Sucharzewski Corporation%u2019s management keeps track of the time it takes to p

Question

Sucharzewski Corporation%u2019s management keeps track of the time it takes to process orders. During the most recent month, the following average times were recorded per order: Days   Wait time 8.4   Inspection time 0.6   Process time 1.3   Move time 0.8   Queue time 5.6 Required: a. Compute the throughput time. (Round your answer to 1 decimal place.)   Throughput time days b. Compute the manufacturing cycle efficiency (MCE). (Round your answer to 2 decimal places.)   Manufacturing cycle efficiency    c. What percentage of the production time is spent in non-value-added activities? (Omit the "%" sign in your response.)   Percentage of the production time % d. Compute the delivery cycle time. (Round your answer to 1 decimal place.)   Delivery cycle time days

Sucharzewski Corporation%u2019s management keeps track of the time it takes to process orders. During the most recent month, the following average times were recorded per order:

Explanation / Answer

a. Throughput time = inspection time + process time + move time + queue time = 0.6+1.3+0.8+5.6 = 8.3 days

b. MCE = process time / throughput time = 1.3/8.3 = 0.1566

c. % in non-value-added activities = 1-MCE = 1-0.1566 = 0.8434 = 84.34%

d. Delivery cycle time = throughput time + wait time = 8.3 days + 8.4 days = 16.7 days

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