Production managers usually prefer the use of which measure of performance in reports that cover a short period of time?
A) Financial measures
B) Exception measures
C) Physical measures
D) Comparative measure

Question

Quizplus · Accepted Answer

Production managers would prefer physical measures such as units produced, labor hours used, or materials used to assess the productivity of their processes over financial or comparative measures. Physical measures provide a more direct evaluation of the performance of the production process in terms of their actual output, whereas financial measures might be influenced by external factors such as price changes or inflation. Comparing current performance to past performance, or to industry benchmarks might be useful for long-term planning, but for short-term reports, physical measures are more relevant. Exception measures are also useful for highlighting unusual events or problems in the production process.

Production Managers Usually Prefer the Use of Which Measure of Performance