The amount of inventory required is the amount needed to
buffer the lead time to replace it. Through implementing Lean
principles, the manufacturer can dramatically reduce the manufacturing
lead time which allows a corresponding reduction in inventory required.
Lean Manufacturing uses a pull inventory system vs. a push sy
stem used by
mass production. This pull inventory system is referred to as a Kanban
system.
Forms of Kanban are:
- Cards
- Containers
- Empty spaces on the shelf
- Open space on the floor
- Signal lights