Title: Kanban A New Approach Tool for Information Flow
1Kanban A New Approach(Tool for Information Flow)
2Agenda
Time
Topic/Activity
800 AM 805 AM 820 AM 905 AM 920
AM 1005 AM 1020 AM 1115 AM 1215 PM 100 PM
200 PM 245 PM 300 PM 400 PM 445 PM
500 PM 530 PM 545 PM
Opening Introduction Information
Flow Break Kanban Simulation1 Break The
Customer Leveling Exercise Lunch Kanban
Simulation 2 Internal Pull System Break Lot Box
Production Lot Size Calculation Break Material
Movement Supplier Card Calculation Closing
3Introductions
Name Years of Service Current Position
4Kanban System
- Based on Toyota Production System
- Driven by External Customers
- Addresses Constraints Bottlenecks
- 1. Understanding our Capabilities
- 2. Lot Size Production
5Overview
- Supporting Company Strategy
- Understanding Customer Needs
- Internal Kanban System
- Signaling the Supplier
6The Objective
Lower Inventory / Reduced Lead-Time
Pull of Product Based on Usage
Create Information System that Supports Lean
Principles
7Company Strategy
- Grow our Business
- Internal and external
- Strengthen our resources
- Improve our Competitive Position
- Continually strive for perfection
- Reduce cost
- Eliminate waste in operations
8Supporting Company Strategy
- Elimination of Waste
- Overproduction
- Material movement
- Inventory
- Transition to Just-in-Time
- Kanban system
- Kanban signals
9Key Assumptions
- Production schedules will always change
- Production will never go according to schedule
- It is human nature to overproduce
10Offsetting the Assumptions
- Kanban System
- Withdraw only what you need
- Replenish what is taken
- Overall Benefits
- Flexibility in production
- Prevents overproduction
- Reduces inventory
11Information Flow
12The Kanban Signal
- The Kanban signal tells us
When to make it!
When to move it!
13Kanban System
Withdrawal Card
Production Card
Customer Process
Supplying Process
product
product
Finished Goods Store
14Withdrawal Kanban Signal
- Tells us
- When to move
- What to move
- Where to move
- How much to move
15Three Types of Withdrawal Kanban Signals
- Customer Kanban Signal
- Transfers material from plant to customer
- Move Kanban Signal
- Transfers material between work units
- Supplier Kanban Signal
- Pulls material from supplier to plant
16Customer Kanban Signal Information
- Supplier
- Quantity
- Supplier Number
- Card Number
- Kanban Signal Number
- Container Type
- Part Number
- Description
- Storage Location
- Storage Address
17Customer Kanban Signal
18Flow of Customer Kanban Signal
Customer Kanban Signal
Plant Finished Goods Store
External Customer
needed product
19Move Kanban Signal Information
- Part Number
- Supplier Name
- Storage Address (Point of Storage)
- Card Number
- Kanban Signal Number
- Work Unit Name (Customer)
- Quantity per Container
- Line Address (Point of Use)
20Move Kanban Signal
WORK UNIT ADDRESS
STORE ADDRESS
SUPPLIER NAME
WORK UNIT NAME
Kanban Signal No.
PART No.
CARD
QUANTITY
21Flow of Move Kanban Signal
Move Kanban Signal
Internal Raw Material Store
Production Work Unit
needed product
22Supplier Kanban Signal Information
- Supplier Name
- Part Number
- Part Name
- Customer
- Storage Address
- Work Unit Address
- Quantity per Container
- Card Number
- Kanban Signal Number
23Supplier Kanban Signal
24Flow of Supplier Kanban Signal
Supplier Kanban Signal
External Supplier Finished Goods Store
Internal Raw Material Store
needed product
25Flow of Withdrawal Kanban Signals
Supplier Signal
Move Signal
Customer Signal
External Supplier
Internal Raw Materials Store
Internal Production Work Unit
Plant Finished Goods Store
External Customer
needed product
needed product
needed product
needed product
26Production Kanban Signal
- Tells Us
- When to make
- What to make
- How much to make
27Two Types of Production Kanban Signals
- Production Kanban Signal
- Instructs us to make One Container
- Signal (Triangle)
- Instructs us to produce One Lot
- Used when a work unit does not have the
changeover capability to produce one container
for one production card
28Production Card Information
- Store Address
- Kanban Signal Number
- Work Unit Name
- Part Number
- Quantity
- Card Number
29Production Card
STORE ADDRESS
Kanban Signal No.
WORK UNIT NAME
QUANTITY
CARD
PART No.
30Signal (Triangle) Information
- Work Unit Name
- Part Number
- Container Type
- Quantity
- Process Time
- Lot Size
- Order Point
- Kanban Signal Number
31Signal (Triangle)
WORK UNIT NAME
PART No.
PROCESSING TIME FOR 1 LOT
QUANTITY
CONTAINER TYPE
LOT SIZE
ORDER POINT
of containers to produce
Where the signal is placed in inventory
Kanban Signal
32Flow of Production Kanban Signals
Triangle Signal
Production Signal
Move Signal
Internal Sub Assembly Work Unit Store
Internal Final Assembly Work Unit
Finished Goods Store
Internal Sub Assembly Work Unit
needed product
needed product
needed product
33Kanban Signal Flow
Sub Stores
Sub Assembly Work Unit
Production Kanban Signal
Move
Finished Assembly Work Unit
Triangle Kanban Signal
34How Do You Handle Non-Standard Situations
- Temporary Kanban Signals
- Need scheduled down time to PM equipment
- Sample parts
- Service parts
35Temporary Kanban Signal Card
STORE ADDRESS
Kanban Signal No.
WORK UNIT NAME
PART No.
