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Origin of TPS: Kanban function

Last time, I explained the primary usage of "Kanban". By utilizing "Kanban", you can create a flow like a big river.

The parts supplied by the manufacturer merge to flow from the tributary toward the river's mainstream. This flow and timing are controlled by "Kanban".

"Kanban" is the mechanism that forms the basis of TPS vehicle production. This method is called just-in-time (referred to as JIT).

Let me explain in a little more detail to imagine it easily. For example, I take the rear-view mirror; the numbers are well separated, so please understand in advance that they are different from the actual numbers.

The rearview mirror pallet contains ten rearview mirrors. "Kanban" is attached to each pallet.

Two pallets on the line side parts shelf, six pallets in transit between the manufacturer and the mainline, two pallets at the manufacturer's shipping location, etc., taking into account the distance between the manufacturer's factory and the mainline, etc. The required amount of money is decided in advance.

I hope you understand that what you have is the inventory required for the parts to be used seamlessly.

There is always one "Kanban" on the parts pallet, so

Line side 2 + in transit 2 + shipping on hand 2 = 6 pallets

6 pallets ✖️ 10 pcs / pallets = 60 pcs

From now on, the inventory of rearview mirrors will always be 60.

"Kanban" plays a significant role in maintaining the quantity in stock by deciding that "room mirrors usually require 60 pieces on hand" at the planning stage.

Since the stock of room mirrors is 60 pieces and six pallets, only six pieces of "Kanban" are needed.

However, what if you accidentally created two extra "Kanban" and used eight?

If there were two more pallets, eight "Kanban" would be drawn out and distributed if there were two more standard pallets.

The inventory quantity of rearview mirrors will increase to 80 pieces. In terms of currency, it's inflation.

Did you know that "Kanban" also has a currency function?

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