Hartley Electronics, Inc., in Nashville, produces short runs of custom airwave s

Question

Hartley Electronics, Inc., in Nashville, produces short runs of custom airwave scanners for the defense industry. You have been asked by the owner, Janet Hartley, to reduce inventory by introducing a kanban system. After several hours of analysis, you develop the following data for scanner connectors used in one work cell. How many kanbans do you need for this connector? Daily demand 1,200 connectors 4 days Lead time Safety stock 1.00 day Kanban size 500 connectors Number of kanbans kanbans (round your response to the nearest whole number)

Explanation / Answer

Number of Kanbans needed = Demand*(Replenishment time + safety stock)/Kanban size = 1200*(4+1)/500 = 12

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