CARD
QUANTITY
36Summary of Kanban Types
- Production
- - Production Kanban Signal
- - Signal (Triangle)
- - Temporary Kanban Signal
- Withdrawal
- - Customer Kanban Signal
- - Move Kanban Signal
- - Supplier Kanban Signal
37Additional Benefits of Kanban
- Support Visual Control
- Are we behind?
- What do I produce first?
- What is my inventory situation?
- Continuous Improvement
- Large inventories hide problems
- Facilitate continuous improvement by removing
Kanban Signals
38Kanban System Simulation
- Exercise 1
- (Without Leveling)
39Kanban System Simulation - Exercise 1
- Objective
- To gain an understanding of Kanban System card
transfer, exchange, and loop location
40Kanban System Simulation - Exercise 1
- Details
- Activity will be run in time segments
- Each time segment consists of one day
- One truck from customer per day
- Simulation will run for 5 days
41Kanban System Simulation - Exercise 1 Activity
Pieces
- 35 Plastic bowls
- 73 White Lego Blocks
- 35 Yellow Lego Blocks
- 5 Customer Cards
- 18 Place Mats
- 13 Production Cards
- 8 Move Cards
- 4 Supplier Cards
- 5 Signal Posts
- 5 Order Cards
42Activity Layout - Exercise 1
43Activity Layout - Exercise 1Card Types
44Kanban System Simulation - Exercise 1 Roles
- Customer
- Receive order from facilitator
- Move raw materials to customer processing area
- Remove Customer Cards from container
- Place Customer Cards in Signal post
- Disassemble lego blocks and place in designated
containers - Move empty containers to customer empty container
storage - Repeat above steps for each order
45Kanban System Simulation - Exercise 1 Roles
- Truck Driver 1
- Pick up Cards from Signal post
- Pick up empty containers from customer empty
container storage - Move empty containers to finished goods empty
container storage - Remove Production Cards from finished goods
container and replace with Customer Cards - Place Production Cards in final assembly Signal
post - Move finished goods to customer raw material
storage - Repeat above steps for each daily order
46Kanban System Simulation - Exercise 1 Roles
- Final Assembly Operator
- Check final assembly Signal post for production
requirements - Move raw material container to final assembly
processing area - Remove sub-assembly and place on final assembly
processing area - Remove Move Card and place in empty container
- Move empty container back to final assembly raw
materials storage - Pick up empty container from finished goods empty
container storage and move to final assembly
processing area - Pick up white processing lego and assemble to
sub-assembly and place in finished goods
container - Pick up Production Card from Signal post and
place on finished goods container - Move finished goods container to final assembly
finished goods storage - Repeat above steps for each Kanban Signal
47Kanban System Simulation - Exercise 1 Roles
- Material Handler 1
- Pick up Move Cards and empty containers from
final assembly raw material storage - Place empty containers in sub-assembly empty
container storage - Remove Production Cards from sub-assembly
finished goods and replace with Move Cards - Place Production Cards in the sub-assembly Signal
post - Move finished goods containers to final assembly
raw material storage - Repeat above steps for each Kanban Signal
48Kanban System Simulation - Exercise 1 Roles
- Sub-Assembly Operator
- Check sub-assembly Signal post for production
requirements - Move raw material container to sub-assembly
processing area - Remove raw material and place on sub-assembly
processing area - Remove Move Card and place in empty container
- Move empty container back to sub-assembly raw
material storage - Pick up empty container from sub-assembly empty
container storage and move to sub-assembly
processing area - Pick up yellow processing lego and assemble to
raw material and place in finished goods
container - Pick up Production Card from Signal post and
place on finished goods container - Move finished goods container to sub-assembly
finished goods storage - Repeat above steps for each Kanban Signal
49Kanban System Simulation - Exercise 1 Roles
- Material Handler 2
- Pick up Move Cards and empty containers from
sub-assembly raw material storage - Place empty containers in raw material empty
container storage - Remove Supplier Cards from raw material storage
and replace with Move Cards - Place Supplier Cards in the raw material Signal
post - Move raw material containers to sub-assembly raw
material storage - Repeat above steps for each Kanban Signal
50Kanban System Simulation - Exercise 1 Roles
- Raw Material Store (Parts Ordering)
- Move empty container from raw material empty
container storage to raw material processing - Remove Supplier Card from supplier Signal post
- Place Supplier Card on empty container
- Repeat above steps for each Kanban Signal
- Prepare order for shipment
- Raw Material Store (Parts Receiving)
- Move raw material container from raw material
receiving to raw material storage area
51Kanban System Simulation - Exercise 1 Roles
- Truck Driver 2
- Pick up empty containers with Supplier Cards
from raw material processing area - Place empty containers in Suppliers empty
container storage - Remove Supplier Production Cards from suppliers
raw material container and replace with Supplier
Cards - Place Supplier Production Cards in supplier
Signal post - Move raw materials from supplier to raw material
receiving - Repeat above steps for each daily order
52Kanban System Simulation - Exercise 1 Roles
- Supplier
- Check Supplier Signal post for production
requirements - Move empty container from supplier empty
container storage to supplier processing area - Pick up white processing lego and place in raw
material container - Pick up Production Card from supplier Signal post
and place on raw material container - Move raw material container to supplier finished
goods storage - Repeat above steps for each Kanban Signal
53Kanban System Simulation - Exercise 1 Roles
- Manager
- Review the daily production requirements
- Instruct cells to produce to customer demand or
capacity - Monitor the production of parts in the value
stream - Evaluate daily production results
54Kanban System Simulation - Exercise 1Customer
Orders vs Capacity
55The Customer
- (Starting Point for a Kanban System)
56Understanding Customer Needs
- Customer Demand
- Anticipated Requirements (Forecast)
- Takt Time (time required to produce a single part
based upon customer usage) - Actual Requirements (Daily Pull)
- Leveling
57Anticipated Requirements
- What information do we need?
