Lean methodology
Kanban
A visual management system that links replenishment to actual consumption.
Kanban is a visual method to control production and replenishment based on actual demand. The method was developed at Toyota in the 1950s under the leadership of Taiichi Ohno, inspired by supermarkets that restock what customers purchase. The Japanese word 'kanban' means 'signboard' or 'card' and refers to the signal that triggers a new production or replenishment action.
In manufacturing and logistics, Kanban is applied using, for example, cards, bins, or digital signals. As soon as material is consumed or inventory reaches an agreed level, a signal is generated to replenish a predetermined quantity. In this way, production or replenishment only occurs when there is a need for it: the so-called pull principle. For optimal performance, factors such as consumption, replenishment times, and buffer stocks must be carefully aligned.
Applied properly, Kanban helps prevent overproduction, control inventory, and make material flows more predictable. The visual signals reduce unnecessary coordination and make shortages and disruptions visible more quickly. The result is a clearer operation with less work in progress, improved flow, and greater control over material availability.
What is Kanban?
Kanban uses a card, bin, or digital signal to indicate when materials or work can be replenished.
When do you use it?
Use Kanban for recurring material flows where both overstocking and shortages occur regularly.
What are the benefits?
Less intermediate inventory, clearer priorities, and a more stable link between demand and replenishment.