Schurz Corporation\'s management reports that its average delivery cycle time is
ID: 2431334 • Letter: S
Question
Schurz Corporation's management reports that its average delivery cycle time is 28 days, its average throughput time is 12.0 days, its manufacturing cycle efficiency (MCE) is 0.30, its average move time is 0.2 day, and its average queue time is 3.0 days.
Required:
a. What is the wait time? (Round your answer to 1 decimal place.)
b. What is the process time? (Round your answer to 1 decimal place.)
c. What is the inspection time? (Round your intermediate calculations and final answer to 1 decimal place.)
Explanation / Answer
a. Delivery cycle time = Wait time + Throughput time
28 days = Wait time + 12.0 days
Wait time = 28 days ? 12.0 days = 16 days
b. MCE = Process time ÷ Throughput time
0.30 = Process time ÷ 12.0 days
Process time = 0.30 × 12.0 days = 3.6 days
c. Throughput time = Process time + Inspection time + Move time + Queue time
12.0 days = 3.6 days + Inspection time + 0.2 days + 3.0 days
Inspection time = 12.0 days ? 3.6 days ? 0.2 days ? 3.0 days = 5.2 days
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