ONE Solution:
1. Maintenan standard: 8 hours per batch; expected cost per batch: s144 (8 x s18: kaizen standard 6 hours per batch (0.75 x 8); and expected cost per batch: $108 (6 x $18).
2. Maintenance 6 per standard: hours batch: and expected cost per batch: $108 (6 x $18) new fter determining that the suggested improvement works and is sustainable, level of is in revising the maintenance standard from eight hours to six hours. The next step is to search for another improvement opportunity that will then produce a new kaizen standard and expected batch cost. The ultimate objective is to eliminate all the non-value-added cost through a series of kaizen improvements.
3. You lock in the level actually achieved by the suggested improvement approach. In this case, the maintenance standard would be 6.4 hours (0.80 x 8) and the standard batch cost $115.20 (6.4 X $18)