1. © Improvement Initiatives (used with permission of author) freeleansite.com The Lean Enterprise Lean Foundations Continuous Improvement Training Lean Foundations Continuous Improvement Training An Introduction to Kanban concepts

2. © Improvement Initiatives (used with permission of author) freeleansite.com Learn what Kanbans are and the different way the terminology is used in industry Understand how to setup a kanban Understand how to implement a kanban system Objectives

3. © Improvement Initiatives (used with permission of author) freeleansite.com Kanban Definition What is Kanban? Card system that controls production & inventory Visual “pull” system vs. a “black box” push system (ie - MRP)

4. © Improvement Initiatives (used with permission of author) freeleansite.com Kanbans are All Around Us Kanbans are Inventory Inventory Is waste (costly!) Goal Is To Minimize Inventory In Kanbans And Eliminate If Possible Basic Kanban (Pull signal) Ultimate Goal of Kanban is to not have a KANBAN ! One-Piece Flow is the Answer !

5. © Improvement Initiatives (used with permission of author) freeleansite.com Benefits of Kanban Primary –Eliminate over-production, the #1 waste –Produce only what is ordered, when ordered, & quantity ordered Secondary –Increase flexibility to meet customer demand –Reduction in scheduling by Production Control & Manufacturing –Competitive advantage by sequencing shipments to customers (what they want, when they want it, in the order they want it!)

6. © Improvement Initiatives (used with permission of author) freeleansite.com No Cards –Visual (Tape On Floor) –Two-Bin or Bin Systems –Supplier Containers –Painted floors, i.e. squares, circles Card Systems –Electronic Kanbans - Fax or Emails –Warehouse Or Parts Racks –Kanban Boards – Magnetic or Cards –Containers –Flow Thru Racks –Supplier Boxes Kanban Options

7. © Improvement Initiatives (used with permission of author) freeleansite.com Categories of Kanban Instruction Withdrawal Kanban Production Kanban (non lot production) Triangle Kanban (for lot production) Interprocess Kanban Supplier Kanban

8. © Improvement Initiatives (used with permission of author) freeleansite.com Production or (In-Process)-Kanban –Provides production instructions for the work center –Tells the workers exactly the quantity and the type of part to produce –Used for work centers that produce only one part number or have minimal setups in spite of multiple part number production Rectangular – one piece flow production Triangular – for small lot production Withdrawal-Kanban –Inter-Process Kanban Delivers order for parts from a preceding process Specifies quantity and type of parts to deliver from Location A to Location B –Later replenishment system – kanban are filled from suppliers finished goods shelf –Sequenced withdrawal – supplier sequences parts in reverse order for truck loading –Supplier Kanban Same as an inter-process Kanban, except it signals conveyance of part from an outside supplier Kanban Types

9. © Improvement Initiatives (used with permission of author) freeleansite.com Job order-Kanban –Issued for each job order Through-Kanban –When two processes are very close, it doesn’t make sense to issue two Kanbans. Used where one process directly feeds (conveyor) the next process. Common-Kanban –Where a withdrawal kanban is used as a production ordering kanban if the distance between two processes is very short and share the same supervisor. – Emergency-Kanban –Temporary, when there is a defect or problem, can be withdrawal or production Other Kanban Types

10. © Improvement Initiatives (used with permission of author) freeleansite.com Never Pass on A Bad Part The Parts Are Always Withdrawn From The Prior Process Produce Only What Is Necessary To Replenish The Quantity Withdrawn Level Load Production, Rapid Changeover, Small Lot Production, Zero Defects Kanban Is Used To Fine Tune (Not Provide For Major Changes) The Process Must Be Capable Of Producing Good Parts (Rational And Stable) Need Efficient Methods Of Transportation, Shortest Routes Possible Disciplined Organization Nothing Is Made or Transported Without A Kanban. Kanban Cards Always Accompany the Parts Themselves. The Number of Kanbans Should Decrease over time. Rules of the Kanban

11. © Improvement Initiatives (used with permission of author) freeleansite.com Kanban –An Information System That Signals the Need To Start An Event –Name For Each Individual Signal (Card Or Otherwise) Purpose –Control The Flow of Production by Providing Information Which Interconnects Upstream And Downstream Processes At Every Level Implementation –Usually A Piece Of Paper in a Vinyl Envelope Or Container –Outline Markings On The Floor –Most Common Is Two - Bin System Summary Definition

12. © Improvement Initiatives (used with permission of author) freeleansite.com GEMBA FLOOR WALK Go and see where you could implement Kanban!

13. © Improvement Initiatives (used with permission of author) freeleansite.com The Lean Enterprise Lean Foundations Continuous Improvement Training Lean Foundations Continuous Improvement Training An Introduction to Kanban concepts