# Operations Management “Your Garden Gloves”

## Presentation on theme: "Operations Management “Your Garden Gloves”"— Presentation transcript:

Operations Management “Your Garden Gloves”
Team: Papaya Nick Presented by: Jason, Jimmy, Nick, Rachel, Richard, Sandy Professor: Ying Jiun Hsieh

Outline 1. Case Introduction 2. Question Discussion 3. Questions and Answers

1. Case Introduction – “Your Garden Gloves”
Company Background: Gardening business Established 5 years ago Substantially business growth Each year 10 new clients and a new employee Currently 8 seasonal employees

1. Case Introduction – “Your Garden Gloves”
Company Background: Assign crew to do tasks Crew size range from 2 to 4 workers Largest job took longer time Take a investigation

Average Productivity per Crew
2. Question Discussion Question 1 Which crew size had the highest productivity? Which crew size had the lowest productivity? What are some possible explanations for these results? Crew Size Average Productivity per Crew 2 4,234 square feet per day 3 5,352 square feet per day 4 7,860 square feet per day

Average Productivity per Crew
Productivity Ratios 𝑃𝑟𝑜𝑑𝑢𝑐𝑡𝑖𝑣𝑖𝑡𝑦= 𝑂𝑢𝑡𝑝𝑢𝑡 𝐼𝑛𝑝𝑢𝑡 = 𝐴𝑣𝑒𝑟𝑎𝑔𝑒 𝑃𝑟𝑜𝑑𝑢𝑐𝑡𝑖𝑣𝑖𝑡𝑦 𝑝𝑒𝑟 𝐶𝑟𝑒𝑤 𝐶𝑟𝑒𝑤 𝑆𝑖𝑧𝑒 Productivity ratios Crew Size Average Productivity per Crew Productivity Ratio 2 4,234 square feet per day 2,117 ↑ 3 5,352 square feet per day 1,784 ↓ 4 7,860 square feet per day 1,965 →

Explanation Productivity Ratios
Productivity Paradox New workers (Grouping of employees with different experience level) 2. Quality of tools

2. Question Discussion Question 2
After a recent storm, a customer called in a panic, saying that she had planned a garden party for the upcoming weekend and her garden was shambles. The owner decided to send a crew of four workers, even though a two-worker crew would have a higher productivity. Explain the rationale for this decision.

Prioritization Critical activity with high importance and urgency

Average Productivity per Crew
Rational Explanation Time pressure 4 people have the highest total output per day 4 workers should complete the work asap Crew Size Average Productivity per Crew Productivity Ratio 2 4,234 square feet per day ↓ 2,117 ↑ 3 5,352 square feet per day → 1,784 ↓ 4 7,860 square feet per day ↑ 1,965 →

Illustration Assumption: Garden size 20,000 square feet Case 1 Case 2
Crew size 2 4,234 ft²/day Duration: 4.7 days Case 2 Crew size 4 7,860 ft²/day Duration: 2.5 days

2. Question Discussion Question 3
What is a possible qualitative issue that may very well influence productivity levels that the productivity ratios fail to take into account?

Qualitative Issues 1. New company: Founded only 5 years ago
Low employee loyalty Solutions: Offer long-term contracts Provide a career path Develop relationships

Qualitative Issues 2. Seasonal work: (weather conditions, location)
6 month operating time No continuous work flow through the whole year Employees may look for permanent jobs → drop outs

Qualitative Issues 3. Standardization:
Standardized processes increase the productivity level of employees Solution: Introduction of standard operation procedures In long term, employees may feel less motivated and reduce productivity level Solution: Assign different tasks from time to time

Qualitative Issues 4. Incentive plans that reward productivity can
increase productivity Productivity level influenced by structural division between management and labor Goal: Willingness that workers give their best Solution: Performance related wages

Qualitative Issues 5. Experience of workers
Employees with longer experience have usually a higher productivity level than less experienced workers 6. Quality of tools Has an impact of the productivity level

3. Questions and Answers

Sources Operations Management by William J. Stevenson (11th Edition).