Question
Maximum Efficiency Inc. is interested in cutting the amount of time between when a customer places an order and when the order is completed. For
Maximum Efficiency Inc. is interested in cutting the amount of time between when a customer places an order and when the order is completed. For the first quarter of the year, the following data were reported:
Inspection time | 0.3 |
Process time | 3.2 |
Wait time | 12.0 |
Queue time | 1.0 |
Move time | 0.5 |
Compute the throughput time.
Compute the manufacturing cycle efficiency (MCE) for the quarter.
What percentage of the throughput time was spent on non-value-added activities?
Compute the delivery cycle time.
If by using lean production all queue time can be eliminated in production, what will be the new MCE?
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