Principles Of Operations Management
11th Edition
ISBN: 9780135173930
Author: RENDER, Barry, HEIZER, Jay, Munson, Chuck
Publisher: Pearson,
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Chapter 16, Problem 11P
Summary Introduction
To determine: The number of kanbans needed for this connector.
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Hartley Electronics, Inc., in Nashville, producesshort runs of custom airwave scanners for the defense industry.The owner, Janet Hartley, has asked you to reduce inventory byintroducing a kanban system. After several hours of analysis, youdevelop the following data for scanner connectors used in onework cell. How many kanbans do you need for this connector?
Krupp Refrigeration, Inc., is trying to reduce inventory and wants you to install a kanban system for compressors on one of itsassembly lines. Determine the size of the kanban and the number of kanbans (containers) needed.Setup cost = $10Annual holding cost per compressor = $100Daily production = 200 compressorsAnnual usage = 25,000 (50 weeks * 5 days each * daily usage of 100 compressors)Lead time = 3 daysSafety stock = 1
2 day’s production of compressors
Hartley Electronics, Inc., in Nashville, producesshort runs of custom airwave scanners for the defense industry. The owner, Janet Hartley, has asked you to reduce inventory by introducing a kanban system. After several hours ofanalysis, you develop the following data for scanner connectors used in one work cell. How many kanbans do you needfor this connector?
Chapter 16 Solutions
Principles Of Operations Management
Ch. 16 - Prob. 1EDCh. 16 - Prob. 1DQCh. 16 - Prob. 2DQCh. 16 - Prob. 3DQCh. 16 - Prob. 4DQCh. 16 - Prob. 5DQCh. 16 - Prob. 6DQCh. 16 - Prob. 7DQCh. 16 - Prob. 8DQCh. 16 - Prob. 9DQ
Ch. 16 - Prob. 10DQCh. 16 - Prob. 11DQCh. 16 - Prob. 12DQCh. 16 - Prob. 1PCh. 16 - Prob. 2PCh. 16 - Prob. 3PCh. 16 - Prob. 4PCh. 16 - Prob. 5PCh. 16 - Prob. 6PCh. 16 - Prob. 7PCh. 16 - Prob. 8PCh. 16 - Prob. 9PCh. 16 - Prob. 10PCh. 16 - Prob. 11PCh. 16 - Prob. 12PCh. 16 - Prob. 1.1VCCh. 16 - Prob. 1.2VCCh. 16 - Prob. 1.3VCCh. 16 - Prob. 2.1VCCh. 16 - Prob. 2.2VCCh. 16 - Prob. 2.3VCCh. 16 - Prob. 2.4VC
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- Titan fitness produces custom barbells for crossfitters. The owner, Ed, has asked you to reduce inventory by introducing a kanban system. After several hours of analysis, you developed the following data for a barbell part used in one work cell. How many kanbans do you need for this connector?arrow_forwardDETERMINING THE NUMBER OF KANBAN CONTAINERS Hobbs Bakery produces short runs of cakes that are shipped to grocery stores. The owner, Ken Hobbs,wants to try to reduce inventory by changing to a kanban system. He has developed the following dataand asked you to finish the project.Production lead time = Wait time + Material handling time + Processing time = 2 daysDaily demand = 500 cakesSafety stock = 12 dayContainer size (determined on a production order size EOQ basis) = 250 cakesarrow_forward6000 units of a part are needed every year. Currently, this part is manufactured internally. Each production run costs 500 dollars to set up. The part costs 5 dollars. The carrying cost is 10% per year. The company has the option of ordering this part from another company. This would increase the part’s cost to 6 dollars, although the fixed cost of ordering would be low at 300 dollars per order. Should the company continue manufacturing the part, or order it? Show your calculations.arrow_forward
- The demand for milk at a coffee shop is 60 quarts per day. Lead time to replenish inventory is 2 days and the coffee shops want to have ½ of safety stock. If the container size of milk is 10 quarts, what is the Kanban number?arrow_forwardAnswer the given with question proper explanation and step by step solution. a) A supplier of instrument gauge clusters uses a Kanban system to control material flow. The gauge clusterhousings 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 Kanbancard sets are needed? b) Transmissions are delivered to the fabrication line six at a time. It takes 180 minutes for transmissionsto be delivered. Approximately eighteen vehicles are produced each hour, and management has decidedthat 20 percent of expected demand should be maintained as safety stock. How many Kanban card setsare needed?arrow_forwardPauline Found Manufacturing, Inc., is moving to kanbans to support its telephone switching-board assembly lines. Determine the size of the kanban for subassemblies and the number of kanbans needed. Setup cost $30 Annual holding cost $125 per subassembly Daily production 30 subassemblies Annual usage 3,000 (50 weeks×5 days each×daily usage of 12 subassemblies) Lead time 12 days Safety stock 4 days' production Part 2 Kanban container size = enter your response here units (round your response to the nearest whole number).arrow_forward
- Pauline Found Manufacturing, Inc., is moving tokanbans to support its telephone switching-board assemblylines. Determine the size of the kanban for subassemblies and thenumber of kanbans needed.Setup cost = $30 Annual holding cost = $120 per subassemblyDaily production = 20 subassembliesAnnual usage = 2,500 (50 weeks * 5 days each* daily usage of 10 subassemblies)Lead time = 16 daysSafety stock = 4 days> production of subassembliesarrow_forwardABC Corporation recently decided to switch to just-in-time (JIT) inventory system. At the beginning of this switch, the firm has 40 units of product in inventory. The firm has 2,500 labor hours available in the first month of this switch. These hours could produce 700 units of the product. Customer demand for this month is 500 units. If JIT principles are correctly followed, how many units should the firm produce in the first month of the switch? a. 40 b. 740 c. 500 d. 460 e. 660 f. 200arrow_forwardThe following information describes a manufacturing system: Daily demand is 1,025 units. Replenishment lead time is 1.5 days. A 2.5 day safety stock is desired. Products are stored in containers that hold 940 units. How many kanban containers are needed for this system?arrow_forward
- If the demand per day is 100, the lead time is 5 days, safety stock is 50, and the container size is 55, what is the Kanban number? If the lead time improves to 4 days, what is the Kanban Number?arrow_forwardCarol Cagle has a repetitive manufacturing plant producing trailer hitches in Arlington, Texas. The plant has an average inventory turnover of only 12 times per year. He has therefore determined that he will reduce his component lot sizes. He has developed the following data for one component, the safety chain clip: Setup labor cost $20 per hour Annual holding cost $15 per unit Daily production 992 units/8 hour day Annual demand 36,000 (250 days each×daily demand of 144 units) Desired lot size 124 units (one hour of production) To obtain the desired lot size, the set-up time that should be achieved = nothing minutes (round your response to two decimal places).arrow_forwardPauline Found Manufacturing, Inc., is moving to kanbans to support its telephone switching-board assembly lines. Determine the size of the kanban for subassemblies and the number of kanbans needed. Setup cost $30 Annual holding cost $100 per subassembly Daily production 20 subassemblies Annual usage 2,500 (50 weeks×5 days each×daily usage of 10 subassemblies) Lead time 12 days Safety stock 2 days' production Kanban container size = (enter your response here )units (round your response to the nearest whole number).arrow_forward
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