ENTREPRENEURSHIP

Detailed explanation-1: -Kanban (Japanese for sign) is an inventory control system used in just-in-time (JIT) manufacturing to track production and order new shipments of parts and materials. Kanban was developed by Taiichi Ohno, an industrial engineer at Toyota, and uses visual cues to prompt the action needed to keep a process flowing.

Detailed explanation-2: -Kanban is also known as the Toyota nameplate system in the automotive industry. Kanban maintains inventory levels; a signal is sent to produce and deliver a new shipment as material is consumed. These signals are tracked through the replenishment cycle and bring extraordinary visibility to suppliers and buyers.

Detailed explanation-3: -In a Kanban inventory system, a company can use Kanban cards or bins to signal when stock needs to be refilled. In the Kanban bin system, companies rely on visual cues to start the restocking process. Workers have two containers of inventory and work through the supplies in one bin before moving on to the other.

Detailed explanation-4: -Essentially, kanban inventory management is a way to have only the minimum amount of stock on hand that is necessary at that time. This avoids purchasing more than you need and having to allocate space to warehouse that extra inventory. More than that, kanban is a way to avoid bottlenecks in your workflow.