The Kanban roots
The word “kanban” means a signal card, signboard, billboard, visual card or just a card. Kan means “a sign”, while Ban means “board”. What is interesting, the word exists in Japanese and Chinese, yet they’re obviously differently pronounced. Another interesting fact to notice is that the term first appeared in Japan around 1603! That was the time Japan’s economy was flourishing and Japanese streets were packed with shops.
Toyota Production System and Lean Manufacturing
The Toyota Company wasn’t such a giant as it is nowadays. After WWII the car industry got stuck, and so had Toyota, which was generating losses. That Toyota’s product delivery system wasn’t effective. The man who made a change in this organization was a Japanese engineer Taiichi Ōno, who joined the company in 1943. He created a new manufacturing philosophy that was called Toyota Production System: precursor to Lean Manufacturing. Its philosophy was to get rid of all waste in work process, which in Japanese was conveyed as ”muda”. The term means ”uselessness” or “wastelessness”. Simply speaking, waste is anything that adds no value to the process, to the people doing the work, and to the customer. Hence, one of the goals of TPS was to identify which activities add value and which don’t. In 2003 the system was applied in software development and was called Lean Software Development.
7 types of waste
Ohno differentiated and categorized seven types of waste. These referred to Transportation, Inventory, Motion, Waiting, Overproduction, Overprocessing and Defects.
Two pillars of TPS
Now we’re aware that the main idea of TPS was to complete eliminate all waste possible. Toyota Production System was based on two concepts how the things were done. It was sometimes referred to as the Toyota Way.
Kanban, TPS and Lean
Lean and Kanban are sometimes conflated, as they both derive from TPS. However, they’re not 100% the same things. Lean is not another name for TPS, although they’ve got a lot of common. TPS is philosophical (Kaizen) shift towards work, while lean is based on a set of tools. Another difference is TPS has 7 wastes, while Lean 8. Lean added “non-utilized talent” as the 8th waste. What’s more, while the latter is mainly waste elimination, the former is not. Rather, TPS highlights the problems we have to sort them out. Kanban takes ideas from both approaches.