Question
a) A supplier of instrument gauge clusters uses a Kanban system to control material flow. The gauge cluster housings are transported five at a time.
a) A supplier of instrument gauge clusters uses a Kanban system to control material flow. The gauge cluster housings are transported five at a time. A fabrication center produces approximately 18 gauges per hour. It takes approximately two hours for the housing to be replenished. Due to variations in processing times, management has decided to keep 35 percent of the needed inventory as safety stock. How many Kanban card sets are needed? (3 points) b) Transmissions are delivered to the fabrication line six at a time. It takes 180 minutes for transmissions to be delivered. Approximately eighteen vehicles are produced each hour, and management has decided that 20 percent of expected demand should be maintained as safety stock. How many Kanban card sets are needed? (3 points)
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