a.10,000 impressions per hour:  This level of activity represents an ideal standard, sometimes referred to as an "engineering" standard, and assumes that operating conditions will be ideal and that material and labor inputs will be at maximum levels of efficiency at all times.

•         Pro: would result in the lowest standard cost per impression and any resulting unfavorable variance would indicate the cost of not achieving ideal conditions.

•         Con: the standard is unrealistic and the unfavorable variances generated will not motivate supervisors and employees to achieve the performance target.

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9,000 impressions per hour:  This level of activity represents an attainable standard recognizing that there will be some operating inefficiencies relative to ideal conditions that exist in general throughout CPGI's printing operations. 

•         Pro: represents a more legitimate goal as actual performance could result in favorable as well as unfavorable variances.  Employees are more likely to be motivated to achieve this standard than the ideal standard.

•         Con: while the standard is used realistically throughout CPGI's printing operation, it does not consider the unique differences in the nature of work and quality results that Pierre must provide his customers.  Running jobs at this faster speed could result in more job waste, lower overall job quality, and dissatisfied customers.

8,000 impressions per hour:  This level of activity also represents an attainable standard recognizing that there will be some operating inefficiencies relative to ideal conditions that exist in general throughout CPGI's printing operations in addition to the more specialized work that Pierre's jobs require.

•         Pro: represents a more legitimate goal for Pierre's employees because it considers the unique differences in the nature of work and quality results that Pierre must provide his customers.  Actual performance could result in favorable as well as unfavorable variances and press operators are more likely to be motivated to achieve this standard than the ideal standard or the company wide attainable standard of 9,000 impressions per hour.

•         Con: none of Pierre's press operators are currently producing at this level of activity and may view this standard as challenging but still unattainable.  Eventual changes in worker efficiency and/or changes in the nature of the work may call for the need to change the standard.  This standard will also make it difficult for CPGI to make press comparisons across all printing plants.