XYZ Cosmetics,Inc Compute Total Delivery Cycle Time for Each Week and Evaluate

question 63

Multiple Choice

XYZ Cosmetics,Inc.,has developed a set of nonfinancial measures to evaluate on-time product delivery performance for one of its best-selling cosmetics.The following data have been generated for the past four weeks: $$\begin{array} { l l l l } & \text { Purchase } & \text { Praduction } & \\& \text { Order } & \text { Cycle } & \text { Delivery } \\\text { Week } & \text { Lead Time } & \text { Time } & \text { Time } \\1 & 2.4 \text { days } & 3.5 \text { days } & 4.0 \text { days } \\2 & 2.3 \text { days } & 3.4 \text { days } & 3.6 \text { days } \\3 & 2.4 \text { days } & 3.3 \text { days } & 3.4 \text { days } \\4 & 2.2 \text { days } & 3.1 \text { days } & 3.7 \text { days }\end{array}$$
Compute total delivery cycle time for each week and evaluate the product delivery performance.Which area still needs management's attention?

• A) Purchase order lead time
• B) Production cycle time
• C) Delivery time
• D) None, all have improved over the past four weeks.

---

Definitions:

Trade Secrets

Confidential business information that provides an enterprise with a competitive edge, and is therefore protected from disclosure.

Breach of Confidence

The unauthorized use or disclosure of confidential information that has been communicated in confidence.

Computer Software

Programs and other operating information used by a computer to perform specific tasks.

Confidential Information

Private information, the disclosure of which would be injurious to a business; a type of intellectual property.