Question

Based on numbers that need to be made up or created, Using Takt Time Analysis:

(a) create a situation with quantitative factors; - Provide information about the firm (names and dates can be omitted or changed) - Describe the problem or situation - Provide the data that will be used to solve the problem (do not forget units, money in dollars, times in minutes or hours, etc.)

(b) solve the situation showing the proof of your calculations; and - show all formulas and calculations necessary - explain your approach to the solve the problem - include tables and figures in the body of the text, not as an appendix

(c) analyze the implications of your solution to your organization. - explain if the problem is fully or partially addressed - if applicable, mention costs or savings related to your solution - comment managerial implications

Answer 1

Takt time analysis is an important concept in lean manufacturing because it balances the importance of meeting customer demand with the importance of minimizing work in progress and inventory. It establish the pace of production, it provides an easy way to see if you are ahead of schedule, behind schedule or right on schedule. The major aim is to satisfy the needs of the customer by creating the products in an efficient manner.

The formal calculation of Takt time is as follows:

Takt time= Production time/ Customer demand

Let's consider the example from XYZ service company where certain documents are verified and returned to the customer on daily basis.

The company has a shift of 8 hours working, with one 10 minutes break and 20 minutes lunch for its employees.

Total production time= 450minutes (8×60 minutes+10 minutes+20 minutes)

The requirements of the clients to verify 17500 documents in one week. Here, we have to convert the demand for per shift.

Customer demand= 3500 (17500/ 5 shifts)

Now, Takt time can be calculated as below.

= 450 minutes/ 3500 documents

= 0.1286 minutes or 7.72 seconds (0.1286 minutes ×60seconds)

Implications:

With this information, the operation managers could improve the production plan wherein there will not be any miss outs as the customers are served as per their requirements on time.

It is easier to identify if the production is ahead or behind schedule when converting takt time into a real time.

It helps to achieve 100% efficiency as the process has taken place in a scheduled manner.