Compute the total supply chain throughput time

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NauticaB is a company that makes little boats. This company controls its production process by periodically taking a sample of 100 units from the production line.

Each product is inspected for defective features.

Control limits are developed using three standard deviations from the mean as the limit.

During the last 16 samples taken, the proportion of defective items per sample was recorded as follows:

.01

.02

.01

.03

.02

.01

.00

.02

.00

.01

.03

.02

.03

.02

.01

.00

The supply chain of Nautica has the following information:

Inventory in

Supplier

Factory

Wholesale

Retailer

days*

30

90

40

20

Accounts receivable

in days

20

45

30

40

Accounts

payable in days

30

45

60

37

Purchasing unit cost

$ 5

$20

$55

5 70

Added unit cost

$10

$25

$10

$ 30

Sales unit price

$20

$55

570

$110

On-time delivery (%)

85

95

75

95

Question 1-
Determine the mean proportion defective, the UCL, and the LCL and draw the process control chart. Does it appear that the process for making tees is in control? (chapter 9)

Question 2

a. b. c.

Compute the total supply chain throughput time for all the entities from beginning to end.

Compute the cash-to-cash cycle time for each of the four entities separately. Based on this calculation, who is benefiting the most?

Compute the total delivered unit cost in the supply chain from beginning to end. How much profit is there in the supply chain?

Verified Expert

This is the statistically oriented assignment which primarily deals with the solving various questions and providing suitable result. It is an purely practical and subject t oriented as work, dealing with making practical computation stronger

Reference no: EM132158580

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