If we assume the company runs three, 8-hour shifts per day, how many hours will it take for all those loaves to become finished goods? This is where Excel can help by creating a table and a chart to show WIP building up then going down. When WIP = 0, the process is complete. Step 1. Identify the process performance metrics. We are most interested in the following: Hour Making Packing Rate Rate Cum. Made Cum. Packed Cum. WIP Hour = hour the process has run Making Rate = hourly rate of making bread Packing Rate = hourly rate of packing bread Cum. Made = cumulative loaves of bread made Cum. Packed = cumulative loaves of bread packed Cum. WIP = cumulative loaves that are work-in-process Step 2. Enter the number of hours. Since we know there are three, 8-hour shifts, the entire process cannot take less than 24 hours. Step 3. Enter the Making Rate. With parallel making processes of 100 loaves per hour each, the combined rate = 200. Copy the rate down to Hour 16, when the second making shift ends. Step 4. Enter the Packing Rate. The rate = 100/0.75 = 133.33... per hour but you should enter's 100/0.75' in Excel instead of 133.3 so you get the full decimal. However, at which hour does packing start? Step 5. Enter the Cum. Made formula. For the first hour, it's equal to the Hour 1 Making Rate (200). For all subsequent hours, it's equal to the Cum. Made for the previous hour + Making Rate. Step 6. Enter the Cum. Packed formula. For the first hour, it's equal to the Hour 1 Packing Rate (133.3). For all subsequent hours, it's equal to the Cum. Packed for the previous hour + Packing Rate. Step 7. Enter the Cum. WIP formula. This is Cum. Made - Cum. Packed. Step 8. Copy all the formulas down. Step 9. Create a line chart for Cum. WIP. At what hour does Cum. WIP = 0? Did the answer surprise you? If we assume the company runs three, 8-hour shifts per day, how many hours will it take for all those loaves to become finished goods? This is where Excel can help by creating a table and a chart to show WIP building up then going down. When WIP = 0, the process is complete. Step 1. Identify the process performance metrics. We are most interested in the following: Hour Making Packing Rate Rate Cum. Made Cum. Packed Cum. WIP Hour = hour the process has run Making Rate = hourly rate of making bread Packing Rate = hourly rate of packing bread Cum. Made = cumulative loaves of bread made Cum. Packed = cumulative loaves of bread packed Cum. WIP = cumulative loaves that are work-in-process Step 2. Enter the number of hours. Since we know there are three, 8-hour shifts, the entire process cannot take less than 24 hours. Step 3. Enter the Making Rate. With parallel making processes of 100 loaves per hour each, the combined rate = 200. Copy the rate down to Hour 16, when the second making shift ends. Step 4. Enter the Packing Rate. The rate = 100/0.75 = 133.33... per hour but you should enter's 100/0.75' in Excel instead of 133.3 so you get the full decimal. However, at which hour does packing start? Step 5. Enter the Cum. Made formula. For the first hour, it's equal to the Hour 1 Making Rate (200). For all subsequent hours, it's equal to the Cum. Made for the previous hour + Making Rate. Step 6. Enter the Cum. Packed formula. For the first hour, it's equal to the Hour 1 Packing Rate (133.3). For all subsequent hours, it's equal to the Cum. Packed for the previous hour + Packing Rate. Step 7. Enter the Cum. WIP formula. This is Cum. Made - Cum. Packed. Step 8. Copy all the formulas down. Step 9. Create a line chart for Cum. WIP. At what hour does Cum. WIP = 0? Did the answer surprise you