What is the manufacturing lead time for an average order

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Reference no: EM131648533

An average of 20 new orders are started through a certain factory each month. On average, an order consists of 50 parts that are processed sequentially through 10 machine-operations in the factory. The operation time per machine for each part = 15 min. The non-operation time per order at each machine averages 8 hours, and the required setup time per order = 4 hours. There are a total of 25 machines in the factory working in parallel. Each of the machines can be set up for any type of job processed in the plant. Only 80% of the machines are operational at any time (the other 20% are in repair or maintenance). The plant operates 160 hours per month. However, the plant manager complains that a total of 100 overtime machine hours must be authorized each month in order to keep up with the production schedule.

Determine the following:

(a) What is the manufacturing lead time for an average order?

(b) What is the plant capacity (on a monthly basis) and why must the overtime be authorized?

(d) Determine the average level of work in process (number of parts in process) in the plant.

Reference no: EM131648533

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