A Kanban card is a tangible or digital signal within the Kanban system that authorizes the replenishment, movement, or production of materials. Each card contains crucial information such as product details, quantity, location, and destination, acting as a communication tool between different stages of the supply chain. In logistics, Kanban cards help prevent overstocking, reduce inventory holding costs, and maintain a smooth material flow to production lines or warehouses. They also improve traceability, accountability, and operational discipline, allowing organizations to identify bottlenecks, track inventory in real time, and ensure timely replenishment.
Characteristics:
- Acts as a trigger for replenishment or production
- Contains detailed product, quantity, and location information
- Prevents overstocking and shortages
- Enhances traceability of materials throughout the supply chain