Street Rider Company produces street quality long-boards. The long-boards are produced in a cellular system. Three cells
Question:
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:
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.
Step by Step Answer:
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