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Rules
The kanban systems simplicity and effectiveness are inter-twined in the following rules:
1. No parts may be in Milling unless there is a P-kanban authorising it. Milling comes
to a half rather then making parts not yet asked for a pure pull system. (Worker
may do maintenance or work on improvement project when there are no P-kanban in
the dispatch box.)
2. There are precisely one C-kanban and one P-kanban for each container, and the
number of containers (with kanban) per part number in the system is a carefully
considered management decision.
3. Only standard containers may be used, and they always are filled with the prescribed
(small) quantity no more, no less. With such careful control of quantities per
containers, as well as number of containers per part number, inventory control is
simple and far more precise than manual or computer-based Western systems.
KANBAN AS A PRODUCTIVITY IMPROVEMENT SYSTEM
Rule 2 above notes than number of container is a carefully considered management
decision. Two many containers mean too much inventory in the system. In Western
thinking too few containers mean too little inventory in the system, not so in the Toyota
system. Chapter 2 explained the extraordinary Japanese concept of deliberately removing
buffer inventory (or labour) in order to experience-and solve-problems. Uses of kanban
offer ideal conditions for carrying out the buffer removal tactic. The foreman only needs
to remove kanban from the system. Removing kanban is sufficient, because an empty
container without kanban attached is ignored and gathers dust. As an illustration of the
effects of kanban removal, we may return to the example of Milling and Drilling from
fig.-A.
Let us assume that the process is stable and that there are five kanban is in the system that
means five C-kanban, five P-kanban, and five containers of milled heads. Now the shop
foreman who supervises both work centers cuts the inventory to four kanban. The likely
effect is than Milling will experience its normal problems, and at bad times of the day
will have trouble keeping up with Drilling. For example, in a certain two-hour period
Milling might find that some of its newly milled heads do not meet specifications,
perhaps because of worn bearings in a milling machine, or because of tool wear; a minor
accident might send a machinist to the dispensary for first-aid, a machine might break
down; small variations in dimensions of the heads to be milled might cause setup delays.
Such events slow down Millings rate of output, perhaps enough so that Drilling uses up
three full containers of heads and is idled while Milling completes the order to fill the
fourth container. At the end of the day both drilling and Milling might be behind
schedule, which is apparent in two way.
1. P-kanban and empty containers for certain models have piled up-not good way to
start up production the next day.
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2. A count of the days production perhaps just a simple totaling of tally marks on a
paper or blackboard, where one tally signifies one kanban of heads milled- reveal
underproduction. That is, the daily schedule, expressed either by model or as the total
of all models has not been met. For these kinds of parts milled heads it is likely
that the daily schedule for the manufacturers end product, which be engines. The
foreman generally would direct the work counters to work overtime until the days
schedule is met.
Workers, group leader, and the foreman are not pleased about failing to meet the
schedule, and most would rather not have unplanned overtime thrust on them. They are ,
on the other hand, pleased to have unearthed a new set of problems to attack. In the
kanban and just-in-time system, workers are always gathering data on the next set of
problem, and they are showered with praise periodically when a problem is solved. To
earn praise, to avert criticism, to gain self-satisfaction, and supportive and to avoid
unplanned overtime, kanban workers generally are supportive and enthusiastic about the
productivity improvement features of the system.
Of course, the causes of the problems unearthed must be carefully recorded for later
analysis by the group, who may be given some company time on certain days of the week
for improvement projects. In the above example of milling problems, some possible
solutions, stopgap measurers, and corrective actions might include:
Place a first-aid kit in the shop for the very minor injures.
LIMITATIONS OF KANBAN
Kanban is feasible in just about any plant that makes goods in whole (discrete) units (but
not in the process industries). It is beneficial only in certain circumstances:
1. Kanban should be an element of a JIT system. It makes little sense to use a
pull system if it takes interminably long to pull the necessary parts from the
producing work centre, as it would if setup times took hours and lot sizes were
large. The central feature of JIT is cutting setup times and lot sizes, which
allows for fast pulls of parts from producing work centers.
2. The parts included in the kanban system should be used every day. Kanban
provides for at least one full container of a given part number to be on hand
all the time, which is not much inventory idleness if the full container is used
up the same day it is produced. Therefore, companies with a kanban system
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generally apply it to the high-use part numbers, but replenish low-use times
by means of conventional Western techniques (e.g. MRP or reorder point).
3. Very expensive or large items should not be included in kanban. Such items
are costly to store and carry. Therefore their ordering and delivery should be
regulated very closely under the watchful eye of a planner of buyer.
There are numerous fine points that could be made about the Toyota dual-card kanban
system. The interested reader will find several sources in English that explain Toyota
kanban in more detail. What had not been reported on elsewhere is a popular
simplification of kanban, which I am calling single-card kanban, discussed next.
SINGLE CARD KANBAN
The number of Japanese companies that have implemented the complete Toyota dualcard kanban system is rather small. Yet there are probably hundreds that claim to have a
kanban system. What most of those hundreds have is a single-card that they use is a
conveyance kanban (C-kanban). It is easy to begin with a C-kanban system, and then
add P-kanban later if it seems beneficial.
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