Question
Management of Mittel Rhein AG of Kln, Germany, would like to reduce the amount of time between when a customer places an order and when
Management of Mittel Rhein AG of Kln, Germany, 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 | 0.4 | days |
Wait time (from order to start of production) | 16.4 | days |
Process time | 3.1 | days |
Move time | 0.7 | days |
Queue time | 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 nonvalue-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 nearest whole percent.) |
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