Torrance Manufacturing evaluates the performance of its production managers based on a variety of factors, including cost, quality, and cycle time. The following information relates to the average amount of time needed to complete an order for its one product:
Wait time:
From order being placed to start of production.. 8 days
From start of production to completion..... 6 days
Inspection time.............. 2 days
Process time.............. 4 days
Move time............... 2 days
REQUIRED
1. Compute the manufacturing cycle efficiency for an order.
2. Compute the manufacturing cycle time (or lead time) for an order.