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Topic Title: Kanban Calculation
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Created On: 11/18/2011 09:35 AM
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11/18/2011 12:44 PM
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FrankCRB
Frank Busateri



Can anyone share an example of a Kanban Calculation in a manufacturing setting?
11/18/2011 01:05 PM
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MarkRosenthal
Mark Rosenthal



I would suggest you get copies of "Making Materials Flow" and "Creating Level Pull" and dig into them. They will give you a lot of good background into the dynamics of kanban replenishment that go beyond the calculation.

In general, you need enough kanbans to cover your production rate between the time you release a card (put it into the kanban post) and the time THAT card comes back with its material attached.

This is a function of your rate of consumption, the replenishment lead time and the delivery interval.

The most generic version is:

Units Consumed Between Deliveries + Units Consumed During Lead Time / Pack Size

If you are using cards, you want to pull the card with the FIRST part out of the container.
If you are using empty containers, you generally need one more because you are waiting until the container is empty to signal replenishment, and this means you are consuming more parts before telling anyone you need them.
11/20/2011 07:26 PM
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JamesChen
James Chen



Frank,

I developed an MS-Excel based program for lean practioners to easily develop, produce, manage, simulate and real-run a Kanban system, which includes a module of Kanban loop size calculation. If you are interested, please leave your email address, so that I can share it with you. Hope it can help you out of setting up a good Kanban system.

In addition, Kanban pull system is a good platform to drive continous improvements by simply taking out some Kanbans. Remember the ocean of inventory and iceburg model, the number of Kanbans decides how high your water level is, once you downsize the loop or lower the water level, the iceburg will start to show up, which will prioritize the opportunity for Kaizen.

James J. Chen
11/21/2011 05:29 PM
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Moderator_Jane
Jane Bulnes-Fowles



All interested in James's Excel-based program:

To head off a long thread before it starts ... Please do not simply add a post here with your email address as that can really clutter the forums. Instead send James a Private Message (PM) requesting the file and including your email address.

To send a PM (private message), you have to be logged in to the forums on our site lean.org. Then go to James's post. In the upper right corner of his post there are two icons - one is of a person with a speech bubble.

Click on that person icon to send James a private message.
Jane
10/15/2014 10:08 PM
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Pgable
Peter Gable



James,

Would you please send me a copy of your KB calculatore too?

Thanks
Pete Gable
Sargent Mfging
peter.gable@assaabloy.com
10/23/2014 09:52 PM
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LeanGenesis
Rob Fletcher



Also, when you calculate kanban qty, you still have to manage the system. Mainly watching out for spikes in your schedule that your kanbans won't cover and implementing a system to detect lost kanbans.
10/31/2014 10:05 AM
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yaseralie
Yaser Husen



Basicly formulation of kanban calculation is :
1 Pull (next process) + Lead Time + Safety

- 1 Pull (next process) = it's mean how many kanban from next process takes material to our store Or how many times next process takes material. So, we must have 1 pull so that when next process takes material to our store, the material is ready

- Lead Time:
There's 4 lead time in Material & Information Flow Chart:
1. LT Information
Kanban lead time such as, kanban in lot making, kanban chutter etc
2. LT Conveyance (transportation)
3. LT Process
4. LT Stagnation

- Safety
Safety kanban for :
1. Machine breakdown
2. Fluctuation
3. Different working time

When kanban is running, minimum quantity kanban in our store are safety + (1 pull next process)
others kanban are on Lead Time

When we calculate kanban population, we must make Material & Information Flow Chart for the process and we give mark points for 1pull, Lead Time, and safety
for example we give mark with number

CMIIW...
10/31/2014 10:05 AM
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305531
ashok motwani



James,
Re: I developed an MS-Excel based program for lean practioners to easily develop, produce, manage, simulate and real-run a Kanban system, which includes a module of Kanban loop size calculation. If you are interested, please leave your email address, so that I can share it with you.

Hope you received my provate message.....Looking for help.
Ashok
11/03/2014 08:43 PM
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prabhatranjan
prabhat vats



Sir,

Kindly share the excels file for Kanban calculation on prabhat.vats17@gmail.com.

