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Compute the overall equipment effectiveness

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Reference no: EM132764359

Jefferson Company's demand for its only product exceeds its manufacturing capacity. The company provided the following information for the machine whose limited capacity is prohibiting the company from producing and selling additional units.

Actual run time this week 6,723 minutes
Machine time available per week 8,100 minutes
Actual run rate this week 1.52 units per minute
Ideal run rate 2.00 units per minute
Defect-free output this week 12,496 units
Total output this week (including defects) 17,600 units

Required:

Problem 1. Compute the utilization rate. (Round your answer to 2 decimal places.)

Problem 2. Compute the efficiency rate. (Round your answer to 2 decimal places.)

Problem 3. Compute the quality rate. (Round your answer to 2 decimal places.)

Problem 4. Compute the overall equipment effectiveness (OEE). (Do not round intermediate calculations. Round your final answer to 3 decimal places.)

Reference no: EM132764359

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