Street Rider Company produces street quality long-boards. The long-boards are produced in a cellular system. Three cells

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Street Rider Company produces street quality long-boards. The long-boards are produced in a cellular system. Three cells perform the manufacturing tasks: Cell 1 assembles the wheels on an axle, Cell 2 adds the decorative decals to the long-board, and Cell 3 attaches the wheel assembly to the long-board. The standard work in process (SWIP) per shift is 84 long-boards. The long-boards are fabricated by robotic manufacturing equipment. The equipment has an ideal rate time of 14 boards per hour, and work is performed in 6-hour shifts. Information for the first week of the month is as follows:

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Required:

A. Calculate WIP to SWIP for the manufacturing cells for each day during the week.

B. Explain why the "ideal" WIP to SWIP is one.

C. Calculate each day's operational equipment effectiveness (OEE) for the robotic equipment.

D. Provide a possible business reason why the OEE changes throughout the week. Suggest a course of action for Street Rider management.

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Related Book For  book-img-for-question

Cost Management Measuring, Monitoring and Motivating Performance

ISBN: 978-1119185697

3rd Canadian edition

Authors: Leslie G. Eldenburg, Susan K. Wolcott, Liang Hsuan Chen, Gail Cook

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