Inspection time 0.5 days Wait time (from order to start of production) 15.5 days Process time 2.9 days Move time 1.2 days Queue time 4.3 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 non–value-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? (Round your percentage answer to 1 decimal place.)
Inspection time 0.5 days Wait time (from order to start of production) 15.5 days Process time 2.9 days Move time 1.2 days Queue time 4.3 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 non–value-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? (Round your percentage answer to 1 decimal place.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Management of Mittel Rhein AG of Köln, 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 | 0.5 | days |
|---|---|---|
| Wait time (from order to start of production) | 15.5 | days |
| Process time | 2.9 | days |
| Move time | 1.2 | days |
| Queue time | 4.3 | 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 non–value-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? (Round your percentage answer to 1 decimal place.)
Transcribed Image Text:Management of Mittel Rhein AG of Köln, 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
Wait time (from order to start of production)
Process time
Move time
Queue time
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 non-value-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? (Round your percentage
answer to 1 decimal place.)
1. Throughput time
2. Manufacturing cycle efficiency
3. Non-value-added throughput time
0.5 days
15.5 days
2.9 days
1.2 days
4.3 days
4. Delivery cycle time
5. New manufacturing cycle efficiency
days
%
%
days
%
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