a)
To determine: The number of trucks needed.
Introduction:
Lean systems in an organization would have greater impact on the customers and their values. The goal of lean thinking is to improve the productivity of the department, and the goal for any lean system is to maximize the customer value.
b)
To determine: The consequences when the truck breaks down.
Introduction:
Lean systems in an organization would have greater impact on the customers and their values. The goal of lean thinking is to improve the productivity of the department, and the goal for any lean system is to maximize the customer value.
c)
To determine: The way to ensure that the customer does not run out of parts even when there are delivery problems or other uncertainties.
Introduction:
Lean systems in an organization would have greater impact on the customers and their values. The goal of lean thinking is to improve the productivity of the department, and the goal for any lean system is to maximize the customer value.
d)
To determine: The consequences to the supplier if the customer runs into trouble and shuts down for six hours.
Introduction:
Lean systems in an organization would have greater impact on the customers and their values. The goal of lean thinking is to improve the productivity of the department, and the goal for any lean system is to maximize the customer value.
Want to see the full answer?
Check out a sample textbook solutionChapter 7 Solutions
OPERATIONS MANAGEMENT IN THE SUPPLY CHAIN: DECISIONS & CASES (Mcgraw-hill Series Operations and Decision Sciences)
- Lot-for-lot replenishment is most appropriate for which types of orders? Large, infrequent orders Any independent demand items Infrequent orders of varying sizes Orders in a Just-in-Time (JIT) shoparrow_forward个 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 453 gears per day. Containers typically wait 1.2 day in the fabrication cell. Each container holds 35 gears, and one container requires 24 day in machine time. Setup times are negligible. If the policy variable for unforeseen contingencies is set at 0.03, how many containers should Jitson authorize for the gear replenishment system? Jitson should authorize containers. (Enter your response rounded up to the next whole number)arrow_forwardRick Wing has a repetitive manufacturing plant producing automobile steering wheels. Use the following data to prepare for a reduced lot size. The firm uses Setup labor cost Annual holding cost $40.00 per hour $10 per unit Daily production (8 hours) 960 units/day 32,450 (295 days x daily demand of 110 units) Q = 240 units Annual demand for steering wheels Desired lot size (2 hours of production) a) Setup cost $ (round your response to two decimal places). work year of 295 days.arrow_forward
- Problem 2: Perkins Lighting wishes to employ a kanban in their new floor lamp production system. For the floor lamp base, they have provided the following information: Daily demand 300 units Holding cost $20/unit/year Order cost $10/order Lead time 2 days Safety stock 600 units Find the size of the kanban and the number of kanbans required.arrow_forwardIn a short article on Pros and Cons of Re-Order Control and Cycle Inventory Tracking Systems, please clarify it to me.arrow_forwardAnnual physical inventories usually do not require shutdown of production facility. O True O Falsearrow_forward
- 31 A supplier of instrument gauge clusters uses a kanban system to control material flow. The gauge cluster housings are transported six at a time. A fabrication center produces approximately 10 gauges per hour. It takes approximately three hours for the housing to be replenished. Due to variations in processing times, management has decided to keep 10 percent of the needed inventory as safety stock. How many kanban card sets are needed? Note: Round up your answer to the next 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 kanbans needed. Setup cost $30 Annual holding cost $125 per subassembly Daily production 30 subassemblies Annual usage 3,000 (50 weeks×5 days each×daily usage of 12 subassemblies) Lead time 12 days Safety stock 4 days' production Part 2 Kanban container size = enter your response here units (round your response to the nearest whole number).arrow_forwardA regional manufacturer of table lamps plans on using a manual kanban information system. On average the firm produces 1,200 lamps monthly. Production leadtime is 18 days, and the firm plans to have 15 percent buffer stock. Assume 20 working days per month.b. What is the maximum WIP inventory the company can expect to have usingthis system?arrow_forward
- 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).arrow_forwardIn a large microelectronics plant, the assembly cell for circuitboards has a demand for 200 units an hour. Two feeder cellssupply parts A and B to the assembly cell (one A and one Bfor each board). Standard containers that look like dividedtrays are used. A container will hold 20 As or 10 Bs. It takes10 minutes to fill up a container with As and 20 minutes tofill up a container with Bs. Transit time to the assembly cell is5 minutes for both A and B. No safety factor is used. Set up akanban control system for the assembly process.arrow_forwardCarol Cagle has a repetitive manufacturing plant pro-ducing trailer hitches in Arlington, Texas. The plant has an average inventory turnover of only 12 times per year. She has therefore deter-mined that she will reduce her component lot sizes. She has devel-oped the following data for one component, the safety chain clip: Annual demand = 31,200 unitsDaily demand = 120 unitsDaily production (in 8 hours) = 960 unitsDesired lot size (1 hour of production) = 120 unitsHolding cost per unit per year = $12Setup labor cost per hour = $20 How many minutes of setup time should she have her plant man-ager aim for regarding this component?arrow_forward
- Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,Operations ManagementOperations ManagementISBN:9781259667473Author:William J StevensonPublisher:McGraw-Hill EducationOperations and Supply Chain Management (Mcgraw-hi...Operations ManagementISBN:9781259666100Author:F. Robert Jacobs, Richard B ChasePublisher:McGraw-Hill Education
- Purchasing and Supply Chain ManagementOperations ManagementISBN:9781285869681Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. PattersonPublisher:Cengage LearningProduction and Operations Analysis, Seventh Editi...Operations ManagementISBN:9781478623069Author:Steven Nahmias, Tava Lennon OlsenPublisher:Waveland Press, Inc.