The difference between Setup Time and Run Time lies in their purpose and the stage of production they apply to:
Setup Time:
- Definition: The time required to prepare equipment, tools, or materials before starting the actual production process.
- Purpose: Ensures the machinery and work environment are ready for production.
- Example: Adjusting a cutting machine to the correct dimensions for the Deluxe Office Chair parts or gathering all required materials at the workstation.
- Key Feature: Setup time is usually fixed and does not depend on the number of units being produced.
Run Time:
- Definition: The time it takes to produce one unit of an item once the setup is complete.
- Purpose: Represents the actual time spent on manufacturing a single product.
- Example: Cutting the raw materials for one chair or assembling one chair frame.
- Key Feature: Run time scales with the number of units being produced (e.g., producing 10 chairs will take 10 times the run time for a single chair).
Key Differences:

Both setup time and run time are critical for accurate scheduling, cost estimation, and capacity planning in manufacturing processes.