Productivity at Acme was observed among 12 employees. The results are shown in column 2 below. This was done before a profit sharing program was introduced to effect higher productivity. After the program was in operation for 6 months a second observation was done on the same employees.
Employee Productivity, Pre & Post Profit Sharing Program
Employee Pre-test Prod. Post-Test Prod
1 0.85 0.90
2 1.20 1.20
3 0.75 0.95
4 0.80 0.80
5 0.85 0.80
6 1.10 1.30
7 1.40 1.45
8 0.60 0.80
9 0.90 1.00
10 0.95 1.10
11 0.90 0.95
12 0.75 0.85
a) Test (99%) whether there has or has not been a change in productivity.
b) What do you suggest to management as a result of your test?