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Exotic Chocolate Company Produces Baking Chocolate for Use by Commercial

Question 171

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Exotic Chocolate Company produces baking chocolate for use by commercial organizations.The company is analyzing its operations in preparation for reconfiguring its factory setup.
Currently,each batch of chocolate requires the following processes:

 Function  Time (Minutes)
 Receiving ingredients from vendors  90
 Transporting ingredients to stockroom  100
 Ingredient storage  6,400
 Transporting ingredients to production area  75
 Mixing ingredients  400
 Cooking ingredients  180
 Cooling chocolate  90
 Packaging chocolate  160
 Moving finished goods to warehouse  105
 Storing finished goods in warehouse  20,500
 Moving finished goods to trucks  150

a)Calculate the total cycle time necessary to manufacture a batch of chocolate.
b)Identify the value-added functions
c)Calculate the manufacturing cycle efficiency (MCE)of this process.
d)Assume that a management consultant has established a goal that Exotic Chocolate Company increase its MCE to 5 percent or greater.Identify three possible areas in which the company could reduce its cycle time.

Correct Answer:

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a)The total cycle time is 28,250 minutes...

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