What is a Kanban?

What is a Kanban?

In a value stream, a Kanban is a signal; usually a ‘card’ authorizing production or delivery of required products or services, which is initiated by consumption from down-stream operations. Kanbans are used most often in the ordering of supplies because they keep costs low.

How to Create a Kanban Card

Create a Kanban card for a product or service by the following steps:

1. Create minimum/maximum levels of products used in a designated time frame.
2. Create the Kanban Card; The Kanban Card should be large enough so that it is easily visible. Use colored paper and laminate the card if possible. The card should include:
   1. Name and item number of the product or service
   2. Minimum quantity
   3. Maximum quantity
   4. Standard re-order quantity
   5. Suppliers name
3. Set up the Kanban Card and system. Place the Kanban Card
   on the re-order buffer stock.

For more information on Kanban and how Juran can help you leverage it to improve business quality and productivity, please get in touch with the team.