Question

1. Perform a multi-factor analysis for each week using both input factors together (labor & materials)
2. Perform a single factor productivity analysis for each week using each of the two inputs separately (labor & materials)

DATA:		Input
Week	Output	Labor Amt	Matls #
1	96	4	60.0
2	72	3	50.0
3	92	4	100.0
4	50	2	40.0
5	69	3	60.0
6	52	2	50.0
Materials =	$50.00	per pound (#)
Labor =	8	hours/day @		5	days/wk	@	$25	per hour
Overhead =	$1.50	per labor hour

Answer 1

We have ,

Multifactor productivity for each week=Output/Total cost of inputs

=Output/(Labor cost+Material cost+ overhead cost)

Labor cost of a week =no of workers in a week * 40* 25

Material cost of a week=Material *50

Overhead cost =no of workers in a week * 40* 1.50

Single factory productivity :

Labor productivity =Total output /Total labor hours

Labor productivity of week 1=F3/(D3*40)=0.60 units per labor hour

Similarly for rest of the weeks.

Material productivity =Total output /Total material

Material productivity of week 1=F3/E3=1.60 units per pound of material.

Similarly for rest of the weeks.