Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Isles Ltd require a kanban system for a specific part number AB - 1 2 3 4 5 - AA which is going to be
Isles Ltd require a kanban system for a specific part number ABAA which is going to be supplied by Gamma Ltd in containers, each of quantity The weekly demand by day for this part number in units over the past six weeks has been as indicated in Table and it has been agreed that the delivery frequency will be twice daily and the kanban signal will be via a am and Ipm daily email. Table : Demand for PartNumber ABAA by week for six weeks begintabularlcccccchline DayWeek &
&
&
&
&
&
hline Monday & & & & & & hline Tuesday & & & & & & hline Wednesday & & & & & & hline Thursday & & & & & & hline Friday & & & & & & hline begintabularl Weekly Average endtabular & & & & & & hline endtabular The standard deviation of daily demand is equal to units. The company allows
for safety stock and ideally it would like its buffer stock to accommodate a desired service level of
Calculate the maximum inventory level for ABAA at Isles Ltd How many kanbans are needed?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started