Eagle3D receives and processes orders at the rate of 250 per day. Orders are pro

Question

Eagle3D receives and processes orders at the rate of 250 per day. Orders are processed 24 hours per day, 7 days a week at this facility. The process is at steady state, i.e., works at a stable rate. At any time, there are orders waiting to be printed, orders being printed, or orders that are completed and waiting to be shipped to customers. This constitutes work in process inventory. The average work in process inventory is estimated to be 90 orders at any time. How long (in hours) does it take for a typical order to be fulfilled by this company?

b) (3 points) Of the 90 orders in process at Eagle3D, 25 are awaiting printing, 55 are being printed, and the rest are awaiting shipment, on the average. How long (in hours) does a typical order spend

i. awaiting printing?

ii. being printed?

iii. awaiting shipment?

Explanation / Answer

a) Flow rate, = 250 per day

WIP, w = 90

Cycle time, T = w/ = 90/250 = 0.36 day = 8.64 hours

ow long (in hours) does it take for a typical order to be fulfilled by this company = 8.64 hours

b) Time a typical order spends

i. awaiting printing = 25/250 = 0.1 day = 2.4 hours

ii. being printed = 55/250 = 0.22 day = 5.28 hours

iii. awaiting shipment = 10/250 = 0.04 day = 0.96 hours

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