Kanban system: definition and explanation of the principle

The Kanban system is a strategy for process optimization. Kanban can be used to optimize production costs and reduce the size of the production site

Definition of the Kanban system

In principle, the Kanban method can be used in all areas where work steps are repeated regularly. An overview is important for the Kanban method. To do this, you visualize the work steps and divide them into categories: “pending tasks”, “tasks in progress” and “completed tasks”. The defined goal is to get all tasks into the “completed tasks” category.

• In order not to overload the “Pending tasks” and “Tasks in progress” categories, you may only add new tasks if at least one has been completed. The categories must not be overloaded, but may only have a maximum number of tasks

• Visualization and categorization can make it easier to distribute tasks and responsibilities. In addition, completions and processes in other task areas can be monitored. This also allows delays or bottlenecks to be identified and resolved more quickly

• Tasks are distributed with explicit rules and guidelines. Deadlines are clearly formulated and visible to everyone.

• Kaizen is also essential for the Kanban system. It describes the continuous improvement and optimization of the system. The process is therefore based on being constantly scrutinized and thus improved from the inside out.

• By limiting the system and striving for a balance between categories, vacancies are quickly eliminated and overproduction is recognized in good time.

Origins of the Kanban system

The Kanban system originated in Japan. Here it was first used in the automotive industry.

• After the Second World War, Japan found itself in a serious economic crisis. At the same time, stronger trade unions were able to fight for a large number of workers’ rights and manifest them in law. Dismissals by employers were difficult to enforce. A clear and sensible distribution of labor was therefore essential for economic efficiency.

• The production manager Ono Taiichi joined Toyota in the early 1950s. He was confronted with a large number of workers who were more or less qualified and were made redundant through union negotiations.

• By visualizing and limiting tasks, Ono Taiichi reduced pent-up inventories and unproductivity in individual departments. For visualization, he used cards (Japanese: Kanban) for the respective tasks.

• The system quickly became established throughout the Toyota Group and was also transferred to other companies.