unit 4: measuring performance

Question 1

what is labour productivity

Answer 1

measure of output per worker in a given time

Question 2

how to calculate labour productivity

Answer 2

output per period/ no, employees per period

Question 3

why is a high labour productivity good

Answer 3

can increase output without increasing cost

Question 4

how can you increase Labour productivity

Answer 4

• new tech
  -modify production
• recruit new workers with better skills
  -provide beer training and motivation

Question 5

what is unit cost

Answer 5

cost of producing a single unit of output

Question 6

hwo to calculate unit cost

Answer 6

total cost/ output

Question 7

what are 4 factors influencing unit cost

Answer 7

-no, units produced
-labour productivity
-supplier- cost of input
-material usage

Question 8

what is capacity

Answer 8

maximum output achievable if all recourses are fully utilised

Question 9

how can you increase capacity

Answer 9

• bigger premises
  -more machinery

Question 10

how can you decrease capacity

Answer 10

-lay off workers
-smaller premises

Question 11

how to calculate capacity

Answer 11

actual output/ potential output x100