Question

Problem 11-18 Nelson Extruding produces containers for nurseries and landscaping businesses. The company competes based on its low-cost, high-quality products. As the companys expenses have risen, management has become concerned with the need to streamline various processes in order to reduce costs without reducing quality. The following table shows thee time needed to produce a batch of 1-inch plant flats Time to Complete 25 minutes 35 minutes 7 minutes 8 minutes 44 minutes 3 minutes 7 minutes Activity Materials moved to production floor Production in station 1 Materials moved to station 2 Wait to begin at station 2 Production in station 2 Materials moved to finished goods inventory What is the manufacturing cycle time (throughput time) to produce a batch of 1-inch plant flats and prepare it for sale? a) Manufacturing cycle time minutes (b) How much of the process time is value-added? Value-added time minutes Calculate the manufacturing cycle efficiency. (Round answer to 1 decimal place, e.g. 5.1%.) Manufacturing cycle efficiency 9% Click if you would like to Show Work for this question:
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Answer #1

Answer

  • All working forms part of the answer
  • Requirement ‘a’

Total Process time

79

minutes

Total Move time

39

minutes

Total wait time

8

minutes

Total Inspection time

3

minutes

Manufacturing Cycle time

129

Minutes = Answer

Working

Material moved to production floor

25

minutes

Material moved to finished goods inventory

7

minutes

Material moved to Station 2

7

minutes

Total Move time

39

minutes

Production in Station 1

35

minutes

Production in Station 2

44

minutes

Total Process time

79

minutes

Total wait time

8

minutes

Total Inspection time

3

minutes

  • Requirement ‘b’

Value added time = Process time

Answer = 79 minutes

  • Requirement ‘c’

Manufacturing Cycle Efficiency

Choose Numerator

Choose Denominator

Manufacturing Cycle Efficiency

Process Time

Manufacturing Cycle time

Manufacturing Cycle Efficiency

                                                   79.0

                     129.0

61.2% = ANSWER

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