Please show step by step instruction and explaination. DataSpan, Inc., automated
ID: 2585625 • Letter: P
Question
Please show step by step instruction and explaination.
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 4 Throughput time (days) Delivery cycle time (days) Manufacturing cycle efficiency (MCE) Percentage of on-time deliveries Total sales (units) 91% 3,210 83% ,0722,915 79% 2,806 86% 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 month:s Avera r Month (in da 4 0.4 1.8 16.0 17.5 9.0 20.5 6.7 0.6 0.3 2.0 0.4 1.9 Move time per unit Process time per unit Wait time per order before start of production Queue time per unit Inspection time per unit 0.4 0.6 0.7 0.7 Required 1-a. Compute the throughput time for each month. (Round your answers to 1 decimal place.) Month 1 Month 2 Month 3 Month 4 Throughput Time days days days daysExplanation / Answer
Solution:
1-a – Calculation of Throughput time
Throughput Time / Manufacturing Cycle Time
Throughput time is the amount of time required for a product to pass through a manufacturing process, thereby being converted from raw materials into finished goods. Throughput time includes following times:
- Processing time --- it is the time taken to process/make the product (Conversion time from raw material to finished goods)
- Inspection Time – Time taken for inspecting the raw material, WIP and finished product.
- Move time – time required to move products into and outside of the manufacturing unit.
- Queue time – time spent waiting prior to the processing, inspection and move activities.
Throughput Time = Process time + Inspection time + Move time + Queue time
Time in days
Process Time
Inspection Time
Move Time
Queue Time
Throughput Time
(A)
(B)
(C )
(D)
(A+B+C+D)
Month 1
2.1
0.6
0.4
4.3
7.4
days
Month 2
2
0.7
0.3
5
8
days
Month 3
1.9
0.7
0.4
5.8
8.8
days
Month 4
1.8
0.6
0.4
6.7
9.5
days
1-b) Manufacturing Cycle Efficiency (MCE)
Manufacturing Cycle Efficiency
It measures the proportion of production time spent on value added activities.
The process time in the throughput time calculation is considered value added time, since this is the only step that actually produces the product.
The rest time is administrative and logistical non value added time.
Manufacturing Cycle Efficiency = Total Value Added Time / Total Throughput Time x 100
Throughput Time (in days)
Value Added Time (Only Process Time)
Manufacturing Cycle Efficiency (MCE)
(A)
(B)
(B / A *100)
Month 1
7.4
2.1
28.38%
Month 2
8
2
25.00%
Month 3
8.8
1.9
21.59%
Month 4
9.5
1.8
18.95%
1-c) Calculation of Delivery Cycle Time
Delivery Cycle Time = Throughput time + Wait time
Throughput Time (in days)
Wait Time
Delivery Cycle Time
(A)
(B)
(A+B)
Month 1
7.4
16
23.40
Month 2
8
17.5
25.50
Month 3
8.8
19
27.80
Month 4
9.5
20.5
30.00
3-a) Throughput TIme for Month 5 = Process time + Inspection time + Move time + Queue time (eliminated)
= 1.8 + 0.6 + 0.4 + 0
= 2.8 days
Manufacturing Cycel Efficiecny (MCE) = Value Added TIme (Process TIme) / Total THroughput time x 100 = 1.8 / 2.8 x 100 = 64.285%
Hope the above calculations, working and explanations are clear to you and help you in understanding the concept of question.... please rate my answer...in case any doubt, post a comment and I will try to resolve the doubt ASAP…thank you
Pls ask separate question for remaining parts.
Time in days
Process Time
Inspection Time
Move Time
Queue Time
Throughput Time
(A)
(B)
(C )
(D)
(A+B+C+D)
Month 1
2.1
0.6
0.4
4.3
7.4
days
Month 2
2
0.7
0.3
5
8
days
Month 3
1.9
0.7
0.4
5.8
8.8
days
Month 4
1.8
0.6
0.4
6.7
9.5
days
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