Answer:
The value-added, non-value-added, total lead time, and the value-added ratio under the present production approaches is as follows:
value-added=20 minutes
non-value-added=905 minutes
total lead time=925 minutes
value-added ratio=2.2%
The value-added, non-value-added, total lead time, and the value-added ratio under the proposed production approaches is as follows:
value-added=20 minutes
non-value-added=50 minutes
total lead time=70 minutes
value-added ratio=28.6%
Explanation:
In order to calculate the the value-added, non-value-added, total lead time, and the value-added ratio under the present production approaches we would have to use the following formula:
value-added=Process times, step 1 +Process times, step 2+Process times, step 3+Process times, step 4
value-added=5+8+4+3
value-added=20 minutes
non-value-added=Total within batch wait time+movie time
non-value-added=(5+8+4+3)*(45-1)+25
non-value-added=905 minutes
total lead time= value-added+ non-value-added
total lead time=20+905
total lead time=925 minutes
value-added ratio=value-added/total lead time
value-added ratio=20/925
value-added ratio=2.2%
In order to calculate the the value-added, non-value-added, total lead time, and the value-added ratio under the proposed production approaches we would have to use the following formula:
value-added=Process times, step 1 +Process times, step 2+Process times, step 3+Process times, step 4
value-added=5+8+4+3
value-added=20 minutes
non-value-added=Total within batch wait time+movie time
non-value-added=(5+8+4+3)*(3-1)+10
non-value-added=50 minutes
total lead time= value-added+ non-value-added
total lead time=20+50
total lead time=70 minutes
value-added ratio=value-added/total lead time
value-added ratio=20/70
value-added ratio=28.6%
