Answer
Customer-response time refers to the time it takes from the moment a customer places an order to when they receive the product or service. It encompasses the entire process, including order processing, production, and delivery, and is customer-focused.
Manufacturing cycle time, on the other hand, is the time it takes from receiving an order to producing a finished product. It is a specific component of customer-response time related to the manufacturing or production phase.
Work Step by Step
Customer-response time and manufacturing cycle time differ as follows:
1. Customer-Response Time: This is the time it takes from the moment a customer places an order to the moment they receive the product or service. It encompasses the entire process, including order processing, production, and delivery. Customer-response time is customer-centric and focuses on meeting customer expectations for delivery.
2. Manufacturing Cycle Time: This is the time it takes from the moment an order is received by the manufacturing process to the moment a finished product is produced. It is a component of customer-response time, specifically related to the manufacturing or production phase.
In a nutshell, manufacturing cycle time is just one part of the overall customer-response time. Delays in customer-response time can be attributed to delays in manufacturing cycle time, order processing, and product delivery. To optimize customer satisfaction, companies must manage and minimize all these time components effectively.
