Protection and Cards

Safety Allowance

The policy safety factor adds a deterministic allowance to lead-time demand.

highlighted = computed this step

Lead-time demand

Lead-time demand is 40 units.

lead-time demand=40\text{lead-time demand}=40
Kanban cardsThe chart shows protected demand and the containers needed to cover it.kanban cardslead-time demand 20 x 2 = 40safety allowance 40 x 1/4 = 10protected demand 50; container 10base: protected 50K1K2K3K4K55 cardswhat-if 1: protected 40K1K2K3K44 cardscasesafetylead demandsafety allowanceprotectedcardsbase1/44010505what-if 10400404deterministic sizing rule with a policy safety factor

Safety factor

The safety factor is 1/4.

safety factor=1/4\text{safety factor}=1/4
Kanban cardsThe chart shows protected demand and the containers needed to cover it.kanban cardslead-time demand 20 x 2 = 40safety allowance 40 x 1/4 = 10protected demand 50; container 10base: protected 50K1K2K3K4K55 cardswhat-if 1: protected 40K1K2K3K44 cardscasesafetylead demandsafety allowanceprotectedcardsbase1/44010505what-if 10400404deterministic sizing rule with a policy safety factor

Safety allowance

Safety allowance is 10 units.

40×1/4=1040 \times 1/4 = 10
Kanban cardsThe chart shows protected demand and the containers needed to cover it.kanban cardslead-time demand 20 x 2 = 40safety allowance 40 x 1/4 = 10protected demand 50; container 10base: protected 50K1K2K3K4K55 cardswhat-if 1: protected 40K1K2K3K44 cardscasesafetylead demandsafety allowanceprotectedcardsbase1/44010505what-if 10400404deterministic sizing rule with a policy safety factor