(1) Aztec Furnishings makes hand-crafted furniture for sale in its retail stores
ID: 396210 • Letter: #
Question
(1) Aztec Furnishings makes hand-crafted furniture for sale in its retail stores. The furniture maker has recently installed a new assembly process, including a new sander and polisher. With this new system, production has increased to 1999 pieces of furniture per month from the previous 1116 pieces of furniture per month. The percentage of defective items produced has dropped from 10.8% to 0.5%.
How much did productivity improve? %
How much of the improvement in productivity is due to improvements in quality? %
(2) A company that makes kitchen chairs wants to compare productivity at two of its facilities. At Facility A, 60 workers produced 2520 chairs. At Facility B, 36 workers produced 1510 chairs during the same time period. Which facility was more productive?
Facility A or Facility B
What is the total productivity of the two facilities? chairs/worker
How much higher is the productivity of the more productive facility? %
How much of the improvement in productivity is due to improvements in quality? %
Explanation / Answer
1) previously the number of unflawed items were (89.2/100)*1116
= 995 products
At present the number is (99.5/100)*1999
= 1989 products
Percentage increase in productivity = {( 1989-995)/995}*100
= 100% approximately
2) in facility A 60 workers produce 2520 chairs
1 worker produces 42 chairs
In facility B 36 workers produce 1510 chairs
1 worker produces 41.94 chairs
It can stated that the facility A is more productive but to a very less extent.
The more productive facilities productivity is higher by {( 42-41.94)/41.94}*100
= 0.14%
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