- Customer demand for the month
- Number of days in demand period
-
-
Note 900 units / 2 shifts 450 units per shift
58Takt Time
Sets pace of production to match customer demand
59Producing to Customer Demand
Production Card
Customer Card
Production Work Unit
Customer
60(No Transcript)
61Analyze Actual Requirements
- Anticipated Demand vs. Actual Demand
62Opportunities in Customer Fluctuation
- Buffer Stock
- Used when demand is in excess of customer
forecast - Replenished when demand is less than customer
forecast - Note Buffers are an indicator of waste in the
system!
63(No Transcript)
64Opportunities in Truck Pitch
- Even Truck Pitch
- Drives constant Takt Time
- Reduces fluctuation
- Overall Benefit
- Reduction in inventory
65Truck Pitch
Truck 2
Truck 3
Truck 4
Truck 1
600 1000
1430 1600
2100 2430
Truck Times 1 - 600 3 1600 2
- 1000 4 2100
66Replenishment Capability
- Truck Pick-up Times
- 1. 600 2. 1000 3. 1600 4.
2100 - Replenishment Capability Based on Takt Time
- 2100 - 2430 3.5 hours 12,600 seconds
- 12,600 seconds - 600 seconds (break) 12,000
seconds - 12,000 seconds / 61.33 seconds (takt time)
195.66 pcs - 195.66 pcs / 50 pcs in container 3.91
containers - Truck 1 3 containers (45.66 remaining for
Truck 2)
67Leveling Post
1
2
3
4
Buffer Stock
1 2 3 4 5 6 7 8 9
10 11 12 13 14 15 16 17 18 1
2 3 4 5 6 7 8 9 10
- 500 pcs. used to buffer Customer Orders
- 50 pcs. per container
- 10 slots required in Leveling Post for Buffer
68Leveling Customer Demand
Forecast
Leveling Post
P
Production Work Unit
Customer
B
69Takt Time Post
6
7
7
7
7
7
7
8
6
6
6
6
6
6
6
6
6
7
7
7
7
1st Shift
0
2
0
0
1
1
4
0
1
2
3
3
4
4
5
0
1
4
3
3
5
0
4
6
0
8
2
8
0
8
4
0
6
2
8
4
6
2
2
6
0
4
Line 100
70Information Required for Takt Time Post
- Takt Time 61.33 seconds
- Number of pieces per container 50
- Time per container (Takt Time Container
Quantity) / 60 - (61.33 50) / 60 51 minutes
- (Must deliver a Kanban from the Takt Time Post
- to the Production Work Unit every 51 minutes)
-
-
71Takt Time Post
1st Shift
6
7
7
7
7
7
7
8
6
6
6
6
6
6
6
6
6
7
7
7
7
0
2
0
0
1
1
4
0
1
2
3
3
4
4
5
0
1
4
3
3
5
0
4
6
0
8
2
8
0
8
4
0
6
2
8
4
6
2
2
6
0
4
Line 100
72Leveling Customer Demand
Forecast
Leveling Post
Takt Time Post
P
Production Work Unit
Customer
B
73Separating Safety Stock
- Distinguish between customer fluctuation and
internal problems - Safety Stock inventory amount is based on
downtime history
74Utilizing Safety Stock
Forecast
Leveling Post
Takt Time Post
P
Production Work Unit
Customer
B
S
75Leveling
- Benefits
- Neutralizes fluctuation from
- Customers orders
- Truck pitch
- Pulls product based on
- Customer usage
- Takt Time
76Leveling System
- Visual Aid 1
- (Neutralizing Customer Fluctuation)
77Objective
- To establish a pull system of production that
levels the demand of the customer to meet
production capabilities
78Visual Aid Requirements
- Leveling Post
- Takt Time Post
- Signal Post
- (20) Customer Cards
- (7) Production Cards
- (10) Buffer Stock Cards
- (5) Safety Stock Cards
79Card Number
- To determine the number of Production Cards in
the system, take the highest available Cards to
be shipped on one truck and add one Card. - EXAMPLE
- Truck 4 6 Cards
- 6 Cards 1 Card 7 Cards
- (7) Production Cards Required
- Note Additional Cards may be required for
longer lead-times
80Card Placement
- To determine the location of the Production Card
on the takt time post, take the available Cards
for the last truck and subtract the quantity for
the first truck and count backwards from the last
truck - EXAMPLE
- Truck 4 - Truck 1 Cards Generated for 1st
- (6) - (3) 3 Cards for 1st
Shift - Note If the number is zero or a negative
number, only the last Card of the last truck is
generated for 1st shift
81Visual Aid Layout - Day 1 (End of 2nd Shift)
Leveling Post
Takt Time Post
82Visual Aid Layout - Day 2 (600 am)
Leveling Post
Takt Time Post
83Visual Aid Layout - Day 2 (600 am - continued)
Leveling Post
Takt Time Post
84Visual Aid Layout - Day 2 (1000 am)
Leveling Post
85Visual Aid Layout - Day 2 (1000 am - continued)
Leveling Post
86Visual Aid Layout - Day 2 (1000 am - continued)
Leveling Post
87Visual Aid Layout - Day 2 (400 pm)
Leveling Post
Takt Time Post
88Visual Aid Layout - Day 2 (400 pm - continued)
Leveling Post
Takt Time Post
89Visual Aid Layout - Day 2 (900 pm)
Leveling Post
Takt Time Post
90Visual Aid Layout - Day 2 (900 pm - continued)
Leveling Post
Takt Time Post
91Visual Aid Layout - Day 2 (900 pm - continued)
Leveling Post
Takt Time Post
92Visual Aid Layout - Day 2 (End of 2nd Shift)
Leveling Post
Takt Time Post
93Visual Aid Layout - Day 2 (End of 2nd Shift -
cont.d)
Leveling Post
Takt Time Post
94Visual Aid Layout - Day 3 (600 am)
Leveling Post
Takt Time Post
95Visual Aid Layout - Day 3 (600 am - continued)
Leveling Post
Takt Time Post
96Visual Aid Layout - Day 3 (1000 am)
Leveling Post
Takt Time Post
97Visual Aid Layout - Day 3 (1000 am - continued)
Leveling Post
Takt Time Post
98Visual Aid Layout - Day 3 (1000 am - continued)
Leveling Post
Takt Time Post
99Visual Aid Layout - Day 3 (400 pm)
Leveling Post
Takt Time Post
100Visual Aid Layout - Day 3 (400 pm - continued)
Leveling Post
Takt Time Post
101Visual Aid Layout - Day 3 (900 pm)
