operations of kanbans. Kanban reduces the ideal time of the system and it follows JIT concepts, it orders for the stocks when it reaches the reorder point to reduce the ideal time of stock and holding cost and to improve the transmit time. Kanban system eliminates the first (larger) bin by placing the card on the top of the second (small) bin. The purpose of the first bin is nothing here so eliminate it will reduce the cost and space in inventory. Kanban orders for a new quantity when it arrives in the empty container.

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Chapter 16, Problem 8Q

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To identify: operations of kanbans.

Kanban reduces the ideal time of the system and it follows JIT concepts, it orders for the stocks when it reaches the reorder point to reduce the ideal time of stock and holding cost and to improve the transmit time. Kanban system eliminates the first (larger) bin by placing the card on the top of the second (small) bin. The purpose of the first bin is nothing here so eliminate it will reduce the cost and space in inventory. Kanban orders for a new quantity when it arrives in the empty container.

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