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 Wait time (from order to start of production) Process time Move time Queue tine 0.6 days 15.5 days 2.8 days 1.0 days 3.6 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.) days 1 Throughput time 2 Manufacturing cycle officiency 3. Non-value-added throughout timo 14 Delivery cycle time 5 New manufacturing cycle efficiency days 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 Machine time available per week Actual run rate this week Ideal run rate Defect-free output this week Total output this week (including defects) 6,636 minutes 7,900 minutes 1.78 units per minute 2,00 units per minute 11,696 units 13,600 units 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 Emiciency rate Quality rate Overall equipment effectiveness Walton Company has measured its quality costs for the past two years. After the company gathers its quality cost data, it summarizes those costs using the four categories shown below: Prevention costs Appraisal costs Internal failure costs External failure costs Last Year 5 324.900 $ 409,400 $ 869,900 $1,188,000 This Yean $ 689,000 $ 545,000 $ 550,000 5673,200 Required: 1. Calculate the total cost of quality last year and this year. Last Year This Year Total cost of quality 2. For last year, calculate the cost in each of the four categories as a percent of the total cost of quality. (Round your percentage answers to 1 decimal place.) Last Year Prevention costs Appraisal costs