Leveling Post
Takt Time Post
102Visual Aid Layout - Day 3 (900 pm - continued)
Leveling Post
Takt Time Post
1 1 5 4
1 4 2
1 4 8
B / T
B / T
103Visual Aid Layout - Day 3 (900 pm - continued)
Leveling Post
Takt Time Post
104Visual Aid Layout - Day 3 (End of 2nd Shift)
Leveling Post
Takt Time Post
105Kanban System Simulation
- Exercise 2
- (With Leveling)
106Kanban System Simulation - Exercise 2
- Objective
- To gain an understanding of the method and
benefits of leveling
107Kanban System Simulation - Exercise 2
- Details
- Activity will be run in time segments
- Each time segment consists of one day
- One truck from customer per day
- Simulation will run for 5 days
- Leveling of production occurs at the Point of Pull
108Kanban System Simulation - Exercise 2Activity
Pieces
- 36 Plastic bowls
- 75 White Lego Blocks
- 36 Yellow Lego Blocks
- 5 Customer Cards
- 11 Production Cards
- 18 Place Mats
- 3 Buffer Stock Cards
- 8 Move Cards
- 4 Supplier Cards
- 5 Signal Posts
- 1 Leveling Post
- 5 Order Cards
109Activity Layout - Exercise 2
110Activity Layout - Exercise 2Card Types
(3) Production Cards (3) Buffer Stock Cards
Production Cards
Supplier Cards
Production Cards
Customer Cards
Move Cards
Move Cards
111Kanban System Simulation - Exercise 2Roles
- Following Roles Same As Exercise 1
- Customer
- Final Assembly Operator
- Material Handler 1
- Sub-Assembly Operator
- Material Handler 2
- Raw Material Store
- Truck Driver 2
- Supplier
112Kanban System Simulation - Exercise 2Roles
- Truck Driver 1
- Pick up Customer Cards from Customer Signal post
- Pick up empty containers from customer empty
container storage - Move empty containers to finished goods empty
container storage - Place Customer Cards in leveling post
- Remove Cards from leveling post after leveling
- Remove Production Cards from finished goods
container and replace with Customer Cards - Place Production Cards, and/or Buffer Stock Cards
if required, in final assembly Signal post - Move finished goods to customer raw material
storage - Repeat above steps for each daily order
113Kanban System Simulation - Exercise 2Roles
- Manager
- Focus on improving operations
114Kanban System Simulation - Exercise 2Customer
Orders vs Capacity
115Internal Kanban System
- (Operating The Internal System)
116Internal Kanban System
- Production Instruction
- Production Card
- Signal (Triangle)
- Material Movement
- Move Card
- Delivery system
117Kanban SignalTool To Trigger Production
- Production Card
- High level of capability in the work unit
- Production of parts in any order
118ProducingCard for Card
- If a work unit can produce parts in the same
order that they are pulled from stores, then they
produce Card for Card - The Production Card (typically a white card) is
attached to the container after production - When a container is pulled from the work unit
store, the card is removed and sent back to the
work unit to trigger production
119Points to Remember
- The Production Card is the signal to produce a
container of a particular part number - The work unit produces in the order that the
Production Cards are received - Changeover time must be equal to or less than
the consumers changeover time
120Flow of the Production Card
Production Card
Supplying Process
product
121Kanban SignalTool to Trigger Production
- Signal (Triangle)
- Long changeover times
- Production in lot size
122Production by Lot Size
Withdrawal Period
1st
2nd
3rd
4th
A
B
C
C
C
A
A
B
C
B
A
B
Direct Relationship between Changeover times and
Inventory Levels
123Signal (Triangle)
PART No.
WORK UNIT NAME
PROCESSING TIME FOR 1 LOT
QUANTITY
CONTAINER TYPE
LOT SIZE
ORDER POINT
of containers to produce
Where the signal is placed in inventory
Signal
124Signal Triangle
- When using the Signal Triangle, every part number
on the work unit has its own signal - The signal instructs the work unit to produce and
is dependent on how inventory is pulled from the
work unit - If parts are not withdrawn from the work unit,
the work unit will not receive a signal to
produce
125Lot Size Production
- Signal Instructs the Work Unit
- When to produce the part
- How many to produce at one time
126Elements Required to Determine the Lot Size
- Available Time
- Monthly Demand for Each Part Number
- Production Time for Each Part Number
- Average Changeover Time
127Available Time
Available Time (Number of Hours per Shift)
(Break Time)
Number of Shifts 2 Hours per Shift 8 Number of
Breaks per Shift 2 Minutes per Break 10
57,600 seconds - 2,400 seconds 55,200 seconds
128Demand Calculation
Daily Demand Monthly Demand
of Days in Demand
Period
Days in Month 20
Part Monthly Demand Daily Demand A
4000 pcs 200 pcs B 6000 pcs
300 pcs C 8000 pcs 400
pcs D 12000 pcs 600 pcs Total
30000 pcs ???? pcs
129Demand Calculation
Daily Demand Monthly Demand
of Days in Demand
Period
Days in Month 20
Part Monthly Demand Daily Demand A
4000 pcs 200 pcs B 6000 pcs
300 pcs C 8000 pcs 400
pcs D 12000 pcs 600 pcs Total
30000 pcs 1500 pcs
130Calculating Production Time
Production Time Cycle Time x Daily Demand
Part Daily Demand Cycle Time Production
Time A 200 28.5 5700 B
300 28.0 8400 C 400 30.5
12200 D 600 32.0
19200 Total 1500 30.3
??????
