labor but also have some goods aspect to it. For example, A Hospital has syringes, medicines, MRI machines and lots of other goods. And they also have nurses and doctors who use these goods to give the patients (consumers) satisfaction as a total product package of both goods and services. One useful characterization...
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...Chapter 02 Strategy and Sustainability True / False Questions 1. | An operations and supply chain strategy must be integrated with the organization's corporate strategy. True False | 2. | One of the competitive dimensions that form the competitive position of a company when planning their strategies is cost. True False | 3. | One of the competitive dimensions that form the competitive position of a company when planning their strategies is delivery speed. True False | 4. | One of the competitive dimensions that form the competitive position of a company when planning their strategies is making the best trade-off. True False | 5. | The process when a company seeks to match the benefits of a successful position while maintaining its existing position by adding new features, services, and technologies into its current portfolio is called flexibility. True False | 6. | The process when a company seeks to match the benefits of a successful position while maintaining its existing position by adding new features, services, and technologies into its current portfolio it is called straddling. True False | 7. | By following a straddling strategy, firms can broaden their capabilities and effectively compete with more focused firms in markets requiring low cost for success. True False | 8. | An order winner is a set of criteria that differentiates the products or services of one firm from...
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...Workshop One: Productivity Juan Gonzalez Ana G. Mendez University MANA-340 Professor: Ramon Rondon 07/24/12 Table of Content: 1. Introduction. 2. Productivity definition. 3. How to measure productivity. 4. Labor productivity of employees vs. managerial productivity 5. Conclusion. Introduction: By way of introduction of this subject is to understand how we define productivity, how we measure it according to the efficiency in the making process, and factors which influence to increase it according to that goal that are pursue for its wide application spectrum. The objective of this research is focused on reaching an answer in which can be shown that labor productivity is essential, but productivity management is the key to the productive development of any industry. The concept of productivity is seem as a factor that determine the efficiency of an individual, equipment, industry, system, etc. to convert efforts and participation into useful amount produced. Productivity is measured dividing average of amount produced per period by the total costs of resources like capital, personal, materials and energy implemented in a period of time that determine the cost efficiency. We have to develop strategies that would improve productivity of the employees at the workplace. Some factors influence in the employee productivity which are: Accountability, which mean that each employee is responsible for their actions and decisions that either...
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...Assessment of Productivity At Exotic Design Company Limited Presented by: In partial fulfillment of the course Bsc (Hons) Management University of Mauritius [pic] Faculty of Law and Management Submission date: March 2009 TABLE OF CONTENTS Page Numbers List of Tables v List of Figures vi Acknowledgement viii Declaration Form Dedication Abstract ix List of Abbreviations x Chapter One: Introduction 1.1 Introduction 1 1.2 Company Profile 1 1.3 Background of the Research 3 1.4 Problem Statement 4 1.5 Research Objectives 4 1.6 Research Questions 5 1.7 Aims of the Study 5 1.8 Significance of the Research 5 1.9 Phases of the Dissertation 6 1.10 Conclusion 7 Chapter Two: Literature Review 2.1 Introduction 8 2.2 Concept of Productivity 8 2.2.1 What is Productivity? 9 2.2.2 Importance of Productivity 11 2.2.3 Measurement of Productivity 11 2.3 Productivity Improvement 13 2.3.1 Productivity Improvement Factors 14 2.3.1.1 Internal Factors 15 2.3.1.1.1 Hard Factors 16 2.3.1.1.2 Soft Factors 17 2.4 Factors Affecting...
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...MSA University MGT320 Project Competitiveness & Productivity Company Name: Commercial International Bank ‘CIB’ Presented to: Instructor: Dr. Ghada Aly Assistant: Mohamed Salah Group: ‘A’ By: Amir Menesy ............................................. 094283 Sarah Mazen …......................................... 093081 Sherif Gabriel …......................................... 086119 Abstract Competitiveness and productivity will give any organization a benefit over it’s rivals in the industry. This research aims to show the importance of competitiveness and productivity and how to excel at making the most of them. It also explains the vague terms and ideas within these concepts to give a better understanding of them. New advancements and technologies and their consequences and outcomes, in addition to what industries employ these issues in the most effective and efficient way will be discussed. Labor productivity and its essentials are broken down into detail. Competitive concepts and how to make the best use of competition is very difficult. Introduction Productivity is a measure of output from a production process per unit of input. Productivity is designed for use in economic analysis and public and private policy planning. Production is a process of combining various material inputs and immaterial inputs in order to make something for consumption. The methods of combining the inputs of production...
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...IT Management IT560-01 Unit 1 Assignment Donald Harris Kaplan University Table of Contents Introduction 3 Internet Competition 3 Organizational Strategy 4 Virtual Employee Productivity Measurement 4 Virtual Employee Connection 6 Virtual Employee Telecommunication 6 Cloud Computing 6 Other Considerations 7 References 8 Introduction In becoming the I.T. Manager for ‘The Best Widget, Inc.’, there are multiple aspects of this multinational organization that must be taken into account from a technology standpoint – specifically, the virtual segment of the business. With respect to evaluation of the virtual organization, there are six primary considerations that should be evaluated. These conditions entail the following: Internet Competition, Organizational Strategy, Remote Employee Considerations (Including productivity measurement, infrastructure, and telecommunications), and Cloud Computing. In addition to these core topics, other items must be evaluated prior to implementing a virtual organization. These considerations will also be evaluated below. Internet Competition In leveraging the available power of the internet, today’s businesses can greatly enhance their advantage over the competition, especially ‘The Best Widget, Inc.’. Of particular interest are two areas that can aid ‘The Best Widget, Inc.’ with respect to their competitive advantage. These two areas are those of competition research and advertising. Through internet...
