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Meritor, a company that makes muffler assemblies for the automotive industry, is committed to the use of kanban to pull material through its manufacturing cells. Meritor has designed each cell to fabricate a specific family of muffler products. Fabricating a muffler assembly involves cutting and bending pieces of pipe that are welded to a muffler and a catalytic converter. The mufflers and catalytic converters are pulled into the cell based on current demand. The catalytic converters are made in a specialized cell.
Catalytic converters are made in batches of 15 units and are moved in special hand carts to the fabrication cells. The catalytic converter cell is designed so that different types of catalytic converters can be made with virtually no setup loss.
Meritor hires a team of consultants. The consultants suggest a partial robotic automation, as well as an increase in safety stock to 9.5 percent. Meritor implements these suggestions. The result is an increase in efficiency in both the fabrication of muffler assembly and the making of catalytic converters. The muffler assembly fabrication cell now averages 20 assemblies per hour and the lead time has been decreased to three hours' response time for a batch of 15 catalytic converters. How many kanban cards are now needed? (Round up your answer to the next whole number.)
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