Lead Time Audio Max Electronics Company manufactures electronic stereo equipment
ID: 2460128 • Letter: L
Question
Lead Time
Audio Max Electronics Company manufactures electronic stereo equipment. The manufacturing process includes printed circuit (PC) board assembly, final assembly, testing, and shipping. In the PC board assembly operation, a number of individuals are responsible for assembling electronic components into printed circuit boards. Each operator is responsible for soldering components according to a given set of instructions. Operators work on batches of 50 printed circuit boards. Each board requires 4 minutes of assembly time. After each batch is completed, the operator moves the assembled boards to the final assembly area. This move takes 10 minutes to complete.
The final assembly for each stereo unit requires 20 minutes and is also done in batches of 50 units. The batch of 50 stereos is moved into the test building, which is across the street. The move takes 20 minutes. Before conducting the test, the test equipment must be set up for the particular stereo model. The test setup requires 30 minutes. The units wait while the setup is performed. In the final test, the 50-unit batch is tested one at a time. Each test requires 7 minutes. The completed batch, after all testing, is sent to shipping for packaging and final shipment to customers. A complete batch of 50 units is sent from testing to shipping. The Shipping Department is located next to testing. Thus, there is no move time between these two operations. Packaging and labeling requires 10 minutes per unit.
1. Determine the amount of value-added and non-value-added lead time and the value-added ratio in this process for an average stereo unit in a batch of 50 units. Categorize the non-value-added time into wait and move time. Round the percentage to one decimal place.
Value-added minutes _________min Non-value-added minutes: Wait time ___________min Move time _________min Total non-value-added time _______min Total lead time ______min Value-added ratio (as a percent) ________%Explanation / Answer
Answer:
Mins Mins Value added minutes 2050 (50units * 4 mins+ 50 units* 20 mins+50 units* 7 mins+50 units*10mins) Non value added minutes: Wait time 30 Move time 30 (10 mins+20 mins) Total non value added time 60 Total Lead time 2110 Value added ratio (as a percent) 97.2% (2,110 mins/2,050 mins)Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.