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Lou's Bakery has established that JIT should be used for chocolate chips due to the high probability of the kitchen heat melting the chips. The average demand is 130 cups of chocolate chips per week. The average setup and processing time is ½ day. Each container holds exactly 2 cups. The current safety stock factor is 5 percent. The baker operates six days per week.
a. How many Kanbans are required for the bakery?
b. What is the maximum authorized inventory?
c. If the average setup and processing time is reduced to ? of a day due to better training and retention of experienced employees, what are the new answers to (a) and (b)?
Operations Management is about a book review. Title of the book is "Goal". This book has been written by Dr. Eliyahu Goldartt. The book has been appreciated by many as one of those books which offers an insight into the operations and strategic capac..
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A number of drivers of change have transformed the roles, functions and responsibilities of an operations manager over recent years. These drivers have not only been based on technological innovations but also on the need for organisations to develop..
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