a. 33.333 Labels per minute
b. 42.5 Labels per minute. The second worker is more productive. He can create 42.5 labels per minute where the first one can only create 33.3 labels a minute.
2. Howard Plastics produces plastic containers for use in the food packaging industry. Last year its average monthly production included 20,000 containers produced using one shift five days a week with an eight-hour-a-day operation. Of the items produced 15 percent were deemed defective. Recently, Howard Plastics has implemented new production methods and a new quality improvement program. Its monthly production has increased to 25,000 containers with 9 percent defective.
(a) Compute productivity ratios for the old and new production system.
a. 8*5 = 40 20,000 – 3000 = 17000/160 = 106.25 good parts per hour
b. 25,000 – 2250 = 22,750/160 = 142.1875 good parts per hour
c. (22750-17000)/ 17000 = 34% increase
(b) Compare the changes in productivity between the two production systems.
a. The machine that produced 25,000 containers is better and is more efficient.
Operations management is an area of management concerned with overseeing, designing, and controlling the process of production and redesigning business operations in the production of goods or services. My boss is the CTO, he makes decisions and lines up items for all of IT to complete. He creates a strategy for us to succeed, to optimize output given out set of requirements. Being able to maximize output saves the company money, and keeps users happy removing bugs and adding new features.