The input and output data for an industry given in the table. Find out various productivity measures like total, multifactor and partial measure.

2 weeks ago

The input and output data for an industry given in the table. Find out various productivity measures like total, multifactor and partial measure.

Output and Input production data in dollar ($)

 

Output

 

  1. Finished units 10,000
  2. Work in progress 2,500
  3. Dividends 1,000
  4. Bonds -------
  5. Other income --------

 

Input

1. Human

 

3,000

2. Material

153

3. Capital

10,000

4.    Energy

540

5. Other Expenses

1,500

Solution:

Total measure =     Total Output 

 

= 13,500   = 0.89

Total Input

15,193

Multi factor measure = Total Output = 13,500 = 4.28

Human+Material    3,153

Multi factor measure = Finished units   = 10,000 = 3.17

Human+Material       3,153 Partial Measure1 = Total Output = 13,500 = 25

Energy                   540

Partial Measure2=    Finished units = 10,000 = 18.52

Energy               540

 

Note: For multifactor and partial measures it is not necessary to use total output as numerator. Often, it is describe to create measures that represent productivity as it relates to some particular output of interest.

 

Other fields for the measurement of partial measures of productivity are:

 

Business                                                                Productivity Measure

Restaurant                                                          Customers (Meals) per labour hour

Retail Store                                                        Sales per square foot

Utility plant                                                       Kilowatts per ton of coal

Paper mill                                                          Tons of paper per cord of wood

Bench Partner
Oct 5, 2021

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