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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 0.7 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:

  1. Compute the throughput time.

Note: Round your answer to 1 decimal place.

  1. Compute the manufacturing cycle efficiency (MCE) for the quarter.

Note: Round your percentage answer to nearest whole percent.

  1. What percentage of the throughput time was spent in nonvalue-added activities?

Note: Round your percentage answer to nearest whole percent.

  1. Compute the delivery cycle time.

Note: Round your intermediate calculations and final answer to 1 decimal place.

  1. 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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