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Quality control measures: Number of defects Number of warranty claims Number of customer complaints Material control measures: Purchase order lead time Scrap as a
Quality control measures: Number of defects Number of warranty claims Number of customer complaints Material control measures: Purchase order lead time Scrap as a percent of total cost Machine performance measures: Machine downtime as a percentage of availability Use as a percentage of availability Setup time (hours) Delivery performance measures: Throughput time Manufacturing cycle efficiency (MCE) Delivery cycle time Percentage of on-time deliveries Month 1 2 3 4 187 165 126 91 48 41 32 29 104 98 81 60 8 days 7 days 5 days 4 days 1% 1% 2% 3% 5% 6% 6% 10% 94% 91% 88% 84% 8 10 11 12 ? ? ? ? ? ? ? ? ? ? ? ? 95% 94% 91% 88% The president read in industry journals that throughput time, MCE, and delivery cycle time are important measures of performance, but no one is sure how to compute them. You have been asked to assist the company and gathered the following data: Wait time per order before start of production Inspection time per unit Process time per unit Queue time per unit Move time per unit Average per Month (in days) 2 3 8.0 10.8 11.0 13.0 0.8 0.7 0.7 0.7 2.4 2.1 1.6 1.0 2.6. 4.0 5.3 7.6 0.2 0.4 0.4 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.
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