A bottling plant fills 2,400 bottles every two hours. The lead time is 50 minutes and...
A bottling plant fills 2,400 bottles every two hours. The lead
time is 50 minutes and a container accommodates 80 bottles. The
safety stock is 30 percent of expected demand. How many kanban
cards are needed? (Round up your answer to the next whole
number.)
Homework Answers
Number of kanbans = DL(1 + S)/C
D = Average number of units demanded over some time period
L = Lead time to replenish an order (expressed in the same units as demand)
S = Safety stock expressed as a percentage of demand during the lead time
C = Container size
D = If the average number of units demanded is 2400 and the time period is 2 hours, then that's the same as 1200 in an hour, 1200 in 60 minutes, 20 in one minute.
L = 50
S = 0.3
C = 80
Number of kanbans = 20 * 50 (1 + 0.3) / 80 = 16.25
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