EBK PRINCIPLES OF OPERATIONS MANAGEMENT
11th Edition
ISBN: 9780135175644
Author: Munson
Publisher: VST
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Question
Chapter 16, Problem 6P
Summary Introduction
To determine: The number of kanbans needed.
Concept introduction
The Economic Order Quantity is the order quantity at which the overall cost is minimum, given the set up or ordering cost, the annual demand and the inventory holding cost.
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Pauline Found Manufacturing, Inc., is moving to kanbans to support its telephone switching-board assembly lines. Determine the size of the kanban for subassemblies and the number of kanbans needed.
Setup cost
$30
Annual holding cost
$100
per subassembly
Daily production
20
subassemblies
Annual usage
2,500
(50
weeks×5
days
each×daily
usage of
10
subassemblies)
Lead time
12
days
Safety stock
2
days' production
Kanban container size = (enter your response here )units (round your response to the nearest whole number).
Pauline Found Manufacturing, Inc., is moving to kanbans to support its telephone switching-board assembly lines.
Determine the size of the kanban for subassemblies and the number of kanbans needed.
Setup cost
Annual holding cost
Daily production
Annual usage
$30
$120 per subassembly
20 subassemblies
4,500 (50 weeks x5 days each x daily usage of
18 subassemblies)
10 days
Lead time:
Safety stock
3 days' production
Kanban container size = 150 units (round your response to the nearest whole number).
Number of kanbans needed = 2 kanbans (round your response to the nearest whole number)
Pauline Found Manufacturing, Inc., is moving to kanbans to support its telephone switching-board assembly lines.
Determine the size of the kanban for subassemblies and the number of kanbans needed.
Setup cost
Annual holding cost
Daily production
Annual usage
Lead time
Safety stock
$30
$120 per subassembly
30 subassemblies
3,000 (50 weeks × 5 days each × daily usage of
12 subassemblies)
12 days
2 days' production
Kanban container size = ☐ units (round your response to the nearest whole number).
Chapter 16 Solutions
EBK PRINCIPLES OF OPERATIONS MANAGEMENT
Ch. 16 - Prob. 1EDCh. 16 - Prob. 1DQCh. 16 - Prob. 2DQCh. 16 - Prob. 3DQCh. 16 - Prob. 4DQCh. 16 - Prob. 5DQCh. 16 - Prob. 6DQCh. 16 - Prob. 7DQCh. 16 - Prob. 8DQCh. 16 - Prob. 9DQ
Ch. 16 - Prob. 10DQCh. 16 - Prob. 11DQCh. 16 - Prob. 12DQCh. 16 - Prob. 1PCh. 16 - Prob. 2PCh. 16 - Prob. 3PCh. 16 - Prob. 4PCh. 16 - Prob. 5PCh. 16 - Prob. 6PCh. 16 - Prob. 7PCh. 16 - Prob. 8PCh. 16 - Prob. 9PCh. 16 - Prob. 10PCh. 16 - Prob. 11PCh. 16 - Prob. 12PCh. 16 - Prob. 1.1VCCh. 16 - Prob. 1.2VCCh. 16 - Prob. 1.3VCCh. 16 - Prob. 2.1VCCh. 16 - Prob. 2.2VCCh. 16 - Prob. 2.3VCCh. 16 - Prob. 2.4VC
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- Pauline Found Manufacturing, Inc., is moving to kanbans to support its telephone switching-board assembly lines. Determine the size of the kanban for subassemblies and the number of kanbans needed. Setup cost Annual holding cost Daily production Annual usage Lead time Safety stock $30 $125 per subassembly 30 subassemblies 4,000 (50 weeks x5 days each daily usage of 16 subassemblies) 10 days 4 days' production Kanban container size = 4608 units (round your response to the nearest whole number).arrow_forwardPauline Found Manufacturing, Inc., is moving to kanbans to support its telephone switching board assembly lines. Determine the size of the kanban for subassemblies and the number of kanbane needed. Setup cost Annual holding cost Daily production Annual usage Lead time Safely stock $30 $125 per subassembly 20 subassemblies 2.500 (50 weeks x5 days each x daily usage of 10 subassemblies) 10 days 4 days' production Kanban container size=units (round your response to the nearest whole number) Number of kanbans needed kanbans (round your response to the nearest whole number)arrow_forwardPauline Found Manufacturing, Inc., is moving tokanbans to support its telephone switching-board assemblylines. Determine the size of the kanban for subassemblies and thenumber of kanbans needed.Setup cost = $30 Annual holding cost = $120 per subassemblyDaily production = 20 subassembliesAnnual usage = 2,500 (50 weeks * 5 days each* daily usage of 10 subassemblies)Lead time = 16 daysSafety stock = 4 days> production of subassembliesarrow_forward
- Carol Cagle has a repetitive manufacturing plant producing trailer hitches in Arlington, Texas. The plant has an average inventory turnover of only 12 times per year. He has therefore determined that he will reduce his component lot sizes. He has developed the following data for one component, the safety chain clip: Setup labor cost $20 per hour Annual holding cost $15 per unit Daily production 992 units/8 hour day Annual demand 36,000 (250 days each×daily demand of 144 units) Desired lot size 124 units (one hour of production) To obtain the desired lot size, the set-up time that should be achieved = nothing minutes (round your response to two decimal places).arrow_forwardRick Wing has a repetitive manufacturing plant producing automobile steering wheels. Use the following data to pre-pare for a reduced lot size. The firm uses a work year of 305 days. Annual demand for steering wheels 30,500Daily demand 100Daily production (8 hours) 800Desired lot size (2 hours of production) 200Holding cost per unit per year $10 a) What is the setup cost, based on the desired lot size?b) What is the setup time, based on $40 per hour setup labor?arrow_forwardCarol Cagle has a repetitive manufacturing plant producing trailer hitches in Arlington, Texas. The plant has an average inventory turnover of only 12 times per year. He has therefore determined that he will reduce his component lot sizes. He has developed the following data for one component, the safety chain clip: Setup labor cost $25 per hour Annual holding cost $12 per unit Daily production 960 units/8 hour day Annual demand 45,360 (270 days each×daily demand of 168 units) Desired lot size 120 units (one hour of production) Part 2 To obtain the desired lot size, the set-up time that should be achieved = enter your response here minutes (round your response to two decimal places).arrow_forward
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