EKANBAN General • NORDYNE will be using Classic Kanban Process • In the classic KANBAN production control method, the demand source, the supply source and the procedure to be used to replenish the material are defined in the control cycle as well as the number of kanbans that circulate between the supply source and the demand source and the quantity per kanban. • In this classic KANBAN procedure, the kanban signal always only triggers replenishment for the kanban quantity defined in the control cycle. Moreover, you cannot circulate more kanbans than are defined in the control cycle without changing the control cycle first. • Kanban material can be planned with or without MRP • Kanban process can be used for In-house produced materials and externally procured materials (Purchased from external vendor) Process • Create the Control Cycle in which the information such as No of Kanbans, qty/kanban, Replenishment strategy, etc can be maintained. • Create the Supply area in which the information such as Plant, Storage Location, Person responsible etc will be maintained. • All these supply area information will be assigned to the Material master. • Once the Kanban container is empty, the Full container will be converted to “EMPTY” or the status can be set to “WAIT” system will trigger the Kanban requirements. • These requirements can be Containers, Planned orders or Production orders. • The requirement strategy can be maintained in the Control cycle. • Based on the Requirements generated, upon the goods produced or procured from the external vendor, the Kanban container can be converted from Empty to Full, automatically and corresponding transactions like Goods issue or Goods receipt will happen automatically. • The status sequence of the Kanban can be controlled via the Control cycle. Expected Improvements • • • • Closer to Real Time Procurement signals KANBAN board will improve visibility No longer required to maintain cards Containers can be used more effectively Known Issues • How to prepare for demand spikes • Waiting to order multiple containers in one order with one PO line (very importatant to business) • Keeping transaction from eliminating the gained efficiency. • Organizational operational change from visual to electronic (this is a major change in the way business is done) KANBAN Control Cycle KANBAN Master Data • Unless manufactured in the plant – KANBAN can not be MRP relevant. • Assign Container Types to Material Master • Define Production Supply Areas (PSA) • KANBAN control cycle per PSA