131Calculating Production Time
Production Time Cycle Time x Daily Demand
Part Daily Demand Cycle Time Production
Time A 200 28.5 5700 B
300 28.0 8400 C 400 30.5
12200 D 600 32.0
19200 Total 1500 30.3 45500
132Calculating Average Changeover Time
Part Daily Demand Changeover Time A
200 900 seconds B 300
600 seconds C 400 720
seconds D 600 600
seconds Total ???? ???? seconds
Total
Average C/O Time Changeover Time ????
??? of Parts Numbers ?
133Calculating Average Changeover Time
Part Daily Demand Changeover Time A
200 900 seconds B 300
600 seconds C 400 720
seconds D 600 600
seconds Total 1500 2820 seconds
Total
Average C/O Time Changeover Time 2820
705 of Parts Numbers 4
134Lot Size Calculation
Step 1 Determine the Number of Changeovers per
Day of C/O per Day Available Time -
Production Time Average
Changeover Time
of C/O per Day ????? - ????? ???
C/Os
???
( of Parts)
( of Available C/Os)
/
(LOT SIZE)
(?)
(???)
??? Days
/
135Lot Size Calculation
Step 1 Determine the Number of Changeovers per
Day of C/O per Day Available Time -
Production Time Average
Changeover Time
of C/O per Day 55,200 - 45,500
13.7 C/Os
705
( of Parts)
( of Available C/Os)
/
(LOT SIZE)
(4)
(13.7)
.29 Days
/
136Lot Size per Part Number
Part Daily Demand Lot Size
in Lot A 200 0.29 days
58 pcs B 300
0.29 days 87 pcs C 400
0.29 days 116 pcs D
600 0.29 days 174 pcs
137Container Lot Size
of Containers in a Lot Lot Size
Qty per Cont.
Example Lot Size for Part A 58
pcs Container Size 30 pcs Part A
58 pcs per lot size 1.9 containers
30 pcs per container
Part A Lot Size 2 Containers
Round Up to Next Full Container
138Order Point
- The order point determines how much inventory is
needed in the stores to cover customer
requirements during the work units peak period
of downtime - For instance, the order point 2
- The signal is placed on the 2nd to the last
container. When the container above the signal
on is pulled, exposing the Signal Triangle, the
signal goes back to the line to trigger
production with the corresponding amount of
Production Cards
139Signal (Triangle)
Pull from Top
Remove Signal Triangle when this container is
pulled!!
140Order Point Calculation
(Daily Demand x Downtime Percentage) Order
Point Quantity per Container
Daily Demand 200pcs (200 x .20)
1.33 Peak Downtime Percentage 20
30 Quantity per Container 30pcs
Order Point 2
Round Up to Next Full Container
141Order Points
Part Daily Demand D/T PCS Pcs/Cont
O.P. A 200 .20 40
30 ? B 300
.20 60 30 ? C
400 .20 80 30
? D 600 .20 120
30 ?
142Order Points
Part Daily Demand D/T PCS Pcs/Cont
O.P. A 200 .20 40
30 2 B 300
.20 60 30 2 C
400 .20 80 30
3 D 600 .20 120
30 4
143How are the Containers Identified?
- A Production Card is placed on a container after
it is produced - When the container is pulled from the store the
Production Card is removed and is put into a
collection box, while a Move Card is put on the
container in its place - When the signal is sent to the work unit for
production, the number of Production Cards that
are needed to I.D. the containers are also taken
144(No Transcript)
145 of Production Cards in the System
of Production Cards Lot Size Order
Point 2 2 4 Tags The
number of cards is the maximum amount of material
that will be in the stores
146Flow Of The Signal ( Triangle)
Customer Pulling
A
C
Now
Next
A
B
D
C
Signal Board
B
Collection Box
A B C D
Roll Cut Stores
Roll Cut Work Unit
147Lot Box Production
- An Alternative Approach for Increased Visual
Management
148Lot Box Production Flow
Production Card
Lot Box
Supplying Process
product
149The Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Zero Inventory
Order Point
Production Cards
150Work Unit Kanban Post
1st Shift
6
7
7
7
7
7
7
8
6
6
6
6
6
6
6
6
6
7
7
7
7
0
2
0
0
1
1
4
0
1
2
3
3
4
4
5
0
1
4
3
3
5
0
4
6
0
8
2
8
0
8
4
0
6
2
8
4
6
2
2
6
0
4
Line 100
C/O Card
Part D
Part A
C/O Card
151(No Transcript)
152Example for Part C
6
7
7
7
7
7
7
8
6
6
6
6
6
6
6
6
6
7
7
7
7
1st Shift
0
2
0
0
1
1
4
0
1
2
3
3
4
4
5
0
1
4
3
3
5
0
4
6
0
8
2
8
0
8
4
0
6
2
8
4
6
2
2
6
0
4
Line 100
A I - I - - B I - I -
- I - - C I - I - - I -
I - - D I - - I - - I
- I - - I - I - -
153Lot Box Production
- Visual Aid 2
- (An Alternative Approach)
154Objective
- To visually demonstrate the flow of Cards based
on lot size production using the Lot Box as a
tool for instruction to produce.
