Daily Usage of a Product Is 10 in a Facility

question 24

Essay

Daily usage of a product is 10 in a facility that operates every day of the year.Setup cost is $68 and annualized carrying cost is $100.Daily production of this product is 20.Lead time is 14 days;safety stock is one day's production.What is the optimum kanban size,and number of kanbans?

---

Definitions:

F-Test

A statistical test used to compare the variances of two populations to ascertain if they come from populations with equal variances.

ANOVA

Stands for "Analysis of Variance," a statistical method used to compare the means of three or more samples.

Randomized Block Design

An experimental design used to reduce the variability among experimental units by grouping them into blocks before randomly assigning treatments.

Matched Pairs Experiment

A statistical study design in which pairs of subjects are closely matched based on specific variables, and each pair is treated differently to compare outcomes.