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P12-16 MacIntyre Fabrications Ltd of Aberdeen Scotland has recently begun a continuous improvement campaign in conjunction with a move toward Lean Production Management has developed new perform

P12-16 MacIntyre Fabrications, Ltd., of Aberdeen,
Scotland, has recently begun a continuous improvement campaign in conjunction
with a move toward Lean Production. Management has developed new performance
measures as part of this campaign. The following operating data have been
gathered over the last four months:

Month

1 2
3
4
Throughput time . . . . . . . . . . . . . . . . . .
. . . . ? ?
?
?
Manufacturing cycle efficiency . . . . . . . . . .
. ?
?
?
?
Delivery cycle time . . . . . . . . . . . . . . . .
. . . . ? ?
?
?
Percentage of on-time deliveries . . . . . . . . .
72% 73% 78%
85%
Total sales (units) . . . . . . . . . . . . . . . .
. . . . . 10,540
10,570
10,550
10,490

Management would like to know the company’s
throughput time, manufacturing cycle efficiency, and delivery cycle time. The
data to compute these measures have been gathered and appear below:

Month

1 2
3
4
Move time per unit, in days . . . . . . . . . . . .
0.5 0.5
0.4 0.5
Process time per unit, in days . . . . . . . . . .
0.6 0.5
0.5 0.4
Wait time per order before start of
production, in days . . . . . . . . . . . . . . . .
9.6
8.7 5.3
4.7
Queue time per unit, in days . . . . . . . . . . .
3.6 3.6
2.6 1.7
Inspection time per unit, in days . . . . . . . .
0.7 0.7
0.4 0.3

Required:
1. For each month, compute the following:
a.The throughput time.
b.The manufacturing cycle efficiency (MCE).
c.The delivery cycle time.
2. Using the performance measures given in the
problem and those you computed in (1) above, identify whether the trend over
the four months is generally favorable, generally unfavorable, or mixed. What
areas apparently require improvement and how might they be improved?
3. Refer to the move time, process time, and so
forth, given for month 4.
a.Assume that in month 5 the move time, process time,
and so forth, are the same as for month 4, except that through the
implementation of Lean Production, the company is able to completely eliminate
the queue time during production. Compute the new throughput time and MCE.

b.Assume that in month 6 the move time, process time,
and so forth, are the same as for month 4, except that the company is able to
completely eliminate both the queue time during production and the inspection
time. Compute the new throughput time and MCE.

Jun 26 2020 View more View Less

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