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4 March, 11:24

ABC Manufacturing uses a Kanban system for a component. The daily demand is 800 units. Each container has a combined waiting and processing time of 0.34 days. If the container size is 50 and efficiency (safety) factor is 9 percent, how many Kanban card sets should be authorized (round up) ?

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  1. 4 March, 12:38
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    6 (rounded up to the nearest whole number)

    Explanation:

    Number of kaban = Daily demand*lead time in days * (1 + safety stock) / quantity in a container

    = 800*0.34 * (1+9/100) / 50

    272 * 1.09/50

    272 * 0.0218

    =5.9296

    =6 (nearest whole number)
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