Kanban Cards & Pull Systems


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Kanban Cards & Pull Systems

  1. 1. Pull System & Kanban Cards a Tool of Lean Manufacturing
  2. 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. 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. 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. 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. 6. Types of Pull Signals  Kanban Cards  Electric Lights  Standard containers  Painted or taped squares on the floor  Level Indicator Signs
  7. 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. 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. 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. 10. Examples of different types of Kanban Cards
  11. 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. 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. 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. 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. 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. 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. 17. Conclude this presentation with: The Family Milk Story