Exercise 12-3 (Algo) Measures of Internal Business Process Performance (L012-3) 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: Inspection time 0.5 days wast time (from order to start of production) 16.1 days Process time 3.5 days Move time 0.8 day Queue time 3.8 days Required: 1. Compute the throughput time. (Round your answer to 1 decimal place.) 2. Compute the manufacturing cycle efficiency ( MCE) for the quarter. (Round your percentage answer to nearest whole percent.) 3. What percentage of the throughput time was spent in non-value-added activities? (Round your percentage answer to nearest whole percent.) 4. Compute the delivery cycle time. (Round your intermediate calculations and final answer to 1 decimal place.) 5. 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 1 decimal place.) Answer is complete but not entirely correct. 1. Throughput time 8.6 days 2. Manufacturing cycle efficiency 41% 3. Non-value-added throughput time 60% 4. Delivery cycle time 24.7 days 5. New manufacturing cycle efficiency 92.1 % Exercise 12-5 (Algo) Overall Equipment Effectiveness (L012-3) Jefferson Company's demand for its only product exceeds its manufacturing capacity. The company provided the following information for the machine whose limited capacity is prohibiting the company from producing and selling additional units. Actual run time this week 6,478 minutes Machine time available per week 8,200 minutes Actual run rate this week 9.12 units per minute Ideal run rate 12.00 units per minute Defect-free output this week 8,662 units Total output this week (including detecta) 12,200 unita Required: 1. Compute the utilization rate. (Round your answer to 2 decimal places.) 2. Compute the efficiency rate. (Round your answer to 2 decimal places.) 3. Compute the quality rate. (Round your answer to 2 decimal places.) 4. Compute the overall equipment effectiveness (OEE). (Do not round intermediate calculations. Round your final answer to 3 decimal places.) Utilization rate Efficiency rate Quality rate Overall equipment effectiveness 0.79 0.18 X 0.13 10.270 X