Question

Tahoe Company records the time (in hours) required to fill orders at her pet supply store. Data concerning a particular order is as follows:

wait time 4.4

process time 2.2

inspection time .4

move time .7

queue time 1.8

The manufacturing cycle efficiency (MCE) was closest to

• .29

• .23

• .43

• .32

Answer 1

The manufacturing cycle efficiency (MCE) is the ratio of production time spent of value adding activities over the manufacturing cycle time.

Here the manufacturing cycle times = Process time + Inspection time + move time + Queue time

So Manufacturing cycle time = 2.2+ .4+ .7+ 1.8 = 5.1 hours,

now process time is the actual time for which the process is being made it is the value added time which adds real value to the product.

Value added time = 2.2 hours.

So Manufacturing efficiency time = (value added time or process time) / manufacturing cycle time

manufacturing efficiency time = 2.2 / 5.1 = .4313

Thus Correct option is ----- C i.e .43