a. Which process, Alpha or Beta, is more productive? Process has% higher labor productivity. Process your responses rounded to the nearest whole number.) has% higher multifactor productivity. (Enter

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter4: Linear Programming Models
Section4.8: Data Envelopment Analysis (dea)
Problem 42P
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Mariah Enterprises makes a variety of consumer electronic products. Its camera manufacturing plant is considering
choosing between two different processes, named Alpha and Beta, which can be used to make a component part. To
make the correct decision, the managers would like to compare the labor and multifactor productivity of process Alpha
with that of process Beta. The value of process output for Alpha and Beta is $130 per unit of product A and $190 per
unit of product B, and the corresponding overhead costs for Alpha and Beta are $8,000 and $7,000, respectively.
Process Alpha
A
B
A
70
30
80
$1,200 $1,400 $1,000
$3,500 $1,400 $1,500
Product
Output (units)
Labor ($)
Materials ($)
a. Which process, Alpha or Beta, is more productive?
Process
your responses rounded to the nearest whole number.)
has% higher labor productivity. Process
Process Beta
B
40
$2,000
$2,500
has% higher multifactor productivity. (Enter
Transcribed Image Text:Mariah Enterprises makes a variety of consumer electronic products. Its camera manufacturing plant is considering choosing between two different processes, named Alpha and Beta, which can be used to make a component part. To make the correct decision, the managers would like to compare the labor and multifactor productivity of process Alpha with that of process Beta. The value of process output for Alpha and Beta is $130 per unit of product A and $190 per unit of product B, and the corresponding overhead costs for Alpha and Beta are $8,000 and $7,000, respectively. Process Alpha A B A 70 30 80 $1,200 $1,400 $1,000 $3,500 $1,400 $1,500 Product Output (units) Labor ($) Materials ($) a. Which process, Alpha or Beta, is more productive? Process your responses rounded to the nearest whole number.) has% higher labor productivity. Process Process Beta B 40 $2,000 $2,500 has% higher multifactor productivity. (Enter
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