The Development of a Kanban System: A Case Study

The application of the Kanban system in a practical environment is reported. The objective was to determine the optimal number of Kanbans for each component part. The effect of the time interval between replenishment of parts on the amount of work‐in‐process inventory was also investigated. Prior to the implementation of the Kanban system, a computer simulation in GPSS was carried out. The results of the simulation run for different attributes are reported. An analysis of results is presented and the basic philosophy of just‐in‐time production, as well as the Kanban system, is discussed.