Copyright © Cengage Learning. All rights reserved Management of Productivity and Technology Productivity –The average level of output per worker per hour.

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Presentation transcript:

Copyright © Cengage Learning. All rights reserved Management of Productivity and Technology Productivity –The average level of output per worker per hour Productivity trends –The U.S. rate of productivity growth lags behind other nations Causes of U.S. productivity declines –Economic slowdown; reduction in investment in new equipment and technology –The amount of time required to implement and learn new technology –Growth of the service sector without a corresponding increase in the rate of productivity growth –Increased government regulation 8 | 1

Copyright © Cengage Learning. All rights reserved Management of Productivity and Technology (cont’d) Improving productivity –Eliminate or modify government policies hindering productivity growth –Increase cooperation between management and labor –Increase employee motivation and participation –Change the incentives for work by paying for what employees contribute, not just for their time –More investment by business in facilities, equipment, and employee training 8 | 2

Copyright © Cengage Learning. All rights reserved The Impact of Computers and Robotics on Production Automation –The total or near total use of machines to do work Robotics –The use of programmable machines to perform a variety of tasks by manipulating materials and tools –Robots work quickly, accurately, and steadily –Robots are effective in tedious, repetitious, and hazardous tasks 8 | 3

Copyright © Cengage Learning. All rights reserved The Impact of Computers and Robotics on Production (cont’d) Computer manufacturing systems –Computer-aided design (CAD) The use of computers to aid in the development of products –Computer-aided manufacturing (CAM) The use of computers to plan and control manufacturing processes –Computer-integrated manufacturing (CIM) a computer system that helps design products and controls the machinery in the manufacturing process 8 | 4

Copyright © Cengage Learning. All rights reserved The Impact of Computers and Robotics on Production (cont’d) Continuous process –A manufacturing process in which a firm produces the same products over a long period of time Flexible manufacturing systems (FMS) –A single production system that combines robotics and computer- integrated manufacturing Intermittent process –A manufacturing process in which a firm’s manufacturing machine and equipment are changed to produce different products Technological displacement –Automation can cut manufacturing time, reduce error, and simplify retooling procedures –Many robots work with humans to make jobs safer and easier –Automation will bring change to many jobs; many workers will have to retrain or seek jobs in other sectors of the economy 8 | 5