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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.

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 0.3 days

Wait time (from order to start of production) 15.8 days

Process time 3.4 days

Move time 1.2 days

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.)

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