Question

A manager wants to determine the number of containers to use for incoming parts for a kanban system to be installed next month. The process will have a usage rate of 71 pieces per hour. Because the process is new, the manager has assigned an inefficiency factor of .16. Each container holds 41 pieces and it takes an average of 50 minutes to complete a cycle. a-1. How many containers should be used

Answer 1

the number of containers that should be used is 1.67 containers

Step-by-step explanation:

The computation of the number of containers that should be used is as follows;

= Annual demand × time × (1 + inefficiency factor) ÷ holding pieces

= 71 × 0.83 × (1 + 0.16) ÷ 41

= 1.67 containers

Here The time is converted from minutes to hour i.e

= 50 minutes ÷ 60 minutes

= 0.83

Hence, the number of containers that should be used is 1.67 containers