The Number of Kanbans Needed to Maintain Control in a Pull

question 51

True/False

The number of kanbans needed to maintain control in a pull system can be calculated from demand and lead time information.

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Definitions:

Create Invoice

The process of generating a document that itemizes and records a transaction between a seller and a buyer.

Purchase Order

A formal document issued by a buyer to a seller, detailing the products or services ordered at agreed-upon prices.

Sales Cycle

The process that companies follow from the initial contact with a potential customer to the closing of a sale, including steps such as prospecting, communicating, negotiating, and fulfilling orders.

Merchandising Company

A business entity that purchases goods in large quantities from manufacturers or wholesalers and then sells them in smaller quantities to consumers.