question 16

The Jewel Golf Club Company, which recently began using a Kanban system, has had problems with high inventory levels of one of the handle grips used to make several versions of its clubs. Daily demand for the grip is 3000 units, average waiting time during production is 0.20 day, processing time is 0.10 day per container, and a container holds 150 grips.How many Kanban containers would Jewel require if a 15% policy variable is used?

Select one:

a. three or fewer

b. four or five

c. six or seven

d. eight or more