Simkin Corporation keeps careful track of the time required to fill orders. Data concerning a particular...

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Simkin Corporation keeps careful track of the time required to fill orders. Data concerning a particular order appear below.

business accounting

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Answer 1

Answer #1

Manufacturing cycle efficiency

= Value added time (or Process time) ÷ Manufacturing cycle time

where:
Manufacturing cycle time = Process time + Inspection time + Move time + Queue time

So the manufacturing cycle efficiency(MCE)

= 5.8 /(5.8 + 1.4 + 4 + 6.1)

= 5.8/17.3

= 0.3352

= 33.5%

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Answer 2

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