100.00 points Problem 12-10 A supplier of instrument gauge clusters uses a kanba

Question

100.00 points Problem 12-10 A supplier of instrument gauge clusters uses a kanban system to control material flow. The gauge cluster housings are transported four at a time. A fabrication center produces approximately 12 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 15 percent of the needed inventory as safety stock. How many kanban card sets are needed? (Round up your answer to the next whole number.) Number of kanban card sets Hints References tor question Check my NO CELL PHONE USE RECEIPTS GIVEN ON ALL TRANSACTIONS 5C6 Tab Caps Lock

Explanation / Answer

Given daily demand d = 12 gauges per hour

Lead time L = 3 hours

Safety stock S = 0.15

Container size = 4 hours

No of Kanban K= DL(1+S)/C

K = 12(3)(1+0.15)/4 = 10.35

No of kanbans k = 11

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