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The welding department supplies parts to the final assembly line. Management decides to implement a kanban...

The welding department supplies parts to the final assembly line. Management decides to implement a kanban system and has collected the following data.
  • The daily demand is 2000 units
  • The production lead time is 4 days (this includes processing time, transport time, and waiting time)
  • Management has decide to have a 1 day safety stock
  •  One container fits 400 units
 
How many kanban containers will be needed to support this system?

Solutions

Expert Solution

Compute the number of kanban containers in the system as below,

Number of \(\mathrm{K}\) anban \(=\frac{\mathrm{L}_{\mathrm{d}}+\mathrm{SS}}{\mathrm{n}}\)

Here.

Lead time demand, \(L_{\mathrm{d}}=4\) days \(\times 2000\) units per day \(=8,000\) units Container size, \(\mathrm{n}=400\) units Safety stock, \(\mathrm{SS}=1\) day \(\times 2,000\) units per day \(=2,000\) units

$$ \begin{aligned} \text { Number of Kanban } &=\frac{\mathrm{L}_{\mathrm{d}}+\mathrm{SS}}{\mathrm{n}} \\ &=\frac{8000+2000}{400} \\ &=25 \text { containers } \end{aligned} $$

Amanda K answered 2 years ago
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