Question

Schurz Corporation's management reports that its average delivery cycle time is 28 days, its average throughput...

Schurz Corporation's management reports that its average delivery cycle time is 28 days, its average throughput time is 13.0 days, its manufacturing cycle efficiency (MCE) is 0.40, its average move time is 0.6 day, and its average queue time is 3.0 days.

Required:

a. What is the wait time? (Round your answer to 1 decimal place.)

b. What is the process time? (Round your answer to 1 decimal place.)

c. What is the inspection time? (Round your intermediate calculations and final answer to 1 decimal place.)

Navern Corporation manufactures and sells custom home elevators. From the time an order is placed until the time the elevator is installed in the customer’s home averages 59 days. This 59 days is spent as follows:

Wait time 12 days
Inspection time 7 days
Process time 17 days
Move time 16 days
Queue time 7 days

What is Navern's manufacturing cycle efficiency (MCE) for its elevators?

Homework Answers

Answer #1
Answer

Wait time = Delivery cycle time - Throughput time = 28 days - 13.0 days = 15 days

Process time = MCE × Throughput time = 0.40 × 13 days = 5.20 days
Inspection time = Throughput time - Process time - Move time - Queue time = 13 days - 5.2 days - 0.6 day - 3 days = 4.2 days
Answer
Manufacturing cycle efficiency=Processing time/(Process time+Inspection time+Move time+Queue time)
=17 days/(17+7+16+7)days
=17/47
which is equal to
=36.17%
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