The term Kanban originates from Japan and describes a method of controlling production processes. There are two types of Kanban: classic Kanban and e-Kanban.
Classic Kanban
Classic Kanban was first used at Toyota in the 1950s and is based on the actual consumption of auxiliary and operating materials on site.
Kanban means “card” in English, as the control of consumables in classic Kanban is carried out using cards. The required materials are delivered to a Kanban shelf together with a Kanban card in a container. When this Kanban container is empty or a critical stock level is reached, the card is used to request new consumables. All details, such as item number or number of parts required, are recorded on the card.
This method is therefore based on the pull principle and is orientated towards the customer’s requirements. This means that new material is only delivered when it is actually needed. The aim is to increase productivity and efficiency by minimising idle time and at the same time optimising stock levels. The Kanban system has the following benefits:
- Low stock levels
- Cost reduction through low stock levels
- Smooth production processes
- More efficient routes thanks to Kanban shelves directly at the production site
e-Kanban
A further development of the classic Kanban system is e-Kanban. Orders are controlled electronically, eliminating the need for manual orders on Kanban cards. Nowadays, signals are often transmitted using RFID chips or barcodes. If RFID chips are used, the containers are equipped with RFID transponders. When a container is empty, it is placed on a shelf in the Kanban rack with an RFID reader. This sends the relevant data to the supplier and triggers an order. In the case of barcodes, the barcodes on the empty containers are scanned and the data is sent directly to the relevant supplier.
In addition to classic Kanban, e-Kanban has the following benefits:
- Automatic real-time demand determination
- Transmission of requirements to the responsible supplier
- Faster provision of consumables
- Better overview of actual stock levels
- Critical stock levels are reported in time
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When does it make sense to use a Kanban system?
A Kanban system is suitable when the following requirements are met:
- Continuous material flow and steady production
- High degree of product standardisation
- Tight synchronisation of production
- Clear product labelling for accurate allocation
- Regular and accurate container management
- High level of quality assurance
- No significant variations in production
- Shortened and standardised transport cycles
