Essays on Production Efficiency

Production efficiency refers to the production of goods at the lowest possible cost. On the other hand, production inefficiency refers to the production of goods at a higher cost than the existing costs known. Economists view an economy as productive efficient if it can use its minimum or limited resources in the production of the maximum amount of outputs for the given economy. An economy that is production inefficient is one that does not use its given resources to produce the maximum number of units. Graphs as very essential for economists in illustrating such concepts. An example of the ...

Product Demand

The demand for the products produced by Compass Minerals is influenced greatly by technological advancements as well as innovation of new products (Compass Minerals). The development of more efficient application methods for salt as well as plant nutrients may reduce demand and adversely affect revenues. New methods for delivery of plants nutrients could also adversely affect demand and increase competition. The salt industry is characterized by a slow rate of technological adoption and innovation. Compass Minerals should invest in research and development to identify and meet the changing consumer needs. Development of new products will expand the market possibilities ...

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Domestic Environment and Impact of Government Regulations Anheuser-bush is a major brewer in the US (50% market share). In the US, brewing industry accounts for 1.5% of GDP or $198bn (MarketLine, 2014, p. 3). The recent global recession affected US significantly and this negatively affected beer industry. For instance, beer sales, reduced by 2.2% in the US and consumers became cost conscious during the economic downturn. There is also stiff competition and there are many players in the beer industry. In 2010, the traditional brewers were 20 and the craft/ Specialty brewers were 1,599. Nevertheless, the main competitor ...

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Introduction Profit is the difference between revenues (revenues from sales of goods and services) and the cost of production or acquisition and distribution of these goods and services. Profit = Revenue - Expenses (in monetary terms). This is one of the most important indicators of the financial results of the economic activity of business entities (organizations and businesses), for which the ground and carries on business. Profit as the main form of cash savings depends primarily on reducing the cost of production and circulation of goods , as well ...

EVOLUTION ENGINES: MANUFACTURER OF ENGINES, EQUIPMENTS AND ACCESSORIES

INTRODUCTION Conceptualizing a business requires that a particular idea is set for achieving future objectives. Businesses require setting their perspectives and this can only be accomplished if appropriate technology is available and the emphasis is on problem solving. Acquiring this sense of dimension is essential for aligning the workforce to the business dimensions. This competitive era requires that the businesses align themselves to cater the needs of the individuals and adapt a path which leads to innovation (David, 1995). In this report a discussion will be placed which will show the importance of directing mission, vision and values of the business. ...

P. van Wely of Philips Medical Service in The Netherlands has carefully observed behaviour associated with ergonomics (the human factor) and the work place. People agree that ergonomics is important to ensure the comfort and health of workers so their efficiency at work is optimized. Factory managers have many ways to measure production efficiency but physiological efficiency is problematic. Symptoms related to individuals are always highly subjective. Designing an experiment to reduce the problems associated with subjective measurements was a main goal of van Wely. He had observed that designers of work equipment, industrial and mechanical engineers do not automatically ...

How would you measure and assess effectiveness of a production capability?

Production capability the total output that a plant or an enterprise produces in a given period with existing capital equipment. It involves the balancing of inputs for the manufacturer to match output demand. Effectiveness is the capability of producing the expected results. It also includes preservation and enhancement of assets. An effective production therefore is production that meets the desired production goal (Blanchard, 2012).

The following methods are used to measure and evaluate effectiveness of production capabilities:

- Overall Equipment Effectiveness (OEE): it was a measure developed by the Japanese in the 1970s under the concept of Total Productive Maintenance (TPM). It is a function of production line availability, quality defect rate and process effectiveness ...

Thesis statement

Capitalism is a social and economic system that stresses in privately controlled economy in production, pricing and distribution of goods in a market and has many benefits compared to other economic forms. The Oxford Dictionary defines Capitalism as “an economic system based on the private ownership of the means of production, with the goal of making a profit”.

Capitalism produces more wealth and production as they reduce the expenditure in production.

John Maynard Keynes, the British Economist who contributed significantly to the Keynesian economic school of thought, believes that capitalism is essential for freedom to survive and thrive. Wherever Capitalism as a policy has been adopted, the result has invariably been one that of progress and ...

In 2006, the United States uses fifteen percent of their gross domestic product on health care system Countries such as, Germany and Canada spent 11 and 15 percent respectively in the same year. This shows that America spends more than other high income countries. The increase in expenditure has contributed to the decrease in the number of infant mortality and improvement in cardiovascular health. However, when this expenditure is compared with that of Germany the scenario depicts productive inefficiency given the inputs bundles of doctors, capital, hospice cot and nurses. This is contributed by financial constrains, cost differentiation across ...

Management

Management

Introduction

This report seeks to evaluate lean systems, inventory management, aggregate production planning and master scheduling and recommend the best philosophy to be adopted by Unico Plant.

Lean system, which is also known as Just in Time (JIT) system refers to a system that seeks to purchase or produce components or products when they are required for use or by customers and not for stock. Lean system is a pull system that responds to consumer or internal demand. Therefore, lean systems can be applied in both production and purchasing. Lean systems seeks to eliminate non-value adding activities, keep zero inventory, have ...

The Democratic Party has proposed a fiscal policy keen to enhance both economic growth and development. The policy advocates for tax cuts and increased government spending on healthcare, education, increased unemployment benefits and infrastructure (OTTERMAN, 2012). They have therefore based their arguments on Keynes economic theory which seeks government to intervene in the economy so as to stimulate aggregate demand, control inflation and increase employment opportunities. The reduction in tax cuts is made to increase disposable income a move which may encourage people to spend. The government increased expenditure in health, education, and infrastructure seeks to make Americans more productive and ...

The function of human resource in companies supersedes the superficial knowledge normally accorded to the function of the department. The HR department manages most companies. This includes the duties of policy design, management of human capital, and fluency in operation of the company. This paper is developed from an interview conducted on the HR manager of the Coca Cola Company in the Chicago plant, USA. The paper adopts an analytic view of the various management options that are reminiscent of the plant, the organization design, staffing, performance management and appraisals, training and general organizational development. There is also a theoretical ...

Business Globalization

Introduction Globalization can be defined as the process if interaction and integration of people, organizations and the governments of diverse countries. Globalization is mainly attributed to international trade and global investment, which have been facilitated by information technology such as the advent of the internet and fast data communications (Hill & Cronk, 2010). In the business context, globalization serves to eliminate the variations that exist within the global economy, which implies that global trade is conducted on a universal platform. The concept of globalization is not new to business environment. This business-economic event influence many concerns and issues to the ...