155Visual Aid Requirements
- 1 Lot Box
- 1 Kanban Post
- 1 Parts Withdrawal Timing Sheet
- 4 (Part A) Production Cards
- 5 (Part B) Production Cards
- 7 (Part C) Production Cards
- 10 (Part D) Production Cards
- 17 Changeover Cards
156Visual Aid Layout
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
157Visual Aid Layout Inventory Status
158Part Withdrawal Timing
Part A 810 am 1038 am 136 pm 554 pm 822
pm 1110 pm
Part B 732 am 914 am 1046 am 1248 pm 230
pm 602 pm 744 pm 916 pm 1118 pm 100 am
Part C 709 am 818 am 937 am 1046 am 1225
pm 144 pm 453 pm 602 pm 721 pm 830 pm 1009
pm 1118 pm 1237 am
Part D 628 am 714 am 800 am 856 am 942 am
1028 am 1144 am 1230 pm 126 pm 212
pm 458 pm 544 pm 630 pm 726 pm 812 pm 858
pm 1014 pm 1100 pm 1156 am 1242 am
159Board Status - 600 am
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
160Board Status 600 am
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
1st Shift
6 0 0
7 2 4
7 0 6
7 0 0
7 1 8
7 1 2
7 4 8
8 0 0
6 1 8
6 2 4
6 3 0
6 3 6
6 4 2
6 4 8
6 5 4
6 0 6
6 1 2
7 4 2
7 3 6
7 3 0
7 5 4
Line 100
161Inventory Status - 600 am
162Board Status - 642 am
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
163Board Status - 642 am
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
B / T
B / T
Line 100
164Inventory Status - 642 am
165Board Status - 842 am
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
166Board Status - 842 am
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
Line 100
167Inventory Status - 842 am
168Board Status 954 am
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
169Board Status 954 am
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
1 0 4 2
1 0 4 8
1 0 1 8
1 0 5 4
1 0 0 0
1 0 0 6
1 0 1 2
1 0 2 4
1 0 3 0
1 0 3 6
1 1 0 0
1 1 0 6
1 1 1 2
1 1 1 8
1 1 2 4
1 1 0 0
1 1 0 6
1 1 1 2
1 1 1 8
1 1 2 4
9 5 4
1st Shift
L / T
L / T
L / T
L / T
L / T
Line 100
170Inventory Status 954 am
171Board Status 1048 am
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
L / T
L / T
L / T
L / T
L / T
172Board Status 1048 am
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
1 2 3 6
1 2 4 2
1 2 1 2
1 2 1 8
1 2 4 8
1 1 3 0
1 1 4 2
1 1 5 4
1 1 2 4
1 1 3 6
1 2 2 4
1 2 3 0
1 1 1 8
1 0 4 8
1 0 5 4
1 1 0 0
1 1 0 6
1 1 1 2
1 1 4 8
1 2 0 0
1 2 0 6
1st Shift
L / T
L / T
L / T
L / T
L / T
Line 100
173Inventory Status 1048 am
Part B
Part C
Part A
Part D
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
174Board Status - 1202 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
175Board Status - 1202 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
1 2 0 0
1 2 3 0
1 2 3 6
1 2 0 6
1 2 2 4
1 2 4 2
1 2 4 8
1 2 5 4
1 0 0
1 1 2
1 1 8
1 2 4
1 3 0
1 4 2
1 5 4
2 0 0
2 0 6
1 2 1 2
1 2 1 8
1 0 6
1 3 6
1st Shift
B / T
B / T
Line 100
176Inventory Status - 1202 pm
177Board Status 158 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
3 5 4
3 4 8
1 5 4
2 0 0
3 4 2
3 3 0
3 1 2
3 2 4
3 1 8
3 3 6
2 1 2
2 1 8
2 2 4
3 0 6
2 0 6
2 3 0
2 3 6
2 4 2
2 4 8
2 5 4
3 0 0
1st Shift
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
E O S
B / S
Line 100
178Board Status 158 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
3 5 4
3 4 8
1 5 4
2 0 0
3 4 2
3 3 0
3 1 2
3 2 4
3 1 8
3 3 6
2 1 2
2 1 8
2 2 4
3 0 6
2 0 6
2 3 0
2 3 6
2 4 2
2 4 8
2 5 4
3 0 0
1st Shift
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
B / S
E O S
B / S
Line 100
179Inventory Status 158 pm
Part B
Part C
Part A
Part D
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
180Board Status - 430 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
6 2 4
6 3 0
6 1 8
5 3 6
5 4 8
5 4 2
4 3 6
4 4 2
4 4 8
4 3 0
5 3 0
6 1 2
6 0 6
5 5 4
6 0 0
4 5 4
5 0 0
5 0 6
5 1 2
5 1 8
5 2 4
2nd Shift
Line 100
181Inventory Status - 430 pm
Part B
Part C
Part A
Part D
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
182Board Status - 506 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
7 0 0
7 0 6
6 5 4
6 1 2
6 2 4
6 1 8
5 1 2
5 1 8
5 2 4
5 0 6
6 0 6
6 4 8
6 4 2
6 3 0
6 3 6
5 3 0
5 3 6
5 4 2
5 4 8
5 5 4
6 0 0
2nd Shift
B / T
B / T
Line 100
183Inventory Status - 506 pm
184Board Status - 606 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
7 5 4
8 0 0
7 4 8
7 0 6
7 1 8
7 1 2
6 0 6
6 1 2
6 1 8
6 0 0
7 0 0
7 4 2
7 3 6
7 2 4
7 3 0
6 2 4
6 3 0
6 3 6
6 4 2
6 4 8
6 5 4
2nd Shift
B / T
