A manufacturer of thermostats uses a kanban system tocontrol the fl ow of materials. Th e packaging center processes 10thermostats an hour and receives completed thermostats every 30minutes. Containers hold 5 thermostats each.(a) How many kanbans are needed for the packaging center?(b) If management decides to keep two thermostats as safetystock, how many kanbans will be needed?

Cornerstones of Cost Management (Cornerstones Series)
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Chapter20: Inventory Management: Economic Order Quantity, Jit, And The Theory Of Constraints
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A manufacturer of thermostats uses a kanban system to
control the fl ow of materials. Th e packaging center processes 10
thermostats an hour and receives completed thermostats every 30
minutes. Containers hold 5 thermostats each.
(a) How many kanbans are needed for the packaging center?
(b) If management decides to keep two thermostats as safety
stock, how many kanbans will be needed?

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