Krupp Refrigeration, Inc., is trying to reduce inventory and wants you to install a kanban system for
Question:
Krupp Refrigeration, Inc., is trying to reduce inventory and wants you to install a kanban system for compressors on one of its assembly lines. Determine the size of the kanban and the number of kanbans (containers) needed.
Transcribed Image Text:
Setup cost = $10 Annual holding cost per compressor = $100 Daily production 200 compressors Annual usage = 25,000 (50 weeks x 5 days each x daily usage of 100 compressors) Lead time Safety stock 3 days day's production of compressors
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Related Book For
Operations Management Sustainability And Supply Chain Management
ISBN: 234357
12th Edition
Authors: CHUCK MUNSON & AMIT SACHAN AND . JAY HEIZER , BARRY RENDER
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