PPQ: Silvercrest Manufacturing Ltd. is using Kanban containers. There are two adjacent work centres, a downstream (using) and an upstream (producing) one. The using work centre has a production rate of 200 parts per day and each container holds 21 parts. It takes 0.5 days for a container to make the entire cycle from the time it leaves the upstream centre until it is returned, filled with production, and leaves again. The manager wants a risk factor of 20%.i. What is the maximum inventory of parts in the system? (10 marks)ii. If the company wants the number of containers (holding 21 parts each) to be 5, what must the risk factor become?
PPQ: Silvercrest Manufacturing Ltd. is using Kanban containers. There are two adjacent work centres, a downstream (using) and an upstream (producing) one. The using work centre has a production rate of 200 parts per day and each container holds 21 parts. It takes 0.5 days for a container to make the entire cycle from the time it leaves the upstream centre until it is returned, filled with production, and leaves again. The manager wants a risk factor of 20%.i. What is the maximum inventory of parts in the system? (10 marks)ii. If the company wants the number of containers (holding 21 parts each) to be 5, what must the risk factor become?
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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PPQ:
Silvercrest Manufacturing Ltd. is using Kanban containers. There are two
adjacent work centres, a downstream (using) and an upstream (producing)
one. The using work centre has a production rate of 200 parts per day and
each container holds 21 parts. It takes 0.5 days for a container to make the
entire cycle from the time it leaves the upstream centre until it is returned,
filled with production, and leaves again. The manager wants a risk factor of
20%.
i. What is the maximum inventory of parts in the system? (10 marks)
ii. If the company wants the number of containers (holding 21 parts each)
to be 5, what must the risk factor become?
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