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A corporation is considering implementation of aJIT inventory system. The compan

ID: 2433511 • Letter: A

Question

A corporation is considering implementation of aJIT inventory system. The company's industrial engineer recentlyconducted a study to determine the average number of days spent ineach activity of the production process. The following tablesummarizes the findings:

Production Activity Number of days

Inspectingmaterials........................................... 3

Storingmaterials...............................................17

Moving materials intoproduction........................ 3

Setting up productionequipment....................... 2

Cuttingmaterials............................................. 6

bendingmaterials............................................ 5

Assembing finishedproducts............................ 9

Painting finishedproducts................................ 5

a. Identify the company's value-added productionactivities

b. identify the company's non value-addedproduction activities.

Explanation / Answer

Painting finishedproducts................................ 5

Storingmaterials...............................................17

Moving materials intoproduction........................ 3

Setting up productionequipment....................... 2

Cuttingmaterials............................................. 6

bendingmaterials............................................ 5


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