1) For US. Inc., there have been having problems with deciding on the number of
ID: 389169 • Letter: 1
Question
1) For US. Inc., there have been having problems with deciding on the number of Kanban cards in the system. There were several material shortages during the last period. In order to prevent shortages while maintaining an efficient Kanban system, how many Kanban cards should be released in the system?
The lead time is 1 day and the safety stock level is set to 10% of the average demand during the day. The container size is 15 units per container. The following is the demands over the last 10 days:
Days
1
2
3
4
5
6
7
8
9
10
Daily demands
100
98
97
120
123
125
121
100
110
105
Select one:
a. 15 cards
b. 8 cards
c. 5 cards
d. 12 cards
Days
1
2
3
4
5
6
7
8
9
10
Daily demands
100
98
97
120
123
125
121
100
110
105
Explanation / Answer
y = (DT(1+x))/C=110x1(1+.1)/15=8 cards
Average demand=1099/10=110 rounded off
Y: number of cards
D: demand per unit of time
T: lead time
C: container capacity
X: buffer, or safety factor
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