You have been called in as a consultant to set up a kanban control system. The first thing you do is to determine the number of kanban card sets needed. Your research shows that the expected demand during lead time for a particular component is 1,200 per hour. You estimate the safety stock should be set at 5% of the demand during lead time. The tote trays used as containers can hold 2 units of stock and the lead time to replenish an order is 10 hours. Which of the following is the number of kanban card sets necessary to support this situation?

One of the few lean techniques that does not work well in service firms is demand-pull scheduling.

Which of the following is an organizationally-driven reason for outsourcing?

Which of the following is a lean production technique that has been successfully applied in service firms?

The objective of facility location analysis is to select the site with the lowest total cost.

Inventory turnover and weeks of supply are mathematically the inverse of one another.

A favorable business climate in facility location decision making might include government legislation of tax abatements.

Which of the following is one of the strategic characteristics to consider when deciding how supplier relationships should be structured on the continuum between vertical integration (do not outsource) to arm’s length relationships (outsource)?

Using the cut-and-try method for aggregate operations planning we can determine the production requirement in units of product. If the beginning inventory is 100 units, the demand forecast is 1,200, and the necessary safety stock is 20% of the demand forecast, which of the following is the production requirement?

Lean production requires a “push & pull” system of inventory replenishment.