A bank in New Delhi, India, uses a Kanban system in its check processing facility. Each Kanban

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A bank in New Delhi, India, uses a Kanban system in its check processing facility. Each Kanban container holds 60 checks, requires 25 minutes to be processed, and spends 2.5 hours waiting to be handled. The facility operates 24 hours per day. A safety stock of 25% of the expected daily demand is maintained:

1. If 25 Kanban containers are currently in use, what is the expected daily demand of the check processing facility?

2. How many containers are needed if the intention is to eliminate all waste in the system completely?

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Operations Management Managing Global Supply Chains

ISBN: 978-1506302935

1st edition

Authors: Ray R. Venkataraman, Jeffrey K. Pinto

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