Question: Consider the following information: Demand rate (D) = 60 units per hour Lead time (T) = 40 hours Container capacity (C) = 20 units Safety
Demand rate (D) = 60 units per hour
Lead time (T) = 40 hours
Container capacity (C) = 20 units
Safety factor (x) = 10%
a. How many kanban production cards are needed?
b. How many hours' worth of demand will these cards represent?
c. Suppose the demand rate is doubled but the lead time is cut in half. Will this make any difference in the inventory levels? Show your work.
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