Question

Check my work Waymouth Manufacturing operates a contract manufacturing plant located in Dublin, Ireland. The plant provides a variety of electronics products and components to consumer goods manufacturers around the world. Cycle time is a critical success factor for Waymouth, which has developed a number of measures of manufacturing speed. Waymouth has studied the matter and found that competitive contract manufacturers have manufacturing cycle times (MCE) of about 37%. When last calculated, Waymouth's MCE was 32% 0.31 points Key measures from the recent month's production, averaged over all the jobs during that period, are as follows: eBook Average Time (hours) 24.0 0.5 4.5 1.5 References Activity New product development Materials handling Order setup Machine maintenance Order scheduling Inspection of completed order Pack and move to storage or ship Manufacturing assembly Order taking and checking Receiving and stocking raw materials Inspection of raw materials at start of production WA OU O 18.0 1.5 4.5 0.5 Required: Determine the manufacturing cycle efficiency (MCE) for the recent month. (Round your answer to 1 decimal place.) Manufacturing cycle efficiency (MCE)

Answer 1

Manufacturing cycle efficiency

28.57%

Manufacturing cycle efficiency measures the proportion of production time spent on value-added activities.

To calculate the measurement, divide value-added production time by total cycle time.

Total cycle time is the aggregate amount of all process time, inspection time, queue time, and move time.

Activity	Average Time (Hours)	Remarks
New Product Development	24	Not Relevant
Materials Handling	0.5	Non Value Added activity
Order Setup	4.5	Non Value Added activity
Machine Maintenance	1.5	Non Value Added activity
Order Scheduling	4	Not Relevant
Inspection of Completed Order	3.5	Non Value Added activity
Pack and move to storage or ship	0.5	Non Value Added activity
Manufacturing assembly	18	Value Added activity
Order taking and checking	1.5	Not Relevant
Receiving and stocking raw materials	4.5	Not Relevant
Inspection of raw materials at start of production	0.5	Non Value Added activity
Total Cycle Time	63
(Time taken by Value added and non Value added activities)
Total Processing Time	18
(Manufacturing assembly)
Manufacturing cycle efficiency	28.57%	=18/63

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