Merrifield post office | Operations Management homework help

Considering the number of pieces processed per hour as its output, Merrifield Post Office is evaluating the productivity of its mail processing centers. The centers differ in the degree of automation, the type of work that can be performed, and the skill of the workers. 
Center 1 2 3
Pieces processed per hour 1,000 2,000 3,000
Number of workers per hour 10 5 2
Hourly wage rate $5.50 $10.00 $12.00
Overhead rate per hour $10.00 $25.00 $50.00
a) Calculate the multifactor productivity for each center.
b) Workers in Center 2 are scheduled to receive a 10% pay raise next month. What will be the change in the multifactor productivity rate? Also, what is the percentage change in the multifactor productivity performance?
c) A new processing machine is available for Center 1 that would increase the output to 1,500 pieces an hour at an additional overhead rate of $30.00 an hour. Merrifield will only install the new processing machine if it increases the multifactor productivity of Center 1 by at least 2.5%. Should Merrifield install the new processing machine? Justify your answer. Also, what is the percentage change in the multifactor productivity performance? 

Place your order
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more