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Exercise 1 2 - 3 ( Algo ) Measures of Internal Business Process Performance [ LO 1 2 - 3 ] Management of Mittel Company
Exercise Algo Measures of Internal Business Process Performance LO
Management of Mittel Company would like to reduce the amount of time between when a customer places an order and when the
order is shipped. For the first quarter of operations during the current year the following data were reported:
Required:
Compute the throughput time. Round your answer to decimal place.
Compute the manufacturing cycle efficiency MCE for the quarter. Round your percentage answer to nearest whole percent.
What percentage of the throughput time was spent in nonvalueadded activities? Round your percentage answer to nearest
whole percent.
Compute the delivery cycle time. Round your intermediate calculations and final answer to decimal place.
If by using Lean Production all queue time during production is eliminated, what will be the new MCE? Do not round intermediate
calculations. Round your percentage answer to decimal place.
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