More Kanban Calculations

Kanban Card

First listed various formulations of calculating kanban quantities in wmarhel at Elsmar Cove writes …

The formula for calculating the number of kanban cards in a system for a particular product is:

(Daily Demand x (Run Frequency + Lead Time + Safety Time)) / Container Capacity

Where:

Daily Demand = Customer Consumption expressed as # of units
Run Frequency = Frequency which you decide to set-up and produce that item. This is expressed as a unit of time. For a five day work week, running the product every day would equal (1), every third day would equal (3), etc.
Lead Time = Manufacturing lead time (processing time + Set-up time + queue time) + lead time for kanban retrieval expressed as a unit of time.
Safety Time = Allowance for variations in demand and supply, also expressed as a unit of time. Keep as low as possible.
Container Capacity = Number of units per container (# of units in a container is always the same number).

10.  World Class Manufacturing has an on-line Kanban Size Calculator that uses the following formula:

Total Required Inventory (TRI) = Weekly Part Usage * Lead-time * Number of locations for stock
# Kanban = TRI / Container Capacity

11.  Oracle uses

By default, the standard calculation is:

(C – 1) * S = D * L

where:

  • C is the number of kanban cards
  • S is the kanban size
  • D is the average daily demand
  • L is the lead time (in days) to replenish one kanban

 

12.  SAP says …

K = ((RT * AC)/CONT) * (SF + C)

where

  • K          numbers of Kanban
  • CONT  contents per Kanban
  • RT        replenishment lead time per Kanban
  • AC        average consumption per time
  • SF        safety factor
  • C          constant (default 1)

 

 

 

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