PRODUCTION AND OPERATIONS MANAGEMENT

1) Nouf is operations manager of a small bakery named FreshCookies, Inc., a producer of
croissants located in Riyadh, which produces 2,000 chocolate croissants per day with the
following resources:

a) What is the labor productivity per day for these special croissants? Calculate it and show
every step (including the formula you use) to arrive at your answer.
b) What is the multifactor productivity for these chocolate croissants at FreshCookies, Inc.?
Calculate it and show every step (including the formula you use) to arrive at your answer.
3
c) What is the percentage change in multifactor productivity if Nouf can reduce the energy cots
to SAR 1,000 per day without cutting production or changing any other inputs, just
implementing some environmental practices? Calculate it and show every step (including the
formula you use) to arrive at your answer

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