Tombro Industries is in the process of automating one of its plants and developi
ID: 2575728 • Letter: T
Question
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 Quality control measures: Number of defects Number of warranty claims Number of customer complaints 192 53 109 170 46 103 131 37 86 92 34 65 Material control measures: Purchase order lead time 8 days 7 days 5 days 4 days Scrap as a percent of total cost Machine performance measures: Machine downtime as a percentage of availability Use as a percentage of availability Setup time (hours) 4% 95 % 92% 10 8% 85% 12 89% Delivery performance measures: Throughput time Manufacturing cycle efficiency (MCE) Delivery cycle time Percentage of on-time deliveries 96% 95% 92 % 89% The president has read in industry journals that throughput time, MCE, and delivery cycle time are important measures of performance, but no one is sure how they are computed. You have been asked to assist the company, and you have gathered the following data relating to these measuresExplanation / Answer
1-a. Throughput time=Process time+Inspection time+Move time+Queue time Month 1 2 3 4 1) Inspection time 0.9 0.8 0.8 0.8 2) Process time 2.8 2.4 2.3 1 3) Queue time 3.9 4.4 5.3 7.3 4) Move time 0.4 0.6 0.6 0.9 5) Throughput time (1)+(2)+(3)+(4) 8 8.2 9 10 1-b. Manufacturing cycle efficiency=Value-added time (Process time)/Throughput time Month 1 2 3 4 1) Throughput time 8 8.2 9 10 2) Process time 2.8 2.4 2.3 1 3) Manufacuring cycle efficiency (2)/(1) 0.35 0.29 0.26 0.1 4) in % 35 29.00 26.00 10 1-c. Delivery cycle time=Wait time+Throughput time Month 1 2 3 4 1) Wait time 9 11.8 12 14 2) Throughput time 8 8.2 9 10 3) Delivery cycle time (1)+(2) 17 20 21 24 3-a. For Month 5,When Queue time=0. Throughput time=Process time+Inspection time+Move time+Queue time Month 5 1) Inspection time 0.8 2) Process time 1 3) Queue time 0 4) Move time 0.9 5) Throughput time (1)+(2)+(3)+(4) 2.7 Manufacturing cycle efficiency=Value-added time (Process time)/Throughput time Month 5 1) Throughput time 2.7 2) Process time 1 3) Manufacuring cycle efficiency (2)/(1) 0.37 4) in % 37 3-b. For month 6,When Queue time=0 and inspection time=0. Throughput time=Process time+Inspection time+Move time+Queue time Month 5 1) Inspection time 0 2) Process time 1 3) Queue time 0 4) Move time 0.9 5) Throughput time (1)+(2)+(3)+(4) 1.9 Manufacturing cycle efficiency=Value-added time (Process time)/Throughput time Month 5 1) Throughput time 1.9 2) Process time 1 3) Manufacuring cycle efficiency (2)/(1) 0.53 4) in % 53