Overplanning factor in Toyota's formula for computing the number of kanban

Overplanning factor in Toyota's formula for computing the number of kanban

0.00 Avg rating0 Votes
Article ID: iaor19982669
Country: United States
Volume: 29
Issue: 5
Start Page Number: 409
End Page Number: 415
Publication Date: May 1997
Journal: IIE Transactions
Authors: ,
Keywords: inventory, manufacturing industries
Abstract:

To determine the number of required kanban, Toyota uses a formula based on the average demand during an order picking cycle, inflated by a constant overplanning factor β. This technical note attempts to characterize the situations where the simplicity of Toyota's formula reconciles with the established operations research paradigm of optimality. The overplanning policy examined in this paper could also be applied to other production inventory control models under uncertainty.

Reviews

Required fields are marked *. Your email address will not be published.