The operations manager from Q4 creates an 8 hour shift with a 30 minute lunch an

Question

The operations manager from Q4 creates an 8 hour shift with a 30 minute lunch and two 10 minute breaks, one in the morning and one in the afternoon. With personal bathroom and other breaks such as stretching, the manager feels the workers actually put in 7 hours of productive time in the shift. The manager uses 3 workers to switch the connectors. After each shift each worker on average produces 58 sets of 20 connectors. Calculate the utilization, efficiency, and productivity. Will the owner be satisfied?

Explanation / Answer

Actual Hours 8 Attended Hours 7.1 Charged Hours 7 Productivity = (Charged Hours / Actual Hours) x 100 = 7/8 * 100 = 87.5% Efficiency = (Charged Hours / Attended Hours) x 100 = 7/7.1 * 100 = 98.59% Utilization = (Attended Hours / Actual Hours) x 100 = 7.1/8 * 100% = 88.75%

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