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an us company has two manufacturing plants one in UAE and one in another country. Both...

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General Management

an us company has two manufacturing plants one in UAEand one in another country. Both produce the same items,eath forsale in their perspectives countries. However their productivityfigures are quite different. The analyst thinks this is because theUAE plan uses more automated equipment for processing while theother uses a high percentage for labor.
1-explain how that factor can cause productivity figures to bemisleading.
2-Is there another way to compare the two plants that would be moremeaningful?

Answer & Explanation Solved by verified expert
3.8 Ratings (587 Votes)
There are a variety of factors that might be leading to productivity differences in the two plants Technological factors As explained in the case one of the differences might be the extent of technological adoption in the two plants A high degree of technological interventions will increase productivity to a good extent Human resource quality Skilled human resource    See Answer
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