Computing the Number of Kanbans: an aspirin manufacturer has converted to JIT manufacturing using kanban containers. They wish to determine the number of containers at the bottle filling operation which fills at a rate of 200 per hour. Each container holds 25 bottles, it takes 30 minutes to receive more bottles, safety stock is 10% of demand during LT. ON TEST**
Expert Answer
To find the optimum number of containers, you need to find the maximum stock level at any point of time.
Maximum stock level = Reorder level = (Lead time in hours * Hourly demand ) + Safety
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