Lipex, Ltd., of Birmingham, England, is interested in cutting the amount of time between when a customer places an order and when the order is completed. For the first quarter of the year, the following data were reported:

Inspection time . . . . . . . 0.5 days

Process time . . . . . . . . . 2.8 days

Wait time . . . . . . . . . . . . 16.0 days

Queue time . . . . . . . . . . 4.0 days

Move time . . . . . . . . . . . 0.7 days

Required:

1. Compute the throughput time.

2. Compute the manufacturing cycle efficiency (MCE) for the quarter.

3. What percentage of the throughput time was spent in non-value-added activities?

4. Compute the delivery cycle time.

5. If by using Lean Production all queue time can be eliminated in production, what will be the new MCE?