A fabrication cell at Spradley’s Sprockets uses the pull method to supply gears to an assembly line. George Jitson is in charge of the assembly line, which requires 500 gears per day. Containers typically wait 0.20 day in the fabrication cell. Each container holds 20 gears, and one container requires 1.8 days in machine time. Setup times are negligible. If the policy variable for unforeseen contingencies is set at 5 percent, how many containers should Jitson authorize for the gear replenishment system?
A fabrication cell at Spradley’s Sprockets uses the pull method to supply gears to an assembly line. George Jitson is in charge of the assembly line, which requires 500 gears per day. Containers typically wait 0.20 day in the fabrication cell. Each container holds 20 gears, and one container requires 1.8 days in machine time. Setup times are negligible. If the policy variable for unforeseen contingencies is set at 5 percent, how many containers should Jitson authorize for the gear replenishment system?
Contemporary Marketing
18th Edition
ISBN:9780357033777
Author:Louis E. Boone, David L. Kurtz
Publisher:Louis E. Boone, David L. Kurtz
Chapter15: Distribution Channels And Supply Chain Management
Section15.4: Components Of The Supply Chain
Problem 1LO
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A fabrication cell at Spradley’s Sprockets uses the pull method to supply gears to an assembly line. George Jitson is in charge of the assembly line, which requires 500 gears per day. Containers typically wait 0.20 day in the fabrication cell. Each container holds 20 gears, and one container requires 1.8 days in machine time. Setup times are negligible. If the policy variable for unforeseen contingencies is set at 5 percent, how many containers should Jitson authorize for the gear replenishment system?
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