Asked by Brianna Villella on Jul 28, 2024
Verified
Simkin Corporation keeps careful track of the time required to fill orders. Data concerning a particular order appear below: The manufacturing cycle efficiency (MCE) was closest to:
A) 0.46
B) 0.06
C) 0.20
D) 0.19
Manufacturing Cycle Efficiency
A measure of the effectiveness of a manufacturing process, calculated by dividing the value-added production time by the total cycle time.
Fill Orders
The process of completing customer requests for goods or services in accordance with purchase agreements or specifications.
- Gain an understanding of the manufacturing cycle efficiency (MCE) concept and the procedures for its computation.
Verified Answer
RP
Rachael PaleyJul 29, 2024
Final Answer :
C
Explanation :
The manufacturing cycle efficiency (MCE) formula is:
MCE = (Value-added time / Total manufacturing time) x 100%
Value-added time is the time spent actually adding value to the product, while total manufacturing time is the entire time required to manufacture the product.
In this case, the value-added time is 4.5 hours (assembly time + inspection time), and the total manufacturing time is 22.5 hours (assembly time + inspection time + waiting time).
Using the formula, we get:
MCE = (4.5 / 22.5) x 100%
MCE = 0.2 or 20%
Therefore, the closest option is C) 0.20.
MCE = (Value-added time / Total manufacturing time) x 100%
Value-added time is the time spent actually adding value to the product, while total manufacturing time is the entire time required to manufacture the product.
In this case, the value-added time is 4.5 hours (assembly time + inspection time), and the total manufacturing time is 22.5 hours (assembly time + inspection time + waiting time).
Using the formula, we get:
MCE = (4.5 / 22.5) x 100%
MCE = 0.2 or 20%
Therefore, the closest option is C) 0.20.
Learning Objectives
- Gain an understanding of the manufacturing cycle efficiency (MCE) concept and the procedures for its computation.
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