Abstract
Abstract Manufacturing cycle time (the time that elapses from work order release to completion) affects the cost of developing and manufacturing a product. However, most cost models consider only the setup and processing times and ignore the move times and queue times, which form most of the manufacturing cycle time. This paper discusses the economic impact of manufacturing cycle time. It presents methods for estimating the manufacturing cycle time of a new product that will be made in a manufacturing system that makes other products as well. It identifies the benefits of reducing manufacturing cycle time and shows how those benefits yield increased profitability.
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