Question 1: Serra's Ceramics spent 3 000 MU on a new kiln last year, in the belief that it would cut energy usage 25 % over the old kiln. This kiln is an oven that turns "green ware" into finished pottery. Serra is concerned that the new kiln requires extra labor hours for its operation. Serra wants to check the energy saving of the new oven, and also to look over other measures of their productivity to see if the change really was beneficial.

Serra has the following data to work with: Last Year This Year Production (finished units) 4000 4000 Green ware (pounds) 5000 5000 Labor (hrs) 350 375 Capital (MU) 15000 18000 Energy (kWh) 3000 2600 Were the modifications BENEFICIAL?

Question 2: The Cool-Tech Co. produces various types of fans. In May, the company produced 1728 window fans at a standard price of 40 MU. The Co. has 12 direct labour employees whose compensation (including wages and fringe benefits) amounts to 21 MU/hour.

During May, window fans were produced on 9 working days 9of 8 hours each), and other products were produced on other days.

a. Determine the productivity of the window fans.

b. In June, the CoolTech Co. produced 1 730 fans in 10 working days. What is the percentage in labor productivity of windows from May?

Question 3: Mr. Ilhan DALCI makes billiard balls in his Beyarmudu plant. With a recent increase in taxes, his costs have gone up and he has a newfound interest in efficiency. Mr.Dalci is interested in determining the productivity of his organization. He would like to know if his organization is maintaining the manufacturing average of 3% increase in productivity.

He has the following data representing a month from last year and an equivalent month this year. __________________Last year Now Units produced 1 000 1 000 Labor (hours) 300 275 Resin (kg.s) 50 45 Capital invested (MU) 10 000 11 000 Energy (BTU) 3 000 2 850

Show the productivity change for each category and then determine the IMPROVEMENT for labor- hrs, the typical standard for comparison.

Question 4: Ilhan's, a local bakery, is worried about increased costs - particularly energy. Last year's records can provide a fairly good estimate of the parameters for this year. Ilhan Balci, the owner, does not believe things have changed much, but he did invest an additional 3 000 MU for modifications to the bakery's ovens to make them more energy efficient.

The modifications were supposed to make the ovens at least 15 % more efficient. I.

Balci has asked you, as a brilliant graduate of EMU, to check the energy savings of the new ovens and also look over other measures of the bakery's productivity to see if the modifications were beneficial.

You have the following data to work with: Last Year Now Production (dozen) 1 500 1 500 Labour (hours) 350 325 Capital Investment (MU) 15 000 18 000 Energy (kw-hrs) 3 000 2 750