Question
Shields Manufacturing produces containers for nurseries and landscaping businesses. The company competes based on its low-cost, high-quality products. As the companys expenses have risen, management
Shields Manufacturing produces containers for nurseries and landscaping businesses. The company competes based on its low-cost, high-quality products. As the companys expenses have risen, management has become concerned with the need to streamline various processes in order to reduce costs without reducing quality. The following table shows the time needed to produce a batch of 1-inch plant flats:
Activity Time to Complete
Materials moved to production floor 24 minutes
Production in station 1 35 minutes
Materials moved to station 2 6 minutes
Wait to begin at station 2 9 minutes
Production in station 2 44 minutes
Inspection 5 minutes
Materials moved to finished goods inventory 5 minutes
(a) What is the manufacturing cycle time (throughput time) to produce a batch of 1-inch plant flats and prepare it for sale?
Manufacturing cycle time __________ minutes
(b) How much of the process time is value-added?
Value-added time_______________ minutes
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