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INTRODUCTION : KANBAN SYSTEM

The Kanban System was developed (more than 20 years ago), by Mr. Taiichi Ohno, a vice president of Toyota, to achieve objectives that include reducing costs by eliminating waste/scrap try to create work sites that can respond to changes quickly facilitate the methods of achieving and assuring quality control design work sites according to human dignity, mutual trust and support, and allowing workers to reach their maximum potential.
Kanban stands for Kan- card, Ban- signal. The essence of the Kanban concept is that a supplier, the warehouse or manufacturing should only deliver components as and when they are needed, so that there is no excess Inventory. Within this system, workstations located along production lines only produce/deliver desired components when they receive a card and an empty container, indicating that more parts will be needed in production. In case of line interruptions, each workstation will only produce enough components to fill the container and then stop. In addition, Kanban limits the amount of inventory in the process by acting as an authorization to produce more Inventory. Since Kanban is a chain process in which orders flow from one process to another, the production or delivery of components are pulled to the production line, in contrast to the traditional forecast oriented method where parts are pushed to the line. In Just-In-Time (JIT) systems, the subassemblies and parts required for final assembly are pulled in small batches from the supplying work centres whenever they are needed. One of the most popular methods used for implementing JIT is through the use of Kanbans.
A Kanban System consists of a set of these cards, with one being allocated for each part being manufactured, that travel between preceding and subsequent processes. Kanban, from the Japanese word which loosely translated means "sign" or "card", describes a procedure for controlling production and material flow based on a chain of operations in production and procurement. The Japanese refer to Kanban as a simple parts-movement system that depends on cards and boxes/containers to take parts from one workstation to another on a production line. The essence of the Kanban concept is that a supplier or the warehouse should only deliver components to the production line as and when they are needed, so that there is no storage in the production area. Within this system, workstations located along production lines only produce/deliver desired components when they receive a card and an empty container, indicating that more parts will be needed in production. Since Kanban is a chain process in which orders flow from one process to another, the production or delivery of components are pulled to the production line. In contrast to the traditional forecast oriented method where parts are pushed to the line.
The Kanban method described here appears to be very simple. However, this "visual record" procedure is only a sub-process in the Japanese Kanban management system.

WHAT IS KANBAN SYSTEM?

The working of the Kanban system can be compared to supermarket shelf which is continuously monitored and refilled as customers help themselves. At the supermarket, the customers pick up quantities of goods they need. At periodic interval employee checks up to see what customers they need. At periodic interval employee checks up to see what customers have taken and he puts back what has been taken. There is no paper work generated to instruct the employee what items and their quantities he should put on the shelves. Quantities picked up by the customers are the quantities put on the shelves by the employee. The Kanban System exactly does this!
Kanban is simple but effective control that helps JIT (Just in Time) production work. Kanban is a Japanese word for card and the use of cards is central to many Japanese control systems including the one at Toyato whose Kanban system has received much attention. Kanban Signals may be be one of the following :
A card on which is written the part number, size of container, number of pieces to be held by the container, and the number of this cards in the system.
Metal plates affixed to the containers. Metal plates are useful in an oily environment and they display the same kind of information as on the cards.
Containers themselves.
Computer to Computer Kanban Signals.
The Kanban and Poka-Yoke systems are the upcoming systems that are been used in various industries.