Complete 3 page APA formatted essay: DQ7_18/19.Since efficiency is concerned with achieving the result using the least amount of expenditure and resources, we shall address some of the most important

Complete 3 page APA formatted essay: DQ7_18/19.

Since efficiency is concerned with achieving the result using the least amount of expenditure and resources, we shall address some of the most important areas of concern.

The first factor is the issue of low production. For a company to operate efficiently, it needs to surpass a certain level of production where it is able to meet its expenses and register a profit.

The point in question is referred to as the break-even point for the business. Failure to attain this level of production implies that the organization is operating both inefficiently and ineffectively as it is unable to make a profit as well as meet its expenses.

Secondly, the organization needs to deal with the percentage of defective products or dissatisfied customers. The defective products are a loss for the organization since they will not fetch the desired revenue. As a result, the costs and resources involved in the production of these defective goods are spread to the good products thus reducing profitability per product. Dealing with the problem of defects is one of the most difficult tasks for any production department. Due to the difficulty involved in the process, most businesses opt to make an allowance for defective products when formulating their production targets and budgets.

Idling and other minor delays are the other challenges facing efficiency in an organization. Idling means that costs are incurred and no production is undergoing to produce any output. An example is breaks given to employees for lunch and tea. Despite the fact that substantial amounts of time are spend during these breaks, the workers are still paid for the time they did not produce anything. Other breaks could occur due to power outages and the ineffective management of inventory. These stoppages reveal inefficiencies in the business and usually affect the levels of output thus