I’m trying to validate the Kanban Resizing calculation and when I go through it the numbers are significantly different. We are using MS/MRP demands, I put future dates (6/1/2023 - 9/30/2023) and have the Shop Order Requisitions. I’m using calendar days, does the Resizing use Work Days, if so what calendar is it using? Also what Lot Size is it using, Standard? I have a total quantity between 6/1/2023 and 9/30/2023 of 3600, the number of days is 121, Leadtime is 28, Safety stock is 0, Std Lot Size is 480. The kanban size is 5 cards at 500. The calculation is Number of Kanbans. When I resize it I get 4 cards at 500, I can’t figure out how this number is generated. Everything I try brings it down to 2 or 3 cards depending on the Daily Demand calendar I use.
Hi
- Kanban uses the work days from the site distribution calendar.
- No of Kanban will be calculated as below based on the formula type you have chosen
Basic:
No of Kanbans = [(Daily Demand * Replenish LT) + Safety Stock + Lot Size] / Qty per Kanban
Constant Cycle:
If: Lot Size > (Daily Demand * Replenish LT) + Safety Stock
Then: No of Kanbans = (Safety Stock + Lot Size) / Qty per Kanban
Otherwise: No of Kanbans = [(Daily Demand * Replenish LT) + Safety Stock] / Qty per Kanban
In your scenario if we consider you have chosen basic formula and 5 days are working as per your site calendar, then the no Kanban will be
Daily Demand = 41.379 (total no of working days 87)
Lead Time : 28
Lot: 480
Qty per Kanban : 500
No of Kanban will be : 4 as per the above mentioned formula
Possible options to reduce the no of Kanban
- Shorten the demand retrieval timeline
- Use constant cycle method (The Constant Cycle formula favors a first-unit, or two-bin, replenishment approach. Under this approach the system triggers replenishment when the first unit is consumed)
Hope this helps!!
Regards,
Mithun K V
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