This document discusses Pull Systems and Kanban Cards. It provides an overview of Pull vs Push inventory systems, explaining that Pull Systems like Kanban only produce or replenish inventory based on actual customer demand, leading to less excess inventory compared to Push Systems. Kanban uses visual cards to signal when more inventory is needed to "pull" production or replenishment. The document outlines the basics of the Kanban system and card usage, including examples of different card types and ground rules for effective Kanban implementation. It concludes with the "Family Milk Story" to summarize the key points.

1. Pull System & Kanban Cards
a Tool of Lean Manufacturing

2. CAS Medical System’s
Route to World Class Manufacturing
Minimum
6 Investment
Lean Sigma
Building Tools
Value Stream 5s Flexible Small Lot Rapid Response
TQM
Mapping Evaluation Work Force Production to Change
Waste
Layout Visual Setup One Piece Short Cycle Highest
Elimination
Changes Controls Reductions Flow Manufacturing Quality
(Muda)
Standard Pull
Suggestion Quick
Work Takt Time Systems Kaizen
Program Delivery
Instructions (Kanban)
TPM
Best Process
Reliability

3. Push vs. Pull Inventory Systems
 Push – Whether you need it or not you’re getting
it anyway. (Old school)
Sales Customer
Forecast→Purchasing→Supplier→Stock→Production→Demand
100 → 100 → 100 → 100 → 100 → 10
* Based on the customers demand you have 90% excess inventory

4. Push vs. Pull Inventory Systems
 Pull – You get it only when you ask for it.
(New school)
Cust. Demand → Production → Stock → Purchasing → Supplier
10 → 10 → 20 → 10 → 10
(2KB@10ea)
* Based on the customers demand you have 50% excess inventory,
but you have 40% less inventory compared to the Push system.

5. Pull Systems are:
 Simple and Visual
 Executed by shop floor employees
 Runs on customer demand rates
Push Systems are:
 Complex
 Executed by Production Control &
Purchasing
 Runs on forecasted dates & sales history

6. Types of Pull Signals
 Kanban Cards
 Electric Lights
 Standard containers
 Painted or taped squares on the floor
 Level Indicator Signs

7. Kanban Card
 Is considered to be the best Pull Signal
system you can use to control your inventory
dollars, prevent part shortages and improve
your cash flow.

8. So what is Kanban?
 Kanban is a Japanese word that means “card”
 It was originated by Japan’s Toyota Co.
 It is a tool of lean manufacturing that’s used to apply JIT
(Just In time) inventory.
 It is a type of reorder point system.
 It is not a zero inventory system
 It is a manual technique that is in the hands & controlled
by the production workers.

9. Keys to a successful Kanban system
 It’s not the cards themselves, but the
discipline performed by the employees
 Material is not moved or produced without
Kanban cards
 The emphasis is not to balance capacity, but
to balance flow

10. Examples of different types of
Kanban Cards

11. Finished Good Kanban Card
P/N: 01-03-0245
750-SHARN 9405
SUB # 03-08-0600 MONITOR
2 KANBANS @ 10 EA.
REORDER QTY.: 10

12. Made To Order Kanban Card
P/N: 01-02-0406
750E-2NL VA MONITOR ETXT WA
SUB # 03-08-0619
1-KANBAN (MTO)
QTY: _____________________
DUE:______________________

13. Today’s Purchasing Card
PURCHASING INVENTORY KANBAN CARD
P/N: 28-02-0122 Buyer Code: 01
Description: Foam Pad 2 x ¼”
Used On: 511’s
# of KB Cards: 1
Reorder Point: 25
Reorder Qty: 100
Date Ordered: Vendor: EAR Specialty
Lead Time: 42 days Vendor#:
Delivery Date: Notes:
**Issue to Work Center:

14. What 2 items are missing on this Internal work cell
Kanban card?
STOCK TRANSFER CARD
PART NUMBER: 28-02-0422
DESCRIPTION: FOOT PAD
REORDER QTY-PCS: 60
DELIVER TO CELL: 740 / 750
STOCK LOCATION:
1)Reorder point quantity
2) # of Kanban cards

15. Kanban Card Ground Rules 1 - 5
1) Operators can change KB card quantities as demand increases or
decreases.
2) In a 2 bin card system, complete 1 bin first before going into the
2nd bin. Don’t double dip.
3) Putting both KB cards into 1 bin to save space is OK, but you will
have to manually monitor your actual counts so you know when to
hand in the first card for replenishment
4) KB quantities for large parts that utilize a lot of space should be set
to a 1 day’s supply. Small parts should not exceed more then a
weeks usage.
5) Change piece quantity on some cards to number of boxes. This
will save you space and will save the stock person time in issuing.

16. Kanban Card Ground Rules 6-10
6) We should never see empty bins w/ KB cards in them; Never see
KB cards lying on an empty shelf; Never see KB cards lying on the
floor; Never see KB cards unattached to materials.
7) Lost KB cards will happen. Make sure you report it so a new card
can be made ASAP.
8) Determine ways to attach KB cards to materials to prevent them
from getting lost & misplaced. (zip-lock bags, scotch tape,
magnetic clips, paper clips, adhesive pouches)
9) Stock person & cell operators must make sure that KB cards are
placed in proper positioning for timely replenishment from stock.
10) Keep KB cards with the item. Don’t keep them hidden in folders,
drawers, etc. They should be visual.

17. Conclude this presentation with:
The Family Milk Story