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 | 0.7 | days |
---|---|---|
Wait time (from order to start of production) | 16.4 | days |
Process time | 3.3 | days |
Move time | 0.9 | days |
Queue time | 3.6 | days |
Required:
- Compute the throughput time.
Note: Round your answer to 1 decimal place.
- Compute the manufacturing cycle efficiency (MCE) for the quarter.
Note: Round your percentage answer to nearest whole percent.
- What percentage of the throughput time was spent in nonvalue-added activities?
Note: Round your percentage answer to nearest whole percent.
- Compute the delivery cycle time.
Note: Round your intermediate calculations and final answer to 1 decimal place.
- If by using Lean Production all queue time during production is eliminated, what will be the new MCE?
Note: Do not round intermediate calculations. Round your percentage answer to 1 decimal place.
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