Air concepts company uses a kanban system at their location, Ask an Expert

Management Studies

Air Concepts Company uses a kanban system at their location in the St. Louis Metro area. The daily demand for ac units is 2000 and management insists on using an alpha level of 0.1. They use containers that hold 20 items and takes 0.04 of a day to process. It takes 0.07 of a day to get a container filled and for it to wait during its cycle. How many containers should they use? If they use the nearest integer value number of containers, what is the actual system alpha?

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M93136870

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