Principles of Operations Management: Sustainability and Supply Chain Management (10th Edition)
Principles of Operations Management: Sustainability and Supply Chain Management (10th Edition)
10th Edition
ISBN: 9780134181981
Author: Jay Heizer, Barry Render, Chuck Munson
Publisher: PEARSON
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Chapter 16, Problem 7P
Summary Introduction

To determine: The number of Kanbans

Concept introduction:

The Japanese word for card is termed as Kanban and has critical application in the “Just in Time” concept. The JIT philosophy was developed to reduce the inventory holding costs at various levels of the production chain. The materials are supplied to the process area just when they are needed in a particular operation. Supplying the materials before they are actually needed, adds to inventory carrying costs. It also may result in more space being occupied, additional handling, spoilage, obsolescence and so on.

The Kanban system relies on visual or simple signals to indicate to production systems that the product is needed.

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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 Kanban container size = $30 $125 per subassembly 40 subassemblies 4,500 (50 weeks × 5 days each × daily usage of 18 subassemblies) 14 days 2 days' production units (round your response to the nearest whole number).
Maggie Moylan Motorcycle Corp. uses kanbans to support its transmission assembly line. Determine the size of the kanban for the mainshaft assembly and the number of kanbans needed. Setup cost Annual holding cost Daily production Annual usage Lead time Safety stock $20 $200 per mainshaft 320 mainshafts/day 20,000 (50 weeks x 5 days each x daily usage of 80 mainshafts) 2 days 0.50 days' production Kanban container size = mainshafts (round your response to the nearest whole number). Number of kanbans = kanbans (round your response to the nearest whole number).
Flores Manufacturing, Inc., is moving to kanbans to support its electronic-board assembly lines. Determine the size of the kanban for subassemblies and the number of kanbans needed. Setup cost Annual holding cost subassembly Daily production Annual usage Lead time Safety stock $23 $200 per subassembly 550 subassemblies 50,000 (= 50 weeks x 5 days each x daily usage of 200 subassemblies) 3 days 1 day's production of subassemblies The kanban size is (round your response to the nearest whole number). The number of kanbans is (round your response to the nearest whole number).
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