Uses kanbans to support its transmission assembly line


Mr MotorCorp. uses kanbans to support its transmission assembly line. Determine the size of the Kanban for the mainshaft assembly and the number of kanbans needed Setup cost = $20 Annual holding cost of mainshaft assembly = $250 per unit Annual usage = 20,000 (= 50 weeks x 5 days each x 80daily usage of mainshafts) Leadtime = 3 days Safety stock = ½ day’s production of mainshafts.

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Operation Management: Uses kanbans to support its transmission assembly line
Reference No:- TGS02576278

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