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The Kan Ban The Kan Ban GameGame
2 © The Delos Partnership 2003
To understand how Kanbans
•Aid the transition from a Push to a Pull System
•Facilitate Continuous Improvement
To understand how Kanbans
•Aid the transition from a Push to a Pull System
•Facilitate Continuous Improvement
The Kanban GameThe Kanban Game
Aim of the game
3 © The Delos Partnership 2003
To Maximise Customer Service
To Minimise Inventory (Finished Goods/WIP/Raw Mats)
To Maximise Customer Service
To Minimise Inventory (Finished Goods/WIP/Raw Mats)
Objectives of the Game
The Kanban GameThe Kanban Game
4 © The Delos Partnership 2003
Supply two products (Red,Blue)
Supply two products (Red,Blue)
The Task
Raw Mat Make SquareTape Edges Staple Hole Punch Sticker Finished Goods
Dispense Garnulate Compress Coat QC Pack Finished Goods
The Kanban GameThe Kanban Game
5 © The Delos Partnership 2003
Objectives:
•Customer Service
•Minimise Inventory
Objectives:
•Customer Service
•Minimise Inventory
Measures:
•# Stock Outs
•# Papers
Measures:
•# Stock Outs
•# Papers
KPIs
The Kanban GameThe Kanban Game
6 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Exercise One•Run for ten Minutes•Review performance
Exercise One•Run for ten Minutes•Review performance
MakeChanges
Exercise TwoExercise Two•Run for ten MinutesRun for ten Minutes•Review performanceReview performance
Exercise TwoExercise Two•Run for ten MinutesRun for ten Minutes•Review performanceReview performance
MakeChanges
Exercise ThreeExercise Three•Run for ten MinutesRun for ten Minutes•Review performanceReview performance
Exercise ThreeExercise Three•Run for ten MinutesRun for ten Minutes•Review performanceReview performance
7 © The Delos Partnership 2003
Exercise OnePush System
The Kanban GameThe Kanban Game
DispensaryCampaign size =6
GranulationCampaign size = 6Stores
CompressionCampaign size = 6
CoatingCampaign size = 6
PackingCampaign size = 6
DespatchSafety Stock = 6
Suppliers
Customers
8 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
How did you perform?•Customer Service?•Inventory?
How did you perform?•Customer Service?•Inventory?
9 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
What changes would you make ?What changes would you make ?
10 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Kanban ~ Signal
There are three main types
Two Card Kanban• Move Card and Production Card
One Card Kanban• Production Card
Kanban Square• Marked out space on production floor
11 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Two Card KanbanOften used when operations are some distance apart
Process 1Process 2
MoveKanban
Process 1 needs more material so sends a Kanban move card to process 2
12 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Two Card KanbanOften used when operations are some distance apart
Process 1Process 2
MoveKanban
The move card instructs process 2 to send so many of part x to process 1
13 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Two Card KanbanOften used when operations are some distance apart
Process 1Process 2
MoveKanban
The move card is exchanged with a production card to authorise process 2 to produce to replenish stock. The move card returns to process 1 with the material
ProductionKanban
14 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Two Card KanbanOften used when operations are some distance apart
Process 1Process 2
MoveKanban
Process 2 produces stock in line with the production card and then stops (untilanother move card is received)
15 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
One Card KanbanOften used when operations are close together
Process 1Process 2
Process 1 needs more material
ProductionKanban
16 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
One Card KanbanOften used when operations are close together
Process 1Process 2
ProductionKanban
So it takes some stock and sends a Kanban production card to process 2 authorising production
17 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
One Card KanbanOften used when operations are close together
Process 1Process 2
ProductionKanban
Process 2 replenishes its stock, returns the Kanban card and stops
18 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Kanban SquareOften used when operations are close together
Process 1Process 2
Process 1 needs more material
19 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Kanban SquareOften used when operations are close together
Process 1Process 2
Process 1 takes materialThe empty square is authorisation for process 2 to make more product to replenish the square
20 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Kanban SquareOften used when operations are close together
Process 1Process 2
Process 2 stops and waits for the square to empty again
21 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Kanban GuidelinesThe Kanban should describe where to get product from and how much to get
Only produce product as per the Kanban
The Kanban should be attached to the parts
Only fill the Kanban with 100% defect free product
Make the Kanban quantity as small as possible so that frequent communication of production activity is maintained between operations
Balance Kanban sizes to maintain flow
Sales and Production should agree the monthly production plan so that a level schedule can be created
The number of Kanbans should be gradually reduced in order to link processes better and reduce inventory and expose waste for improvement
Suzaki & Ohno 1987
22 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Exercise One•Run for ten Minutes•Review performance
MakeChanges
Exercise TwoExercise Two•Run for ten MinutesRun for ten Minutes•Review performanceReview performance
Exercise TwoExercise Two•Run for ten MinutesRun for ten Minutes•Review performanceReview performance
MakeChanges
Exercise Three•Run for ten Minutes•Review performance
23 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
DispensaryCampaign size = 3
GranulationCampaign size = 3Stores
CompressionCampaign size =3
CoatingCampaign size = 3
PackingCampaign size = 1
DespatchSafety Stock = 3
Suppliers
Customers
KBKB
KB
KB
KB
KBKB
Exercise TwoPull System v1
24 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
How did you perform?•Customer Service?•Inventory?
How did you perform?•Customer Service?•Inventory?
25 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
What changes would you make ?What changes would you make ?
26 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Exercise One•Run for ten Minutes•Review performance
MakeChanges
Exercise Two•Run for ten Minutes•Review performance
MakeChanges
Exercise ThreeExercise Three•Run for ten MinutesRun for ten Minutes•Review performanceReview performance
Exercise ThreeExercise Three•Run for ten MinutesRun for ten Minutes•Review performanceReview performance
27 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
DispensaryCampaign size = 1
GranulationCampaign size = 1Stores
CompressionCampaign size =1
CoatingCampaign size = 1
PackingCampaign size = 1
DespatchSafety Stock = ?
Suppliers
Customers
KBKB
KB
KB
KB
KBKB
Exercise TwoPull System v2
28 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
How did you perform?•Customer Service?•Inventory?
How did you perform?•Customer Service?•Inventory?
29 © The Delos Partnership 2003
The Kanban GameThe Kanban Game
Lessons learned?Lessons learned?