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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.

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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. 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 time 0.4 days 15.7 days 2.7 days 1.0 days 4.4 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.) 1. Throughout time 2. Manufacturing cycle efficiency Nonvalue-added throughout time 4. Delivery cycle time 5. New manufacturing Cyde efficiency days % % days % Tombro Industries is in the process of automating one of its plants and developing a flexible manufacturing system. The company is finding it necessary to make many changes in operating procedures. Progress has been slow, particularly in trying to develop new performance measures for the factory, In an effort to evaluate performance and determine where improvements can be made, management has gathered the following data relating to activities over the last four months: Month 3 1 2 4 189 50 106 167 43 100 128 34 83 92 31 62 Quality control measures Number of defects Number of warranty claims Number of customer complaints Material control measures Purchase order lead tine Scrap as a percent of total cost Machine performance measures Machine downtime as a percentage of availability Une as a percentage of availability Setup time (hours) Delivery performance measuresi Throughput time Manufacturing cycle efficiency (MCE) Delivery cycle time Percentage of on-time deliveries 8days 7 days 20 25 5 day 30 4 days 68 944 911 10 6 888 11 108 845 12 2 *** 2 950 2 946 910 7 888 The president has read in industry journals that throughput time, MCE, and delivery cycle time are important measures of performance, but no one is sure how they are computed. You have been asked to assist the company, and you have gathered the following data relating to these measures: Average per Month (in days) 1 2 3 4 11.0 Wait time per order before start of production Inspection time per unit Process time per unit Queue time per unit Move tine per unit 8.0 0.8 2.B 3.1 0.3 10.1 0.7 2.0 4.8 0.4 0.7 1.9 5.0 0.4 13.0 0.2 1.2 7.4 0.7 Required: 1-a. Compute the throughput time for each month. 1-b. Compute the manufacturing cycle efficiency (MCE) for each month. 1-c. Compute the delivery cycle time for each month. 3-a. Refer to the inspection time, process time, and so forth, given for month 4. Assume that in month 5 the inspection time, process time, and so forth, are the same as for month 4, except that the company is able to completely eliminate the queue time during production using Lean Production. Compute the new throughput time and MCE. 3-b. Refer to the inspection time, process time, and so forth, given for month 4. Assume that in month 6 the inspection time, process time, and so forth, are the same as in month 4, except that the company is able to eliminate both the queue time during production and the inspection time using Lean Production. Compute the new throughout time and MCE Complete this question by entering your answers in the tabs below. Required 1 Required 3 1-a. Compute the throughput time for each month. 1-b. Compute the manufacturing cycle eficiency (MCE) for each month. 1-c. Compute the delivery cycle time for each month. Complete this question by entering your answers in the tabs below. Required 1 Required 3 1-a. Compute the throughput time for each month. 1-b. Compute the manufacturing cycle efficiency (MCE) for each month. 1-c. Compute the delivery cycle time for each month. (Round your answers to 1 decimal place.) Show less Manufacturing Cycle Efficiency (MCE) Delivery Cycle Time Month 1 Month 2 Month 3 Month 4 Throughput Time days days days days % % % % days days days days Required 3 > ugriput time and MCE. Complete this question by entering your answers in the tabs below. Required 1 Required 3 3-a. (Month 5) Refer to the inspection time, process time, and so forth, given for month 4. Assume that in month 5 the Inspection time, process time, and so forth, are the same as for month 4, except that the company is able to completely eliminate the queue time during production using Lean Production. Compute the new throughout time and MCE. 3-b. (Month 6) Refer to the inspection time, process time, and so forth, given for month 4. Assume that in month 6 the Inspection time, process time, and so forth, are the same as in month 4, except that the company is able to eliminate both the queue time during production and the inspection time using Lean Production. Compute the new throughout time and MCE. (Round your answers to 1 decimal place.) Show less Throughout time Manufacturing cycle efficiency (MCE) Month 5 days % Month 6 days %

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