Develop an imaginary plan of differential piece rates to be introduced – InterviewSolution

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1.	Develop an imaginary plan of differential piece rates to be introduced for the workers, engaged in making furniture.
Answer» Suppose standard output is fixed at 20 units and two workers A and B produces 24 and 16 units respectively. Two piece rates are Rs. 100 and Rs. 75. A will receive =100 x 24= Rs.2,400 (as he is producing more than standard units) B will receive = 75x16 = Rs. 1,200 as he is producing less than the standard units) Thus, the inefficient worker, Le B will be motivated to produce more units of furniture to reach the standard output.

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