B / T
Line 100
185Board Status - 606 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
7 5 4
8 0 0
7 4 8
7 0 6
7 1 8
7 1 2
6 0 6
6 1 2
6 1 8
6 0 0
7 0 0
7 4 2
7 3 6
7 2 4
7 3 0
6 2 4
6 3 0
6 3 6
6 4 2
6 4 8
6 5 4
2nd Shift
B / T
B / T
Line 100
186Inventory Status - 606 pm
187Board Status 642 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
8 3 6
8 4 2
8 3 0
7 4 8
8 0 0
7 5 4
6 4 8
6 5 4
7 0 0
6 4 2
7 4 2
8 2 4
8 1 8
8 0 6
8 1 2
7 0 6
7 1 2
7 1 8
7 2 4
7 3 0
7 3 6
2nd Shift
B / T
B / T
Line 100
188Board Status 642 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
8 3 6
8 4 2
8 3 0
7 4 8
8 0 0
7 5 4
6 4 8
6 5 4
7 0 0
6 4 2
7 4 2
8 2 4
8 1 8
8 0 6
8 1 2
7 0 6
7 1 2
7 1 8
7 2 4
7 3 0
7 3 6
2nd Shift
B / T
B / T
Line 100
189Inventory Status - 642 pm
Part B
Part D
Part A
Part C
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
190Board Status 830 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
1 0 3 0
1 0 2 4
1 0 1 8
1 0 1 2
1 0 0 6
1 0 0 0
9 3 6
9 4 8
9 4 2
8 3 6
8 4 2
8 4 8
8 3 0
9 3 0
9 5 4
8 5 4
9 0 0
9 0 6
9 1 2
9 1 8
9 2 4
2nd Shift
L / T
L / T
L / T
L / T
L / T
Line 100
191Board Status 830 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
192Inventory Status - 830 pm
Part B
Part C
Part D
Part A
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
To be filled At 832.5
193Board Status 1012 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
194Board Status 1012 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
195Inventory Status - 1012 pm
Part B
Part A
Part D
Part C
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
196Board Status 1106 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
1 0 6
1 0 0
1 2 5 4
1 2 3 0
1 2 1 2
1 2 2 4
1 2 1 8
1 1 0 6
1 2 0 0
1 1 4 8
1 2 4 8
1 2 4 2
1 2 3 6
1 1 1 2
1 1 1 8
1 1 2 4
1 1 3 6
1 1 4 2
1 1 5 4
1 2 0 6
1 1 3 0
2nd Shift
B / T
B / T
E O S
B / S
Line 100
197Board Status 1106 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
1 0 6
1 0 0
1 2 5 4
1 2 3 0
1 2 1 2
1 2 2 4
1 2 1 8
1 1 0 6
1 2 0 0
1 1 4 8
1 2 4 8
1 2 4 2
1 2 3 6
1 1 1 2
1 1 1 8
1 1 2 4
1 1 3 6
1 1 4 2
1 1 5 4
1 2 0 6
1 1 3 0
2nd Shift
B / T
B / T
E O S
B / S
Line 100
198Inventory Status - 1106 pm
Part B
Part A
Part D
Part C
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
199Board Status 1156 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
1 5 4
1 4 8
1 4 2
1 1 8
1 0 0
1 1 2
1 0 6
1 1 5 4
1 2 4 8
1 2 3 6
1 3 6
1 3 0
1 2 4
1 2 0 0
1 2 0 6
1 2 1 2
1 2 2 4
1 2 3 0
1 2 4 2
1 2 5 4
1 2 1 8
2nd Shift
B / S
B / S
B / S
B / S
B / S
B / S
B / S
E O S
B / S
B / S
Line 100
200Board Status 1156 pm
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
1 5 4
1 4 8
1 4 2
1 1 8
1 0 0
1 1 2
1 0 6
1 1 5 4
1 2 4 8
1 2 3 6
1 3 6
1 3 0
1 2 4
1 2 0 0
1 2 0 6
1 2 1 2
1 2 2 4
1 2 3 0
1 2 4 2
1 2 5 4
1 2 1 8
2nd Shift
B / S
B / S
B / S
B / S
B / S
B / S
B / S
E O S
B / S
B / S
Line 100
201Inventory Status - 1156 pm
Part B
Part A
Part D
Part C
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
202Board Status - 600 am Day 2
Lot Box
Container
Part
1
2
3
4
5
6
7
8
9
10
A
B
C
D
Kanban Post
1st Shift
6 0 0
7 2 4
7 0 6
7 0 0
7 1 8
7 1 2
7 4 8
8 0 0
6 1 8
6 2 4
6 3 0
6 3 6
6 4 2
6 4 8
6 5 4
6 0 6
6 1 2
7 4 2
7 3 6
7 3 0
7 5 4
Line 100
203Inventory Status - 600 am Day 2
Part B
Part A
Part D
Part C
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
1 Container
204Lot Size Calculation
- Exercise 3
- (An Alternative Approach)
205Calculation Exercise Data
Data
206Available Time
Available Time Number of hours per Shift -
Break Time
Number of Shifts 2 Hours Per Shift 8 Number of
Breaks Per Shift 2 Minutes Per Break 10
Available Time
207Available Time
Available Time Number of hours per Shift -
Break Time
Number of Shifts 2 Hours Per Shift 8 Number of
Breaks Per Shift 2 Minutes Per Break 10
Available Time 55,200
208Demand Calculation
Daily Demand Monthly Demand
of Days in
Demand Period
Days In Month 20
Part Monthly Demand Daily Demand A
10,000 B
8,000 C
9,000 D 11,000
Total
209Demand Calculation
Daily Demand Monthly Demand
of Days in
Demand Period
Days In Month 20
Part Monthly Demand Daily Demand A
10,000 500 B
8,000 400 C
9,000 450 D
11,000 550 Total
210Calculating Production Time
Production Time Cycle Time x Daily Demand
Part Daily Demand Cycle Time Production
