Explain the difference between value-added and non-value-added activities. 1 answer below »

(Activity analysis; MCE) Log Cabins Unlimited constructs vacation houses in the North Carolina mountains. The company has developed the following value chart:

Average Number

Operations

of Days

Receiving materials

2

Storing materials

10

Measuring and cutting materials

9

Handling materials

7

Setting up and moving scaffolding

6

Assembling materials

3

Building fireplace

12

Pegging logs

8

Cutting and framing doors and windows

5

Sealing joints

4

Waiting for county inspectors

6

Inspecting property (county inspectors)

1

a. What are the value-added activities and their total time?

b. What are the non-value-added activities and their total time?

c. Calculate the manufacturing cycle efficiency of the process.

d. Explain the difference between value-added and non-value-added activities.