CONNECT ONLINE ACCESS F/MANAGERIAL ACC.
CONNECT ONLINE ACCESS F/MANAGERIAL ACC.
6th Edition
ISBN: 9781264445356
Author: Noreen
Publisher: MCG
Question
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Chapter 12, Problem 12.15P

1a.

To determine

Introduction: Throughput time is the total time required for the completion of a process. For instance, the time required to manufacture machinery from the beginning till its end is the throughput time. The throughput time comprises process time, inspection time, move time, and queue time. Wait time is not a part of throughput time.

The throughput time for each month.

2a.

To determine

Introduction: The various quality control measures that result in a positive direction will help in improving the company’s performance. For instance, testing the units produced and determining if they are within the defined set of quality criteria.

To identify: The areas in which the company seems to be improving. +

3a.

To determine

Introduction: Throughput time is the elapsed time from the time of inception of the production process till the goods are dispatched to the customer. The manufacturing cycle refers to the amount of time in the manufacturing process that is spent on enriching or improving the product.

The throughput time and MCE for Month 5.

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D: Measures of Internal Business Process PerformanceDataSpan, Inc., automated its plant at the start of the current year and installed a flexiblemanufacturing system. The company is also evaluating its suppliers and moving toward LeanProduction. Many adjustment problems have been encountered, including problems relating toperformance measurement. After much study, the company has decided to use the performancemeasures below, and it has gathered data relating to these measures for the first four months ofoperations.Month1 2 3 4Throughput time (days) ? ? ? ?Delivery cycle time (days) ? ? ? ?Manufacturing cycle efficiency (MCE) ? ? ? ?Percentage of on-time deliveries 91% 86% 82% 78%Total sales (units) 3460 3312 3143 3025Management 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 months: Average per Month (in days)1 2 3 4Move time per unit 0.7 0.5 0.6 0.6Process time per unit 2.8 2.7 2.6…
Tombro Industries is in the process of automating one of its plants and developing a flexible manufacturing system. The company is finding it necessary to make many changes in operating procedures. Progress has been slow, particularly in trying to develop new performance measures for the factory.   In an effort to evaluate performance and determine where improvements can be made, management has gathered the following data relating to activities over the last four months:     Month 1 2 3 4 Quality control measures:                 Number of defects 201   179   140   98   Number of warranty claims 62   55   46   43   Number of customer complaints 118   112   95   74   Material control measures:                 Purchase order lead time 10 days 9 days 7 days 5 days Scrap as a percent of total cost 1%   1%   2%   3%   Machine performance measures:                 Machine downtime as a percentage of availability 5%   6%   6%   10%   Use as a percentage of…
DataSpan, Incorporated, 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 1 2 3 4 Throughput time (days) ? ? ? ? Delivery cycle time (days) ? ? ? ? Manufacturing cycle efficiency (MCE) ? ? ? ? Percentage of on-time deliveries 82% 77% 74% 71% Total sales (units) 3830 3667 3479 3347   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 months:     Average per Month (in days) 1 2 3 4 Move time per unit 0.8 0.5 0.6 0.6 Process time per unit 2.3 2.2…
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