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Ruiz Foods makes energy bars using a traditional manufacturing process. Raw materials are stored in inventory and then moved into production. Work in process inventory
Ruiz Foods makes energy bars using a traditional manufacturing process. Raw materials are stored in inventory and then moved into production. Work in process inventory is moved across the companys three separate departments. The information below (in the Traditional column) is available for a recent order. If the company adopts lean manufacturing, management believes both move time and wait time can be reduced, as shown in the Lean column.
Ruiz Foods makes energy bars using a traditional manufacturing process. Raw materials are stored in inventory and then moved into production. Work in process inventory is moved across the company's three separate departments. The information below (in the Traditional column) is available for a recent order. If the company adopts lean manufacturing, management believes both move time and wait time can be reduced, as shown in the Lean column. Activity Process time Inspection time Move time Wait time Traditional 32 hours 3 hours 5 hours 2 hours Lean 32 hours 3 hours 2 hours 1 hour Required 1. Compute the total amount of non-value-added time under the traditional manufacturing process. 2. Compute cycle efficiency under the traditional manufacturing process. (Round your answer to 2 decimal places.) 3. Compute the total amount of non-value-added time under the proposed lean manufacturing process. 4. Compute cycle efficiency under the proposed lean manufacturing process. (Round your answer to 2 decimal places.) 5. Would the proposed lean approach improve cycle efficiency? hours hours 1. Traditional approach non-value-added time 2. Traditional approach manufacturing cycle efficiency | 3. Lean approach non-value-added time 4. Lean approach manufacturing cycle efficiency Would the proposed lean approach improve cycle efficiencyStep by Step Solution
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