Lead time for computers is 7 days with daily demand of 5 computers and a safety stock of 1 day.Each kanban holds 8 computers.What is the correct number of kanbans?
A)4.5
B)1
C)5
D)7
E)8

Question

Quizplus · Accepted Answer

First, we need to calculate the total demand during the lead time:

Total Demand = Lead Time Demand + Safety Stock
Total Demand = 7 days x 5 computers/day + 1 day x 5 computers/day
Total Demand = 36 computers

Next, we need to calculate the number of kanbans needed:

Kanban = Total Demand / Container Quantity
Kanban = 36 computers / 8 computers/container
Kanban = 4.5

However, since kanban is a pull system, we always round up to the nearest whole number. Therefore, we need to have at least 5 kanbans to meet the demand and maintain the safety stock.

Lead Time for Computers Is 7 Days with Daily Demand