Discussion Questions 2, 3 & 5;
Last week a painter painted four houses in six days. This week she painted three houses in five days. In which week was the painter more productive?
A company that makes coffee tables wants to compare productivity at two of its facilities. At facility #1, five workers produced 200 chairs. At facility #2, four workers produced 190 chairs during the same time period. Which facility was more productive?
Medlabs is a facility that provides laboratory tests and evaluations for patients, ranging from analyzing blood samples to performing magnetic resonance imaging (MRI). Average cost to patients is $70 per patient. Labor costs average $15 per patient, materials costs are $25 per patient, and overhead costs are averaged at $20 per patient.
- What is the multifactor productivity ratio for Medlabs? What does your finding mean?
- If the average lab worker spends three hours for each patient, what is the labor productivity ratio?
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