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...MANAGING EFFICIENCY AND PRODUCTIVITY Week 11 Dr Pieris Chourides Productivity • A measure of performance. • Broadly a ratio of output to input, i.e. comparing amount produced (output) with resources used (input) • Materials, machinery, labour, capital, energy --- a combination • What improvements have there been over the last 50 years in – construction productivity – payroll processing – Car servicing – banking • How do we evaluate productivity levels and identify areas for improvement? Managing Productivity • Productivity – An economic measure of efficiency that summarizes the value of outputs relative to the value of the resources used to produce them. Levels of Productivity • The unit of analysis used to calculate or define: – Aggregate productivity—the total level of productivity for a country. – Industry productivity—the total productivity of all the firms in an industry. – Company productivity—the level of productivity of a single company. – Unit productivity—the productivity level of a unit or department. – Individual productivity—the productivity attained by a single person. Forms of Productivity • Total factor productivity–an overall indicator of how well an organization uses all of its resources (i.e., labor, capital, materials, and energy) to create all of its products and services. Outputs Productivity = Inputs Forms of Productivity • Labor productivity–a partial productivity ratio that uses only one...
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...Abstract Information Technology has become a significant component of new capital investment (some estimate put it at 30%) and several economists look to computers as the best hope for a sustainable increase in economic growth rates. Thus the question arises, can computers and the usage of information technology help attain the break-even earlier resulting in more and more profits? Thomas K. Landauer, in his book, The Trouble with Computers (MIT Press, 1995), argues that computers have been unproductive due to poor design and deployment. To support this thesis, Landauer Drwasn on economic data and analysis as reported by other researchers, and offers voluminous anecdotal evidence of computer shortcomings. He then proceeds to offer his own solution to this problem and provides an argument that computers can be improved in ways that would make them more useful, usable and productive. Introduction In India, Information Technology has built up a valuable brand equity over a decade. It is estimated that IT sector in the country has been growing at a rapid rate of over 35% per year. The contribution of IT has not been only limited to Banking, ITES and BPO sector, but also to the ever-growing Manufacturing sector. IT today provides the communication and analytical power to the organization to conduct business and compete at the global level. In the broadest sense, information technology refers to both the hardware and software that are used to store, retrieve, and manipulate information...
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...design, more money and time is spent on assembling and maintaining the products. This in the long run causes the company to lose its financial performance due to the increasing of operating costs, decreased of revenues, reduction or delays in cash flow and increasing of penalties because cost of product can impact the profit margin of a company. With poor quality, it not only causes demand, review and feedback from the client to go down, but it also reduce the productivity among the employee. According from Hughes (2007) Client would pretty much prefer company product with better quality control over the bad ones and in his surveyed, workshop quality affected the attitude of employees and increase their productivity. In the era of business competition, there is an intense flow of competition if company not maintain and improve their quality because lower quality will lead to the bad reputation and dropping market position. Thus, causing company’s competitive position to drop in the long run due to the low productivity of employee and poor quality of management and product. So, heavy loss and failure in business are the ultimate results of a poor quality. Statistic found that highest quality plants had the highest employee’s ratings of job security, management, company performance, cooperation, goals and objective. (Ulrich, Halbrook, Meder, Stuchlik& Thorpe, 1991) 2. Quality was so poor at Otis due to the damaging of poor design, lack...
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...Abstract The purpose of this study is to analyse the argumentative issue between the times spent working in the workplace and their work performance. This study is not specifically mentioned which relevant industry it’s referred to. The initial perception of being in this study is there is a positive correlation between the times spent working in the workplace and the work performance. This study also analyse about the working productivity between the two countries which possess a very distinct working culture - Japan and Malaysia. There are some factors that influence the employee behaviour in the workplace, and this includes the influence from social media and the work-life balance of the respective employees. Apart from that, the factors such as job satisfaction and remuneration, career growth and job satisfaction are chosen as the main motivators for the employees in this study. Background of the Issue Hardworking is being associated as an attribute in which every employer crave in every of their employees. Hardworking in the eyes of the employer means the employee must be willing to do the extra mile on their job - means their working hours being extended beyond their usual. But along this case lies the question underneath. Is the extra hour spent in the workplace increase the work performance of the employee? Or employee can just simply stay around in their workplace for the sake of showing that they are hardworking, whereas they are not doing anything productive...
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...Competitiveness, Strategy, and Productivity McGraw-Hill/Irwin Copyright © 2012 by The McGraw-Hill Companies, Inc. All rights reserved. You should be able to: 1. List the three primary ways that business organizations compete 2. Explain five reasons for the poor competitiveness of some companies 3. Define the term strategy and explain why strategy is important 4. Discuss and compare organization strategy and operations strategy, and explain why it is important to link the two 5. Describe and give examples of time-based strategies 6. Define the term productivity and explain why it is important to organizations and countries 7. Provide some reasons for poor productivity and some ways of improving it Instructor Slides 2-2 Better quality, higher productivity, lower costs, and the ability to respond quickly to customer needs are more important than ever and… the bar is getting higher Instructor Slides 2-3 This chapter focuses on three separate, but related that are vitally important to business organizations Competitiveness Strategy Productivity Instructor Slides 2-4 Competitiveness: How effectively an organization meets the wants and needs of customers relative to others that offer similar goods or services Organizations compete through some combination of their marketing and operations functions • What do customers want? • How can these customer needs best be satisfied? Instructor Slides 2-5 Identifying...
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