Time A 22 B 23 C 21 D
22 Total
211Calculating Production Time
Production Time Cycle Time x Daily Demand
Part Daily Demand Cycle Time Production
Time A 500 22 11,000 B 400 23
9,200 C 450 21 9,450 D
550 22 12,100 Total
1,900 41,750
212Calculating Average Changeover Time
Part Daily Demand Changeover Time A
720 B 600 C
720 D 600 Total
Average C/O Time Total Changeover Time
of Parts Numbers
213Calculating Average Changeover Time
Part Daily Demand Changeover Time A
500 720 B 400 600
C 450 720 D
550 600 Total 1,900 2,640
Average C/O Time Changeover Time 2,640
660 of Parts Numbers 4
Total
214Lot Size Calculation
Step 1 Determine The Number of Changeovers per
Day of C/O per day Available Time -
Production Time Average
Changeover Time
Of C/O Per Day
( of Parts)
( of Available C/Os)
/
(LOT SIZE)
/
4
215Lot Size Calculation
Step 1 Determine The Number of Changeovers per
Day of C/O per day Available Time -
Production Time Average
Changeover Time
Of C/O Per Day 55,200 41,750 20.38
660
( of Parts)
( of Available C/Os)
/
(LOT SIZE)
/
4
20.38
.19
216Lot Size Per Part Number
Part Daily Demand Lot Size
in Lot A B C
D
217Lot Size Per Part Number
Part Daily Demand Lot Size
in Lot A 500 .19 95 B
400 .19 76 C 450 .19
85.5 D 550 .19 104.5
218Container Lot Size
of Containers in a Lot Lot size
Qty per Cont.
Example Lot Size for Part A Container Size
30 Part A Part A Lot Size
219Questions
220Answers
221Example
6
7
7
7
7
7
7
8
6
6
6
6
6
6
6
6
6
7
7
7
7
1st Shift
0
2
0
0
1
1
4
0
1
2
3
3
4
4
5
0
1
4
3
3
5
0
4
6
0
8
2
8
0
8
4
0
6
2
8
4
6
2
2
6
0
4
Line 100
A B C D
222Example
6
7
7
7
7
7
7
8
6
6
6
6
6
6
6
6
6
7
7
7
7
1st Shift
0
2
0
0
1
1
4
0
1
2
3
3
4
4
5
0
1
4
3
3
5
0
4
6
0
8
2
8
0
8
4
0
6
2
8
4
6
2
2
6
0
4
Line 100
A I I - I - I - B I
I - I - C I I - I
- D I I - I - I -
223Material Movement
- (Focus of On-Time Delivery)
224 Internal Material Movement
- Move Card
- Standard Delivery Route
225Move Card
- The move card tells us
- What to move
- Where to find and take material
- Standard material quantity
- When to move
226Move Card
WORK UNIT ADDRESS
STORE ADDRESS
SUPPLIER NAME
WORK UNIT NAME
Kanban Signal No.
PART No.
CARD
QUANTITY
227Flow of Move Card
Move Card
Internal Raw Material Store
Production Work Unit
Needed product
228When Do I Remove the Move Card?
Kanban, A new Approach
When the first piece is taken, the Move card is
removed
Move Card
229Partial Card
- A partial card can be any color that attracts
attention.
- There is only one partial card for each component
part on a line.
WORK UNIT ADDRESS
STORE ADDRESS
WORK UNIT NAME
Kanban Signal
SUPPLIER NAME
PART No.
Partial
230Standard Route of Delivery
- Why do we need a standard route of delivery?
- To eliminate waste
- To reduce inventory
- To guarantee on time delivery
231Standard Route of Delivery
Pick Area
Line 3
Line 1
Line 2
232Standard Route of Delivery
Pick Area
Line 3
Line 1
Line 2
2332
08/30/99
CC3330
Part No.
Date
Shifts
STANDARDIZED WORK CHART MATERIAL HANDLER
Converter Assy
Part Name
Stops
Manual Time
Line
of Members
Cell Takt Time
Delivery Cycle
Standard In-Process Stock
Daily Customer Demand
Bottleneck
920
60
15
4440
1
Raw Material Store
20
90
30
2
Orbital Welder
90
7
240
30
1
30
Manual Weld Bracket
Linear Weld
Cone Weld
1
30
3
30
3
Secure Wrap
Rolling Machine
Tig Tack Tourniquet Machine
Sizer
Marking Machine
Press
2
2
6
90
30
4
5
90
30
30
Manual Time
Walk Time
Total Time
Member
15
25
1
420
480
900
234How Many Withdrawal Cards Are There?
- The Number of Withdrawal Cards is Based on
- Time of the standard route of material deliveries
- Usage rate of material by the work unit
- Quantity per container of material
235Calculating Number of Move Cards
- Delivery Cycle Time to make standard delivery
cycle in hours - Quantity per Hour of parts produced by the
work unit in 1hour based on target cycle time - of Move Cards Delivery Cycle x Qty per Hr x 2
- Quantity per Container
236Number of Move Cards in the System
of Move Cards Delivery Cycle x Qty per Hr
x 2 Qty per Container of Move
Cards 0.5 hour x 100 parts/hour x 2
25 Parts per Container of Move Cards
4
237How Many Withdrawal Cards are in the System for
an Outside Supplier ?
- Need to know
- Agreed upon delivery cycle
- Daily demand
- Quantity per container
- Safety Stock
238Kanban Cycle
Agreed u