Kanban is a lean production system that uses visual cards to signal the need for replenishment between processes. There are two main types of Kanban cards: withdrawal Kanban which authorize movement of parts between stages, and production Kanban which release orders to preceding stages. Other types include express, emergency, and through Kanbans. The number of Kanban cards needed is calculated based on demand, lead time, safety stock, and container size to balance production and inventory levels. Benefits of Kanban include reduced inventory and waste, increased flexibility and output, and lower total costs.

1. PRESENTED BY: - PRESENTED TO: -
MEENAL GUPTA MR. AMIT GARG
827
MBA 2ND SEM
Kanban System

2. What is Kanban
 Kanban means many things.
 Literally, Kanban is a Japanese word that means
"visual card".
 Kanban is referred to as a card system.
 Kanban as used in Lean Production and JIT is over a
half century old.
 Toyota originally used Kanban cards to limit the
amount of inventory tied up in “work in progress” on
a manufacturing floor.

3. Before using Kanban

4. Types of Kanban
 Withdrawal Kanban:- Its function is to pass the
authorization for the movement of parts from one
stage to another.
It carries the following information:-

5. Example of Kanban
SupplierPull From
ContainerCard 1Order Quan.
Part Number Description
Kanban Card
Special Instructions

6.  Production Kanban:- Its function is to release an
order to the preceding stage to build the lot size
indicated on the card.
Card should have the following information:-
1. Materials required as inputs at the preceding stage,
2. Parts required as inputs at the preceding stage’
3. Information stated on withdrawals Kanban.

7. Other types of Kanban
 Express Kanban:- It is used when shortage of parts
occur.
 Emergency Kanban:- It is used to replace defective
parts.
 Through Kanban:- It is used when adjacent work
centers are located close to each other.

8. Measurement of Kanban
 Number of Kanban are calculated as
N = dL + S
C
N= Number of kanbans
d= demand units (avg no over a given period of time)
L= Lead time (time replenish an order)
S= Safety stock (as a percentage of demand during
lead time)
C= Container size

9. Benefits of Kanban
 Reduce Inventory and Product Obsolescence
 Reduces Waste and Scrap
 Provides Flexibility in Production
 Increases Output
 Reduces Total Cost