KANBAN SYSTEMS / KANBAN is a tool to improve workplace. It is one of the lean management technique to manage your material management system. It is Japanese word, which means sign or a signal. Kanaban is a visual management system, a Kanaban signal is a visual signal to move or order supplies for your production/ operations. There are many types of Kanbans, the most commonly used is Kanaban card. These Kanban card are loaded with the information, two critical pieces of information is Kanaban quantity and safety stock quantity. The Kanaban quantity is how much quantity to be order or moved to replenish supplies. The safety stock is the re-order point for each Kanban. This Kanban has also contain a photo of the product, detailed description of the item and organization item description if they call by any other name. To facilitate the reorder process the card also has a barcode, item code and cost of each item, cost of the item seems unnecessary but it helps the employees to aware of it and helps to reduce the wastage. Kanaban card may also contain information related to last update of card and storage location, storage location is an address where to find the material looking to restock or replenish the stock. A specific number of Kanban cards are used and all inventory must be accompanied by a Kanban card / Kanban Systems.
Two types of Kanbans:
Production and Withdrawal Kanbans are the two mains types of Kanban Systems
Production Kanbans are used at process steps and for re-order points with customers.
Withdrawal Kanbans are used between processes and for suppliers.
Production Kanbans controls the actual production of products/ parts. Production cannot take place unless there is a production Kanban card available in the rack. The production Kanban cards specify the type and quantity of parts that can be produced. When all cards Kanban cards are attached to finished goods, production stops.
Withdrawal Kanbans control the movement of production parts from one work cell to the next, parts can only be pulled from the finished inventory of a previous process if there is a withdrawal Kanaban cards are available.