Assignment 1

1) Productivity
a) To calculate productivity, we have to divide the total output by the total input.
Productivity= Total output/ Total Input

As mentioned in Question,
Total output of Mr. Zelinski and his 3 employes = 120 Boxes/day
Total Input = 40 hours/day
Productivity= 120 boxes/40 Hours
= 3 Boxes per hour.
b) Tomas and his team want to increase their output per day from 120 to 125 with same
time period, then new productivity will be:
Productivity= New output/ Total input
= 125 Boxes/ 40 Hours
= 3.125 Boxes/ Hour.
c) To find unit increase we need to subtract new productivity from original productivity.
Unit Increase in Productivity per Hour = New productivity - Original productivity
= 3.125-3 (boxes per hour)
= 0.125 boxes per hour.
d) Percentage Change in Productivity
% change in productivity = Unit increase in productivity/ Original productivity *100
= 0.125/3*100
= 4.17% approx.
2) Labour Hours

According to the question, we are calculating the monthly production first. For calculating
monthly production, we need to divide yearly production (120,000) by number of months in a
year (12).
Monthly production = 120,000/12
= 10,000 paperweights/ month.

Heading to the second step, we are calculating the numbers of paperweight produced by each
craft person.
Paperweight per month per person = labour productivity* Labour hours per month
Labour Productivity = 2.5 paperweight per hour
Labour Hours per month = 140/month.
Hence: 2.5*140= 350 paperweight per month per each craft person

At last, we are dividing monthly production of paperweight (10000) by number of paperweight

per month per person (350) to find the number of craftsperson.
=10,000/350
=28.57
=29 craftsperson are employed at the workshop.
3) Multifactor Productivity

a) Labour productivity/ labour hour= Number of seats produced/ labour hour

= 100/40
=2.5seats.

b) Multifactor productivity= Total output/ Total Input

Total output= 100
Total input= 600+20+200+500
= 1320
Hence, multifactor productivity= 100/1320
=0.0758 seats/dollar.
c) New total output= 1320-150
=1170
New productivity= 100/1170
= 0.0855 seats/dollar.
Percentage increase in multifactor productivity= difference of productivity/ Original
productivity*100
=0.0097/0.0758*100
=12.79% approx.

4) a) Process Focus strategy: The process focus strategy is when a company decides to specialize
and become really good at one thing instead of trying to do everything. They focus on improving
a specific process like making products, serving customers, or handling logistics. By getting really
good at that one thing, they can do it faster, better, and cheaper than their competitors. This
helps them stand out and be more successful in their chosen area.
b) Repetitive Focus Strategy: The repetitive focus strategy is when a company chooses to make
only a few types of products or offer a few specific services, but they make a lot of them. They
do this to become really good at making those few things quickly and at a low cost. By doing the
same thing over and over again, they become really efficient and save money. This helps them
compete with other companies by offering their products or services at lower prices.
c) Product Focus Strategy: The product focus strategy is when a company focuses on making
really great products instead of making a lot of different ones. They put a lot of effort into
designing, making, and promoting a specific product or a small group of products. They want
their products to be the best and stand out from the competition. They invest in research and
development to come up with new and innovative features, and they listen to what customers
want. By focusing on making exceptional products, they attract customers who appreciate the
quality and uniqueness of what they offer.
d) Mass customization Strategy: Mass customization strategy is when a company makes a lot of
products, but each one can be personalized to fit individual customers' preferences. They use
efficient production methods to make many items at once, but they also give customers choices
to customize their purchases. This way, customers can get products that are unique to them
while the company still benefits from making things in large quantities. It's like getting the best
of both worlds - personalized products without sacrificing efficiency.
B) Example of Strategies:
a) Process Focus Strategy: A process-focused telecommunications company focuses on
delivering fast and effective customer service by using organized systems and knowledgeable
staff. Similarly, a manufacturing company using a process focus strategy concentrates on making
products efficiently by reducing waste and improving their production methods.
b) Process Repetitive Strategy: A fast-food chain that uses a process repetitive strategy focuses
on making a few popular food items quickly and consistently. Similarly, a clothing store that
follows this strategy specializes in producing a specific type of clothing, like basic t-shirts, using
efficient and standardized methods.
c) Product Focus Strategy: An example of a product focus strategy is a company that specializes
in making and selling high-quality bicycles. They put all their efforts into designing,
manufacturing, and marketing exceptional bicycles, focusing on being the best in that specific
product category.
d) Mass Customization strategy: An example of mass customization strategy is a company that
offers phone cases that can be personalized by customers. They provide various design options,
such as colors and patterns, allowing customers to create a unique case that reflects their
individual preferences.

Process Chart    
Charted: Sign molding Date:
Charted by: Naomi  
Dist (M) Time (Min) Activity Description
     S  Molds on rack
 3  2 T  Move racks to molding station
  5  O   The molds are prepared to use
 Bring the resin, hardener, dying to mixing
6   0.5  T table after going to chemical cabinet
   10  O  The mixes are died to make colour
 The bucket is filled with resin and left to
   7  O harden and mixed eventually
   8  O  Pour the color dye with pail and mixes
 4  0.05  T  Tot the molding station
   2  O  The color risen are pour into mold
   17  S  Cures harden
   1  O  Takes harden sign out of mold
   0.5  I  To ensure inspect and sign
 4  0.1  T  Takes the product to finish area
   3  O  Sand the base of product
   2.5  O  Labels product for shipping
       
       
       
O = Operation, T = Transit, I = Inspect, D = Delay, S = Storage
   
Value added time =operational time
= 5+10+7+8+2+1+3+2.5
=38.5
Hence the value-added time is 38.5 minutes

c. in terms of operation efficiency, higher value-added time is preferred since it demonstrates a

significant portion of the total process time is allocated to value adding activities. This indicates
that the process is successful and efficient since it focuses on tepa that produce the end good
directly. A smaller value-added time on the other hand shows that a sizeable portion of total
process time is consumed by unproductive or non-value adding processes. This good entails
waiting, moving, making delays or re doing work.