North Carolina State University Department of Industrial Engineering, Raleigh, NC 27606, USA
Abstract:
A procedure to evaluate system design parameters for “pull” production strategies is presented in this paper. The evaluation procedure is based on a cost function which includes the inventory carrying, storage, setup, stockout, and idle costs. A combined SLAM II/FORTRAN simulation model and electronic spreadsheets support the evaluation procedure. A “pull” production strategy using the dual-kanban production control method is modeled. The best design in terms of unit load size/number of kanbans is found to (a) satisfy daily production requirements and (b) minimize the cost function.