Thanks for your support.

Regard
Prabhat Vats
11/04/2014 03:15 PM
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JohnSnyder30
John Snyder



I would love to see your excel file to help with calculating kanbans.

Thanks in advance,

John
11/04/2014 03:20 PM
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MihaiCristea
Mihai Cristea



Kindly share your file for Kanban Calculation.
Adress is cristea.mihai84@gmail.com
Thanks.
Mihai
11/04/2014 03:25 PM
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Moderator_Lory
Lory Moniz



Dear Forum Posters,
Just a friendly reminder to please use private messaging (PM) when asking that materials be sent via email. You can do this by clicking on the person icon on the right next to the printer icon.

Posts that are asking for presentations to be emailed will not be approved as this provides waste to other posters.


Thanks
Lory


Edited: 11/11/2014 at 10:32 PM by Moderator_Lory
11/14/2014 10:57 AM
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MarcoRossi
Marco Rossi



Dear all,

The theory we found simple and fruictful is below

Base Theory of Calculation

The number of Kanban you need to have in the circuit between downstream and upstream is a simple calculation. It works both for "production" and "move" Kanban.

Number of Kanban = [ Daily Demand * Lead Time (in days) * (1 + % Safety Stock) ] / [ Quantity in a Container ]

Example:

Let us imagine a downstream process that use 100 tapes/day (on average)
The lead time to obtain new tapes once the signal start from the Point of Use (POU), arrive to the upstream (or supplier) and the tapes are delivered to the POU is 5 days.
The Safety Stock in percentage is 20% (to compensate demand variation or delays)
Every container is of 50 tapes.

N° of Kanban = 100 * 5 * 1,20 / 50 = 12 Kanban

We would like to propose our Kanban Calculator Free!

Kanban Calculator Software
11/19/2014 10:27 PM
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MarcoRossi
Marco Rossi



Once you have understood how many card you need in the system, it cuold be useful to visualize how it works.

Here a slideshow that help to visualize the KANBAN of "Moving".

How it works.
04/27/2015 06:05 AM
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wizardqueue07
Lester Quives



hi james! do you have that MS excel sheet for KAnban? can you email it to me wizardqueue07@yahoo.com.ph.Thanks

Edited: 04/27/2015 at 06:05 AM by Lean Moderator
05/10/2015 09:39 PM
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MarcoRossi
Marco Rossi



Dear,

if you want there is KANBAN Calculator on line free of charge.

Kanban Calculator On Line
06/12/2015 09:02 AM
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chulay09
Sandy Secreto



Can you send me the excel calculations for kanban?
06/12/2015 09:02 AM
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chulay09
Sandy Secreto



My email, sandynina.secreto@sbdinc.comnull
07/01/2015 08:11 AM
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Don_Guild
Don Guild



The problem with most kanban calculators is that they ignore differing item consumption patterns when calculating safety stocks, and they ignore any supplier batching requirements.

Here is the formula we use:

In a manual kanban system, two values need to be calculated: Order Point (aka trigger point) and Order Quantity (aka batch size). The total number of kanbans required is the number required for the Order Point plus the number required for the Order Quantity, or:

Order Point in kanbans = (DD*LT+ STDEV*SFSL*SQRT(LT/TB))/KB
+
Order Quantity in kanbans = (DD*EPEI)/KB

Where:

DD = Daily demand (units)
LT = Replenishment lead time (days)
STDEV = Standard deviation of historical demand (units)
SF = Safety factor to achieve required service level (number of standard deviations)
SL = Service level or fill rate required (percent)
SQRT = Square root
TB = Time bucket of the standard deviation data points (days)
KB = Quantity per kanban (units)
EPEI = Supplier's replenishment interval (days)

The value of this approach is that you get predictable results, a sustainable system, and a quantitative basis for focusing process improvements.

Here is a simulation worksheet that does the calculation:


11/30/2015 02:44 PM
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MatthewKeddie
Matthew Keddie



Hi James,

Could I get a copy of that program? My em ail is

matthewkeddie@hotmail.com


Thanks in advance I think this will be a great help.
FORUMS : Manufacturing : Kanban Calculation

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