Kanban Definition | Becker

Accounting Dictionary

Kanban

 

  1. The Japanese refer to kanban as a simple parts-movement system that depends on cards and boxes/containers to take parts from one station to another on a production line. The essence of the kanban concept is that a supplier or the warehouse should deliver components to a production line only as they are needed so that there is no storage in the production area. Within a kanban system, stations located along production lines produce/deliver desired components only when they receive a card and an empty container indicating that more parts will be needed in production. See also just-in-time. A manufacturing strategy wherein parts are produced or delivered only as needed.

 

Related Terms:

Just-in-Time (JIT) [BAR]Back to Dictionary

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