Question

DataSpan, Inc., automated its plant at the start of the current year and installed a flexible manufacturing system. The company is also evaluating its suppliers and moving toward Lean Production. Many adjustment problems have been encountered, including problems relating to performance measurement. After much study, the company has decided to use the performance measures below, and it has gathered data relating to these measures for the first four months of operations. Month Throughput time (days) Delivery cycle time (days) Manufacturing cycle efficiency (MCE) Percentage of on-time deliveries Total sales (units) 89% 3880 84% 3714 81% 3524 78% 3390 Management has asked for your help in computing throughput time, delivery cycle time, and MCE. The following average times have been logged over the last four months: 0.3 Move time per unit Process time per unit Wait time per order before start of production Queue time per unit Inspection time per unit Average per Month (in days) 2 3 4 0.6 0.4 0.4 2.7 2.5 2.4 2.2 25.0 27.4 30.0 32.5 4.4 4.9 5.5 6.2 0.7 0.9 0.9 0.7 Required: 1-a. Compute the throughput time for each month. 1-b. Compute the delivery cycle time for each month 1-c. Compute the manufacturing cycle efficiency (MCE) for each month 2. Evaluate the company's performance over the last four months. 3-a. Refer to the move time, process time, and so forth, given for month 4. Assume that in month 5 the move time, process time, and so forth, are the same as in month 4, except that through the use of Lean Production the company is able to completely eliminate the queue time during production. Compute the new throughput time and MCE. 3-b. Refer to the move time, process time, and so forth, given for month 4. Assume in month 6 that the move time, process time, and so forth, are again the same as in month 4, except that the company is able to completely eliminate both the queue time during production and the inspection time. Compute the new throughput time and MCE.

hi, can you please answer required 1, 2, and 3. can you show me the explanation. thanks and have a wonderful day.

Answer 1

livi Month 1 Month 2 Month 3 Month 4 Throughput Delivery time Cycle time 8.4 Days 33.4 Days 8.6 Days 36 Days 9.2 Days 39.2 Days 9.5 Days 42 Days Manufacturing Cycle Efficiency |(MCE) 32.1% 29.1% 26.1% 23.2% Working Notes: 1a) Throughput time = Move time + Process Time + Queue time + Inspection time Month 2 3 4 0.3 0.4 Move Time Process Time Queue Time Inspection Time Throughput time (in days) 0.6 2.7 4.4 0.7 8.4 2.5 4.9 0.9 8.6 0.4 2.4 5.5 0.9 9.2 2.2 6.2 0.7 9.5 1b) Delivery Cycle Time = Wait Time + Throughput time Month 1 / 2 3 Wait Time Throughput time Delivery time (in days) 25.0 8.4 27.4 8.6 36.0 30.0 9.2 39.2 4 32.5 9.5 42.0 33.4

1c) Manufacturing Cycle Efficiency = (Process Time / Through Put time) x 100 3 4 Process time (a) Throughput time (b) Manufacturing Cycle Efficiency (a/b) x 100 1 2.7 8.4 32.1% Month 2 2.5 8.6 29.1% 2.4 9.2 2.2 9.5 23.2% 26.1% 2) Evaluation of Company's Performance Throughput and Delivery time was increasing that means company taking more time in each passing month that means it shows the unfavourable trend. Measure Cycle efficiency - was decreasing in each months that means company efficiency was reduced by each passing month that means unfavourable trend. The Throughput Time Measure Display The Delivery cycle time - days measure display Manufacturing cycle efficiency - days measure display Unfavourable Unfavourable Unfavourable trends trends trends

Throughput time Manufacturing cycle efficiency (MCE) 3a) Throughput time Month 5 3.3 Days 66.7% Month 6 2.6 Days 84.6% Month 5 Move Time Process Time Queue Time Inspection Time Throughput time (in days) 0.4 2.2 - 0.7 3.3 Manufacturing Cycle Efficiency = (Process Time / Through Put time) x 100 Month 5 Process time (a) 2.2 Throughput time (b) Manufacturing Cycle Efficiency (a/b) * 100 L 66.7% 3.3 3b) Move Time Process Time Queue Time Inspection Time Throughput time (in days) Month 6 0.4 2.2 - - 2.6 Month 6 2.2 Process time (a) Throughput time (b) Manufacturing Cycle Efficiency (a/b) x 100 2.6 84.6%