Question
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.)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started