The Pull System
Presented by – Shreyasi Ranjan
2. KANBAN- AN INTRODUCTION
A system of continuous supply of components and parts such that
workers have what they need, where they need it and when they
Kanban is a method for developing products with emphasis on just in
time manufacturing process in which movement of material through
a process are recorded on specially designed cards.
Kanban limits the amount of inventory in the process by acting as an
authorization to produce less inventories
3. KANBAN- AN INTRODUCTION
The kanban schedule uses visual signals and predetermined decision
rules that allow the production operators to schedule the line.
The kanban system is so often referred to as the “supermarket system”
because it is based upon the U.S. model in which customers “pull”
goods off the shelf and stock clerks replenish the inventory based on
Kanban allows employees to acquire from upstream processes, only
the goods that are needed, when they are needed, and only in the
4. PURPOSE OF KANBAN
The KANBAN is a method for controlling production and
the material flow is based on the actual stock quantity in
Material that is required on a regular basis is continually
provided in small quantities in production.
With KANBAN, the production process controls itself and
manual posting is reduced as far as possible. The effect of
this is a reduction in lead time and in stock
5. THE NUMBER OF KANBAN CARDS OR CONTAINERS
Need to know the lead time needed to produce a container of
Need to know the amount of safety stock needed
Number of kanban(containers) = Demand during Safety
lead time + stock
Size of container
N= dL+ S , Where, N=No of Kanban
C d= Average demand over some period of time
L= Lead time to produce parts
S= Safety stocks
L= Container size
6. NUMBER OF KANBANS REQUIRED
Average demand (d) =150 shirts
Production lead time (L) =0.5 hrs
(Wait time +
Material handling time +
Safety stock =5% of dL = 5% of (150*0.5)
So, safety stock = 3.75
Container size =24 shirts
Number of kanbans = 75+ 3.75 = 3.28 kanbans
7. KANBAN- THE PULL SYSTEM
Method of controlling
and balancing of the flow
Eliminating waste of
handling, storage, rework
and minimize WIP.
Manufacture and ship
only what has been
Provides visual control of
8. KANBAN- THE PULL SYSTEM
9. TYPES OF KANBAN
Raw material kanban: It tells the supplier when to send
how much of a particular item to a particular place.
In process kanban: It determines the amount of WIP that
can be kept between ant two operations in a process.
Finished goods kanban: It determines the amount of
product to be kept on hand at any given time. Removal of
finished goods kanban acts as a signal for more of that
product to be manufactured.
10. RULES TO IMPLEMENT KANBAN
Visualize Workflow - A visual representation of the process helps
to see exactly how tasks change from being “not done” to
Creating a kanban board allows you to see the status of the
work being done at a glance
Limit Work in Process (WIP) - Whether a project is simple or
complex or whether the team is small or large, there is an
optimal amount of work that can be in the process at one time
without sacrificing efficiency.
Measure and Improve Flow - Improvement should always be
based on objective measurements, and kanban is no different.
11. STEPS TO IMPLEMENTING
• Conduct data collection
• Calculate the kanban size
• Design the kanban
• Train everyone
• Start the kanban
• Audit and maintain the kanban
• Improve the kanban
12. KANBAN- HOW IT WORKS
The work center further down the line (demand source) requests
material from the preceding work center (supply source) only when it
is required (PULL PRINCIPLE).
For this purpose, a control cycle is created - with a fixed number of
kanbans (cards) - between the supply source and the demand source
Each kanban represents a specific material quantity and usually
represents a container (however, this need not be the case).
When the material quantity of a kanban has been consumed, it is given
the status EMPTY and is sent to the supply source.
13. KANBAN- HOW IT WORKS
The kanban is the signal for the supply source to go ahead and
produce the quantity of material recorded on the kanban.
Once production is complete, the material is delivered to the
demand source which confirms the receipt of the material by setting
the status back to FULL.
The lot size is determined by the kanbans and this quantity is
produced by the supply source in one run.
The total production quantity is calculated by the total number of
kanbans sent to the supply source within a predefined period
14. KANBAN- HOW IT WORKS
Replenishment frequency is based on actual consumption.
This means that if more material is required, the kanbans
simply circulate between the supply source and the demand
source more quickly.
If less material is required, the kanbans circulate more slowly.
If no material is required, then all the kanbans will remain at
the demand source with the material, meaning that all of the
components required to start producing the corresponding
assembly are available.
15. ADVANTAGES OF THE KANBAN
A simple and understandable process
Provides quick and precise information
Provides quick response to changes
Limit of over-capacity in processes
Control can be maintained
Reduces cost of keeping inventory
Tool for visual control