Reference no: EM132649617
The Cute Corporation produces small plastic dolls in its Florida manufacturing plant. The company is currently evaluating ways to improve productivity. The accountant of the firm's parent organization suggested that management implement a new compensation plan based on throughput performance measure as an incentive to increase productivity. To demonstrate how such a measure might work, the accountant gathered the following production data for a recent month:
Total units attempted 6,000,000
Good units manufactured 4,800,000
Processing time (total hours) 800
Value-added processing 600
Required:
Question 1. How many defective units were produced?
Question 2. Compute manufacturing cycle efficiency (MCE).
Question 3. Compute process productivity.
Question 4. Compute process quality yield.
Question 5. Compute hourly throughput.