Incorrecto /1 ptos Pregunta 2 Mohan\'s Machinery is reviewing its pump productio

Question

Incorrecto /1 ptos Pregunta 2 Mohan's Machinery is reviewing its pump production line. They gathered data for the years 2014 and 2015. In 2015, Mohan's Machinery initiated a Lean Six Sigma program and hoped that it would produce significant savings. Data on the use of labor hours, machine hours, materials, and energy for the production of the pumps during the two years are provided in the table below. 2014 2015 Labor hours 3,000 3,950 Machinery Use hours 1,200 1,425 Material Use 1,500 1,780 Energy Use (BTUs) 60,000 175,000 Units Produced 20,000 27,000 They computed the amount of resources required to produce one unit in both 2014 and 2015 What was the percent change for labor productivity between the two years? [a]% (2 decimals) 0.03

Explanation / Answer

Labor productivity = Units produced/Labor hours

For 2014 = 20000/3000 = 6.67 units per hour

For 2015 = 27000/3950 = 6.84 units per hour

% change = (6.84-6.67)/6.67*100 = 2.55%

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